MGMT 461 Exam 3 - Chapter 15 With
Questions And Correct Answers
Selecting cthe clocation cfor cproduction cfacilities cis can cimportant cstrategic cissue cthat
cmanagers cmust cconsider. cWhich cone cof cthe cfollowing caspects cof cthe cbusiness
cenvironment cis ca ckey cfactor cto cfacilities clocation cplanning?
A. cCurrency cexchange crates
B. cOrganization cchart
C. cCost cand cavailability cof clabor cand cmanagement
D. cMake cor cbuy cdecisions
E. cCapital cproductivity c- cCORRECT cANS✔✔C. cCost cand cavailability cof clabor cand
cmanagement
One ccompany cdesigned cits cprecision cice chockey cequipment cin cSweden, cobtained
cfinancing cfrom cCanada, cassembled cit cin cthe cUSA cand cDenmark, cand cmarketed cit
cin cNorth cAmerica cand cEurope. cThis cequipment cincorporated calloys cwhose
cmolecular cstructure cwas cresearched cand cpatented cin cDelaware cand cfabricated cin
cJapan. cThis can cexample cof c________________.
A. cproduction cprocessed cto cbe cused
B. clocation ceconomies
C. cmake cor cbuy
D. ccentralized cor cdecentralized
E. ccapacity cplanning c- cCORRECT cANS✔✔B. clocation ceconomies
The cprocess cby cwhich ca ccompany cextends cits ccontrol cover cadditional cstages cof
cproduction, ceither cinputs cor coutputs cis ccalled c________.
A. cstandardization
B. ccentralization
C. ccapacity cplanning
D. cvertical cintegration
E. clicensing c- cCORRECT cANS✔✔D. cvertical cintegration
Which cone cof cthe cfollowing cis csupport cfor cthe creason cto cbuy cversus cthe creason cto
cmake?
, A. cKeep cmanufacturer's cprofit c
B. cLower crisk
C. cGreater ccontrol cover cproduct cdesign
D. cAvoid cmodification ccosts
E. cProtect ccompany's cproprietorship c- cCORRECT cANS✔✔B. cLower crisk
_________ cis ca ccompany-wide ccommitment cto cmeet cor cexceed ccustomer
cexpectations cthrough ccontinuous cquality cimprovement cefforts cand cprocesses.
A. cTQM
B. cISO c9000
C. cJIT
D. cReinvestment cversus cdivestment
E. cDelight cthe ccustomer c- cCORRECT cANS✔✔A. cTQM
Which cone cof cthe cfollowing cproduction ctechniques cis ca cmanagement ctechnique cthat
ckeeps cinventory cto ca cminimum cand cinputs cto cthe cproduction cprocess carrive
cexactly cwhen cthey care cneeded?
A. cVertical cintegration
B. cISO c9000
C. cStandardization
D. cCapacity cplanning
E. cJust-in-time c- cCORRECT cANS✔✔E. cJust-in-time
Which cone cof cthe cfollowing cfinancial coptions ccan cbe cadvantageous, cespecially
cwhen cthe cvalue cof cthe clocal ccurrency chas cfallen cin ccomparison cto cthat cof cthe
chome ccountry?
A. cTransfer cprices
B. cVenture ccapital
C. cBorrowing clocally c
D. cBack-to-back cloan
E. cIssuing cequity c- cCORRECT cANS✔✔C. cBorrowing clocally
________ cis cfinancing cobtained cfrom cinvestors cwho cbelieve cthat cthe cborrower cwill
cexperience crapid cgrowth cand cwho creceive cequity c(part cownership) cin creturn.
A. cInternal cfunding
B. cVenture ccapital
C. cIssuing cequity
D. cCapital cstructure
E. cBorrowing clocally c- cCORRECT cANS✔✔B. cVenture ccapital
Questions And Correct Answers
Selecting cthe clocation cfor cproduction cfacilities cis can cimportant cstrategic cissue cthat
cmanagers cmust cconsider. cWhich cone cof cthe cfollowing caspects cof cthe cbusiness
cenvironment cis ca ckey cfactor cto cfacilities clocation cplanning?
A. cCurrency cexchange crates
B. cOrganization cchart
C. cCost cand cavailability cof clabor cand cmanagement
D. cMake cor cbuy cdecisions
E. cCapital cproductivity c- cCORRECT cANS✔✔C. cCost cand cavailability cof clabor cand
cmanagement
One ccompany cdesigned cits cprecision cice chockey cequipment cin cSweden, cobtained
cfinancing cfrom cCanada, cassembled cit cin cthe cUSA cand cDenmark, cand cmarketed cit
cin cNorth cAmerica cand cEurope. cThis cequipment cincorporated calloys cwhose
cmolecular cstructure cwas cresearched cand cpatented cin cDelaware cand cfabricated cin
cJapan. cThis can cexample cof c________________.
A. cproduction cprocessed cto cbe cused
B. clocation ceconomies
C. cmake cor cbuy
D. ccentralized cor cdecentralized
E. ccapacity cplanning c- cCORRECT cANS✔✔B. clocation ceconomies
The cprocess cby cwhich ca ccompany cextends cits ccontrol cover cadditional cstages cof
cproduction, ceither cinputs cor coutputs cis ccalled c________.
A. cstandardization
B. ccentralization
C. ccapacity cplanning
D. cvertical cintegration
E. clicensing c- cCORRECT cANS✔✔D. cvertical cintegration
Which cone cof cthe cfollowing cis csupport cfor cthe creason cto cbuy cversus cthe creason cto
cmake?
, A. cKeep cmanufacturer's cprofit c
B. cLower crisk
C. cGreater ccontrol cover cproduct cdesign
D. cAvoid cmodification ccosts
E. cProtect ccompany's cproprietorship c- cCORRECT cANS✔✔B. cLower crisk
_________ cis ca ccompany-wide ccommitment cto cmeet cor cexceed ccustomer
cexpectations cthrough ccontinuous cquality cimprovement cefforts cand cprocesses.
A. cTQM
B. cISO c9000
C. cJIT
D. cReinvestment cversus cdivestment
E. cDelight cthe ccustomer c- cCORRECT cANS✔✔A. cTQM
Which cone cof cthe cfollowing cproduction ctechniques cis ca cmanagement ctechnique cthat
ckeeps cinventory cto ca cminimum cand cinputs cto cthe cproduction cprocess carrive
cexactly cwhen cthey care cneeded?
A. cVertical cintegration
B. cISO c9000
C. cStandardization
D. cCapacity cplanning
E. cJust-in-time c- cCORRECT cANS✔✔E. cJust-in-time
Which cone cof cthe cfollowing cfinancial coptions ccan cbe cadvantageous, cespecially
cwhen cthe cvalue cof cthe clocal ccurrency chas cfallen cin ccomparison cto cthat cof cthe
chome ccountry?
A. cTransfer cprices
B. cVenture ccapital
C. cBorrowing clocally c
D. cBack-to-back cloan
E. cIssuing cequity c- cCORRECT cANS✔✔C. cBorrowing clocally
________ cis cfinancing cobtained cfrom cinvestors cwho cbelieve cthat cthe cborrower cwill
cexperience crapid cgrowth cand cwho creceive cequity c(part cownership) cin creturn.
A. cInternal cfunding
B. cVenture ccapital
C. cIssuing cequity
D. cCapital cstructure
E. cBorrowing clocally c- cCORRECT cANS✔✔B. cVenture ccapital
