The environment and corporate culture
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 THE ENVIRONMENT AND CORPORATE CULTURE
TRUE/FALSE 1. The general environment and the task environment are the two layers of an organization's external environment. ANS: T
2. The outer layer of the external environment is the task environment. ANS: F
3. Current employees, management, and especially corporate culture are part of an organization's internal environment. ANS: T
4. According to Spotlight on Skills in Chapter 2, the Chinese concept of guanxi is a supportive, mutually beneficial connection between two people. ANS: T
5. According to Spotlight on Skills in Chapter 2, one of the rules of doing business in China is remembering that relationships are short-term. ANS: F
6. Wine merchants have seen extraordinary growth in the sale of red wine and an associated decline in other types of alcoholic beverages because a large percentage of the Chinese market has adopted red wine consumption as the fad of the moment. This is an example of how the sociocultural dimension can influence an industry. ANS: T
7. One significant trend in the economic environment is entrepreneurial start-ups that are taking advantage of new competitive rules. ANS: T
8. The legislatures in many undeveloped nations are reducing perceived operational risks for foreign investors who are looking for new manufacturing locations. This would be part of the legal-political dimension of the general environment. ANS: T
9. Customers and competitors are two important sectors of the economic dimension of a firm's general environment. ANS: F
10. The task environment includes sectors that have a direct working relationship with the organization, such as customers, suppliers, and the labor market. ANS: T
11. Suppliers are the people in the environment who acquire goods and services from the organization. ANS: F
12. If British Petroleum (BP) provides jet fuel for American Airlines (AA), then BP is considered a supplier for AA. ANS: T
13. Cooperation with suppliers is becoming an exception rather than the rule. ANS: F
14. People in the environment who can be hired to work for an organization make up the labor market. ANS: T
ANS: T 16. A merger occurs when there is a strategic alliance between two or more organizations. ANS: F
ANS: F
ANS: F NAT: AACSB Analytic | Ethical Responsibilities 19. Corporate culture includes stories that keep an organization's values alive. ANS: T
20. A symbol is a figure who exemplifies the deeds, character, and attributes of a corporate culture. ANS: F
21. A slogan is a phrase or sentence that succinctly expresses a key corporate value. ANS: T
22. The security supervisor who once challenged IBM's chairman because he wasn't carrying the appropriate clearance identification to enter a security area is an example of a hero. ANS: T
23. An achievement culture is found in an environment that requires fast response and requires high-risk decision making. ANS: F
24. The involvement culture is suited to organizations that are concerned with serving specific customers in the external environment but without the intense need for flexibility and rapid change. ANS: F
25. The consistency culture has an internal focus and a consistency orientation for a dynamic environment. ANS: T
26. When an organization pays little attention to either cultural values or business results, it is unlikely to survive for long. ANS: T
27. A primary way in which managers shape cultural norms and values to build a high-performance culture is through cultural leadership. ANS: T
MULTIPLE CHOICE 1. The ____ includes all elements existing outside the boundary of the organization that have the potential to affect the organization.
ANS: A
2. The ____ environment represents the outer layer of the environment and affects organizations ____.
ANS: E
3. The organization's external environment has two layers: ____ and ____.
ANS: A
4. Which of these is a part of an organization's internal environment?
ANS: B
5. The internal environment includes:
ANS: A
6. Mike Wood and Jim Marggraff discovered that as parents become more educated, they have higher demands for educational toys. Therefore, the LeapPad, an educational toy, was born. The creators of this new product had to keep all of the following in mind EXCEPT:
ANS: D
7. Which dimension of the general environment represents events originating in foreign countries as well as opportunities for American companies in other countries?
ANS: C
8. China has been referred to as "the workshop of the world" because so many manufacturers have relocated their operations to China to take advantage of its cheap, productive labor. The influence of the "workshop of the world" on global manufacturing illustrates which dimension of the general environment?
ANS: C
9. Which of these is NOT a part of an organization's general environment?
ANS: C
10. Scientific and technological advancements in a specific industry as well as in society at large are included in which general environment?
ANS: D
11. In the business world, computer networking and the use of microprocessors have allowed managers to monitor and control numerous automated production lines from off-site locations. This ability to increase productivity reflects how the ____ influences the general environment.
ANS: D
ANS: E
13. In past years, women in India have wanted a lighter complexion. Annual sales for skin lightening ointments in India were approximately $150 million. In the current decade, people in India have come to view skin lightening as a demeaning process and one that no woman should engage in. This is an example of a change in the:
ANS: E
14. When The Dallas Times launched a Spanish-language newspaper, El Nuevo Herald, with articles emphasizing Hispanic, Cuban, and Latin American news and sports, it was responding to changes in the ____ dimension.
ANS: A
15. McDonald's, the fast-food chain, opened its first drive-thru hamburger outlet in China in the autumn of 2005 to capitalize on growing car ownership and demand for western-style fast food in the nation. McDonald's added drive-thrus in response to changes in the ____ dimension of China's general environment.
ANS: A
16. Anyone considering doing business in China, according to Spotlight on Skills in Chapter 2, should keep in mind all of the following rules except:
ANS: D
17. Lying at the heart of Chinese culture, ____ is a supportive, mutually beneficial connection between two people.
ANS: E
18. The general economic health of the country or region is typically determined by:
ANS: C
19. Which of the following is a part of the legal-political dimension?
ANS: B
20. The ____ dimension of the general environment includes federal, state, and local government regulations.
ANS: B
21. Which of the following is a dimension of the general environment?
ANS: D
22. Consumers think of salmon as pink, but the pink coloration is a result of a food additive. Salmon is naturally a grayish color. Salmon farmers in the European Union (EU) will have to stop adding the pink additive due to a new food safety initiative enacted by the EU. This is an example of a change in the:
ANS: E
23. A number of foreign companies have decided to halt outsourcing work to India because of a new tax ruling passed by the Indian legislature that would enable the Indian government to take part of the companies' worldwide earnings. This is an example of the ____ dimension of the general environment.
ANS: B
24. An interest group that works within the legal-political framework to influence companies to behave in socially responsible ways is called a:
ANS: A
25. Firoza Ismail sells Coca-Cola at her convenience store in British Columbia. Ismail would be considered a part of Coca-Cola's:
ANS: D
26. The ability of customers to affect an organization's reputation and sales through Internet sites is an example of something that could be found in the ____.
ANS: B
27. When Maytag, an appliance manufacturer, buys microprocessors from Intel for its new washing machines, the action occurs in the ____ dimension of the ____ environment.
ANS: D
ANS: B
29. ____ provide the raw materials needed for output production.
ANS: D
30. Which of the following is a part of the task environment for Dell, a U.S. computer manufacturer?
ANS: B
31. Which of the following is NOT one of the sectors of task environment?
ANS: D
32. Traditionally, many manufacturer and ____ relationships have been adversarial. Recently, companies are finding that cooperation is the key to saving money, maintaining quality, and speeding products to market.
ANS: C
33. The ____ represents people in the environment who can be hired to work for the organization.
ANS: B
34. China has been referred to as "the workshop of the world" because so many manufacturers have relocated their operations to China to take advantage of its cheap, productive labor. One company that has recently moved to China is Japan's leading producer of paper. The ____ dimension of the external environment is involved in the Japanese company's relocation.
ANS: D
35. Which statement about the environment is true?
ANS: C
36. Which of the following is necessary for adapting the organization to changes in the environment and for coping with high environmental uncertainty?
ANS: A
37. In today's turbulent activities, the most successful companies involve every employee in:
ANS: E
38. Which of the following would be considered a visible representation of organizational culture?
ANS: E
39. ____ are associated with the surface level of organizational culture.
ANS: C
40. An example of a corporate culture can be seen in:
ANS: B
41. According to Spotlight on Skills in Chapter 2, all of the following are guidelines to use when conducting business online EXCEPT:
ANS: B
NAT: AACSB Analytic | Information Technologies 42. Symbols, stories, and heroes are important because they:
ANS: D
43. An object, act, or event that conveys meaning to others is referred to as a:
ANS: A
44. When Fordham Middle School gives an award each school month to one student who has involved himself or herself in some worthy cause, it is an example of a:
ANS: C
45. Which of these is a narrative based on true events that is repeated frequently and shared by organizational employees?
ANS: C
46. Harold Geneen ran ITT in the 1960s. He publicly humiliated his top 120 executives monthly at grueling four-day, 14-hour meetings. What type of symbolic management tool was Geneen using?
ANS: E
47. Stories are important to an organization because they:
ANS: A
48. A figure who exemplifies the deeds, character, and attributes of a corporate culture is referred to as a:
ANS: D
49. Which of these represent a phrase or sentence that succinctly expresses a key corporate value?
ANS: E
50. Heroes are important in a corporate culture because they:
ANS: D
51. Kodak's "Share Moments. Share Life." represents a:
ANS: D
52. If a company emphasizes that "no purchase is complete until the customer is satisfied," then it is:
ANS: C
53. Marion Kalhoun had two rules posted next to the front door at his dairy store. Rule #1: The customer is always right! Rule #2: If the customer is ever wrong, reread Rule #1. These rules represent:
ANS: A
54. Ceremonies are planned activities that make up a special event and are conducted for the benefit of an audience. Which of the following is NOT an example of a ceremony?
ANS: C
55. Managers in adaptive cultures:
ANS: A
NAT: AACSB Analytic | Individual Dynamics 56. Culture tends to differ between ____, but appears similar within ____.
ANS: A
57. All of the following are types of corporate cultures EXCEPT:
ANS: D
58. The adaptability culture emerges in an environment that requires ____ response and ____ decision making.
ANS: A
59. The ____ is suited to organizations that are concerned with servicing specific customers in the external environment but without the intense need for flexibility and rapid change.
ANS: C
60. The involvement culture has a(n) ____ focus on the involvement and participation of employees to rapidly meet changing needs from the environment.
ANS: B
61. The consistency culture has a(n) ____ focus and an orientation for a ____ environment.
ANS: C
62. The corporate culture:
ANS: C
63. Which of these statements about culture is FALSE?
ANS: D
64. A high-performance culture is based on all of the following except:
ANS: E
65. In a study by Kotter and Haskett evidence is provided to support the claim that ____ is important for performance.
ANS: A
66. A cultural leader:
ANS: B
NAT: AACSB Analytic | Individual Dynamics 67. A cultural leader would NOT:
ANS: D
NAT: AACSB Analytic | Individual Dynamics Scenario TopPick Cards, Inc. At TopPick Cards, Inc. (TCI), new employees are typically young, recent college graduates. Each employee enters a specific area in the company, such as finance or marketing, and spends his or her career in that area in order to develop a high level of expertise in it. Directory: economie -> Management-Exams Management-Exams -> History of Management true/false economie -> Ch14 Poverty Economic Inequality Multiple Choice Questions 1 Management-Exams -> Management Information Systems How Businesses Use Information Systems economie -> Ch28 Monetary Policy and Bank Regulation Multiple Choice Questions 1 economie -> The Basic Theory Using Demand and Supply economie -> Ch34 Globalization and Protectionism Multiple Choice Questions 1 economie -> Ch13 Positive Externalities Public Goods Multiple Choice Questions 1 economie -> Chapter 5 Market Power Does It Help or Hurt the Economy? What's in This Chapter and Why Download 358.48 Kb. Share with your friends:
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