Introduction to Business Administration
Midterm Exam
Course Introduction
Introduction to Business Administration provides an overview of the fundamental concepts and practices that form the foundation of the business world. Topics include organizational structure, management principles, marketing, finance, human resources, operations, and entrepreneurship. The course emphasizes the interrelatedness of business functions and explores the roles and responsibilities of managers in planning, organizing, leading, and controlling resources. Through case studies, real-world examples, and interactive activities, students gain insight into the challenges and opportunities of operating in todays dynamic business environment.
Recommended Textbook
MGMT Principles of Management 9th Edition by Chuck Williams
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Page 2
Chapter 1: Management
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Q1) Which of the following is a characteristic of derailers?
A) They are usually talentless.
B) They admit their mistakes.
C) They are warm and friendly to others.
D) They are abrasive and intimidating.
Answer: D
Q2) Which of the following is a function of a top manager?
A) Facilitating team activities toward accomplishing a goal
B) Creating a positive organizational culture through language and action
C) Coordinating and linking groups, departments, and divisions within a company
D) Monitoring the performance of individual managers who report to him or her
Answer: B
Q3) _________ are typically responsible for planning and allocating resources to meet organizational objectives.
A.Top managers
B.Team leaders
C.Middle managers
D.First-line managers
Answer: Middle managers
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Page 3
Chapter 2: The History of Management
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Q1) Which of the following is a practical implication of the contingency approach to management?
A) Managers need to develop quantitative approaches to solve organizational problems.
B) Managers need to spend more time analyzing problems before taking action to fix them.
C) Managers need to group all problems as one.
D) Managers can develop a universal management theory to solve all problems.
Answer: B
Q2) _________ was the management theorist who believed that workers ultimately grant managers their authority.
A.Chester Barnard
B.Max Weber
C.Mary Parker Follett
D.Elton Mayo
Answer: Chester Barnard
Q3) _____ invented the micro chronometer.
Answer: Frank Gilbreth
Q4) _____ proposed a comprehensive theory of cooperation in formal organizations.
Answer: Chester Barnard
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Chapter 3: Organizational Environments and Cultures
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Q1) _____ refers to a transaction in which one party in the relationship benefits at the expense of the other.
A) Transactional behavior
B) Opportunistic behavior
C) Altruistic behavior
D) Relational behavior
Answer: B
Q2) Which of the following statements is true of business confidence indices?
A) They show how sure actual managers are about future business growth.
B) They indicate how businesses have been performing over the previous year.
C) They show how confident customers are about companies they do business with.
D) They indicate general economic statistics over the previous year.
Answer: A
Q3) An _____ refers to the values,beliefs,and attitudes shared by organizational members.
A) organizational hierarchy
B) organizational innovation
C) organizational culture
D) organizational structure
Answer: D
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Chapter 4: Ethics and Social Responsibility
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Q1) The principle of distributive justice is designed to protect the poor,the uneducated,and the unemployed.
A)True
B)False
Q2) Ethics training becomes more credible when top managers teach the initial ethics classes to their subordinates who in turn teach their subordinates.
A)True
B)False
Q3) When ten customers of Niall's Eatery fell seriously ill after dining at the restaurant,the issue was noticed by the public.The public demanded that the restaurant's kitchen be thoroughly inspected and the patients be compensated.However,the management at Niall's Eatery denied all claims that the customers had fallen ill by consuming the food served by the restaurant.Furthermore,the management was against any inspection on the kitchen.Which of the following social responsiveness strategies is the restaurant using?
A) Reactive strategy
B) Proactive strategy
C) Defensive strategy
D) Accommodative strategy
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Page 6
Chapter 5: Planning and Decision Making
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Q1) _____ are standing plans that indicate the specific steps that should be taken in response to a particular event.
A) Policies
B) Procedures
C) Single-use plans
D) Options-based plans
Q2) Budgets are a type of _________ plans.
A.strategic
B.tactical
C.operational
D.visionary
Q3) The first step in planning is to develop effective action plans.
A)True
B)False
Q4) Identify the most specific type of standing plans.
A) Policies
B) Procedures
C) Single-use plans
D) Rules and regulations
Q5) _________ are the standards used to guide judgments and decisions.
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Chapter 6: Organizational Strategy
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Q1) Ziff Corp.was a leading electronics firm for about three decades.As the competition changed,its product innovation stopped.The managers at Ziff Corp.are well aware of the strategies that lead to their company's success and they continue to follow the old strategies.This scenario is an example of _____.
A) distinctive competence
B) strategic dissonance
C) core capabilities
D) competitive inertia
Q2) Which of the following is a core capability of a company that determines how efficiently inputs can be turned into outputs?
A) External decision-making routines
B) Customer acquisition routines
C) Problem-solving processes
D) Market-sensing processes
Q3) According to portfolio strategy,the more businesses in which a corporation competes,the larger its overall chances of failing.
A)True
B)False
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8
Chapter 7: Innovation and Change
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Q1) _____ are forces that produce differences in the form,quality,or condition of an organization over time.
A) Change forces
B) Resistance forces
C) Effort forces
D) Defiance forces
Q2) _____ is a psychological state of effortlessness,in which you become completely absorbed in what you are doing and time seems to pass quickly.
A) Testing
B) Design iteration
C) Flow
D) Refreezing
Q3) Which of the following is an error that managers make in the change phase?
A) They do not declare victory too soon.
B) They do not create a powerful enough coalition.
C) They do not establish a great enough sense of urgency.
D) They undercommunicate the vision by a factor of ten.
Q4) _________ is a competition between old and new technologies to establish a new technological standard or dominant design.
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Chapter 8: Global Management
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Q1) Which of the following trade barriers is established to protect the health and safety of citizens?
A) Tariffs
B) Quotas
C) Government import standards
D) Voluntary export restraints
Q2) _____ is a technique in which trainees are placed in an ethnic neighborhood for three to four hours to talk to residents about cultural differences.
A) Field simulation training
B) Documentary training
C) Cultural simulation
D) Adaptability screening
Q3) A(n)_________ is someone who lives and works outside his or her native country.
Q4) Which of the following best defines a tariff?
A) It is a specific limit on the volume of imported goods.
B) It is a direct tax on imported goods.
C) It is a complete ban on trade of a certain item.
D) It is a limit on the number of products exported to a particular country.
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Page 10
Chapter 9: Designing Adaptive Organizations
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Q1) In a decentralized organization,workers closest to problems are authorized to make the decisions necessary to solve the problems on their own.
A)True
B)False
Q2) Staff functions are activities that directly contribute to creating and selling a company's products,whereas line functions are activities that support staff functions.
A)True
B)False
Q3) Bridget's Gifts,a greetings and gifts store in Janville,has four departments: flowers and soft toys,cards and e-cards,metal collectibles,and photo albums and scrapbooks.These departments are responsible for producing their own products.This scenario is an example of _____.
A) matrix departmentalization
B) functional departmentalization
C) product departmentalization
D) customer departmentalization
Q4) _________ is the vertical and horizontal configuration of departments,authority,and jobs within a company.
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Chapter 10: Managing Teams
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Q1) Carmine Inc.is a software firm that caters to the requirements of its clients.The company follows an employee-friendly workplace culture.Team members can access all vital and confidential data that is normally accessible only by managers.This helps in motivating the teams and keeping them well informed.This scenario illustrates that teamwork increases _____.
A) employee job satisfaction
B) service quality
C) organizational information security
D) grapevine communication
Q2) Which of the following statements is true of affective conflict?
A) It is characterized by a willingness to examine, compare, and reconcile differences to produce the best possible solution.
B) It focuses on problem-related differences of opinion that eventually lead to improvements in team performance.
C) It relates to the emotional reactions that can occur when disagreements become personal rather than professional.
D) It involves disagreements among team members because their different experiences and expertise lead them to different views of the problem and solutions.
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Page 12
Chapter 11: Managing Human Resource Systems
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Q1) A _________ is a planned sequence of jobs through which employees may advance within an organization.
A.job design
B.role map
C.career path
D.job posting
Q2) Like other major human resource decisions,employee termination decisions should be made on the basis of job-related factors.
A)True
B)False
Q3) Fatimah has been hired for the post of secretary at Mauve Corp.The company conducts a routine background check based on information provided by Fatimah.Unfortunately,her previous employer declines to provide meaningful references or her job history.However,Mauve Corp.ignores this lack of data and assumes that she is a credible employee.Mauve is at the risk of being sued under _____ lawsuit.
A) disparate treatment
B) defamation
C) negligent hiring
D) adverse impact
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Page 13
Chapter 12: Managing Individuals and a Diverse Work Force
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Q1) When Galax Inc.,a logistics firm,hired Melissa as its president,it became evident that Galax does not have a(n)_____ to prevent women from rising to leadership positions.
A) glass ceiling
B) diversity bottleneck
C) organizational roadblock
D) greenhorn
Q2) In which of the following ways can companies ensure that people with disabilities have the same opportunities as everyone else?
A) Recruiting disabled candidates only for low level jobs
B) Refraining from assigning higher responsibilities to disabled employees
C) Employing people with disabilities only for jobs that do not require movement
D) Providing reasonable workplace accommodations for disabled employees
Q3) _________ is a training program that teaches employees the practical skills they need for managing a diverse work force,such as flexibility and adaptability,negotiation,problem solving,and conflict resolution.
Q4) In the context of deep-level diversity,a(n)_________ is the tendency to respond to situations and events in a predetermined manner.
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Page 14
Chapter 13: Motivation
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Q1) Which of the following is an example of an extrinsic reward?
A) A sense of accomplishment
B) A feeling of responsibility
C) A chance to learn something new
D) A promotion to a higher position
Q2) In the context of theories of motivation,_________ is the process of changing behavior by changing the consequences that follow behavior.
A.goal setting
B.expectancy
C.reinforcement
D.equity
Q3) _________ says that people will be motivated to the extent to which they believe that their efforts will lead to good performance,that good performance will be rewarded,and that they will be offered attractive rewards.
A.Expectancy theory
B.Equity theory
C.Alderfer's ERG Theory
D.Reinforcement theory
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15
Chapter 14: Leadership
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Q1) The great person theory holds that:
A) leaders have a short-term perspective.
B) leaders are concerned with means, not ends.
C) leaders are preservers of the status quo.
D) leaders are born, not made.
Q2) According to Fiedler's contingency theory,relationship-oriented leaders with high Least Preferred Coworker (LPC)scores are better leaders under _____ situations.
A) highly favorable
B) moderately favorable
C) less favorable
D) unfavorable
Q3) In the context of visionary leadership,_________ control and manipulate followers,do what is best for themselves instead of their organizations,want to hear only positive feedback,share information that is only beneficial to themselves,and have moral standards that put their interests before everyone else's.
Q4) In the context of Fiedler's contingency theory,the term _________ refers to the degree to which a particular condition either permits or denies a leader the chance to influence the behavior of group members.
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Page 16
Chapter 15: Managing Communication
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Q1) In empathetic listening,_____ is important because it demonstrates that one understands the speaker's emotions.
A) selective retention
B) reflecting feelings
C) thinking laterally
D) perceptual filtering
Q2) Clarissa walks up to her supervisor's cabin in the second floor every time she needs a clarification instead of sending an email.This scenario best depicts _____.
A) the use of jargon in a communication channel
B) the use of a wrong communication medium
C) a fundamental attribution error
D) the encoding and decoding of a message
Q3) When Lilah saw her guest wrinkling her nose,she realized that she had not cleaned the litter in her cat box.Nose wrinkling is an example of _____.
A) semiotics
B) kinesics
C) paralanguage
D) metalanguage
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Chapter 16: Control
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Questions
Q1) Gigi,the owner of Café Mantra,gives small rewards-free movie tickets-to employees who regularly come to work on time and complete tasks assigned to them.Employees who break rules or deviate from company policy,however,often get a cut in their performance-linked incentives.Gigi appears to be using _____ with her employees.
A) adaptive control
B) normative control
C) concertive control
D) bureaucratic control
Q2) Leaders and managers also contribute to self-management by teaching others the skills they need to maximize and monitor their own work effectiveness.
A)True
B)False
Q3) Which of the following statements is true of bureaucratically controlled companies?
A) They place little emphasis on policies and procedures.
B) They are highly resistant to change.
C) They are highly responsive to their customers' needs.
D) They rely on group norms rather than formalized rules and regulations.
Q4) _________ occurs when behavior and work procedures do not conform to standards.
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Chapter 17: Managing Information
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Q1) InfoQEN is a Wi-Fi router developer.A customer asked InfoQEN to develop a Wi-Fi router that can connect 10 devices simultaneously.InfoQEN developed the router and delivered it to the customer.After a day,the customer came back saying that the devices were not getting connected to the router as the router was located on a different floor.InfoQEN replied that if the distance between the router and devices is more than 10 meters,the devices will not get connected to the router.The device was built based on the number of devices to be connected and not on the possible distance between the devices and the router.To solve this problem,InfoQEN must now either redesign the router at additional costs or ask the customer to relocate the router.Which of the following is most likely the reason for this problem?
A) The information provided to InfoQEN was untimely.
B) The information provided to InfoQEN was irrelevant.
C) The information provided to InfoQEN was incomplete.
D) The information provided to InfoQEN was inestimable.
Q2) _________ is the process of granting authenticated users approved access to data,software,and systems.
Q3) _________ stores huge amounts of data that have been prepared for data mining analysis by being cleaned of errors and redundancy.
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Chapter 18: Managing Service and Manufacturing Operations
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Q1) Which of the following is a characteristic of a quality product?
A) Validity
B) Reliability
C) Homogeneity
D) Tangibility
Q2) In the context of total quality management (TQM),_____ is a deviation in the form,condition,or appearance of a product from the quality standard for that product.
A) aberration
B) variation
C) divergence
D) contention
Q3) A moderate degree of processing occurs in _____.
A) assemble-to-order operations
B) make-to-order operations
C) batch operations
D) make-to-stock operations
Q4) A just-in-time (JIT)inventory system is used with independent demand systems.
A)True
B)False
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