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MULTIPLE CHOICE

1. The environments in which businesses operate
are increasingly ____, requiring managers to be ready to react and respond to
even subtle environmental shifts.

a.

static

b.

universal

c.

constant

d.

dynamic

e.

traditional

2. ____ includes all elements existing outside
the boundary of the organization that have the potential to affect the
organization.

a.

Organizational environment

b.

Internal environment

c.

Task environment

d.

General environment

e.

Technological environment

3. ____ system draws resources from the external
environment and releases goods and services back to it.

a.

Production

b.

Closed

c.

Open

d.

Information

e.

Management

4. All of these are a part of an organization’s
task environment EXCEPT

a.

Customers

b.

Labor markets

c.

Competitors

d.

Employers

e.

Suppliers

5. Which of these is NOT a part of an
organization’s general environment?

a.

Technological

b.

Economic

c.

Competitors

d.

Legal-political

e.

Sociocultural

6. ____ is a part of Ford’s, the U.S. auto
manufacturer, task environment.

a.

Inflation rate

b.

Chrysler

c.

Securities and Exchange Commission
(SEC), a government regulating agency

d.

Amazon.com, an online bookseller

e.

Ford’s corporate culture

7. ____ is a part of an organization’s internal
environment.

a.

Its customers

b.

Its salespeople

c.

The consumer price index

d.

Its suppliers

e.

Its competitors

8. Molly Madison received “The Employee of
the Month” Award at Internal Workings Remodeling Service in April. Molly
would be considered a part of which of these for Internal Workings?

a.

General environment

b.

Task environment

c.

Economic environment

d.

Internal environment

e.

Political activity

9. The ____ of the external environment
represents events originating in foreign countries as well as opportunities for
American companies in other countries.

a.

National dimension

b.

Global dimension

c.

International dimension

d.

Japan’s dimension

e.

U.S. dimension

10. Scientific and technological advancements in a specific industry
as well as in society at large are included in which general environment
dimension?

a.

Sociocultural dimension

b.

Legal-political dimension

c.

Economic dimension

d.

Technological dimension

e.

Corporate culture dimension

11. Which dimension of the general environment represents the
demographic characteristics, norms, customs, and values of the population
within which the organization operates?

a.

Legal-political dimension

b.

Economic dimension

c.

Technological dimension

d.

Corporate culture dimension

e.

Sociocultural dimension

12. When Miami Herald launches a Spanish-language newspaper, El
Nuevo Herald, with articles emphasizing Hispanic, Cuban, and Latin American
news and sports, it is responding to changes in ____ environment.

a.

sociocultural

b.

technological

c.

economic

d.

competitors

e.

suppliers

13. ____ environment consists of demographic factors, such as
population density.

a.

Technological

b.

Sociocultural

c.

Legal-political

d.

Internal

e.

Economic

14. Anyone considering doing business in China, according to Spotlight
on Skills in Chapter 2, should keep in mind all of the following rules except:

a.

Business is always personal

b.

Don’t skip the small talk

c.

Remember that relationships are not
short-term

d.

Be efficient with use of time

e.

Make contact frequently

15. Which of the following rules, according to Spotlight on Skills in
Chapter 2, is about forging an emotional bond?

a.

Don’t skip the small talk

b.

Business is always personal

c.

Remember that relationships are not
short-term

d.

Make contact frequently

e.

Be efficient with use of time

16. Lying at the heart of Chinese culture, ____ is a supportive,
mutually beneficial connection between two people.

a.

kaizen

b.

ganqing

c.

renqing

d.

kansei

e.

guanxi

17. The general environment dimension that includes consumer
purchasing power, the unemployment rate, and interest rates is called the

a.

legal-political dimension.

b.

sociocultural dimension.

c.

technological dimension.

d.

economic dimension.

e.

task dimension.

18. A government inspection has required your company to upgrade the
safety equipment in the manufacturing process of ice creamery. What dimension
of the external environment has influenced these upgrades?

a.

Technological

b.

Legal-political

c.

Task

d.

Sociocultural

e.

Economic

19. The ____ dimension of the general environment includes federal,
state, and local government regulations.

a.

technological

b.

legal-political

c.

economic

d.

sociocultural

e.

international

20. An interest group that works within the legal-political framework
to influence companies to behave in socially responsible ways is called a(n)

a.

pressure group.

b.

legal group.

c.

political influence group.

d.

social group.

zze.

none of these.

21. Which of the following dimensions of the general environment
includes all elements that occur naturally on earth?

a.

Sociocultural dimension

b.

Technological dimension

c.

Economic dimension

d.

Natural dimension

e.

Environmental dimension

22. The people and organizations in the environment who acquire goods
or services from the organization are

a.

competitors.

b.

suppliers.

c.

customers.

d.

employees.

e.

potential employees.

23. Integrated Computers, Inc. wants to compile a profile of the
customer it will target in its next promotional mailing. What environment would
this be found in?

a.

Internal environment

b.

Task environment

c.

Work environment

d.

General environment

e.

None of these

24. For Southwest Airlines, all of the following can be suppliers
EXCEPT

a.

Exxon (providing jet fuel).

b.

Citibank (providing finances).

c.

Delta Airlines (providing
competition).

d.

Boeing (providing planes).

e.

All of these are suppliers for
Southwest Airlines.

25. ____ is(are) included in an organization’s task environment.

a.

Suppliers

b.

Accounting procedures

c.

Technology

d.

Government

e.

Demographic characteristics

26. The ____ represents people in the environment who can be hired to
work for the organization.

a.

competitors

b.

labor market

c.

suppliers

d.

customers

e.

government

27. Ally’s Applesauce is in the process of hiring sixty new workers.
The personnel department has a large pool of unskilled labor to draw from due
to the high unemployment rate in the local area. Which dimension of the
external environment is involved here?

a.

Sociocultural

b.

Competitors

c.

Technological

d.

Labor market

e.

Legal-political

28. The internal environment within which managers work includes all
of the following EXCEPT

a.

corporate culture

b.

production technology

c.

organization structure

d.

physical facilities

e.

labor market

29. Which of the following roles are assumed by people and/or
departments that link and coordinate the organization with key elements in the
external environment?

a.

Figurehead

b.

Liaison

c.

Boundary-spanning

d.

Disturbance handler

e.

Leader

30. Which of the following is NOT a part of adapting the organization
to changes in the environment for coping with high environmental uncertainty?

a.

Boundary-spanning roles

b.

Advertising/public relations

c.

Mergers/joint ventures

d.

Interorganizational partnerships

e.

All of these are a part of
organizational response in adapting the organization to changes in the environment.

31. Based on the notion that organizations are dealing with a very
turbulent and uncertain external environment, more organizations are requiring
____ to perform boundary-spanning activities.

a.

top leaders

b.

middle managers

c.

line managers

d.

all employees

e.

suppliers

32. Many organizations are adapting to the environment by developing
more of a(n) ____ relationship rather than a(n) ____ relationship with
competitors.

a.

adversarial, partnership

b.

partnership, adversarial

c.

strategic, competitive

d.

competitive, strategic

e.

none of these

33. When two or more organizations combine to become one, it is
referred to as a

a.

joint venture.

b.

flexible structure.

c.

mechanistic structure.

d.

merger.

e.

inorganic venture.

34. Culture can be defined as

a.

the set of key values, beliefs,
understandings, and norms shared by members of an organization

b.

the ability to speak different
languages

c.

an object, act, or event that conveys
meaning to others

d.

a narrative based on true events that
is repeated frequently and shared by organizational employees

e.

none of these

35. The level of corporate culture which cannot be seen but can be
discerned from how people explain and justify what they do is

a.

Invisible artifacts

b.

Expressed values and beliefs

c.

Slogans and ceremonies

d.

Dress and office layout

e.

None of these

36. The level of corporate culture in which values are so deeply
embedded that members are no longer consciously aware of them is

a.

Invisible artifacts

b.

Expressed values and beliefs

c.

Underlying assumptions and deep
beliefs

d.

Dress and office layout

e.

Slogans and ceremonies

37. ____ are associated with surface level of organizational culture.

a.

Values

b.

Norms

c.

Manners of dress

d.

Beliefs

e.

All of these

38. Which of the following would be considered a visual
representation(s) of a company’s corporate culture?

a.

All department heads have an executive
office.

b.

Each department has an award plaque
for employee of the month.

c.

All employees are dressed in
professional business attire.

d.

Top level executives drive company
owned sports car.

e.

All of these.

39. An object, act, or event that conveys meaning to others is
referred to as a

a.

symbol.

b.

slogan.

c.

story.

d.

hero.

e.

culture.

40. Symbols, stories, and heroes are important because they

a.

entertain executive level management.

b.

address the concerns of government.

c.

acquaint customers to the
organization.

d.

communicate the significant values of
an organization.

e.

give employees something to talk
about.

41. ____ is a narrative based on true event that is repeated
frequently and shared by organizational employees.

a.

Symbol

b.

Slogan

c.

Story

d.

Hero

e.

Culture

42. A figure who exemplifies the deeds, character, and attributes of a
corporate culture is referred to as a

a.

symbol.

b.

story.

c.

slogan.

d.

hero.

e.

culture.

43. Heroes are important to an organization due to the fact that they

a.

exemplify key values of the
organization.

b.

exemplify a strong corporate culture.

c.

serve as examples to other employees.

d.

all of these.

e.

none of these.

44. A ____ represents a phrase or sentence that succinctly expresses a
key corporate value.

a.

symbol

b.

story

c.

culture

d.

hero

e.

slogan

45. McDonald’s “We Love to See You Smile” represents a

a.

ceremony.

b.

symbol.

c.

ritual.

d.

slogan.

e.

political activity.

46. “Chiquita. Perfect for Life.” was Chiquita’s

a.

ceremony.

b.

slogan.

c.

symbol.

d.

ritual.

e.

all of these.

47. If a company emphasizes that “no purchase is complete until
the customer is satisfied,” then it’s

a.

utilizing a symbol.

b.

communicating its values to customers.

c.

using a slogan to present their values
to customers and employees.

d.

utilizing a hero for the purpose of
conveying values.

e.

using customers to harass the
employees.

48. Culture tends to differ between ____, but appears similar within
____.

a.

organizations, industries

b.

people, organizations

c.

groups, industries

d.

organizations, groups

e.

industries, geographical regions

49. All of the following are types of corporate cultures except

a.

adaptability culture.

b.

clan culture.

c.

consistency culture.

d.

involvement culture.

e.

achievement culture.

50. The adaptability culture emerges in an environment that requires
____ response and ____ decision making.

a.

fast; high-risk

b.

fast; low-risk

c.

slow; high-risk

d.

slow; low-risk

e.

regulated; low-risk

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