MAJOR FIELD TEST BUSINESS FINAL PAPER 2026/2027
QUESTIONS AND ANSWERS RATED A+
✔✔Strategic Management - ✔✔Set of decisions and actions used to implement
strategies that will provide a competitively superior fit between the organization and its
environment so as to achieve organizational goals.
✔✔Emotional Intelligence - ✔✔Ability to perceive and express emotion, assimilate
emotion in thought, understand and reason with emotion, and regulate emotion in
oneself and others.
✔✔Virtual Team - ✔✔A team made up of geographically or organizationally dispersed
members who share a common purpose and are linked primarily through advanced
information technologies.
✔✔Individualism - ✔✔Extent that people value independence and person uniqueness.
Individualists tend to value personal freedom, self-sufficiency, control over themselves,
being appreciated for unique qualities.
✔✔Collectivism - ✔✔Extent that people value duty to groups to which they belong, and
value group harmony. Collectivists tend to identify themselves by group membership
and value harmonious relationships with their members.
✔✔Power Distance - ✔✔Extent that people accept unequal distribution of power in a
society.
✔✔Attribution Theory - ✔✔Making inferences about the causes of an individuals
behavior. Examples:
Internal-failure due to self motivation
External- failure due mailly to factors beyond control: luck, resources
✔✔Fundamental Attribution Error - ✔✔Attributing own actions to external factors and
others actions to internal factors.
✔✔Self Serving Bias - ✔✔Attributing our successes to internal factors and our failures
to external factors.
✔✔Ethics - ✔✔Principals and standards that guide behavior within the business
community. Ethical or unethical behavior is often determined by the organizations
stakeholders.
✔✔Primary Stakeholders - ✔✔Those whose continued association is absolutely
necessary for a firms survival.
, Employees, customers, investors, government, etc.
✔✔Secondary Stakeholders - ✔✔Do not typically engage in transactions with a
company and thus are not essential for its survival.
Media, trade associations, special interest groups, community
✔✔Conflict of interest - ✔✔Exists when an individual must choose whether to advance
his or her own interests, those of the organization, or those of some other group.
✔✔Corporate Governance - ✔✔A general term relating to a formal system of
accountability, oversight, and control to limit unethical behavior in corporations.
✔✔Federal Sentencing Guidelines for Organizations - ✔✔Passed by congress in 1991
focused on guidelines for organizations; Exempts organizations from extreme penalties
based the unethical actions of individual employees.
✔✔Fraud - ✔✔Any purposeful communication that deceives, manipulates, or conceals
facts in order to create a false impression.
✔✔Moral Philosophy - ✔✔Refers in particular to the principles or rules that people use
to decide what is right or wrong.
✔✔Sarbanes Oxley Act - ✔✔Public Company Accounting Reform and Investor
Protection Act
Adopted by congress in 2002 to address the loss of corporate regulations necessary to
protect the public. Also to addresses the loss in confidence in financial reporting and
corporate ethics.
✔✔Dodd-Frank Act - ✔✔Wall Street Reform and Consumer Protection Act
Adopted by congress in 2010 to address financial stability of the United States by
improving accountability and transparency in the financial system, to end "too big to
fail", to protect the American taxpayer by ending bailouts, to protect consumers from
abusive financial services practices, and for other purposes.
✔✔Social Responsibility - ✔✔Refers to an organizations obligation to maximize its
positive impact on stakeholders and to minimize its negative impact.
✔✔Whistle-Blowing - ✔✔Exposing an employer's wrongdoing to individuals outside the
organization/company. Thee outsiders may be the media or government regulators.
QUESTIONS AND ANSWERS RATED A+
✔✔Strategic Management - ✔✔Set of decisions and actions used to implement
strategies that will provide a competitively superior fit between the organization and its
environment so as to achieve organizational goals.
✔✔Emotional Intelligence - ✔✔Ability to perceive and express emotion, assimilate
emotion in thought, understand and reason with emotion, and regulate emotion in
oneself and others.
✔✔Virtual Team - ✔✔A team made up of geographically or organizationally dispersed
members who share a common purpose and are linked primarily through advanced
information technologies.
✔✔Individualism - ✔✔Extent that people value independence and person uniqueness.
Individualists tend to value personal freedom, self-sufficiency, control over themselves,
being appreciated for unique qualities.
✔✔Collectivism - ✔✔Extent that people value duty to groups to which they belong, and
value group harmony. Collectivists tend to identify themselves by group membership
and value harmonious relationships with their members.
✔✔Power Distance - ✔✔Extent that people accept unequal distribution of power in a
society.
✔✔Attribution Theory - ✔✔Making inferences about the causes of an individuals
behavior. Examples:
Internal-failure due to self motivation
External- failure due mailly to factors beyond control: luck, resources
✔✔Fundamental Attribution Error - ✔✔Attributing own actions to external factors and
others actions to internal factors.
✔✔Self Serving Bias - ✔✔Attributing our successes to internal factors and our failures
to external factors.
✔✔Ethics - ✔✔Principals and standards that guide behavior within the business
community. Ethical or unethical behavior is often determined by the organizations
stakeholders.
✔✔Primary Stakeholders - ✔✔Those whose continued association is absolutely
necessary for a firms survival.
, Employees, customers, investors, government, etc.
✔✔Secondary Stakeholders - ✔✔Do not typically engage in transactions with a
company and thus are not essential for its survival.
Media, trade associations, special interest groups, community
✔✔Conflict of interest - ✔✔Exists when an individual must choose whether to advance
his or her own interests, those of the organization, or those of some other group.
✔✔Corporate Governance - ✔✔A general term relating to a formal system of
accountability, oversight, and control to limit unethical behavior in corporations.
✔✔Federal Sentencing Guidelines for Organizations - ✔✔Passed by congress in 1991
focused on guidelines for organizations; Exempts organizations from extreme penalties
based the unethical actions of individual employees.
✔✔Fraud - ✔✔Any purposeful communication that deceives, manipulates, or conceals
facts in order to create a false impression.
✔✔Moral Philosophy - ✔✔Refers in particular to the principles or rules that people use
to decide what is right or wrong.
✔✔Sarbanes Oxley Act - ✔✔Public Company Accounting Reform and Investor
Protection Act
Adopted by congress in 2002 to address the loss of corporate regulations necessary to
protect the public. Also to addresses the loss in confidence in financial reporting and
corporate ethics.
✔✔Dodd-Frank Act - ✔✔Wall Street Reform and Consumer Protection Act
Adopted by congress in 2010 to address financial stability of the United States by
improving accountability and transparency in the financial system, to end "too big to
fail", to protect the American taxpayer by ending bailouts, to protect consumers from
abusive financial services practices, and for other purposes.
✔✔Social Responsibility - ✔✔Refers to an organizations obligation to maximize its
positive impact on stakeholders and to minimize its negative impact.
✔✔Whistle-Blowing - ✔✔Exposing an employer's wrongdoing to individuals outside the
organization/company. Thee outsiders may be the media or government regulators.
