BUS 6600 Final Study Guide | Questions and Answers (Complete Solutions)

BUS 6600 Final Study Guide | Questions and Answers (Complete Solutions) Efforts are underway to serve the needs of a diverse population. Embracing diversity means a. meeting employment quotas so that diverse groups are always represented in your workforce. b. selling products to immigrants. c. dealing sensitively with workers and cultures around the world. d. providing government programs such as free health care for illegal and legal immigrants. __________ means producing items using the least amount of resources. a. Productivity b. Competence c. Technology d. Efficiency When we compare the factors of production in wealthy versus poor nations, we find a. wealthy nations have land and labor, while poor nations have capital and entrepreneurship. b. poor nations have plenty of land and knowledge, but very little labor. c. wealthy nations have knowledge and entrepreneurial opportunities, while poor nations are often lacking in these areas. d. poor and wealthy nations (both) have an abundance of knowledge; it is the land that varies, with rich nations always having more. The statistical study of human population to learn its size, density, and characteristics is called a. econometrics. b. demographics. c. psychographics. d. geometrics. In order to compete well and gain market share, contemporary businesses are changing to be more a. management-driven. b. customer-driven. c. production-driven. d. Cash-driven. Which statement is accurate about the Social Security system? a. It continues to burden businesses because businesses must provide and pay for this benefit for their employees. b. It is failing because the U.S. government failed to invest the money that employees contributed. c. It will continue to serve the needs of U.S. citizens into the distant future, because there are so few retirees placing a strain on it. d. It met the needs of our nation when it was first introduced, but needs an overhaul. The value of a firm's intellectual capital refers to a. the type and success of its financial strategies. b. its reputation in the marketplace. c. the average educational level of management. d. its employee's knowledge and skills. In countries where businesses are government owned, a. there is less incentive to work hard. b. profits tend to be higher. c. productivity tends to be highest. d. the right amount of each good is produced. What policies tend to favor business? a. minimal government spending because it keeps taxes to a minimum b. maximum government spending because it raises business profits c. more government services because it minimizes tax consequences d. increased regulation because it benefits stakeholders The total amount of money that businesses take in by selling goods and services is called a. revenue. b. loss. c. profit. d. retained earnings. The two major types of e-commerce are a. EDI and EDC. b. online and offline. c. B2B and B2C. d. wholesale and retail. Greening refers to a. the need for more carbon dioxide in our air. b. firms acquiring more greenbacks (U.S. dollars) from world trade. c. the agricultural industry's push to develop and produce new green vegetables to feed the world. d. finding ways to save energy and lessen the harm on our environment. One reason the CPI is monitored very closely by government, businesses, and workers is that a. the gross domestic product is computed from the reported increases in the CPI. b. it indicates whether we are running a budget surplus or a deficit. c. it is the best measure of worker productivity in the service sector. d. some wages, interest rates, tax rates, and government benefits are tied to changes in the value of the CPI. A __________ is a severe recession that is usually accompanied by deflation. a. retraction b. dissolution c. depression d. stagflation The freedom for people to buy, sell, and use land, buildings, machinery, and inventions are basic capitalist rights under a. freedom of choice. b. freedom of expression. c. the right to own private property. d. freedom of competition. A free market is one in which decisions about what to produce and in what quantities are made by a. the Fed. b. the president. c. Congress. d. the market. The four basic types of unemployment are frictional, structural, seasonal, and a. industrial. b. cyclical. c. traditional. d. procedural When prices are free to adjust over time, in the long run, the market price of a good tends to a. rise above the equilibrium price in the long run. b. have no specific relationship to the equilibrium price. c. equal the equilibrium price. d. fall below the equilibrium price in the long run. Efforts by the Federal Reserve Bank (the Fed) to control the money supply and interest rates are known as __________ policy. a. securities b. income c. monetary d. fiscal When the supply curve and demand curve for a particular good are shown together on a single graph, the point at which the two curves intersect identifies the a. total profit earned by producers. b. total amount of labor needed to produce the good. c. equilibrium price of the good. d. amount of time it takes to bring together the buyers and sellers of the good. Which statement about business cycles in the United States is most accurate? a. Long-term business cycles have only two phases—boom and bust. b. Seasonal business cycles occur within a year. c. Business cycles occur precisely every five years. d. Business cycles are impossible to identify. Which policy suggests Keynesian economic theory? a. proposing long-term solutions in order to create wider swings in the business cycle b. creating a national banking system that owns and operates most of the global and regional banks c. reducing government involvement in the free-market economy d. short-term increases in government spending to stimulate the economy As you are reading the online edition of your local newspaper, you quickly scan a report in the business section that says government spending will again exceed tax revenues in the current year. What does this mean for the economy? a. The rate of inflation is likely to fall. b. The national deficit is likely to decrease. c. The total national debt is likely to increase. d. The monetary policies pursued by the Fed need tightening. Which individual would tend to favor a socialist economy? a. Nico prefers to live in a country with low marginal tax rates. b. Lars prefers to live in a country with limited government regulation. c. Amber prefers to live in a country that promotes social equality. d. Tina prefers to live in a country that encourages rapid economic growth. One of the greatest concerns associated with capitalism is that a. some people may let greed guide their behavior. b. producers are unlikely to supply the goods and services that consumers value the most. c. it rarely creates wealth. d. there is little economic freedom for consumers. Which statement about effective leadership is the most accurate? a. The most effective leadership style depends on who is being led and in what situation. b. One trait of effective managers is that they consistently maintain the same style of leadership. c. Effective leaders have the same personality traits. d. The democratic style of leadership will almost always improve the effectiveness of the organization. A(n) __________ analysis is used to help companies evaluate their internal strengths and weaknesses, and develop an awareness of external threats and opportunities. a. PERT b. ASSET c. WISH d. SWOT A basic difference between goals and objectives is that goals are a. concerned with broad, long-term accomplishments, while objectives focus on specific short-term details. b. precise, while objectives are vague. c. set by tactical plans, while objectives are set by strategic plans. d. set by middle management, while objectives are set by first-line managers. Which goal best describes today's view of the organizing function? Organizing today focuses on a. achieving unified opinions from a diversified workforce. b. simplifying the process of measuring outcomes related to performance standards. c. designing the organization around the customer. d. developing the most efficient strategic plans for the firm. By completing the courses needed to obtain a college major in accounting, marketing, or some other field, a student can go a long way toward acquiring the __________ skills managers need to rise through the ranks of their area of specialization. a. autocratic b. delegation c. technical d. human relations Setting contingency plans in an organization is considered very important today mainly because a. the government can charge firms with unfair business practices if they do not have such plans. b. most employees and staff don't understand strategic planning, so they tend to rely more on contingency plans. c. managers have historically been poor tactical planners. d. conditions change rapidly in today's economic and competitive environments. __________ are specific, short-term, measurable results an organization wants to achieve in order to fulfill its long-term goals. a. Opportunity targets b. Objectives c. Directives d. Mission complements __________ planning determines the major goals of an organization and lays the foundation for obtaining and using resources to achieve those goals. a. Contingency b. Central c. Strategic d. Tactical What technique would a team of workers be most likely to use if they wanted to evaluate several possible solutions to a specific problem their company needs to solve? a. PMI b. social audit c. MBO d. PERT __________ means giving employees the authority and responsibility to respond quickly to customer requests. a. Directing b. Restructuring c. Empowerment d. Delineating The __________ style of leadership is characterized by making managerial decisions without consulting others. a. free-rein b. participative c. democratic d. autocratic The first step in controlling consists of a. establishing a clear chain of command. b. issuing orders and explaining routines. c. assigning workers to perform specific tasks. d. setting clear performance standards. The Hawthorne studies found that employees in the experimental group a. performed much better under bright lighting than they did when lighting was dim. b. performed poorly because they were distracted by all of the attention they received. c. were more creative when working individually than they were when working in teams. d. were more productive than other employees regardless of the level of lighting. Theory __________ assumes that the average person likes work and has a relatively high degree of imagination and creativity. a. Alpha b. A c. Y d. X Theory Y managers prefer a. letting employees set their own objectives. b. closely supervising their employees. c. exerting a strong degree of control over employees. d. motivating employees through fear. Reflecting upon the differences in Type J and Type A work environments, which statement is fundamental to Type J? a. Type J environments fiercely protect the individual rights of workers. b. Type J, unlike Type A, environments believe in more prompt and expeditious promotion for employees. c. Type J, unlike Type A, environments embrace consensual decision making and have a concern for the employee's life at work and outside of work. d. Type J environments are only concerned about the employee functions at work. __________ studies were designed to answer the question, "What creates enthusiasm for workers and make them work to full potential?" a. Douglas McGregor's b. Frederick Taylor's c. Frederick Herzberg's d. William Ouchi's According to Herzberg, the difference between motivators and hygiene factors is a. hygiene factors develop more loyalty from workers, while motivators make workers enthusiastic about moving on to a different company. b. hygiene factors make employees more enthusiastic about the work itself, whereas motivators make employees enthusiastic about their next day off. c. motivators cause persons to work smarter, while hygiene factors cause people to work harder. d. motivators relate to job content, while hygiene factors have little effect on employee motivation. __________ is the term William Ouchi used to refer to the management approach typically used by firms in the United States. a. Theory J b. Theory Z c. Type A d. Theory Q The practice of moving employees from one job to another to make work more interesting is called a. job incrementation. b. job rotation. c. job enlargement. d. task mobility. According to __________, the amount of effort employees devote to a task depends on their expectations of the outcome. a. Theory Z b. expectancy theory c. Theory J d. scientific management theory Equity judgments are based on a. quantifiable evidence. b. deductive reasoning. c. statistical extrapolation. d. people's perceptions. According to Maslow's hierarchy of needs theory, which of these issues reflects a lower-order need? a. The need for a promotion at work. b. The need for a challenging project at work. c. The need for a mentor to help you ascend within the company. d. The need to install security software on your work computer. As a group, Millennials tend to be a. inefficient, easily bored, and uncommitted. b. adaptable, tolerant, and tech-savvy. c. older and more mature than Gen Xers. d. less interested in technology than Baby Boomers. According to equity theory, what are employees most likely to ask? a. How hard is the task? b. If I accomplish the task, what's my reward? c. Is my boss too autocratic? d. If I do a good job, will it be worth it? Which statement best describes the current view of the role of human resource management within a firm? a. Changes in technology have largely done away with the need for a separate human resource department. b. Human resource management functions have become so important that in many firms all managers now perform them. c. Human resource management has become so complex that only highly trained specialists should make human resource decisions. d. Human resource management is largely a clerical function that involves keeping records, processing payroll, and making sure that federal regulations are met. The overall purpose of the five-step human resource planning process is to a. determine the number and types of employees needed by the firm. b. protect the company from lawsuits from employees who claim discrimination. c. develop a workforce that is better educated than the workforce of competitor firms. d. eliminate needless job specifications. Today, human resource management has become so important that in many firms it has become a. a function handled only by specialists in the human resource department. b. a function performed by managers in all areas of the organization. c. a function handled only by the firm's top management. d. the sole responsibility of the firm's legal staff. In coming years, high-tech growth areas such as computer technology, biotechnology, and robotics are likely to experience a a. surplus of labor. b. shortage of skilled labor. c. stable equilibrium in the labor market. d. significant decline in market demand, leading to a stagnant labor market. Job rotation helps lower-level managers prepare for higher-level positions by a. exposing them to different functions within the organization, thus giving them the broad perspective needed by top managers. b. helping them hone their highly specialized technical skills. c. giving them the opportunity to learn about every aspect of work performed in their department by spending a day doing the job of each person within the department. d. letting them assume upper management positions for a limited time period. A job __________ is a statement that identifies the objectives of a job, the type of work to be done, the responsibilities and duties that are associated with the job, the working conditions, and the relationship of the job to other functions. a. description b. specification c. analysis d. evaluation A reason workers tend to receive fewer promotions than in the past is that a. firms have found that promoting employees can create jealousy and resentment among the workers who are not promoted. b. the movement toward flatter organizational structures provides fewer opportunities to move upward. c. most firms now believe hiring people outside the organization is a better way to fill management positions because it brings in new blood. d. very few of today's supervisors and lower-level managers have the qualifications needed to move into higher management positions. According to U.S. business law, accommodation means a. making certain that if one employee gets medical leave during a fiscal year, that all other employees get an equal amount of leave during the year. b. treating all employees fairly. c. careful consideration before firing someone and hiring two younger persons to replace him/her. d. providing services for employees according to their specific needs. With the advent of more sophisticated technology, employers who operate globally and want all employees to receive the same training may opt for a. mentorship programs. b. job rotation programs. c. online training programs. d. apprenticeship programs. What is an essential element of a job description? a. the skills required to hold the position b. the minimum educational qualifications workers must have to fill the position c. the responsibilities and working conditions d. the age of the person that should hold the job The purpose of __________ is to increase an employee's ability to perform productively. a. job enrichment b. training and development c. contingency planning d. employment tests A disadvantage of flextime plans is that they often a. lead to a higher level of absenteeism. b. require supervisors and managers to work longer hours. c. cause worker morale to decline. d. confuse workers. Workers who are paid a __________ receive a fixed compensation weekly, biweekly, or monthly. a. royalty b. piece rate c. commission d. salary Comparable worth is primarily concerned with a. reducing the gap between pay for executives and the pay for nonmanagerial employees. b. ensuring equal pay for men and women who work for the same firm and have the same job title. c. ensuring equal pay for jobs requiring similar levels of skill, education, and training. d. determining whether men or women are better suited to perform various jobs. __________ is the process by which a union becomes recognized by the National Labor Relations Board as the bargaining agent for a group of employees. a. Accreditation b. Compensation c. Certification d. Arbitration When workers go on strike, management is often compelled to keep the business operation running. If it is unable to achieve this on its own, management may a. picket. b. close down the facility and permanently fire the strikers. c. hire strikebreakers. d. elect to proceed with a lockout. What is a characteristic of a union shop? a. Workers must belong to the union before the company can hire them. b. Workers are required to sign yellow-dog contracts. c. Workers who do not join the union must pay a union fee. d. Workers must join the union within a stipulated time period (usually 30, 60, or 90 days) in order to keep their jobs. Membership in the Knights of Labor was a. limited to skilled craftsmen. b. open to anyone willing to promote capitalism as the economic system most likely to lead to economic prosperity for the working men and women of the United States. c. open to all working people, including employers. d. limited to unskilled and semiskilled workers who belonged to industrial unions. Unions were originally formed a. to make certain that there were an equal number of nonmanagement and management-level employees within the company. b. to uphold the state and federal laws under which businesses operate. c. to seek worker corporate voting rights, the same as stockholders. d. to seek protection against unfair treatment. If public employees and their union representatives were prohibited by a vote in the state senate from negotiating with government officials on issues that affected their labor contracts, which rights would be directly affected? a. collective bargaining b. decertification c. yellow-dog contracting d. process negotiation The two major influences on the growth of unions in the United States were a. the agrarian economy and the Taft-Hartley Act. b. population growth and the agrarian economy. c. the Taft-Hartley Act and support of management. d. laws that supported unionizing and public opinion. Two of the most important tactics used by unions when collective bargaining efforts break down are a. injunctions and lockouts. b. strikes and boycotts. c. enforcement of right-to-work clauses and cooling-off periods. d. certification and yellow-dog contracts. The first federal minimum wage was established in 1938 by the a. Minimum Compensation Act. b. Pay Equity Act. c. Fair Labor Standards Act. d. Wagner Act.