Managing in the Global Environment

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Which of the following is NOT a component of the general environment that affects an organization?

Suppliers

Which of the following is a potential challenge when dealing with suppliers?

Material shortages

Global outsourcing refers to the purchase of inputs from foreign suppliers or the production of inputs abroad in order to:

Lower production costs and improve product quality or design

Distributors are organizations that help other organizations sell their goods or services to customers. Powerful distributors can limit access to markets through their control of:

Customers

Customers are individuals and groups that buy the goods and services that an organization produces. Identifying an organization's main customers and producing the goods and services they want is crucial to:

Organizational success

Barriers to entry refer to factors that make it difficult and costly for an organization to enter a particular task environment or industry. Which of the following is NOT a barrier to entry?

Low prices

Which of the following is NOT one of the learning objectives mentioned in Chapter Four?

Explain why the global environment is becoming more open and competitive and identify the forces behind the process of globalization that increase the opportunities, complexities, challenges, and threats that managers face

What is the global environment?

A set of global forces that operate and compete in more than one country

Which learning objective focuses on the challenges presented by the main forces in a global task and general environments?

LO3

What does the task environment refer to?

A set of forces and conditions that originate with suppliers, distributors, customers, and competitors

Why is it important for managers to be sensitive to the effects of falling trade barriers and regional trade associations?

To be aware of the impact on political and social aspects

What is the main focus of Learning Objective 4?

Explain why the global environment is becoming more open and competitive and identify the forces behind the process of globalization that increase the opportunities, complexities, challenges, and threats that managers face

Which one of the following is an example of demographic forces?

Aging of populations

Which one of the following is an outcome of changes in laws and regulations?

Deregulation of industries

What is the process of integrating and connecting economic, political, and social systems across countries called?

Globalization

What does the term 'tariff' refer to?

A tax imposed on imported goods

What does the term 'values' refer to in the context of national culture?

Ideas about what is good, desirable and beautiful

What do 'folkways' refer to in the context of norms?

Routine social conventions of everyday life

What does the term 'individualism' mean in Hofstede's model of national culture?

A worldview that values individual freedom and self-expression

What does the term 'power distance' refer to in Hofstede's model of national culture?

The degree to which societies accept inequalities in power and well-being

True or false: Management involves the planning, organizing, leading, and controlling of resources to achieve organizational goals effectively and efficiently?

True

True or false: Efficiency is a measure of how productively resources are used to achieve a goal?

True

True or false: Effectiveness is a measure of the appropriateness of the goals an organization is pursuing and how they achieve those goals?

True

True or false: The main goal of a manager is to achieve high organizational performance by using available resources efficiently and effectively?

True

True or false: The study of management helps individuals understand the dynamic and complex nature of work and make ethical and effective decisions for an organization?

True

True or false: Understanding management helps the manager's employer succeed?

True

True or false: Learning management principles can only help you make good decisions in work situations.

False

True or false: The four tasks of management are planning, organizing, leading, and controlling.

True

True or false: Organizational structure refers to the formal system of task and reporting relationships within an organization.

True

True or false: Leading involves articulating a clear vision and motivating organizational members to achieve goals.

True

True or false: Evaluating how well an organization is achieving its goals is part of the controlling function of management.

True

True or false: Conceptual skills refer to the job-specific knowledge and techniques required to perform an organizational role.

False

Utilizing new information technology (IT) is not an important challenge for managers.

False

IT has enabled individual employees and self-managed teams by providing them with more information and allowing for virtual interactions.

True

Fredrick W. Taylor is the founder of scientific management.

True

Scientific Management is the systematic study of relationships between people and tasks to increase efficiency.

True

Max Weber developed the principles of bureaucracy during Germany's industrial revolution.

True

Mary Parker Follet is known as the mother of management thought.

True

Douglas McGregor's Theory X assumes that workers will do what is best for an organization if given the proper work setting, opportunity, and encouragement.

False

The Hawthorne Studies and Human Relations studied the effects of work setting characteristics.

True

Match the following Big Five Personality Traits with their descriptions:

Extraversion = Tendency to experience positive emotions and be sociable Negative Affectivity = Tendency to experience negative emotions and be critical of oneself and others Agreeableness = Tendency to get along well with others and be likable Conscientiousness = Tendency to be careful, organized, and self-disciplined

Match the following Other Personality Traits with their descriptions:

Internal locus of control = Tendency to locate responsibility for one’s fate within oneself External locus of control = Tendency to locate responsibility for one’s fate in outside forces Self-Esteem = The degree to which people feel good about themselves and their capabilities Need for Achievement = The extent to which an individual has a strong desire to perform challenging tasks well

Match the following Values, Attitudes, and Moods and Emotions concepts with their definitions:

Values = Describe what managers try to achieve through work and how they think they should behave Attitudes = Capture managers’ thoughts and feelings about their specific jobs and organizations Moods and Emotions = Encompass how managers actually feel when they are managing Value System = The terminal and instrumental values that are guiding principles in an individual’s life

Match the following Attitudes concepts with their definitions:

Attitudes = A collection of feelings and beliefs Job Satisfaction = A collection of feelings and beliefs that managers have about their current jobs Terminal Values = A lifelong goal or objective that an individual seeks to achieve Instrumental Values = A mode of conduct that an individual seeks to follow

Match the following Learning Objectives with their descriptions:

Learning Objective 1 = Understanding the dynamic and complex nature of work and organizations Learning Objective 2 = Learning how to make ethical and effective decisions for an organization Learning Objective 3 = Understanding the challenges presented by the main forces in a global task and general environments Learning Objective 4 = Learning how to establish and maintain high-performance work practices

Match the following individuals with their contributions to management thought:

Douglas McGregor = Developed Theory X and Theory Y Max Weber = Developed the principles of bureaucracy Mary Parker Follet = Known as the mother of management thought Fredrick W. Taylor = Founder of scientific management

Match the following learning objectives from the text with their descriptions:

LO1 = Describing the various personality traits that affect how managers think, feel, and behave LO2 = Explaining what values and attitudes are and describing their impact on managerial action LO3 = Appreciating how moods and emotions influence all members of an organization LO4 = Describing the nature of emotional intelligence and its role in management

Match the following terms from the text with their definitions:

Personality Traits = Enduring tendencies to feel, think, and act in certain ways that can be used to describe the personality of every individual Values = Enduring beliefs that a specific mode of conduct or end-state of existence is personally or socially preferable Emotional Intelligence = The ability to understand and manage one's own emotions and the emotions of others Organizational Culture = A system of shared assumptions, values, and beliefs that governs how people behave in organizations

Match the following individuals with their roles in the context of the text:

Ms. Rachelle Oliver = Instructor Arnold W. CEO of Carnival Corporation = Manager Donald = Manager Fredrick W. Taylor = Founder of scientific management

Match the following terms with their definitions:

Efficiency = A measure of how productively resources are used to achieve a goal Effectiveness = A measure of the appropriateness of the goals an organization is pursuing and how they achieve those goals Individualism = The degree to which a society believes that individuals should be self-sufficient Power Distance = The extent to which the less powerful members of organizations and institutions accept and expect that power is distributed unequally

Match the following individuals with their contributions to management:

Mary Parker Follet = Known as the mother of management thought Max Weber = Developed the principles of bureaucracy Douglas McGregor = Theory X assumes that workers will do what is best for an organization if given the proper work setting, opportunity, and encouragement Fredrick W. Taylor = Founder of scientific management

Match the following terms with their descriptions:

Managerial Action = The behavior of managers, which includes planning, organizing, leading, and controlling Organizational Performance = A measure of how efficiently and effectively managers use available resources to satisfy customers and achieve organizational goals Task Environment = The set of forces and conditions that originate with suppliers, distributors, customers, and competitors and affect an organization's ability to obtain inputs and dispose of its outputs General Environment = The wide-ranging economic, technological, sociocultural, demographic, political, and legal forces that affect an organization and its task environment

Match the following terms with their definitions:

Organizational Citizenship Behaviors = Behaviors that are not required but contribute to organizational efficiency Mood = A feeling or state of mind Emotional Intelligence = The ability to understand and manage one’s own and other people's emotions Organizational Culture = Shared set of beliefs, expectations, values, norms, and work routines that influence how members of an organization relate to one another

Match the following organizational culture concepts with their descriptions:

Attraction-Selection-Attrition Framework = Explains how personality may influence organizational culture Ceremonies and Rites = Formal events that recognize incidents of importance to the organization Rites of passage = Determine how individuals enter, advance within, or leave the organization Stories and Language = Used to communicate organizational culture

Match the following terms to their definitions:

Organizational Commitment = The collection of feelings and beliefs that managers have about their organization Emotion = Intense, relatively short-lived feelings Organizational socialization = Process by which newcomers learn an organization’s values and norms Rites of integration = Build and reinforce common bonds among organizational members

Match the following concepts to their descriptions:

Organizational Efficiency = The ability to accomplish a task using the fewest resources Organizational Effectiveness = The degree to which an organization achieves its goals Values and Norms = Key components of organizational culture Figurehead, Leader, and Liaison = Interpersonal roles of managers that are supported by emotional intelligence

Match the following terms with their definitions:

Organizational Members = People who work for an organization Organizational Goals = The desired outcomes or targets that an organization strives to achieve Organizational Values = Beliefs and principles that guide the behavior of individuals within an organization Organizational Norms = Shared expectations about appropriate behavior in an organization

Match the following concepts to their descriptions:

Organizational Efficiency = A measure of how effectively an organization uses its resources to achieve its goals Organizational Effectiveness = The ability of an organization to achieve its goals Organizational Culture = A system of shared assumptions, values, and beliefs that governs how people behave in organizations Emotional Intelligence = The ability to recognize, understand, and manage our own emotions and the emotions of others

Match the following terms to their definitions:

Organizational Culture = A system of shared meaning held by members that distinguishes the organization from other organizations Mood = A relatively mild feeling or state Emotion = An intense, relatively short-lived feeling Emotional Intelligence = The ability to recognize and manage emotions in ourselves and in others

Match the following concepts to their descriptions:

Organizational Citizenship Behaviors = Voluntary behaviors that are not part of an employee's formal job requirements, but that contribute to the organization Mood = A feeling or state of mind Emotion = An intense, relatively short-lived feeling Emotional Intelligence = The ability to recognize, understand, and manage our own emotions and the emotions of others

Which stakeholder group is considered the most critical for a company's success?

Customers

What is the term used to describe the invisible barriers that prevent minorities and women from being promoted to top corporate positions?

Glass ceiling

What is the main focus of ethical decision making?

Behaving ethically

What is the term used to describe differences among people in age, gender, race, ethnicity, religion, sexual orientation, socioeconomic background, and capabilities/disabilities?

Diversity

What is the role of managers in creating ethical organizational cultures?

Ensure important ethical values and norms are key features of an organization's culture

What is the term used to describe the physical locations or social milieus in which companies are located and which provide them with the physical and social infrastructure to operate?

Community, society, and nation

Which of the following is NOT a step to eradicate sexual harassment according to the text?

Take corrective action as soon as possible when sexual harassment has taken place

What is the term for asking or forcing an employee to perform sexual favors in exchange for some reward or to avoid negative consequences?

Quid pro quo

What is the term for telling lewd jokes, displaying pornography, making sexually oriented remarks about someone’s personal appearance, and other sex-related actions that make the work environment unpleasant?

Hostile work environment

What is the term for widening diversity in income levels, single mothers and the 'working poor,' and child and elder care for working parents?

Socioeconomic background

What is the term for employment and workplace discrimination, and provision of domestic-partner benefits?

Sexual orientation

What is the term for managers having more influence than rank-and-file employees, and when managers commit to diversity, it legitimizes diversity efforts of others?

Critical managerial roles

What percentage of corporate officer positions do women hold according to the text?

16%

Which of the following is NOT a capability or disability issue mentioned in the text?

Widening diversity in income levels

Which one of the following is NOT a learning objective mentioned in Chapter Three?

Understand the two major forms of sexual harassment and how they can be eliminated

What is the main focus of Learning Objective 4?

Grasp the central role that managers play in the effective management of diversity

What does the term 'values' refer to in the context of ethics?

The inner-guiding moral principles, values, and beliefs that people use to analyze or interpret a situation and then decide what is the “right” or appropriate way to behave

What does the term 'ethical dilemma' refer to?

The quandary people find themselves in when they have to decide if they should act in a way that might help another person even though doing so might go against their own self-interest

Who are stakeholders in a company?

The people and groups that supply a company with its productive resources and so have a claim on and stake in the company

What are the two major forms of sexual harassment?

Quid pro quo and hostile work environment

True or false: Planning is important for organizations like Cable Bahamas.

True

True or false: Cable Bahamas entered the Internet and Telephone Services through diversification.

True

True or false: Cable Bahamas differentiates its services from its competitors.

True

True or false: The planning process involves identifying and selecting appropriate goals and courses of action.

True

True or false: Strategy refers to a cluster of decisions about what goals to pursue and how to use resources to achieve those goals.

True

True or false: A mission statement identifies an organization's purpose and distinguishes it from its competitors.

True

True or false: Planning is necessary to give the organization a sense of direction and purpose.

True

True or false: A plan helps coordinate managers of different functions and divisions of an organization to ensure they all work towards the same goals.

True

True or false: Corporate-Level Strategy indicates in which industries and national markets an organization intends to compete.

True

True or false: Business-Level Plan pertains to divisional managers' decisions about long-term goals and overall strategy.

True

True or false: Functional-Level Plan pertains to functional managers' decisions about the goals they propose to pursue within a division.

True

True or false: Standing Plans are developed for one-time, nonprogrammed issues.

False

A low-cost strategy involves driving the organization's total costs down below the total costs of rivals.

True

A differentiation strategy involves distinguishing an organization's products from competitors based on dimensions such as product design, quality, or after-sales service.

True

Attempting to simultaneously pursue both a low-cost strategy and a differentiation strategy is known as being 'stuck in the middle'.

True

A focused low-cost strategy involves serving only one market segment and being the lowest-cost organization serving that segment.

True

A focused differentiation strategy involves serving only one market segment as the most differentiated organization serving that segment.

True

Concentration on a single industry involves reinvesting a company's profits to strengthen its competitive position in its current industry.

True

Vertical integration refers to expanding a company's operations either backward into an industry that produces inputs for its products or forward into an industry that uses, distributes, or sells its products.

True

Diversification involves expanding a company's business operations into a new industry in order to produce new kinds of valuable goods or services.

True

Which one of these is a measure of how efficiently and effectively managers use organizational resources to satisfy customers and achieve organizational goals?

Performance

What is the term for the process of identifying and selecting appropriate goals and courses of action?

Planning

What is the term for structuring working relationships in a way that allows organizational members to work together to achieve organizational goals?

Organizing

What is the term for evaluating how well an organization is achieving its goals and taking action to maintain or improve performance?

Controlling

What is the term for a group of people who work together and possess similar skills or use the same knowledge, tools, or techniques to perform their jobs?

Department

Which management skill is the ability to understand, alter, lead, and control the behavior of other individuals and groups?

Human

Which one of the following is NOT one of the four principal managerial tasks?

Controlling

What is the term for collections of people who work together and coordinate their actions to achieve a wide variety of goals?

Organizations

What are the three levels of management mentioned in the text?

Top, middle, and bottom

What are the three kinds of managerial skill mentioned in the text?

Technical, conceptual, and interpersonal

What are some major changes in management practices today that have occurred as a result of globalization and the use of advanced information technology (IT)?

Increased use of virtual interactions

What are some of the principal challenges managers face in today's increasingly competitive global environment?

Adapting to cultural diversity

Which of the following is a recent change in management practices?

Outsourcing

What is the definition of empowerment?

Expansion of employees' knowledge, tasks, and decision-making responsibilities

What is the definition of a self-managed team?

A group of employees who assume responsibility for organizing, controlling, and supervising their own activities

What is the definition of global organizations?

Organizations that operate and compete in more than one country

What is the definition of competitive advantage?

Ability of one organization to outperform other organizations because it produces desired goods or services more efficiently and effectively than they do

What is the process of creating new or improved goods and services called?

Innovation

What is the main focus of management in a global environment?

Building a competitive advantage

What is the main challenge for management in a global environment?

Maintaining ethical and socially responsible standards

Test your knowledge on managing in the global environment with this quiz. Learn about the importance of perceiving, interpreting, and responding to the organizational environment for managerial success. Differentiate between the global task and general environments and identify the main forces at play.

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