ARE 112 Midterm 1 Questions and Answers 100% Correct!!

bounded rationality -ANSWER- A set of BOUNDARIES or CONSTRAINTS that tend to complicate the rational decision-making process transaction costs -ANSWER- the expenses of negotiating and executing a deal (the cost of completing a sale/purchase) cost of uncertainty -ANSWER- chance that price of an asset will change; unstable stocks or bonds incomplete contracts -ANSWER- When a consumer or seller is not able to maximize the benefits of a transaction because they are not aware of all the factors or not able to understand all the factor surrounding the transaction mother city -ANSWER- Caral- Built up other civilizations through trading, etc.; cooperative model v competitive model. Satisficing -ANSWER- choosing a "good enough" alternative; compare w/ optimizing Optimizing -ANSWER- achieving the best possible balance among several goals Genghis Khan -ANSWER- _________'s management style: keep only the best people; promote by ability not rank; mission-driven (as opposed to personality-driven) wild west -ANSWER- ______ management style: no history, success supplants survival, opportunity-driven--start ups market -ANSWER- a circus is run by ringmaster who sets the pace for an organization; everyone knows their job; it is a ________- driven organization; everyone knows what they're supposed to do; everyone has a job Classical Management -ANSWER- studies the way work is organized and the procedures used to complete a job in order to increase worker productivity Scientific Management, Taylorism -ANSWER- a management theory using efficiency experts to examine each work operations and find ways to minimize the time needed to complete it; design jobs with standards leading to efficiency; Select workers to fit the job design; Train works to follow the design; aka ______ Bureaucracy, Max Weber -ANSWER- logic, order, and legitimate authority; not based on social standing; formal rules, impersonality; popularized by _______ administration -ANSWER- Henry Fayol popularized the idea of ______ of the firm; planning, organization, command, coordination, control Anthony's Management Hierarchy -ANSWER- strategic planning (executives), management control (managers), operational control (supervisors), organizational members (workers) Maslow's Hierarchy of Needs -ANSWER- physiological, safety, love/belonging, esteem, self-actualization