Foundations of Management Exam Questions
Course Introduction
Foundations of Management introduces students to the fundamental concepts, theories, and practices that underpin effective management in organizations. The course explores key managerial functions such as planning, organizing, leading, and controlling, and examines the roles and skills required for effective decision-making and problem-solving. Students will learn about organizational structures, the dynamics of motivation and teamwork, and the impact of the external environment on management practices. By integrating real-world examples and case studies, the course provides a strong base for understanding the challenges and responsibilities faced by managers in today's dynamic business environment.
Recommended Textbook Fundamentals of Management Essential Concepts and Applications 10th Edition by Stephen P.
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Chapter 1: Managers and Management
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Sample Questions
Q1) Designing a series of interview questions to provide information about possible customers for a company would primarily require ________.
A)technical skills
B)interpersonal skills
C)conceptual skills
D)political skills
Answer: C
Q2) A common factor that all managers face in today's world is the ________.
A)changing nature of work
B)lagging development of technology
C)demand to move to a production based economy
D)boredom of employees
Answer: A
Q3) Which of the following would political skills be most likely to help a manager accomplish?
A)increasing communication
B)mentoring
C)defining goals
D)building a power base
Answer: D
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Chapter 2: The Management Environment
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Sample Questions
Q1) In a short essay, give an example of how an organizational story can have an impact on the organization itself.
Answer: The story of Nike's Bill Bowerman taking his wife's waffle iron and pouring rubber into it illustrates creativity at its best-an employee who is willing to go to great lengths to see if he can solve a difficult problem.The impact that this story can have on an organization can inspire workers to look in unusual places to find answers to tough problems.For example, if the story is successful today, it is inspiring Nike workers to refuse to accept a conventional solution to a problem if it is not adequate, and to resort to an unconventional solution if it is able to get the job done.
Q2) In a short essay, describe how an organization obtains its culture and give an example.
Answer: An organization's culture typically originates with the organization's founders.For example, IBM's founder, Thomas Watson, laid down the foundation for his company in the 1920s as an organization that "pursues excellence." The culture evolves as it interacts with current members of the organization.Thus, IBM's current CEO Louis Gerstner went back to the founder's original vision of the company but infused a modern interpretation of that vision into the current company.
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Chapter 3: Integrative Managerial Issues
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Sample Questions
Q1) As long as it has broken no laws and done nothing unethical, a business has fulfilled its responsibility to society.
A)True
B)False
Answer: False
Q2) In the Physics department, which choice best characterizes the problem Gina needs to work on?
A)workforce diversity
B)entrepreneurship
C)customer service
D)work process engineering
Answer: A
Q3) Which of the following dimensions from the GLOBE framework has no equivalent counterpart in Hofstede's framework?
A)gender differentiation
B)humane orientation
C)future orientation
D)individualism/collectivism
Answer: A
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Chapter 4: Foundations of Decision Making
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Sample Questions
Q1) A top-level manager is most likely to solve problems under which condition?
A)certainty
B)risk
C)uncertainty
D)high certainty
Q2) Uncertainty involves a situation in which the probability of a certain outcome is known to be small.
A)True
B)False
Q3) Structured problems typically have ________ while unstructured problems typically have ________.
A)only one solution; many solutions
B)many solutions; one solution
C)many solutions; fewer solutions
D)two solutions; three solutions
Q4) Which of the following traits do all creative people seem to share?
A)They like to save time.
B)They get along well with others.
C)They love their work.
D)They don't like to work hard.
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Chapter 5: Foundations of Planning
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Sample Questions
Q1) A politician whose ultimate goal is to get elected is planning campaign ads for TV.In planning the ads, the politician is functioning at a ________ level.
A)strategic
B)long-term
C)tactical
D)directional
Q2) A company with a stability strategy will plan to dramatically increase market share in a highly competitive market.
A)True
B)False
Q3) Which of the following functional areas has become an important strategic element for companies such as Prada?
A)customer servicer
B)cost control and accounting
C)human resources
D)information technology
Q4) In a short essay, describe the first two steps in the strategic management process.
Q5) In a short essay, discuss Porter's differentiation strategy.
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Chapter 6: Organization Structure
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Sample Questions
Q1) ________ is the power that rests on the leader's ability to punish or control.
A)Reward power
B)Coercive power
C)Expert power
D)Referent power
Q2) In a ________ structure each business unit has complete autonomy to reach its goals.
A)simple
B)functional
C)divisional
D)matrix
Q3) Woodward concluded that the least complex of the technologies was ________.
A)unit production
B)mass production
C)process production
D)quality production
Q4) An organic organization tends to be flexible and have few formal rules.
A)True
B)False
Q5) In a short essay, describe the characteristics of a simple structure.
Page 8
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Chapter 7: Managing Human Resources
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Sample Questions
Q1) Human resource management activities are restricted to the operational level and do not have an impact on organizational strategy or design.
A)True
B)False
Q2) In testing for the executive position, Frances has a candidate fill out a typical sample budget for the department he would be working in.This is an example of a(n)________ test.
A)written
B)performance-simulation
C)intelligence
D)written interview
Q3) Job referrals generally are NOT a good method for improving workplace diversity.
A)True
B)False
Q4) An accept error involves not hiring an employee who could have performed well in a job.
A)True
B)False
Q5) In a short essay, discuss the process of orientation and its major goals.
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Chapter 8: Managing Change and Innovation
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Sample Questions
Q1) Managers should aspire to eliminate all stress from the work environment.
A)True
B)False
Q2) Managers typically implement programs to reduce resistance to change when employees ________ in some way.
A)become uncomfortable
B)are challenged
C)become self-satisfied
D)become dysfunctional
Q3) Which kind of resistance to change is most likely to be beneficial to a company?
A)conflict with company goals
B)uncertainty
C)habit
D)fear of losing status or possessions
Q4) A technique that helps employees deal with change that includes them in the decision-making process is ________.
A)education and communication
B)negotiation
C)participation
D)coercion
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Chapter 9: Foundations of Individual Behavior
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Sample Questions
Q1) In attribution theory, ________ behavior is largely beyond an individual's control.
A)externally caused
B)internally caused
C)consistent
D)inconsistent
Q2) Perceptual shortcuts can sometimes be accurate and valuable.
A)True
B)False
Q3) John Holland's theory assumes all of the following EXCEPT ________.
A)different types of jobs are suited to different personalities
B)people in jobs that suit their personality are likely to be more satisfied
C)there are intrinsic personality differences in people
D)people in jobs that suit their personality make more money
Q4) Taking a job in a repressive country that you disapprove of politically might cause discomfort from dissonance unless ________.
A)the job suits you well
B)the job offers enormous pay
C)the job offers little pay
D)the job does not suit you well
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Chapter 10: Understanding Groups and Managing Work Teams
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Sample Questions
Q1) To be considered a group, a gathering must include at least five people.
A)True
B)False
Q2) Asch was surprised most by finding that in some conditions, group members would provide information that they knew to be ________.
A)slightly exaggerated
B)vague
C)wrong
D)not fully substantiated
Q3) Low cohesiveness combined with a strong alignment between group goals and organizational goals typically results in this.
A)a small productivity increase
B)a productivity decrease
C)a moderate productivity increase
D)no productivity change
Q4) There is no way to reduce social loafing within a team.
A)True
B)False
Page 12
Q5) In a short essay, describe the characteristics of a problem-solving team.
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Chapter 11: Motivating and Rewarding Employees
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Sample Questions
Q1) A theory that suggests that employees compare their inputs and outputs from a job to the ratio of relevant others is known as ________.
A)action motivation
B)goal setting
C)reinforcement theory
D)equity theory
Q2) A manager with a Theory X view of human nature would ________.
A)be unlikely to allow workers to work independently
B)be likely to let workers coordinate their work
C)allow workers to monitor themselves
D)trust his or her workers
Q3) In Herzberg's view, removing a hygiene factor makes a person less dissatisfied with his or her job.
A)True
B)False
Q4) Motivation is NOT ________.
A)a permanent personal trait
B)a process that leads to a goal
C)something that varies from situation to situation
D)something that requires a direction
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Chapter 12: Leadership and Trust
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Sample Questions
Q1) Which category of follower is considered to be able but unwilling to complete a task?
A)R1
B)R2
C)R3
D)R4
Q2) When two members of a team are having a personal conflict, the team leader takes on this role.
A)conflict manager
B)liaison
C)troubleshooter
D)coach
Q3) Results from the leader-participation model conclude that it is more important to talk about autocratic and participative ________.
A)situations than leaders
B)leaders than situations
C)leaders than followers
D)followers than situations
Q4) In a short essay, describe the University of Michigan leadership studies.
Q5) In a short essay, describe the basics of situational leadership theory (SLT).
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Chapter 13: Managing Communication and Information
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Q1) When an auto industry manager raves about plans for a new car design and fails to see the flaws in the model, he is engaging in this.
A)selective perception
B)filtering
C)emotion
D)information overload
Q2) A good rule of thumb is never to try to communicate an important message until your emotions are under control.
A)True
B)False
Q3) A listener's summary of a speaker's words shows that the listener correctly understood the speaker's message.Which of the following must be true?
A)The speaker used clear, simplified language.
B)The listener used active listening.
C)The speaker sent a clear message and the listener successfully received the message.
D)Either the speaker sent a clear message or the listener was able to interpret an unclear message successfully despite its lack of clarity.
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Chapter 14: Foundations of Control
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Sample Questions
Q1) A spell-checker that corrects words as you type in a word processing program is an example of feedforward control.
A)True
B)False
Q2) What managers choose to measure is largely determined by A)what an organization does well.
B)the organization's structure.
C)the company's image.
D)the leaders and leadership style of those in the organization.
Q3) The major drawback of feedback control is that by the time the manager has the information, the problem has already occurred.
A)True
B)False
Q4) In a short essay, describe the first step in the control process.
Q5) When a budget is formulated, it is being used as a(n)________ tool.
A)organizing
B)controlling
C)planning
D)leadership
Q6) In a short essay, describe feedforward control and give an example of its use.
Page 16
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Chapter 15: Operations Management
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Sample Questions
Q1) Service organizations ________.
A)produce physical and nonphysical outputs
B)produce physical outputs
C)require nonphysical inputs
D)produce nonphysical outputs
Q2) When ________ exist(s)in a value chain, partners will be extremely reluctant to share information.
A)sophisticated technological infrastructure doesn't
B)sophisticated technological infrastructure
C)trust doesn't
D)trust
Q3) On eBay, brand-new red espresso machines routinely sell for $50 more than identical white machines.What can you conclude?
A)The color white has no value.
B)The color red has value.
C)Color has no value since it does not add to the function of the machine.
D)There is something different about the red machines.
Q4) Value chain management is externally oriented.
A)True
B)False
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Chapter 16 : History Module
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Sample Questions
Q1) During the organizing phase of an entrepreneurial venture, an entrepreneur ________.
A)states a mission
B)selects a legal business organization form
C)creates a business plan
D)selects an organizational design
Q2) A person with a proactive personality is someone who ________.
A)takes action
B)avoids taking action
C)is entrepreneurial
D)is not entrepreneurial
Q3) Which of the following is typically involved in exploring the entrepreneurial context of a new venture?
A)researching the venture's feasibility
B)uncovering business ideas
C)exploring finance options
D)pinpointing potential competitive advantages
Q4) In a short essay, describe how an entrepreneur is like a jazz band leader.
Q5) In a short essay, describe the contents of the executive summary part of a full business plan.
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Chapter 17: Quantitative Module
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Sample Questions
Q1) Frank and Lillian Gilbreth got their ideas for management from the book Cheaper by the Dozen.
A)True
B)False
Q2) A good model for Mary Parker Follett's view of a successful organization might be
A)a movie theater audience
B)a state legislature
C)a beehive
D)a college classroom
Q3) What inspired Robert Owen to devote efforts into creating a safer workplace?
A)possible profit from factories
B)articles in the newspaper
C)deplorable factory conditions
D)greedy factory owners
Q4) Henry Gantt's contribution to management theory was to develop efficient ways to schedule.
A)True
B)False
Q5) In a short essay, describe the Hawthorne studies and how they were interpreted.
Page 19
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Chapter 18: Career Module
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Sample Questions
Q1) An optimistic manager will typically follow a maximax choice.
A)True
B)False
Q2) In a short essay, explain the type of strategy that a pessimistic manager would take for his company.
Q3) In the economic order quantity (EOQ)model, one of the costs that gets considered for analysis is the carrying costs of tying up money with inventory.
A)True
B)False
Q4) A new upgrade for a product is expected to increase demand by a factor of 4.If all other factors remain equal, how is EOQ likely to change?
A)EOQ will double.
B)EOQ will increase by 50 percent.
C)EOQ will decrease by 50 percent.
D)EOQ will not change.
Q5) Another term for queuing theory is "waiting line" theory.
A)True
B)False
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Chapter 19: Entrepreneurship Module
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Sample Questions
Q1) Explain how the idea of a career has changed over recent decades.
Q2) Which statement best summarizes the relationship between success and luck?
A)All successes depend partly on luck.
B)Most successes depend totally on luck.
C)Success has nothing to do with luck.
D)Luck seldom has anything to do with success.
Q3) In the workplace, being a generalist is usually more desirable than being a specialist.
A)True
B)False
Q4) The term career applies only to high-level professionals such as designers or physicians, not laborers.
A)True
B)False
Q5) The best investment a person can make in his or her own future is to get a good education.
A)True
B)False
Q6) Explain what a competitive advantage is and why it is important in career development.
Page 21
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