Business Administration
Exam Materials
Course Introduction
Business Administration is a multidisciplinary course that introduces students to the fundamental principles and practices involved in managing organizations effectively. Covering key areas such as management, marketing, finance, accounting, human resources, and operations, this course equips students with essential knowledge and skills for decision-making, leadership, and strategic planning. Through theoretical frameworks, case studies, and practical applications, students learn to analyze business environments, understand organizational behavior, and develop solutions to real-world business challenges, preparing them for a wide range of roles in the corporate and entrepreneurial sectors.
Recommended Textbook
Contemporary Management 10th Edition by Gareth
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Page 2
Jones
Chapter 1: Managers and Managing
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Sample Questions
Q1) At a recent staff meeting, Jim was praised by his CEO for always choosing the right goals to pursue.The quality that Jim displays here is efficiency.
A)True
B)False
Answer: False
Q2) Marietta is the product manager at Fireflies Ltd., a company that designs and manufactures clothes and fashion accessories.Noticing the rising popularity of rhinestone jewelry and the fact that only a handful of stores actually stocked it, she decided to take advantage of the latent demand in the market.Marietta knew that she was taking a risk by committing organizational resources to pursuing this idea, but was confident about the merit of her decision.In deciding the allocation of resources for attaining her goals, which managerial task can Marietta be said to be performing?
A)leading
B)organizing
C)planning
D)restructuring
E)controlling
Answer: C
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Chapter 2: The Evolution of Management
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Sample Questions
Q1) Management science theory focuses on the use of rigorous quantitative techniques.
A)True
B)False
Answer: True
Q2) _____ is the study of the factors that have an impact on how individuals and groups respond to and act in organizations.
A)Hawthorne studies
B)Organizational behavior
C)Management science
D)Scientific management
E)Administrative management
Answer: B
Q3) _____ is (are) known for refining Taylor's analysis of work movements.
A)Henri Fayol
B)Adam Smith
C)Max Weber
D)Frank and Lillian Gilbreth
E)Mary Parker Follett
Answer: D
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Page 4
Chapter 3: Values, Attitudes, Emotions, and Culture: The
Manager As a Person
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Q1) A(n) _____ is what a person is striving to achieve in life and how they want to behave.
A)terminal value
B)value system
C)instrumental value
D)attitude
E)need for affiliation
Answer: B
Q2) Organizational culture reflects the distinctive ways in which organization members relate to one another and work together.
A)True
B)False
Answer: True
Q3) People with an internal locus of control
A)believe that outside forces are responsible for events in their life.
B)do not make attempts to solve problems or change situations.
C)tend to be highly unethical and unhelpful.
D)believe that they are responsible for their own fate.
E)believe that their actions make no difference to the events around them.
Answer: D
Page 5
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Chapter 4: Ethics and Social Responsibility
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Sample Questions
Q1) Decisions that managers take to protect the rights of some stakeholders often hurt the rights of others.
A)True
B)False
Q2) Which of the following statements is true of organizational ethics?
A)Employees are much more likely to act unethically when a credo exists.
B)Employees are more likely to act unethically when the company's top managers consistently endorse the ethical principles in its corporate credo.
C)Top managers play the least important role in determining a company's ethics.
D)The individual ethics of a company's founders and top managers are especially important in shaping the organization's code of ethics.
E)They are standards that govern how members of a profession, trade, or craft should conduct themselves when performing work-related activities.
Q3) Organizational ethics are the standards that govern how members of a profession should conduct themselves.
A)True
B)False
Q4) Discuss the relationship between ethics and laws.
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Page 6
Chapter 5: Managing Diverse Employees in a Multicultural Environment
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Sample Questions
Q1) Because of preexisting schemas, Max has an inaccurate perception of one of his new employees.How will Max's perception affect his relationship with the new employee?
Q2) Describe the three different types of interpersonal managerial roles. Each of these roles is critical for the managerial process.Which of the three roles do you think you could perform best?
Q3) The sales manager at STU Inc., Riley, has to promote either Mark or Kate to the position of assistant sales manager.Mark and Kate are equally good resources.Riley promotes Kate because he believes that all women are soft-spoken and polite.Riley is influenced by
A)the similar-to-me effect.
B)the salience effect.
C)the social status effect.
D)stereotypes.
E)biases.
Q4) What are the four initial steps that managers can take to eradicate sexual harassment in their organizations?
Q5) Define diversity.What information would you use to support the view that diversity is a pressing concern and issue for managers and organizations?
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Chapter 6: Managing in the Global Environment
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Sample Questions
Q1) The basic building blocks of national culture are
A)values and norms.
B)political and legal forces.
C)ethnographic forces.
D)corporate values and organizational culture.
E)the task and general environment.
Q2) A decline in the number of young people joining the workforce and an increase in the number of active employees who are postponing retirement are examples of _____ forces in the general environment.
A)demographic
B)terminal
C)ethnographic
D)geopolitical
E)instrumental
Q3) Nations forming political unions that allow free exchange of resources and capital is an example of the political and legal forces in the environment.
A)True
B)False
Q4) Define globalization and explain why the global market is becoming more open.
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Chapter 7: Decision Making, Learning, Creativity, and Entrepreneurship
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Sample Questions
Q1) Based on guidelines established by the accounting manager, Jaime, the accounts payable clerk, makes payments to vendors in order to maximize discounts.What type of decision does this represent?
A)programmed
B)bounded
C)intuitive
D)groupthink
E)creative
Q2) Which of the following is true about a learning organization?
A)Allowing individuals to develop a personal sense of mastery is detrimental to organizational learning.
B)Organizations need to encourage employees to develop and use complex mental models.
C)Individual learning is more important than team learning in increasing organizational learning.
D)Building a shared vision can curb an individual's sense of creativity.
E)Creativity increases when managers pressure employees to deliver creative solutions quickly.
Q3) Explain how groupthink can override good decision making and problem solving.
Page 9
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Chapter 8: The Manager As a Planner and a Strategist
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Sample Questions
Q1) A computer operating system software manufacturer invests its profits in creating newer versions of its operating system software to make best use of the continuous changes in computer hardware.This is called diversification.
A)True
B)False
Q2) To lower costs, the divisional head of an organization decides to set up the division's technical support center in another country.This is an example of a business-level strategy.
A)True
B)False
Q3) A winery decides to manufacture its own bottles instead of purchasing them from a bottle manufacturing company to reduce costs.The winery is employing a forward vertical integration strategy.
A)True
B)False
Q4) Describe the four qualities of an effective plan as emphasized by Henri Fayol.
Q5) Suzanne is pursuing a focused differentiation strategy for a start-up business.How will technology (IT) affect the small company's competitiveness against larger and more powerful companies?
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Chapter 9: Value Chain Management: Functional Strategies for Competitive Advantage
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Sample Questions
Q1) An automobile manufacturer redesigning the body of one of its cars to improve its aerodynamics is an example of quantum product innovation.
A)True
B)False
Q2) The goal of Six Sigma is to improve a company's quality to only _____ defects per million by systematically altering the way all the processes involved in value chain activities are performed.
A)three
B)ten
C)thirty
D)five
E)six
Q3) What is a value chain? Define value chain management and list the various functions along the value chain.
Q4) List and briefly explain the three basic facilities layouts or ways of arranging workstations with an example of the type of products produced by each type.
Q5) What is total quality management (TQM)? List the 10 steps necessary to implement a successful TQM program.
11
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Chapter 10: Managing Organizational Structure and Culture
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Sample Questions
Q1) Managers increase coordination among functions and divisions by
A)establishing liaison roles.
B)creating more managerial levels.
C)developing a taller organizational structure.
D)reducing the span of control.
E)implementing a mechanistic organizational structure.
Q2) Explain how a matrix structure makes the most of human resources.
Q3) The CEO of BigBen Suppliers, Inc.organized the divisions in his organization according to the customers they serve.The BigBen organization is using the _____ structure.
A)geographic
B)product
C)market
D)functional
E)customer
Q4) As the hierarchy of an organization becomes taller, the organization may become less flexible.
A)True
B)False
Q5) What are the advantages and disadvantages of a matrix structure?
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Chapter 11: Organizational Control and Change
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Sample Questions
Q1) Martin becomes personally involved with his subordinates and guides them.This is an example of
A)clan control.
B)an MBO system.
C)bureaucratic control.
D)output control.
E)direct supervision.
Q2) How do the three mechanisms of behavior control (direct supervision, management by objectives, and bureaucratic control) help managers keep subordinates on track?
Q3) Which type of financial ratio is computed by dividing the organization's present assets by its present liabilities?
A)inventory turnover ratio
B)days sales outstanding ratio
C)profit ratio
D)current ratio
E)debt-to-assets ratio
Q4) What would result if there are too many rules and too much standardization in an organization?
Q5) Describe Lewin's force-field theory.
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Chapter 12: Human Resource Management
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Sample Questions
Q1) The _____ prohibits child labor and provides for minimum wages, overtime pay, and maximum working hours to protect workers' rights.
A)Equal Pay Act
B)Fair Labor Standards Act
C)National Labor Relations Act
D)Title VII of the Civil Rights Act
E)Civil Rights Act
Q2) Discuss how performance appraisal and feedback contribute to the effective management of human resources within an organization.
Q3) A manager attempting to select a test for a job applicant that will most accurately predict the applicant's performance on the job is primarily concerned with the _____ of the test.
A)validity
B)predictability
C)reliability
D)compatibility
E)consistency
Q4) Discuss how different organizational strategies affect wages and pay levels.
Q5) Discuss the five major components of a human resource management system.
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Chapter 13: Motivation Performance
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Sample Questions
Q1) The source of _____ motivation lies with actually performing the behavior, and motivation comes from doing the work itself.
A)extrinsic
B)ethnocentric
C)xenocentric
D)intrinsic
E)operational
Q2) From a motivation standpoint, stock options are used to reward them for past performance.
A)True
B)False
Q3) A manager at an insurance company wants to stimulate high motivation and performance among his sales representatives.Based on the goal-setting theory, the manager should set goals that are A)easy.
B)difficult.
C)moderate.
D)simple.
E)nonspecific.
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Page 15
Chapter 14: Leadership
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Sample Questions
Q1) Cameron is a top-level manager for a software company.How can Cameron ensure that he has an adequate amount of expert power to perform his leadership roles?
Q2) Stacy fired Jan for unethical behavior, exercising _____ power.
A)virtual
B)instrumental
C)referent
D)informal
E)coercive
Q3) Female managers
A)engage in more consideration than male managers.
B)tend to be harsher than male managers when they punish their subordinates.
C)tend to make more decisions on their own.
D)tend to be less participative than male managers.
E)continue to be underrepresented in top leadership posts.
Q4) Do men and women differ in effective leadership? What effect does this have on organizational effectiveness?
Q5) Discuss the participation levels of female leaders.
Q6) Explain why ongoing research suggests leadership styles vary across cultures.
Q7) Differentiate between the five types of power that leaders use.
Page 16
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Chapter 15: Effective Groups and Teams
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Sample Questions
Q1) Differentiate groups from teams and also discuss how the use of groups and teams can help an organization gain a competitive advantage.
Q2) Which of the following statements is true about groups that are smaller in size?
A)Members of small groups tend to be less motivated.
B)Members interact less with each other in small groups.
C)Managers of small work groups obtain a smaller advantage from division of labor.
D)Members of small groups find it harder to share information with one another.
E)Managers of small work groups tend to be less committed.
Q3) A task force submits its final report on the project that they had been working on before disbanding.At which stage is the group operating?
A)forming
B)storming
C)adjourning
D)norming
E)performing
Q4) Differentiate between the two types of informal groups.Provide an example of each.
Q5) Discuss why diversity is important for top-management teams.
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Page 17
Chapter 16: Promoting Effective Communication
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Sample Questions
Q1) Which of the following communication networks is often found in command groups with pooled task interdependence?
A)circle network
B)all-channel network
C)chain network
D)wheel network
E)cubic network
Q2) Horizontal communication occurs when Scott communicates among his subordinates.
A)True
B)False
Q3) Which of the following is true about nonverbal communication?
A)It includes encoding messages into written words.
B)Messages that cannot be sent through verbal channels can't be communicated nonverbally either.
C)It can be controlled more easily than verbal communication.
D)It reinforces verbal communication.
E)It cannot be used in congruence with verbal communication.
Q4) List and define each of the four types of communication media.
Q5) What are the communication skills that managers must possess as receivers of messages?
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Chapter 17: Managing Conflict, Politics, and Negotiation
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Sample Questions
Q1) _____ is when some individuals in an organization are more highly regarded than other groups in the organization.
A)Incompatible evaluation
B)Task interdependence
C)Status inconsistency
D)Intergroup conflict
E)Overlapping authority
Q2) ______ are third-party negotiators who can impose what they believe is a fair solution to a dispute that both parties are obligated to abide by.
A)Opinion leaders
B)Arbitrators
C)Mediators
D)Hagglers
E)Compromisers
Q3) Superordinate goals are goals that all parties involved in a conflict agree to support.
A)True
B)False
Q4) What are status inconsistencies? Provide an example.
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Chapter 18: Used Advanced Information Technology to Increase Performance
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Q1) Large companies that need immense processing power have a(n) _____ computer at the center or hub of the network that can quickly process vast amounts of information and can handle electronic communications between PCs situated in different LANs.
A)server
B)client
C)mainframe
D)cloud
E)personal
Q2) Define information technology and management information system.Briefly explain the three primary reasons why managers need information.
Q3) Establishing measurable standards of performance, measuring actual performance, comparing actual performance against established goals, and evaluating the results and taking corrective action are steps to
A)launch a new product in the market.
B)indicate the life cycle of a product.
C)achieve control over organizational activities.
D)reduce group cohesiveness among members.
E)increase a company's investments in research and development.
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