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192 PART 2 Managing Business Behavior
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Take this sample test to gauge your comprehension of chapter material. You can check your answers at the
back of the book.
True/False Questions d. Operational
Please indicate if the following statements are true or e. Contingency
false: 3. The problem with comparaggio is that
1. Baseball teams involve little management. a. people don’t like doing business in Italy.
2. Being a dreamer is a sure way to fail in busi- b. it creates ethical problems.
ness. c. IBM Corporation is headquartered in New
York.
3. An environmental analysis for a corporation
d. Dell Computer Corporation is
might involve extensive analysis of its com-
headquartered in Texas.
petitors.
e. it makes doing business in China difficult
4. Operational plans for the Whirlpool
for the Whirlpool Corporation.
Corporation might involve deciding what
4. An example of departmentalization by
newspaper advertisements to place for three
customer would be
months for its Polar products in Poland.
a. the securities law department of a law
5. The events of September 11, 2001, probably
firm.
increased corporate contingency planning
b. Dell Computer Corporation’s
activities.
headquarters in Austin, Texas.
6. Job specialization involves shifting
c. the Oklahoma department of a regional
employees from one job to another.
ice cream manufacturer.
7. Large retail stores typically use geographic d. the U.S. Navy.
departmentalization. e. the children’s department of a clothing
8. Delegation is often hard for managers retail store.
because it means giving up control. 5. The Ritz Carlton Hotel chain is a good exam-
9. A company in-house attorney has ple of a __________ because authority has
considerable line authority. been spread throughout the organization.
10. First-line managers are directly responsible a. centralized organization
for supervising and working with employees. b. decentralized organization
c. six sigma organization
Multiple-Choice Questions d. hotel chain with security problems
Choose the best answer. e. hotel chain with a military chain of
command
1. In deciding its strategic moves, Whirlpool
Corporation is most likely to consult with 6. President Harry S Truman once expressed
concern that his successor, Dwight D. Eisen-
a. Maytag Corporation.
hower, would have a hard time with
b. Boeing Company.
__________ because of Eisenhower’s military
c. Sears, Roebuck & Company.
background.
d. Disney Corporation.
e. General Motors Corporation. a. the planning aspects of the presidency
b. the pomp and circumstance of the
2. plans are a list of what a company has
presidency
to do in the very short run to achieve its
c. the organizing aspects of the presidency
strategic goals.
d. the directing aspects of the presidency
a. Strategic
e. the matrix organizational structure of the
b. Tactical
presidency
c. Succession
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