Intro to business - part 1
1) The first step in the consumer decision-making process is called:
a. alternative evaluation
b. problem recognition
c. purchase/no purchase decision
d. information search
2) ________________ marketing involves developing a unique mix of goods and services for
each individual customer.
a. One-to-one
b. B2B
c. Usage
d. Volume
3) Limited liability for business debts is granted to:
a. general partners
b. strategic alliances
c. sole proprietors
d. shareholders in S corporations
4) Groups of people such as workers who pool their money together for savings and to make
loans is called a:
a. union bank
b. credit union
c. state of the union
d. labor union
5) When compared to a traditional savings account, a certificate of deposit is:
a. equally liquid
b. less liquid.
c. more dynamic
d. more liquid
6) Employees often work with managers to develop a(n) ____________ that outlines the
fundamental purposes of their organization.
a. organization chart
b. value statement
c. PERT diagram
d. mission statement
7) Spending a few hours observing someone in your chosen occupation is called
a. job mentoring
b. job training
c. job orientation
d. job shadowing
8) The conflict between unlimited wants and limited resources is known as:
a. scarcity
b. factors of production
c. resource allocation
d. capital resources
9) All of the following are among the primary differences between a business market and a
consumer market except:
a. purchase decisions to satisfy needs
b. market structure and demand
c. the nature of the buying unit
d. the types of decisions and the decision process involved
10) ______ are rules about how businesses and their employees should behave.
a. Mission statements
b. Standards
c. Values
d. Business ethics
11) In the past three to four decades, many management theorists, and writers have made remarkable contribution in the study of management. By studying the various approaches to management analysis, we can understand the concept of management and have a better understanding of managerial functions. Which approach to management emphasizes managing people by understanding their individual psychological needs?
(a) Empirical Approach
(b) Decision Theory Approach
(c) Management Science Approach
(d) Interpersonal Behavior Approach
(e) Contingency Approach.
12) The communication process is made up of various components. Which of the following is the actual physical product from the source?
(a) Feedback
(b) Filter
(c) Message
(d) Channel
(e) Understanding.
13) Which of the following would not be an accurate depiction of the differences between strategic and tactical planning?
(a) Strategic planning is developed mainly by upper-level management and tactical planning is generally developed by lower-level management
(b) Facts for strategic planning are generally easier to gather than facts for tactical planning
(c) Strategic plans generally contain less details than tactical plans
(d) Strategic plans generally cover a longer period of time than tactical plans
(e) Managers who are engaged in the development of strategic plans tend to work in more uncertainty than those managers engaged in the development of tactical plans.
14) Which of the following statements concerning grapevine is not correct?
(a) Grapevine is generally used irregularly in organizations
(b) Grapevine can and often does generate harmful rumors
(c) Grapevine is used largely to serve the self-interests of people within it
(d) Some managers use grapevine to their advantage
(e) In time, and with proper pressure, grapevine can be eliminated.
15) The conflict-resolution approach that corresponds with a high level of assertiveness and a low level of cooperativeness, is referred to as:
(a) Compromising
(b) Collaborating
(c) Forcing
(d) Avoiding
(e) Accommodating.
16) Mr. Sunil works for “Energy Engineering Works.” Apart from the regular compensation, the company provides him with things such as tuition reimbursement, recreational opportunities etc. What is the name given to these things of value?
(a) Incentives
(b) Benefits
(c) Rewards
(d) Compensation
(e) Social benefits.
17) The fact that 70-80 percent of a manager’s time is taken up by his interactions with others, highlights the need for effective communication for successful management. Which of the following strategies is not likely to improve communication effectiveness?
(a) Avoiding non-verbal cues
(b) Using simple, unambiguous language
(c) Using active listening techniques
(d) Using appropriate and consistent nonverbal cues
(e) Using the feedback loop in the communication process.
18) Two factor theory of motivation provides useful insights into the relationship between individual and situational or hygiene factors. Which of the following is a hygiene factor?
(a) Achievement
(b) Interpersonal relations
(c) Recognition
(d) Challenging work
(e) Increased responsibility.
19) Identify the sequence of different steps in controlling.
I. Measurement of performance.
II. Comparison of actual and standard.
III. Analysis of causes of deviation.
IV. Actual performance.
V. Corrective action plan.
(a) (III), (IV), (V), (I), (II)
(b) (II), (III), (IV), (V), (I)
(c) (I), (II), (IV), (III), (V)
(d) (IV), (I), (II), (III), (V)
(e) (V), (IV), (III), (II), (I).
20) JIT (Just-In-Time) inventory control is an approach to inventory control, which stipulates that materials should arrive just, as they are needed, in the production process. Which of the following would generally not be associated with a successful JIT program, for the purpose of inventory control?
(a) Well-organized receiving and handling of materials purchased from suppliers
(b) Strong management commitment
(c) Suppliers located in diverse and distant locations
(d) High quality of materials purchased from suppliers
(e) Dependable and long-lasting relationships with suppliers and customers.
21) Information that originates outside the organization is known as external information. Which of the following is/are example(s) of external information in an organization?
(a) Daily receipts and expenditures
(b) Salesperson Quotas
(c) Descriptions of customer satisfaction with products and services
(d) Quantity of an item in hand or in inventory
(e) Cost and selling price of the company’s item.
22) Which of the following decision-making models emphasizes short-run solution of a problem rather than long-term goal accomplishment?
(a) Rational model
(b) Satisficing model
(c) Incremental model
(d) Garbage-can model
(e) Decision tree.
23) Sofia works in one of seven research and development departments at General Automobile Corporation. This would suggest that General Automobiles has a:
(a) Functional structure
(b) Divisional structure
(c) Flat structure
(d) High degree of centralization
(e) Tall structure.
24) Which of the following information processing systems gives the output in the form of summary and exception reports that are useful to the managers?
(a) Decision support system
(b) Management information system
(c) Office automation system
(d) Transaction processing system
(e) Executive support system.
25) In which of Likert’s four systems of leadership, managers do not have complete confidence and trust in subordinates but nevertheless, solicit advice from subordinates while retaining the right to make final decision?
(a) Participative leadership style
(b) Benevolent-authoritative leadership style
(c) Consultative leadership style
(d) Exploitative-authoritative leadership style
(e) Trait theory of leadership style.
a. alternative evaluation
b. problem recognition
c. purchase/no purchase decision
d. information search
2) ________________ marketing involves developing a unique mix of goods and services for
each individual customer.
a. One-to-one
b. B2B
c. Usage
d. Volume
3) Limited liability for business debts is granted to:
a. general partners
b. strategic alliances
c. sole proprietors
d. shareholders in S corporations
4) Groups of people such as workers who pool their money together for savings and to make
loans is called a:
a. union bank
b. credit union
c. state of the union
d. labor union
5) When compared to a traditional savings account, a certificate of deposit is:
a. equally liquid
b. less liquid.
c. more dynamic
d. more liquid
6) Employees often work with managers to develop a(n) ____________ that outlines the
fundamental purposes of their organization.
a. organization chart
b. value statement
c. PERT diagram
d. mission statement
7) Spending a few hours observing someone in your chosen occupation is called
a. job mentoring
b. job training
c. job orientation
d. job shadowing
8) The conflict between unlimited wants and limited resources is known as:
a. scarcity
b. factors of production
c. resource allocation
d. capital resources
9) All of the following are among the primary differences between a business market and a
consumer market except:
a. purchase decisions to satisfy needs
b. market structure and demand
c. the nature of the buying unit
d. the types of decisions and the decision process involved
10) ______ are rules about how businesses and their employees should behave.
a. Mission statements
b. Standards
c. Values
d. Business ethics
11) In the past three to four decades, many management theorists, and writers have made remarkable contribution in the study of management. By studying the various approaches to management analysis, we can understand the concept of management and have a better understanding of managerial functions. Which approach to management emphasizes managing people by understanding their individual psychological needs?
(a) Empirical Approach
(b) Decision Theory Approach
(c) Management Science Approach
(d) Interpersonal Behavior Approach
(e) Contingency Approach.
12) The communication process is made up of various components. Which of the following is the actual physical product from the source?
(a) Feedback
(b) Filter
(c) Message
(d) Channel
(e) Understanding.
13) Which of the following would not be an accurate depiction of the differences between strategic and tactical planning?
(a) Strategic planning is developed mainly by upper-level management and tactical planning is generally developed by lower-level management
(b) Facts for strategic planning are generally easier to gather than facts for tactical planning
(c) Strategic plans generally contain less details than tactical plans
(d) Strategic plans generally cover a longer period of time than tactical plans
(e) Managers who are engaged in the development of strategic plans tend to work in more uncertainty than those managers engaged in the development of tactical plans.
14) Which of the following statements concerning grapevine is not correct?
(a) Grapevine is generally used irregularly in organizations
(b) Grapevine can and often does generate harmful rumors
(c) Grapevine is used largely to serve the self-interests of people within it
(d) Some managers use grapevine to their advantage
(e) In time, and with proper pressure, grapevine can be eliminated.
15) The conflict-resolution approach that corresponds with a high level of assertiveness and a low level of cooperativeness, is referred to as:
(a) Compromising
(b) Collaborating
(c) Forcing
(d) Avoiding
(e) Accommodating.
16) Mr. Sunil works for “Energy Engineering Works.” Apart from the regular compensation, the company provides him with things such as tuition reimbursement, recreational opportunities etc. What is the name given to these things of value?
(a) Incentives
(b) Benefits
(c) Rewards
(d) Compensation
(e) Social benefits.
17) The fact that 70-80 percent of a manager’s time is taken up by his interactions with others, highlights the need for effective communication for successful management. Which of the following strategies is not likely to improve communication effectiveness?
(a) Avoiding non-verbal cues
(b) Using simple, unambiguous language
(c) Using active listening techniques
(d) Using appropriate and consistent nonverbal cues
(e) Using the feedback loop in the communication process.
18) Two factor theory of motivation provides useful insights into the relationship between individual and situational or hygiene factors. Which of the following is a hygiene factor?
(a) Achievement
(b) Interpersonal relations
(c) Recognition
(d) Challenging work
(e) Increased responsibility.
19) Identify the sequence of different steps in controlling.
I. Measurement of performance.
II. Comparison of actual and standard.
III. Analysis of causes of deviation.
IV. Actual performance.
V. Corrective action plan.
(a) (III), (IV), (V), (I), (II)
(b) (II), (III), (IV), (V), (I)
(c) (I), (II), (IV), (III), (V)
(d) (IV), (I), (II), (III), (V)
(e) (V), (IV), (III), (II), (I).
20) JIT (Just-In-Time) inventory control is an approach to inventory control, which stipulates that materials should arrive just, as they are needed, in the production process. Which of the following would generally not be associated with a successful JIT program, for the purpose of inventory control?
(a) Well-organized receiving and handling of materials purchased from suppliers
(b) Strong management commitment
(c) Suppliers located in diverse and distant locations
(d) High quality of materials purchased from suppliers
(e) Dependable and long-lasting relationships with suppliers and customers.
21) Information that originates outside the organization is known as external information. Which of the following is/are example(s) of external information in an organization?
(a) Daily receipts and expenditures
(b) Salesperson Quotas
(c) Descriptions of customer satisfaction with products and services
(d) Quantity of an item in hand or in inventory
(e) Cost and selling price of the company’s item.
22) Which of the following decision-making models emphasizes short-run solution of a problem rather than long-term goal accomplishment?
(a) Rational model
(b) Satisficing model
(c) Incremental model
(d) Garbage-can model
(e) Decision tree.
23) Sofia works in one of seven research and development departments at General Automobile Corporation. This would suggest that General Automobiles has a:
(a) Functional structure
(b) Divisional structure
(c) Flat structure
(d) High degree of centralization
(e) Tall structure.
24) Which of the following information processing systems gives the output in the form of summary and exception reports that are useful to the managers?
(a) Decision support system
(b) Management information system
(c) Office automation system
(d) Transaction processing system
(e) Executive support system.
25) In which of Likert’s four systems of leadership, managers do not have complete confidence and trust in subordinates but nevertheless, solicit advice from subordinates while retaining the right to make final decision?
(a) Participative leadership style
(b) Benevolent-authoritative leadership style
(c) Consultative leadership style
(d) Exploitative-authoritative leadership style
(e) Trait theory of leadership style.