Business Management Exam 1 Questions
with Correct Answers 2026-2027
Four Management Functions - CORRECT ANSWER -1. Planning
2. Organizing
3. Leading
4. Controlling
Management Skills - CORRECT ANSWER -1. Conceptual-
ability to see the organization as a whole system
2. Human Skills- Managers ability to work with the entire group.
3. Technical Skills- Understanding of and proficiency in the performance of specific tasks.
Different levels of manager (Vertical) - CORRECT ANSWER --Top manager -
setting organizational goals, defining strategies for achieving them, monitoring and interpreting the ex
ternal environment
-Middle managers -
implementing the overall strategies and policies defined by top managers, concerning with the near fu
ture.
-First-line managers - Production of goods and services.
Horizontal Differences - CORRECT ANSWER -i. Functional managers
1. Responsible for a department that performs a single functional task, such as finance or marketing
ii. General managers
1. Responsible for several departments that perform different functions, such as the manager of Macy'
s department store or a Ford automobile factory.
Becoming a New Manager - CORRECT ANSWER -
a. Making the shift from individual identity to manager identity
i. Specialist; performs tasks à generalist; coordinates diverse tasks
ii. Gets things done through own efforts à gets things done through others
iii. An individual actor à a network builder
, iv. Works relatively independently à works in highly interdependent manner
Manager roles - CORRECT ANSWER --Informational role -
activities used to maintain and develop an information network.
-Interpersonal role - relationships with others and are related to the human skills
-decisional role - events about which the manager must make a choice and take action
Social Forces: - CORRECT ANSWER -Values, needs, standards of behavior influence → Social Contract
Examples of Current Social Forces- Workers want
Flexible environment
Career Opportunity
Feel valued, able to influence company
Political Forces - CORRECT ANSWER -legal and political influence
-Political Stability
-property rights
-contract rights
-regulation
Economic Forces - CORRECT ANSWER --Availability and distribution of resources
-Changes in supply and demand
-Credit Availability
External environment
(international) - CORRECT ANSWER -
as managers plan for expansions into global markets they have to consider the international dimension
, which includes events originating in foreign countries, as well as new opportunities for U.S. companie
s in other countries. Provides new customers, competitors, suppliers, shapes social, technological, and
economic trends as well.
with Correct Answers 2026-2027
Four Management Functions - CORRECT ANSWER -1. Planning
2. Organizing
3. Leading
4. Controlling
Management Skills - CORRECT ANSWER -1. Conceptual-
ability to see the organization as a whole system
2. Human Skills- Managers ability to work with the entire group.
3. Technical Skills- Understanding of and proficiency in the performance of specific tasks.
Different levels of manager (Vertical) - CORRECT ANSWER --Top manager -
setting organizational goals, defining strategies for achieving them, monitoring and interpreting the ex
ternal environment
-Middle managers -
implementing the overall strategies and policies defined by top managers, concerning with the near fu
ture.
-First-line managers - Production of goods and services.
Horizontal Differences - CORRECT ANSWER -i. Functional managers
1. Responsible for a department that performs a single functional task, such as finance or marketing
ii. General managers
1. Responsible for several departments that perform different functions, such as the manager of Macy'
s department store or a Ford automobile factory.
Becoming a New Manager - CORRECT ANSWER -
a. Making the shift from individual identity to manager identity
i. Specialist; performs tasks à generalist; coordinates diverse tasks
ii. Gets things done through own efforts à gets things done through others
iii. An individual actor à a network builder
, iv. Works relatively independently à works in highly interdependent manner
Manager roles - CORRECT ANSWER --Informational role -
activities used to maintain and develop an information network.
-Interpersonal role - relationships with others and are related to the human skills
-decisional role - events about which the manager must make a choice and take action
Social Forces: - CORRECT ANSWER -Values, needs, standards of behavior influence → Social Contract
Examples of Current Social Forces- Workers want
Flexible environment
Career Opportunity
Feel valued, able to influence company
Political Forces - CORRECT ANSWER -legal and political influence
-Political Stability
-property rights
-contract rights
-regulation
Economic Forces - CORRECT ANSWER --Availability and distribution of resources
-Changes in supply and demand
-Credit Availability
External environment
(international) - CORRECT ANSWER -
as managers plan for expansions into global markets they have to consider the international dimension
, which includes events originating in foreign countries, as well as new opportunities for U.S. companie
s in other countries. Provides new customers, competitors, suppliers, shapes social, technological, and
economic trends as well.
