Chapter 1: What Is Organizational Behavior?
TRUE/FALSE
1. In addition to better understanding yourself, organizational behavior can help you understand
why people and groups behave the way they do in organizations.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 4 NAT: BUSPROG: Communication STA: DISC: Individual
Dynamics
TOP: Introduction KEY: Bloom's: Application
2. Effective employees and managers understand that they need to be flexible in adapting to work
challenges.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 5 NAT: BUSPROG: Communication STA: DISC: Individual
Dynamics
TOP: Introduction KEY: Bloom's: Analysis
3. Organizational behavior skills should be applied flexibly.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 5 NAT: BUSPROG: Reflective Thinking STA: DISC: Leadership
Principles
TOP: Introduction KEY: Bloom's: Application
4. OB is an important topic for anyone who works or who will eventually work in an organization,
which means practically everyone.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 6 NAT: BUSPROG: Analytic STA: DISC: Individual
Dynamics
TOP: Why is OB Important? KEY: Bloom's: Application
5. An understanding of OB makes workers technically better in their area of specialty.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 6 NAT: BUSPROG: Analytic STA: DISC: Individual
Dynamics
TOP: Why is OB Important? KEY: Bloom's: Comprehension
6. When managers are surveyed ten to fifteen years out of school to identify the most important
classes they ever took, they rarely mention organizational behavior.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 6 NAT: BUSPROG: Reflective Thinking STA: DISC: Individual
Dynamics
TOP: Why is OB Important? KEY: Bloom's: Knowledge
, 7. A mounting body of evidence shows that an emphasis on the softer side of business positively
influences bottom line results.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 6 NAT: BUSPROG: Communication STA: DISC: HRM
TOP: Why is OB Important? KEY: Bloom's: Knowledge
8. Both individuals and organizations benefit from OB.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 6 NAT: BUSPROG: Communication STA: DISC: Leadership
Principles
TOP: Why is OB Important? KEY: Bloom's: Comprehension
9. The effective management of people is key to the creation of a competitive advantage and
business strategy execution.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 7 NAT: BUSPROG: Analytic STA: DISC: Group Dynamics
TOP: Why is OB Important? KEY: Bloom's: Comprehension
10. All organizations are able to create a competitive advantage.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 7 NAT: BUSPROG: Analytic STA: DISC: Leadership
Principles
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Knowledge
11. A better product that is worth a premium price or a good product at a lower price can both be a
source of competitive advantage.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 7 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Application
12. Companies may pursue more than one strategy at a particular time.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 8 NAT: BUSPROG: Communication
STA: DISC: Operations Management TOP: Gaining a Competitive Advantage Through
OB
KEY: Bloom's: Comprehension
13. Walmart is a good example of a firm pursuing a differentiation strategy.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 8 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Application
,14. Johnson & Johnson, Nike, and 3M are good examples of organizations whose competitive
advantage is based on product innovation.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 9 NAT: BUSPROG: Communication STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Application
15. Employees who need stability and predictability would not fit well in companies focused on
product innovation.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 10 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Evaluation
16. Successful businesses following a specialization strategy rarely enjoy a high degree of customer
loyalty.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 10 NAT: BUSPROG: Communication STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Knowledge
17. Starbucks is pursuing a specialization strategy.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 10 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Application
18. For companies pursuing a differentiation strategy, the frequent introduction of new products is
often a key to staying competitive.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 9 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's:
Comprehension
19. Mismatches between merged or acquired organizations can result in underperformance and the
loss of talented employees.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 11 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Application
20. Scientific management left no room for individual preferences or initiative, and was not always
accepted by workers.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 12 NAT: BUSPROG: Analytic STA: DISC: HRM
TOP: Where does OB come from? KEY: Bloom's: Knowledge
21. Americans probably have a less parochial perspective than people from other cultures.
, ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 15 NAT: BUSPROG: Reflective Thinking STA: DISC: Group Dynamics
TOP: Current OB Issues KEY: Bloom's: Evaluation
22. Societies such as the U.S., Sweden, and Germany have small variation in the distribution of
power across supervisors and employees while others such as Japan and Mexico have a large
power difference.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 15 NAT: BUSPROG: Diversity STA: DISC: Group Dynamics
TOP: Current OB Issues KEY: Bloom's: Knowledge
23. Older workers almost always embrace new technologies readily.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 17 NAT: BUSPROG: Diversity
STA: DISC: Operations Management TOP: Current OB Issues
KEY: Bloom's: Knowledge
24. Even though much of the research on organizational behavior has been done in the United States,
what is true for Americans working in the U.S. may not be true for anyone else, including non-
Americans working in the U.S.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 15 NAT: BUSPROG: Diversity STA: DISC: Individual
Dynamics
TOP: Current OB Issues KEY: Bloom's: Analysis
25. The U.S. workforce is expected to become less diverse in coming years.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 15 NAT: BUSPROG: Diversity STA: DISC: Group Dynamics
TOP: Current OB Issues KEY: Bloom's: Knowledge
26. Production technology can increase work group autonomy, decision making, and responsibility.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 17 NAT: BUSPROG: Technology STA: DISC: HRM
TOP: Current OB Issues KEY: Bloom's: Application
27. Most ethical dilemmas in the workplace are very simple, with obvious “right” answers.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 17 NAT: BUSPROG: Ethics
STA: DISC: Ethical Responsibilities TOP: Current OB Issues
KEY: Bloom's: Comprehension
TRUE/FALSE
1. In addition to better understanding yourself, organizational behavior can help you understand
why people and groups behave the way they do in organizations.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 4 NAT: BUSPROG: Communication STA: DISC: Individual
Dynamics
TOP: Introduction KEY: Bloom's: Application
2. Effective employees and managers understand that they need to be flexible in adapting to work
challenges.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 5 NAT: BUSPROG: Communication STA: DISC: Individual
Dynamics
TOP: Introduction KEY: Bloom's: Analysis
3. Organizational behavior skills should be applied flexibly.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 5 NAT: BUSPROG: Reflective Thinking STA: DISC: Leadership
Principles
TOP: Introduction KEY: Bloom's: Application
4. OB is an important topic for anyone who works or who will eventually work in an organization,
which means practically everyone.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 6 NAT: BUSPROG: Analytic STA: DISC: Individual
Dynamics
TOP: Why is OB Important? KEY: Bloom's: Application
5. An understanding of OB makes workers technically better in their area of specialty.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 6 NAT: BUSPROG: Analytic STA: DISC: Individual
Dynamics
TOP: Why is OB Important? KEY: Bloom's: Comprehension
6. When managers are surveyed ten to fifteen years out of school to identify the most important
classes they ever took, they rarely mention organizational behavior.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 6 NAT: BUSPROG: Reflective Thinking STA: DISC: Individual
Dynamics
TOP: Why is OB Important? KEY: Bloom's: Knowledge
, 7. A mounting body of evidence shows that an emphasis on the softer side of business positively
influences bottom line results.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 6 NAT: BUSPROG: Communication STA: DISC: HRM
TOP: Why is OB Important? KEY: Bloom's: Knowledge
8. Both individuals and organizations benefit from OB.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 6 NAT: BUSPROG: Communication STA: DISC: Leadership
Principles
TOP: Why is OB Important? KEY: Bloom's: Comprehension
9. The effective management of people is key to the creation of a competitive advantage and
business strategy execution.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 7 NAT: BUSPROG: Analytic STA: DISC: Group Dynamics
TOP: Why is OB Important? KEY: Bloom's: Comprehension
10. All organizations are able to create a competitive advantage.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 7 NAT: BUSPROG: Analytic STA: DISC: Leadership
Principles
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Knowledge
11. A better product that is worth a premium price or a good product at a lower price can both be a
source of competitive advantage.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 7 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Application
12. Companies may pursue more than one strategy at a particular time.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 8 NAT: BUSPROG: Communication
STA: DISC: Operations Management TOP: Gaining a Competitive Advantage Through
OB
KEY: Bloom's: Comprehension
13. Walmart is a good example of a firm pursuing a differentiation strategy.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 8 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Application
,14. Johnson & Johnson, Nike, and 3M are good examples of organizations whose competitive
advantage is based on product innovation.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 9 NAT: BUSPROG: Communication STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Application
15. Employees who need stability and predictability would not fit well in companies focused on
product innovation.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 10 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Evaluation
16. Successful businesses following a specialization strategy rarely enjoy a high degree of customer
loyalty.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 10 NAT: BUSPROG: Communication STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Knowledge
17. Starbucks is pursuing a specialization strategy.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 10 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Application
18. For companies pursuing a differentiation strategy, the frequent introduction of new products is
often a key to staying competitive.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 9 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's:
Comprehension
19. Mismatches between merged or acquired organizations can result in underperformance and the
loss of talented employees.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 11 NAT: BUSPROG: Analytic STA: DISC: Strategy
TOP: Gaining a Competitive Advantage Through OB KEY: Bloom's: Application
20. Scientific management left no room for individual preferences or initiative, and was not always
accepted by workers.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 12 NAT: BUSPROG: Analytic STA: DISC: HRM
TOP: Where does OB come from? KEY: Bloom's: Knowledge
21. Americans probably have a less parochial perspective than people from other cultures.
, ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 15 NAT: BUSPROG: Reflective Thinking STA: DISC: Group Dynamics
TOP: Current OB Issues KEY: Bloom's: Evaluation
22. Societies such as the U.S., Sweden, and Germany have small variation in the distribution of
power across supervisors and employees while others such as Japan and Mexico have a large
power difference.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 15 NAT: BUSPROG: Diversity STA: DISC: Group Dynamics
TOP: Current OB Issues KEY: Bloom's: Knowledge
23. Older workers almost always embrace new technologies readily.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 17 NAT: BUSPROG: Diversity
STA: DISC: Operations Management TOP: Current OB Issues
KEY: Bloom's: Knowledge
24. Even though much of the research on organizational behavior has been done in the United States,
what is true for Americans working in the U.S. may not be true for anyone else, including non-
Americans working in the U.S.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 15 NAT: BUSPROG: Diversity STA: DISC: Individual
Dynamics
TOP: Current OB Issues KEY: Bloom's: Analysis
25. The U.S. workforce is expected to become less diverse in coming years.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 15 NAT: BUSPROG: Diversity STA: DISC: Group Dynamics
TOP: Current OB Issues KEY: Bloom's: Knowledge
26. Production technology can increase work group autonomy, decision making, and responsibility.
ANS: T PTS: 1 DIF: Difficulty: Easy
REF: p. 17 NAT: BUSPROG: Technology STA: DISC: HRM
TOP: Current OB Issues KEY: Bloom's: Application
27. Most ethical dilemmas in the workplace are very simple, with obvious “right” answers.
ANS: F PTS: 1 DIF: Difficulty: Easy
REF: p. 17 NAT: BUSPROG: Ethics
STA: DISC: Ethical Responsibilities TOP: Current OB Issues
KEY: Bloom's: Comprehension
