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BOEING CHAPTER TWO - TEST BANK EXAM QUESTIONS WITH COMPLETE SOLUTIONS

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BOEING CHAPTER TWO - TEST BANK EXAM QUESTIONS WITH COMPLETE SOLUTIONS

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BOEING CHAPTER TWO - TEST BANK
EXAM QUESTIONS WITH COMPLETE
SOLUTIONS
The fundamental purpose of an organization's mission statement is to:

a.create a good human relations climate in the organization
b.define the organization's purpose in society
c.define the operational structure of the organization
d.generate good public relations for the organization
e.define the functional areas required by the organization - ANSWER-b.define the
organization's purpose in society

Which of the following is true?

a.Corporate mission is shaped by functional strategies.
b.Corporate strategy is shaped by functional strategies.
c.Functional strategies are shaped by corporate strategy.
d.External conditions are shaped by corporate mission.
e.Functional area missions are merged to become the organizational mission. -
ANSWER-c.Functional strategies are shaped by corporate strategy.

According to the authors, which of the following strategic concepts allow firms to
achieve their missions?

a.productivity, efficiency, and quality leadership
b.differentiation, cost leadership, and quick response
c.differentiation, quality leadership, and quick response
d.distinctive competency, cost leadership, and experience
e.differentiation, distinctive competency, quality leadership, and capacity - ANSWER-
b.differentiation, cost leadership, and quick response

A firm can effectively use its operations function to yield competitive advantage via
all of the following except:

a.customization of the product
b.setting equipment utilization goals below the industry average
c.speed of delivery
d.constant innovation of new products
e.maintain a variety of product options - ANSWER-b.setting equipment utilization
goals below the industry average

Which of the following represent reasons for globalizing operations?

a.to gain improvements in the supply chain
b.to improve operations
c.to expand a product's life cycle

, d.to attract and retain global talent
e.All of the above are valid. - ANSWER-e.All of the above are valid.

Which of the following does not represent reasons for globalizing operations?

a.reduce costs
b.improve supply chain
c.reduce responsiveness
d.attract and retain global talent
e.All of the above are valid reasons for globalizing operations. - ANSWER-c.reduce
responsiveness

NAFTA seeks to:

a.substitute cheap labor in Mexico for expensive labor in the United States
b.curb illegal immigration from Mexico to the United States
c.phase out all trade and tariff barriers between the United States and Mexico
d.phase out all trade and tariff barriers between the United States, Canada, and
Mexico
e.All of the above are NAFTA goals. - ANSWER-d.phase out all trade and tariff
barriers between the United States, Canada, and Mexico

With reference to cultural and ethical issues, the World Trade Organization has:

a.succeeded in providing equal protection of intellectual property among nations
b.made progress in providing equal protection of intellectual property among nations
c.phased out all trade and tariff barriers between the United States and Mexico
d.eliminated slave labor and child labor
e.played little role in addressing cultural and ethical issues among nations -
ANSWER-b.made progress in providing equal protection of intellectual property
among nations

Which of the following is true about business strategies?

a.An organization should stick with its strategy for the life of the business.
b.All firms within an industry will adopt the same strategy.
c.Well defined missions make strategy development much easier.
d.Strategies are formulated independently of SWOT analysis.
e.Organizational strategies depend on operations strategies. - ANSWER-c.Well
defined missions make strategy development much easier.

Which of the following activities takes place once the mission has been developed?

a.The firm develops alternative or back-up missions in case the original mission fails.
b.The functional areas develop their functional area strategies.
c.The functional areas develop their supporting missions.
d.The ten OM decision areas are prioritized.
e.Operational tactics are developed. - ANSWER-c.The functional areas develop their
supporting missions.

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