Deck 4: Environment, innovation, and Sustainability

Question 1

The general environment comprises the actual organizations,groups,and persons with whom an organization interacts and conducts business.

Answer 1

False

Question 2

The number of different factors in the environment is referred to as the rate of change.

Answer 2

False

Question 3

Competitive advantage can be achieved through quality by finding ways and using technology to create products and services that are of consistently higher quality for customers than what is offered by one's competitors.

Answer 3

True

Question 4

A sustainable business both meets the needs of customers and protects the natural environment for future generations.

Question 5

Stakeholders are the persons,groups,and institutions directly affected by an organization.

Question 6

Competitive advantage is something that an organization does extremely well,that can be copied by its competitors,and help them gain an advantage.

Question 7

Rising labor costs,higher shipping costs,and public criticisms about destroying local jobs can cause global firms to return to their home countries.

Question 8

The Millennials are characterized with the ease of multitasking,desire for immediate gratification,continuous contact with others,and less concern with knowing things than with knowing where to find out about things.

Question 9

The more uncertain the environment,the easier it is to analyze environmental conditions and predict future states of affairs.

Question 10

A sustainable business can be initiated by recycling and reusing materials in order to minimize waste and pollution of the environment.

Question 11

Inflation,income levels,and job outlook are part of the sociocultural conditions in the general environment.

Question 12

Competitive advantage achieved through costs will help an organization earn profits with prices that one's competitors have difficulty matching.

Question 13

Generational cohorts consist of people born within a few years of one another and who experience somewhat similar life events during their formative years.

Question 14

Internet censorship is the deliberate blockage and denial of public access to information posted on the Internet.

Question 15

Sustainable business practices generate substantial amounts of waste and toxic materials.

Question 16

Offshoring is the return of jobs from foreign locations as companies establish new domestic operations.

Question 17

The Baby Boomers are "digital natives" who grew up in technology-enriched homes,schools,and friendship environments.

Question 18

The least challenging and certain situation is an environment of organizations that is both complex and dynamic.

Question 19

The legal-political conditions in the global business environment are uniform across all countries.

Question 20

Risk taking is a way to step forward and try new things.

Question 21

Lubnia experienced a high rate of inflation.This led to a significant rise in prices,fluctuating market conditions,and a sharp decline in investments and savings.This implies that the inflation had created a negative impact on the ________ conditions in the environment of Lubnia.

A)economic
B)legal
C)technological
D)sociocultural
E)political

Question 22

An organization that does not provide health insurance to employees can be categorized as one with poor human sustainability.

Question 23

The executives of Acme Ltd.pay equal attention toward maximizing profits of the firm,maintaining the well-being of its employees,satisfying its customers,and preserving the environment.This indicates that Acme Ltd.uses the triple bottom line approach.

Question 24

The concept of reverse innovation got its start as global firms moved away from viewing innovation as a "home market" activity that creates new products and services for distribution to "foreign markets."

Question 25

________ environment consists of economic,legal-political,sociocultural,technological,and natural environment conditions.

A)Specific
B)Task
C)General
D)Stakeholder
E)Customer

Question 26

Which of the following represents the economic conditions in the general environment?

A)Patents
B)Infrastructure
C)Internet access
D)Unemployment rate
E)Norms

Question 27

Which of the following would qualify as a reason for reshoring?

A)Low costs in the target country
B)Complicated logistics in the target country
C)Excellent customer service in the target country
D)Low shipping costs in the target country
E)Low labor costs in the target country

Question 28

A country faced a severe recession that resulted in loss of jobs and low income levels,which in turn affected the lifestyles of the consumers.Which of the following conditions are influencing the environment of the country?

A)Political conditions
B)Legal conditions
C)Technological conditions
D)Sociocultural conditions
E)Economic conditions

Question 29

Product innovations result in better ways of doing things.

Question 30

Which of the following examples illustrates the economic conditions in the general environment?

A)An organization conducting virtual meetings
B)An organization holding a session on business ethics
C)An organization providing Broadband facilities at its workplace
D)An organization raising the pay of its employees
E)An organization discussing the philosophy and objectives of political parties

Question 31

Mayer Inc.,an automobile corporation based in London,shifts its manufacturing activities to China in order to minimize its cost of production.Which of the following is Mayer Inc.engaging itself in?

A)Repatriation
B)Nationalization
C)Backshoring
D)Offshoring
E)Reshoring

Question 32

Which of the following involves outsourcing of jobs to foreign locations?

A)Reshoring
B)Offshoring
C)Repatriation
D)Nationalization
E)Backshoring

Question 33

The final step of assessing in the innovation process involves commercializing innovation by turning it into actual products,services,or processes that increase profits by improving sales or lowering costs.

Question 34

Human sustainability emphasizes the importance of employees as they are organizational stakeholders.

Question 35

Environmental capital is the storehouse of natural resources that we use to sustain life and produce goods and services for society.

Question 36

High-uncertainty environments require an ability of decision makers to respond quickly as new circumstances arise and new information becomes available.

Question 37

Innovation is a low priority when executives and leaders try to steer organizations through complex and uncertain environments.

Question 38

Which of the following falls on the positive side of risk-taking behavior of organizations?

A)Risk taking from position of performance difficulty
B)Risk taking motivated by desperation to get out of bad situation
C)Risk taking from hard time dealing with problems without losing focus
D)Risk taking with the ability to deal with problems as they arise
E)Risk taking from little staying power

Question 39

AZB Inc.,a software corporation based in the United States,used to operate from several countries with lower labor costs.When the firm started to incur high costs in the foreign countries and received complaints and criticisms about the loss of local jobs,the firm decided to return to its home country.The change made to the firm's global strategy is an example of ________.

A)offshoring
B)outsourcing
C)nationalization
D)privatization
E)reshoring

Question 40

Business model innovations result in new ways of making money for the firm.

Question 41

The ________ environment includes the people and groups with whom an organization interacts.

A)general
B)natural
C)specific
D)macro
E)external

Question 42

The marketing executives of Brown Inc.observe the demographics of the population at its different areas of operation.They work toward satisfying the needs and preferences of individuals belonging to various demographic groups.The factors that they analyze include age,ethnicity,income levels,and gender.This implies that Brown Inc.focuses on the ________ conditions in the general environment to make sales.

A)technological
B)legal
C)philosophical
D)sociocultural
E)political

Question 43

Meg has the ability to multitask and maintain continuous contact with others.She believes in receiving immediate gratification.This implies that Meg is most likely a ________.

A)Baby Boomer
B)Millennial
C)Gen X
D)Baby Buster
E)Golden Boomer

Question 44

Which of the following is a part of the sociocultural conditions in the general environment?

A)Inflation
B)Financial markets
C)Government policies
D)Intellectual properties
E)Demographics

Question 45

Bart has a diverse collection of the latest video games.He owns a mobile phone with a number of applications.His school is well equipped with Internet facilities.Which of the following generational cohorts does Bart most likely belong to?

A)Baby Boomer Generation
B)Gen X Generation
C)Baby Buster Generation
D)Millennial Generation
E)Golden Boomer Generation

Question 46

F5,a financial services organization,advertises its financial products and instruments on social networking sites and other Websites.This implies that the firm is utilizing the ________ conditions in the general environment.

A)natural
B)legal
C)technological
D)sociocultural
E)political

Question 47

Which of the following examples illustrates the legal-political conditions in the general environment?

A)Bureaucratic decisions made in a nation
B)Financial market situation existing in a nation
C)Job outlooks of different individuals of a nation
D)Information technology systems or infrastructure of a nation
E)Population demographics of a nation

Question 48

Diversity issues relating to educational opportunity,access to technology,housing options,and so on are parts of the ________ conditions in the general environment.

A)economic
B)legal
C)technological
D)sociocultural
E)political

Question 49

Which of the following examples illustrates the technological conditions in the general environment?

A)Features and applications available on an individual's phone
B)Income levels of an individual
C)Housing options for an individual
D)Job options for an individual
E)Educational opportunities for an individual

Question 50

Which of the following are characterized by ease of multitasking,desire for immediate gratification,continuous contact with others,and less concern with knowing things than with knowing where to find out about things?

A)Millennials
B)Gen Xs
C)Baby Busters
D)Golden Boomers
E)Baby Boomers

Question 51

________ are "digital immigrants" that have had to learn about technology as it became available.

A)Baby Boomers
B)Gen Ys
C)Gen Xs
D)Millennials
E)Gen Zs

Question 52

Synergy Inc.implements the use of social media,digital sharing of presentations,data,files,and holds regular virtual meetings.This indicates that the firm has reasonably well-equipped ________ conditions in the organizational environment.

A)natural
B)technological
C)legal
D)sociocultural
E)political

Question 53

The government of Lubnia imposes certain rules and regulations regarding interest rates and other transactions.This is an example of the ________ conditions of the general environment.

A)natural
B)technological
C)sociocultural
D)legal-political
E)educational

Question 54

The managers of Axis Inc.emphasize the importance of team norms,business ethics,and respect for human rights in the organization.This implies that the organization is working on the ________ conditions in the organizational environment.

A)economic
B)legal
C)sociocultural
D)technological
E)political

Question 55

BNQ Pvt.Ltd.,a media corporation headquartered in California,has its operations across different nations.The activities of the firm are affected by the government policies and the ideologies of the legislative institutions existing in the host countries.Which of the following factors are affecting the firm's operations?

A)Economic conditions
B)Sociocultural conditions
C)Legal-political conditions
D)Technological conditions
E)Natural environment conditions

Question 56

Which of the following aspects of demographics comprises of generational cohorts?

A)Income levels
B)Race
C)Age
D)Ethnicity
E)Gender

Question 57

A sustainable business:

A)is involved in risk-taking from position of performance difficulty.
B)has a lack of information regarding what exists in the business environment and what developments may occur.
C)creates products or services that become so widely used that they largely replace prior practices and competitors.
D)meets the needs of customers and protects the natural environment for future generations.
E)is an organization motivated by desperation to escape existing difficulties.

Question 58

Which of the following examples would qualify as a potential problem of the existing ever-present technological condition?

A)An organization advertising its products on social networking websites
B)An organization's employees regularly engaging in online pastimes during work hours
C)An organization conducting regular virtual meetings
D)A musician promoting his debut musical project on the Internet through media Websites
E)An organization implementing digital sharing of files,presentations,and projects

Question 59

Stakeholders:

A)are described as employees who move to foreign locations to reduce costs to the organization.
B)are individuals who propose laws and regulations,government policies,and the philosophy and objectives of political parties.
C)are owners of organizations who take risks motivated by desperation to get out of bad situations.
D)refer to the employees who return from different host countries and help in establishing new domestic operations.
E)are the persons,groups,and institutions directly affected by an organization.

Question 60

The patent attorney of EII Inc.was accused of stealing the organization's invention.This scenario is an example of the ________ conditions of the general environment.

A)natural
B)legal-political
C)technological
D)sociocultural
E)educational

Question 61

Which of the following is true of stakeholders?

A)Members of the specific or task environment are often described as stakeholders.
B)Stakeholders are influenced by their stakes but they are not allowed to influence it in return.
C)An organization's performance does not affect the stakeholders.
D)All stakeholders belong to the generational cohort of Baby Boomers.
E)All stakeholders are "digital natives" who grew up in technology enriched homes,schools,and friendship environments.

Question 62

Saturn Electronics Inc.offers computer programs and software programs including software drivers and plug-ins that can be self-installed easily.The firm's introduction of programs that can be self-installed is an example of ________ innovation.

A)product
B)process
C)business model
D)reverse
E)social business

Question 63

Which of the following examples illustrates a firm that has achieved competitive advantage through quality?

A)A firm that invests less on its production processes
B)A firm that focuses on producing zero defect products
C)A firm that uses technology to deliver products to its customers well in advance
D)A firm that has adequate resources to adapt to different customer needs and preferences
E)A firm that incurs less expenditures than its competitors,enabling it to charge lower prices than its competitors

Question 64

Innovation refers to the:

A)lack of information regarding what exists in the environment.
B)people and groups with whom an organization interacts.
C)process of taking a new idea and putting it into practice.
D)return of jobs from foreign locations as companies establish new domestic operations.
E)things that an organization does extremely well and that give it an advantage.

Question 65

Ben Cars Pvt.Ltd.achieves a competitive advantage by spending less than its competitors on labor,operations,promotions,and features offered.This enables the firm to charge relatively lower prices from its customers.Which of the following is a competitive advantage of the firm?

A)High quality
B)Low costs
C)Flexibility
D)Delivery
E)Adaptability

Question 66

Which of the following illustrates a firm that has achieved competitive advantage through delivery?

A)A firm that uses technology to produce durable products
B)A firm that develops timely new products
C)A firm that has the flexibility to operate successfully in any business environment
D)A firm that makes small financial investments at the time of production
E)A firm that can adapt and change according to the needs of different customers

Question 67

Which of the following is an example of a product innovation?

A)A firm launching a new range of candies
B)A firm allowing customers to mail the desired designs of goods
C)A firm introducing a new online shopping model
D)A firm introducing new technology to ease the installation process
E)A firm changing its line of business from manufacturing automobiles to producing music

Question 68

Which of the following is true of environmental uncertainty?

A)The less uncertain the environment,the harder it is to analyze environmental conditions and predict the future states of affairs.
B)The least challenging situation is an environment that is both complex and dynamic.
C)High-uncertainty environments require less flexibility in organizational designs and work practices as different circumstances arise every now and then.
D)High-uncertainty environments require people to make decisions gradually since new circumstances arise constantly.
E)The uncertainty of an organization can be analyzed using degree of complexity and rate of change.

Question 69

TBZ Inc.introduced a new generation of shoes that prevent any type of injury to the wearer's feet.This is an example of a:

A)process innovation.
B)product innovation.
C)business model innovation.
D)social business innovation.
E)paradigm innovation.

Question 70

Which of the following is an example of process innovation?

A)A firm launching a new car model
B)A restaurant where customers are allowed to taste samples of dishes and then get their orders customized
C)A footwear manufacturer introducing a unique range of shoes
D)A firm introducing a new software to protect computers from viruses
E)A firm changing its line of business from manufacturing eyewear to producing watches

Question 71

Fittleworth Inc.,an online retail firm,owns a patented technology that ensures that its goods and services reach customers on time.The firm also has the ability to develop timely new products.Fittleworth Inc.has gained competitive advantage through ________.

A)quality
B)costs
C)flexibility
D)delivery
E)adaptability

Question 72

Which of the following examples displays a firm with a competitive advantage achieved through quality?

A)An organization that is famous for its durable products
B)A corporation that reduces its expenses by finding new production processes
C)A firm that delivers goods and services faster than its competitors
D)An organization that gains profits by charging less prices
E)A company that tailors its goods and services to fit consumer needs and preferences

Question 73

Which of the following examples illustrates a firm that has achieved competitive advantage through costs?

A)A firm that uses patented technology to deliver goods and services to customers on time
B)A firm's ability to adjust and adapt to different demographic segments and satisfy their needs
C)A firm that invests only a small amount on promotion and maximizes profits by charging low prices
D)A firm's technology that creates high quality products and services
E)A firm that specializes in developing timely new products

Question 74

Striker Corporation produces mobile phones,smart phones,and laptops.In terms of longevity and user-friendliness,the firm's products are rated the best.Also,it offers applications and features with the latest technology.Which of the following has enabled Striker Corporation to achieve a competitive advantage over its competitors?

A)Quality
B)Costs
C)Flexibility
D)Delivery
E)Adaptability

Question 75

Which of the following illustrates a firm that has achieved competitive advantage through flexibility?

A)A firm that creates customized products based on each of its customer's preferences
B)A firm that produces goods by maintaining high quality standards
C)A firm that ensures speedy delivery of goods compared to its competitors
D)A firm that develops products with unique features that are not made available by any of its competitors
E)A firm that develops timely new products

Question 76

Which of the following forms of innovation focuses on better ways of doing things?

A)Product innovation
B)Process innovation
C)Business model innovation
D)Social business innovation
E)Paradigm innovation

Question 77

Which of the following is an example of a process innovation?

A)A firm putting coupons on the Web
B)A firm introducing a new social media site
C)A firm introducing "ready to assemble" furniture
D)A firm converting the movie rental business into a subscription business
E)A firm creating the world's largest online marketplace

Question 78

Which of the following is true of value creation by businesses?

A)Businesses create value for customers through realized profits and losses.
B)Businesses create value for employees by wages earned and job satisfaction.
C)Businesses create value for competitors through the benefits of long-term business relationships.
D)Businesses create value for suppliers by the citizenship they display.
E)Businesses create value for local communities by stimulating markets and innovations that didn't exist before.

Question 79

Competitive advantage can be achieved through ________ by finding ways and using technology to adjust and tailor products and services to fit customer needs in ways that are difficult for one's competitor to match.

A)quality
B)costs
C)flexibility
D)delivery
E)durability

Question 80

Lucy Inc.introduced a new line of deodorized clothes produced with natural ingredients such as flowers and fruits,to reduce the impact of the environmental hazards caused by the production of deodorants.This implies that Lucy Inc.was engaging in _________.

A)process innovation
B)business model innovation
C)product innovation
D)skimming
E)performance innovation