Course Introduction
Business Administration
Textbook Exam Questions
Business Administration is an interdisciplinary field that focuses on the planning, organization, direction, and control of business activities to achieve organizational objectives efficiently and effectively. The course covers core areas such as management, marketing, finance, human resources, and operations, providing students with the knowledge and skills needed to analyze business problems, develop strategic solutions, and make informed decisions. Through a combination of theoretical frameworks and practical case studies, students learn to navigate the complexities of the modern business environment, adapt to changing market conditions, and lead organizations toward sustainable success.
Recommended Textbook Management 6th Asia Pacific Edition by
John R. Schermerhorn Jr
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Page 2
Chapter 1: The Changing World of Management
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Sample Questions
Q1) Crisis management requires managers to develop five important leadership skills: staying calm,putting people before business,knowing when to get back to business,telling the truth and remaining visible.
A)True
B)False
Answer: True
Q2) A social entity that is goal directed and deliberately structured is referred to as: A) an organisation
B) management
C) employees
D) students
E) tasks.
Answer: A
Q3) Explain the concept of paradigm shift.
Answer: As organisations experience rapid change,managers must have the ability to think in new and different ways.As managers change the way they think,perceive and understand,they experience a paradigm shift.These changes allow the manager and the organisation to maintain a better 'fit' with volatile organisational environments.
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Chapter 2: The Evolution of Management Thinking
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Sample Questions
Q1) The point of Theory Y is that organisations can take advantage of the imagination and intellect of all of their employees.
A)True
B)False
Answer: True
Q2) The concept of focus on managing the total organisation to deliver customer satisfaction is known as:
A) total quality management (TQM)
B) synergy
C) the human resource perspective
D) contented management
E) behavioural sciences approach.
Answer: A
Q3) A management perspective that emphasises satisfaction of employee needs as a key to increasing productivity is known as the ___________________ (three words).
Answer: human resources movement
Q4) _______________ forces refers to the influence of legal institutions on people and organisations.
Answer: Political
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Chapter 3: The Environment and Corporate Culture
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Sample Questions
Q1) A University graduation is a public celebration of the completion of several years of academic study.Such a public celebration would be considered a:
A) symbol
B) story
C) ceremony
D) hero
E) culture.
Answer: C
Q2) A(n)______________________ (two words)comprises a number of organisations with similar interests for the purposes of influencing their environment . Answer: Trade association
Q3) The change in the frequency of mergers and acquisitions would represent a trend in the economic dimension.
A)True
B)False
Answer: True
Q4) List the five dimensions of the general environment.
Answer: Technological,sociocultural,economic,legal-political,international.
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Page 5
Chapter 4: Managing in a Global Environment
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Q1) Managing human resources in a multinational or global company can present important challenges for both the company and the employee.Identify the main challenges that both parties face in the placement of human resources internationally.Identify the strategies that might be employed to address these challenges.
Q2) Which of the following sectors present the greatest potential for international mistakes?
A)Economic sector
B)Sociocultural sector
C)Legal-political sector
D)All of these choices.
E)B and C.
Q3) In the ____________________ stage,the company has marketing and production facilities located in many countries and more than one-third of annual sales come from outside the home country.
Q4) List three examples of a 'political risk'.
Q5) According to the GLOBE project,the extent to which a society maximises gender role differences known as its ______________________ (two words).
Q6) List the dimensions of national value systems identified by Hofstede.
Page 6
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Chapter 5: Ethics,Social Responsibility and Sustainable Development
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Sample Questions
Q1) The obligation of organisation management to make decisions and take actions that will enhance the welfare and interests of society as well as the organisation is referred to as:
A) organisational responsibility
B) corporate social responsibility
C) discretionary responsibility
D) economic responsibility
E) educational responsibility.
Q2) Which of these refers to the code of moral principles and values that govern behaviour with respect to what is right and wrong?
A) Social responsibility
B) Free domain
C) Ethics
D) Codified law
E) Discretionary responsibility
Q3) A(n)____________________ is any group within or outside the organisation that has a stake in the organisation's performance.
Q4) Define what is meant by the term 'corporate social responsibility'.
Q5) List and define the criteria of corporate social responsibility.
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Chapter 6: Managing Start-Ups and New Ventures
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Sample Questions
Q1) A psychological characteristic that enables a person to accept the threat of competition and potential risk is called a tolerance for ambiguity.
A)True
B)False
Q2) List the six characteristics of entrepreneurs.
Q3) An entrepreneur recognises a viable idea for a business product or service and carries it out.
A)True
B)False
Q4) Funding from a large number of investors giving small amounts of money,typically through social media and Internet is known as a(n):
A) debt financing
B) angel funding
C) crowdsourcing
D) crowdfunding
E) None of these choices.
Q5) A ____________________ (two words)is an unincorporated business owned by an individual,carried on for profit.
Q6) List the viable tactics for becoming a new business owner.
Page 8
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Chapter 7: Organisational Planning and Goal Setting
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Q1) List the four stages of the Shewhart Cycle of continuous improvement.
Q2) 'Standing plans' are developed to achieve a set of goals that are unlikely to be repeated in the future,whereas 'single use plans' are ongoing and used to provide guidance for tasks performed repeatedly within the organisation.
A)True
B)False
Q3) Professor Grim requires that all absent students bring a note from their doctor when returning to tutorial classes.This is an example of a:
A) retentive rule
B) standing plan
C) program
D) procedure
E) project.
Q4) Mission statements often reveal the company's philosophy as well as purpose. A)True B)False
Q5) List and define the four major activities that must occur in order for management by objectives (MBO)to succeed.
Q6) The three essential stages of crisis management are
Page 9
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Chapter 8: Strategy Formulation and Implementation
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Sample Questions
Q1) A(n)_______________ company is present in many countries,but it encourages marketing,advertising and product design to be modified and adapted to the specific needs of each country.
Q2) The SWOT analysis framework assesses the strengths,weaknesses,opportunities and threats that affect organisational performance.
A)True
B)False
Q3) The ______________ strategy can be profitable for an organisation because customers are loyal and willing to pay high prices.
A) focus
B) globalisation
C) overall cost leadership
D) differentiation
E) liquidation
Q4) Porter's three generic strategies include cost-leadership,differentiation and focus. A)True
B)False
Q5) List Porter's competitive forces.
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Chapter 9: Managerial Decision Making
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Sample Questions
Q1) ____________________ (two words)is decision-making technique in which people are assigned to express competing point of view.
Q2) Under the administrative model,managers make decisions in situations characterised by programmed decisions and high levels of certainty.
A)True
B)False
Q3) ____________________ means that decision makers choose the first solution alternative that satisfies minimal decision criteria.
Q4) Identify and define the four personal decision making styles.
Q5) The ________________ technique uses face-to-face groups to spontaneously suggest a broad range of alternatives to decision making.
Q6) ____________________ refers to the media comprehension of the decision situation based on past experience,but without conscious thought.
Q7) _______________________________________ (two words)is the process of forming alliances among managers.
Q8) List the six steps in the managerial decision making process as indicated in the text.
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Chapter 10: Designing Organisation Structure
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Sample Questions
Q1) Change and uncertainty in the environment are usually associated with:
A) work specialisation
B) decentralisation
C) centralisation
D) tight vertical control
E) division of labour.
Q2) Unity of command and the scalar principle are both closely related to the:
A) amount of work specialisation in an organisation
B) degree of formalisation
C) chain of command
D) amount of bureaucracy in the organisation
E) matrix structure.
Q3) A(n)____________________ structure is characterised by an overall broad span of control and relatively few hierarchical levels.
Q4) Under the __________________ (two words)the organisation subcontracts many of its major functions to separate organisations and coordinates their activities from a small headquarters organisation.
Q5) Define span of management and explain if there is an ideal span of management.
Q6) List the advantages and disadvantages of the divisional structure.
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Chapter 11: Managing Change and Innovation
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Sample Questions
Q1) Change that pertains to an organisation's production process is known as a product change.
A)True
B)False
Q2) Encouraging the flow of ideas from functional levels of the organisation and making sure they are considered by executives is known as the bottom-up approach to innovation.
A)True
B)False
Q3) Identify the eight-step plan for implementing change that can provide a greater potential for successful transformation of a company.
Q4) The three innovative strategies for changing product and technologies include exploration,competition and entrepreneurship.
A)True
B)False
Q5) Idea champions,the new venture teams and skunkworks are all elements of the entrepreneurship approach to innovation.
A)True
B)False
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Chapter 12: Managing Human Resourcess
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Sample Questions
Q1) The __________ is used to collect information about the applicant's education,previous job experience and other background characteristics.
A) job analysis
B) job listing
C) application form
D) job description
E) realistic job preview
Q2) When an experienced employee guides and supports a less experienced employee,it is known as:
A) stereotyping
B) mentoring
C) coaching
D) compensation and benefits
E) exit interview.
Q3) Define what is meant by strategic human resource management.How does it differ from traditional human resource management?
Q4) List the seven techniques that underpin an effective interview process.
Q5) List the four steps in attracting an effective workforce.
Q6) Explain the appraisal process known as '360-degree feedback'.
Page 14
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Chapter 13: Managing Diversity
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Q1) Identify and define the three factors that shape personal bias.
Q2) John believes that all Australian men are loud,obnoxious and drink a lot of alcoholand this affects his decisions when conducting interviews for new staff.This scenario is an example of _______________.
Q3) Stereotyping is always detrimental to the people it affects,and always produces negative outcomes in the long term for an organisation.
A)True
B)False
Q4) Define the terms 'glass ceiling' and 'affirmative action'.
Q5) When someone acts out there prejudicial attitudes towards people who are the target of their prejudice it is known as:
A) prejudice
B) discrimination
C) stereotyping
D) ethnocentrism
E) None of these choices.
Q6) John believes that all Australian men are loud,obnoxious and drink a lot of alcohol.This belief is an example of _____________________.
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Chapter 14: Individual Behaviour in Organisations
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Sample Questions
Q1) _________________ stress is related to increased levels of performance.
A) Threat stress
B) Change stress
C) General
D) Worklife imbalance
E) None of these choices.
Q2) Loyalty to the heavy involvement in one's organisation is known as an individual's:
A) level of job involvement
B) level of organisational commitment
C) level of cognitive dissonance
D) level of job satisfaction.
Q3) Work behaviour that goes beyond the job requirements and contributions needed for the organisation's success is known as __________________ (two words).
Q4) ____________________ (two words)is a theory that assesses personality by examining the capacity to self-awareness,self-management,social awareness and relationship awareness.
Q5) The ____________________ component of an attitude includes emotions and feelings towards certain aspects of a job.
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Chapter 15: Leadership
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Sample Questions
Q1) List the two dimensions used in Blake and Mouton's Leadership Grid.
Q2) When individuals know and understand themselves,espouse an act consistently with higher order ethical values and empower and inspire others with openness,they have said to have achieved:
A) Pragmatic leadership
B) Servant leadership
C) Interactive leadership
D) Authentic leadership
E) None of these
Q3) The key assumption of Hersey and Blanchard's situational theory is that subordinates vary in their:
A) level of security
B) satisfaction level
C) level of commitment
D) readiness level
E) All of these choices.
Q4) Power emanating from a formal management position in an organisation and the authority granted to it is called ________________ (two words).
Q5) What are the two types of personal power and three types of positional power?
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Chapter 16: Motivating Employees
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Sample Questions
Q1) According to Maslow's theory,low-order needs always take priority - they must be satisfied before higher-order needs are activated.
A)True
B)False
Q2) A job design that incorporates achievement,recognition and other high-level motivators into the work is known as job enlargement.
A)True
B)False
Q3) The degree to which an employee performs a total job with a recognisable beginning and ending.is known as:
A) autonomy
B) job enlargement
C) skill variety
D) task identity
E) feedback.
Q4) ___________________ (two words)means that employees have to buy into the goals in order to be committed to them.
Q5) List the four methods by which employees can be motivated through empowerment.
Page 18
Q6) Define the terms 'goal specificity','goal difficulty' and 'goal acceptance'.
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Chapter 17: Communication in Organisations
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Q1) _________________ listeners exhibit behaviours such as being passive and laid-back,and being minimally involved in a conversation.
Q2) A group of Internet-based applications that would allow the creation and exchange of user generated content is known as:
A) social media
B) Facebooking
C) social networking
D) the grapevine
E) None of these choices.
Q3) Which of these refers to the amount of information that can be transmitted during a communication episode?
A) Feedback
B) Electronic mail
C) Encoding
D) Upward communication
E) Channel richness
Q4) ________________ (two words)relates to messages that flow from the lower to the high levels in the organisation's hierarchy.
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Chapter 18: Leading Teams
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Q1) During the ____________________ stage,the leader's role is to facilitate task accomplishment.
Q2) One of the distinguishing features between a team and a group is that a group's effectiveness is measured indirectly by its influence on the business.
A)True
B)False
Q3) When a team has low performance norms and low cohesiveness,the likely outcome for the team would be:
A) moderate productivity
B) low productivity
C) low/moderate productivity
D) high productivity
E) None of these choices.
Q4) A virtual team is also known as a(n)______________________ team.
Q5) The diversity of the team can have a tremendous impact on team processes and effectiveness.
A)True
B)False
Q6) List and briefly discuss the potential benefits of teams.
Page 20
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Chapter 19: Managerial and Quality Control
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Q1) Your department has absenteeism standards,a way to measure absenteeism,and based on your investigation,you have concluded that your department has an excessive absenteeism rate.What should your next step be?
A) Set new absenteeism standards.
B) Develop new measures of absenteeism.
C) Terminate three offending employees for excessive absenteeism.
D) All of these choices would be good examples of taking corrective action.
E) None of these choices.
Q2) Total quality management is most consistent with which type of control system?
A) Hierarchical control
B) Systematic control
C) Decentralised control
D) Feedforward control
E) Centralised control
Q3) The use of cultural values,traditions,shared beliefs and trust to increase compliance with goals is called decentralised control.
A)True
B)False
Q4) In a TQM program,what is benchmarking and what is outsourcing?
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Chapter 20: Managing the Value Chain, Information
Technology and E-Business
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Sample Questions
Q1) Information technology always reduces the number of management jobs.
A)True
B)False
Q2) __________ is/are raw,unsummarised and unanalysed facts and figures,which in and of themselves may not be useful.
A) Information
B) Data
C) Technology
D) Rumour
E) Facts
Q3) ____________________ uses electronic tags that can identify and track individual items such as books,bottles of laundry detergent,cars,or even people.
A) Flexible manufacturing systems
B) A reliable production system
C) Radio-frequency identification
D)A dependent demand system
E) None of these choices.
Q4) List the four most common facility layouts used for the actual production of a good or service.
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Chapter 21: Making Effective Management Happen
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Q1) According to the dynamic capabilities approach,a dynamic capability that an organisation can use to learn more quickly about customer preferences is said to increase the _____________ (two words)of the organisation.
Q2) List the four characteristics of resources that help an organisation succeed in a competitive market environment.
Q3) A core measurement system is the process of assessing and reporting the key performance parameters that provide feedback information about an organisation's progress towards its goals.
A)True
B)False
Q4) Recognising and rewarding staff for their contribution to innovation efforts is a component of effective ___________________ (two words).
Q5) According to the resource-based view of the organisation,the four characteristics that make a resource particularly useful in a competitive marketplace are that they are: valuable,rare,inimitable and non-substitutable,
A)True
B)False
Q6) Describe the basic assumptions of the dynamic capabilities model.
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