MGT 103 - Quiz 2 Questions, Correct Answers, and Complete Solutions | 2026/27 Update

MGT 103 - Quiz 2 Questions, Correct Answers, and Complete Solutions | 2026/27 Update Which one of the following is NOT a purpose of goals? A. Goals provide an effective mechanism for evaluation and control. B. Goals can serve as a source of motivation for an organization's employees. C. Goals are used to forecast potential issues D. They provide guidance and unified direction for people in the organization. C The primary distinction between strategy formulation and strategy implementation is along the lines of _____ versus ______: The formulation stage determines what the strategy is, and the implementation stage focuses on how the strategy is achieved. A. efficiency; effectiveness B.mission; vision C.content; process D.strategy; tactic C __________ are to battles what strategy is to a war: an organized sequence of steps designed to execute strategic plans. A. Operational plans B.Sequential plans C.Tactical plans D.Organizational plans C During the _________ stage, overall demand growth for a product begins to slow down, and the number of new firms producing the product begins to decline. A.maturity B.decline C.introduction D.growth A The BCG matrix suggests that organizations should invest carefully in _________. If their performance does not live up to expectations, they should be reclassified as _______ and divested. A.stars; cash cows B.question marks; dogs C.cash cows; dogs D.dogs; question marks B Strategy _________ is the set of processes involved in creating or determining the organization's strategies. A.evaluation B.implementation C.execution D.formulation D Distinctive competencies can also be known as___________. A.internal strengths B.external opportunities C.external differences D.internal issues A According to the classical decision model, which one of the following is NOT one of the assumptions regarding the decision-making process? A.Decision makers have complete information about the decision situation and possible alternatives B.Decision makers can always forecast the risks involved in making the decision. C.Decision makers can effectively eliminate uncertainty to achieve a decision condition of certainty. D.Decision makers evaluate all aspects of the decision situation logically and rationally. B A _________ is an informal alliance of individuals or groups formed to achieve a common goal. A.political party B.temporary group C.coalition D.taskforce C An organization's ___________ is a statement of its "fundamental, unique purpose that sets a business apart from other firms of its type and identifies the scope of the business's operations in product and market terms." A.vision B.structure C.mission D.plan C In the BCG matrix, __________ are businesses that have a very small share of a market that is not expected to grow. A.dogs B.questions marks C.stars D.cash cows A Research suggests that unrelated diversification usually does not lead to high performance. A. True B. False A An organization that pursues a _________ strategy seeks to distinguish itself from competitors through the quality (broadly defined) of its products or services. A.focus B.differentiation C.first mover D.cost leadership B Which one is NOT one of the steps in the rational decision-making process? A.Recognizing and defining the decision situation B.Following up and evaluating the results C.Selecting the best alternative D.Evaluating options in case of making a bad decision D Decision making can refer to either a specific act or a general process. A.True B.False A Entry into the industry during the ________ stage of the product life cycle may threaten an organization's competitive advantage; thus, strategies to slow the entry of competitors are important. A.introduction B.decline C.growth D.maturity C Many decisions regarding basic operating systems and procedures and standard organizational transactions can be _______. A.programmed B.risky C.non-programmed D.certain A Which one of the following is NOT a kind of goals? A.Strategic goals B.Preemptive goals C.Tactical goals D.Operational goals B For years, executives at GM, Ford, and Chrysler compared their companies' performance only to one another's and essentially ignored foreign imports. The foreign "threat" was not acknowledged until the domestic auto market had been changed forever. In this case, these executives were affected by: A.bounded rationality B.cultural limitations C.ignorance D.arrogance A Starbucks' goal of increasing the profitability of each of its coffee stores by 25 percent over the next five years is a/an ___________ goal. A.situational B.strategic C.tactical D.operational B A __________ decision is relatively structured or recurs with some frequency (or both) programmed _____________ are developed for activities that recur regularly over a period of time. A.Standing plans B.Multiple-use plans C.Contingency plans D.Single-use plans A Fill in the blank: In _________, the best strategies accomplish an organization's mission by (1) exploiting an organization's opportunities and strengths while (2) neutralizing its threats and (3) avoiding (or correcting) its weaknesses. SWOT analysis Which model shows how sales volume changes over the life of products? A.GE screen B.Sales volume management C.BCG matrix D.Product life cycle D A strategy in which an organization operates in several businesses that are somehow linked with one another is called a __________ strategy. A.portfolio management B.related diversification C.single-product D.unrelated diversification B ____________ describes the number of different businesses that an organization is engaged in and the extent to which these businesses are related to one another. A.Diversification B.Specification C.Interdependence D.Strategy A Which one of the following is NOT one of the disadvantages of group and team decision making? A.Groupthink may occur B.Members are more likely to accept the final decision C.One person may dominate the group D. The process takes longer than individual decision-making, so it is costlier. B Although _________ are often stated in general terms, _________ must specify resources and time frames. A.tactics; strategies B.operational plans; tactical plans C.strategies; tactics D.strategies; plans C How a company distributes its resources across the areas in which it competes is called _____________. A.resource deployment B.resource utilization C.resource saving D.resource supervision A Developed by middle- and lower-level managers, ___________ plans have a short-term focus and are relatively narrow in scope. A.strategic B.situational C.tactical D.operational D Firms that differentiate their product, keep their costs low, or develop new products or services may do well during the __________ stage of the product life cycle. A.introduction B.decline C.growth D.maturity B A _______ is the most general form of standing plan that specifies the organization's general response to a designated problem or situation. For example, McDonald's has a _______ that it will not grant a franchise to an individual who already owns another fast-food restaurant. A.standard operating procedure B.program C.policy D.project C ____________ is the determination of alternative courses of action to be taken if an intended plan of action is unexpectedly disrupted or rendered inappropriate. A.Contingency planning B.Forecast C.Crisis management D.Goal setting A Organizational decisions can often be made under conditions of true certainty. A. True B. False F If the product is not accepted by the market or is replaced by a new one, the firm with a __________ strategy will suffer A.related diversification B.contingency C.single-product D.unrelated diversification C __________ is when a decision maker stays with a decision even when it appears to be wrong. A.Irrational belief B.Escalation of commitment C.Deliberate reasoning D.Irrational commitment B Fill ONE WORD in the blank to complete the sentence: One aspect of the administrative model of decision-making is __________, which suggests that rather than conducting an exhaustive search for the best possible alternative, decision makers tend to search only until they identify an alternative that meets some minimum standard of sufficiency. satisficing The _________ of a strategy specifies the range of markets in which an organization will compete. A.length B.size C.segment D.scope D A __________ of Abercrombie & Fitch is its speed in moving inventory. It tracks consumer preferences daily with point-of-sale computers, electronically transmits orders to suppliers in Hong Kong, charters 747 cargo planes to fly new products to the United States, and has those products in stores 48 hours later. A.strategic goal B.long-term goal C.distinctive competence D.core value C Which of the following statement is true regarding the classical model of decision making? A.Decision makers can effectively eliminate uncertainty to achieve a decision condition of certainty. B.Decision makers cannot be guaranteed to make decisions in the organization's best interests C.Decision makers often cannot evaluate all aspects of the decision situation logically and rationally. D.Decision makers have complete information about the decision situation and possible alternatives. D You can also click the terms or definitions to blur or reveal them