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A company uses ________ when it acts on its own to change some aspect of its current environment.


A) smoothing
B) buffering
C) independent strategies
D) flexible processes
E) competitive intelligence

F) A) and D)
G) C) and E)

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________ are the underlying qualities and desirable behaviors that are important to an organization.


A) Traits
B) Ethics
C) Norms
D) Benchmarks
E) Values

F) A) and B)
G) None of the above

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SurTran Inc. is an 80-year-old transportation company headquartered in St. Louis. SurTran ships goods via truck and train throughout the United States. Its general operations manager, Raul Sosa, has grown up in the business and knows that Surtran is a highly complex business with 100 facilities and 2,000 staff in dozens of U.S. cities. But Raul knows that, at its core, SurTran is also a stable (nondynamic) business. As Raul is fond of saying, "As long as there are people in one place and their desired goods in another, there will always be a need for shipping! And that makes for a stable business." Nonetheless, Raul, like any other manager, deals with uncertainty on a daily basis, as do his four regional vice presidents located in Los Angeles, Houston, Chicago, and New York City. Due to SurTran's high complexity and high stability, what management style should Raul adopt to be successful in allowing his vice presidents to operate "in the field"?


A) "Address each problem or opportunity as a unique situation and make operational decisions in the field, through consultation with me or your managers as appropriate." (decentralized and organic approach, with mutual adjustment) .
B) "Hire good people with the right skills and train them to use our formal business work processes, and then make operational decisions in the field yourselves." (decentralized and bureaucratic approach, with standardized skills) .
C) "Our people will follow instructions as pre-defined by headquarters, and I will make operational decisions, including those in the field." (centralized and bureaucratic approach, with standardized work processes)
D) "I will handle each problem or opportunity as a unique situation, and I will make operational decisions, including those in the field, based upon my personal supervision of those involved." (centralized and organic approach, with direct supervision)
E) "I will address each problem or opportunity as a unique situation, and I will make operational decisions, including those in the field, after consulting with you and others as appropriate." (centralized and organic approach, with mutual adjustment)

F) B) and E)
G) A) and D)

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Discuss the clues utilized to diagnose a culture.

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________ is the process of sharing authority with employees to enhance their confidence in their ability to perform their jobs and contribute to an organization.


A) Empowerment
B) Licensing
C) Vetoing
D) Endorsement
E) Concurrence

F) A) and D)
G) A) and E)

Correct Answer

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The bonding attributes of a(n) ________ are flexibility, risk, and entrepreneur.


A) adhocracy
B) clan culture
C) hierarchical culture
D) market culture
E) concurrence

F) B) and E)
G) A) and C)

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________ is leveling normal fluctuations at the boundaries of an environment.


A) Smoothing
B) Buffering
C) Sifting
D) Flexing
E) Skirting

F) A) and C)
G) None of the above

Correct Answer

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Discuss the impact of immigration on the labor force of the United States.

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A factor that significantly influences t...

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In ________, supplies are created of excess resources in case of unpredictable needs.


A) hoarding
B) smoothing
C) yielding
D) flocking
E) buffering

F) A) and E)
G) C) and E)

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A company uses ________ when it acts on its own to change some aspect of its current environment.


A) strategic maneuvering
B) domain selection
C) buffering
D) independent action
E) endorsement

F) A) and B)
G) A) and D)

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If there are many barriers to entry, the threat of new entrants is greater.

A) True
B) False

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Your company has asked you to launch a new product campaign at a trade show. You have found that there are established competitors with many advantages, making it difficult to break into the market. However, you recommend displacing these competitors' business by


A) establishing an inefficient supply chain.
B) offering promotions and price breaks, intensive selling, and other tactics.
C) using competitors' brand identification.
D) increasing costs of production.
E) introducing the product at a higher price.

F) C) and D)
G) A) and E)

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________ are the components of an organization that can be seen and heard, such as office layout, dress, orientation, stories, and written material.


A) Incendiaries
B) Visible artifacts
C) Unconscious assumptions
D) Organizational divestitures
E) Apparitions

F) A) and E)
G) A) and C)

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________ is a common barrier to entry.


A) Distribution channels
B) Final consumers
C) Bargaining power of buyers
D) Demographics
E) Switching costs

F) None of the above
G) A) and C)

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A ________ is an intermediate consumer.


A) wholesaler
B) manufacturer's representative
C) distributor
D) retailer
E) broker

F) None of the above
G) A) and E)

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A university has just formed a board of trustees and invited 25 of its wealthiest alumni to join the board. Which of the following is being adopted by the university?


A) smoothing
B) cooptation
C) competitive intelligence
D) divestiture
E) scaffolding

F) C) and E)
G) C) and D)

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________ occurs when weaker companies are eliminated, and the strong companies survive.


A) Cannibalization
B) Downsizing
C) Scaffolding
D) Industry shakeout
E) Economic fluctuation

F) C) and E)
G) A) and E)

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To respond to their environment, managers and companies have a number of options, which can be grouped into three categories. Describe each of these categories.

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To respond to their environment, manager...

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________ is the degree of discontinuous change that occurs within the industry.


A) Complexity
B) Dynamism
C) Environmental uncertainty
D) Interconnectedness
E) Buffering

F) B) and D)
G) All of the above

Correct Answer

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Forecasts are most useful when the ________ will look radically different from the


A) past; future.
B) future; past.
C) present; future.
D) present; past.
E) future; present.

F) None of the above
G) C) and D)

Correct Answer

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