Chapter 1 Test Bank
CHAPTERR!1R!TESTR!QUESTIONS
True-False
1. TheR!lastR!decadeR!ofR!theR!twentiethR!centuryR!wasR!aR!periodR!ofR!rapidR!changeR!forR!organizations,R!esp
eciallyR!businesses.
ANSWER:R!True
2. AR!keyR!elementR!inR!Wal-
Mart'sR!abilityR!toR!discountR!brandR!nameR!productsR!wasR!anR!understandingR!ofR!theR!criticalityR!ofR!eff
iciencyR!inR!itsR!logisticsR!andR!supplyR!chainR!system.
ANSWER:R!True
3. GlobalizationR!hasR!hadR!littleR!effectR!onR!consumers.
ANSWER:R!False
4. SupplyR!andR!demandR!hasR!becomeR!lessR!volatileR!asR!managersR!becomeR!moreR!adeptR!atR!controlli
ngR!theR!elements.
ANSWER:R!False
5. OutsourcingR!isR!aR!fairlyR!newR!concept.
ANSWER:R!False
6. SABR!shouldR!examineR!theirR!off-
shoreR!purchasingR!policy,R!evenR!thoughR!theR!productsR!areR!sourcedR!fromR!theR!U.S.
ANSWER:R!True
7. TheR!worldR!economyR!stillR!favorsR!theR!UnitedR!StatesR!andR!EuropeanR!countries,R!evenR!thoughR!Chi
naR!andR!IndiaR!canR!participateR!inR!theR!globalR!economyR!muchR!moreR!readily.
ANSWER:R!False
8. TheR!U.S.R!transportationR!systemR!wasR!deregulatedR!inR!theR!1930sR!andR!1940sR!inR!responseR!toR!eco
nomicR!conditionsR!andR!WorldR!WarR!2.
ANSWER:R!False
1-1
© 2013 Cengage Learning. All Rights Reserved. This edition is intended for use outside of the U.S. only, with content that may be different
from the U.S. Edition. May not be scanned, copied, duplicated, or posted to a publicly accessible website, in whole or in part.
, Coyle Managing Supply Chains: A Logistics Approach, 9th Edition
Chapter 1 Test Bank
9. EvenR!thoughR!thereR!areR!referencesR!toR!supplyR!chainR!managementR!inR!theR!1980s,R!SCMR!didR!notR!capt
ureR!theR!attentionR!ofR!senior-levelR!managementR!untilR!theR!1990s.
ANSWER:R!True
10. SupplyR!chainR!managersR!noR!longerR!needR!toR!worryR!aboutR!suboptimizationR!inR!lightR!ofR!today'sR!technolo
gy.
ANSWER:R!False
MultipleR!Choice
11. MostR!retailersR!areR!essentiallyR!supplyR!chainR!companiesR!since
a. theyR!dominateR!theR!consumerR!market.
b. ownR!theirR!warehousesR!andR!trucks.
c. theyR!buyR!productsR!producedR!byR!others.
d. engageR!inR!off-shoreR!sourcing.
ANSWER:R!c
12. WhichR!ofR!theR!belowR!isR!notR!oneR!ofR!theR!externalR!forcesR!drivingR!theR!rateR!ofR!changeR!andR!sha
pingR!ourR!economicR!andR!politicalR!landscape?
a. GovernmentR!policy
b. Technology
c. EnvironmentalR!concerns
d. Globalization
ANSWER:R!c
13. OutsourcingR!involves
a. movingR!companyR!facilitiesR!awayR!fromR!theR!homeR!office.
b. hiringR!foreignR!nationalsR!toR!manageR!partsR!ofR!theR!business.
1-2
© 2013 Cengage Learning. All Rights Reserved. This edition is intended for use outside of the U.S. only, with content that may be different
from the U.S. Edition. May not be scanned, copied, duplicated, or posted to a publicly accessible website, in whole or in part.
, Coyle Managing Supply Chains: A Logistics Approach, 9th Edition
Chapter 1 Test Bank
c. obtainingR!materials,R!parts,R!andR!productsR!fromR!otherR!companies.
1-3
© 2013 Cengage Learning. All Rights Reserved. This edition is intended for use outside of the U.S. only, with content that may be different
from the U.S. Edition. May not be scanned, copied, duplicated, or posted to a publicly accessible website, in whole or in part.