Question 1

A government inspection has required your company to upgrade the safety equipment in the manufacturing process of ice creamery. What dimension of the external environment has influenced these upgrades?

Accepted Answer

The government inspection requirement is a legal-political dimension of the external environment that has influenced the upgrades.

Question 2

__________ means that managers do not have sufficient information about environmental factors to understand and predict environmental needs and changes.

Accepted Answer

Uncertainty refers to a lack of information or knowledge about environmental factors, which leads to difficulty in understanding and predicting environmental needs and changes. Adaptation refers to the process of adjusting to changes in the environment, while risk refers to the potential for losses or negative outcomes due to environmental factors. Knowledge and education, while important, do not directly relate to uncertainty in this context.

Question 3

A growing area of boundary spanning is __________, which refers to activities to get as much information as possible about one's rivals.

Accepted Answer

The growing area of boundary spanning referred to in the question is competitive intelligence, which involves activities aimed at gathering information about competitors. Option B, informational intelligence, and Option C, business intelligence, are related concepts but do not specifically refer to activities aimed at collecting information about rivals. Option D, big data analytics, and Option E, artificial intelligence, are not directly related to boundary spanning or competitive intelligence.

Question 4

Integrated Computers, Inc. wants to compile a profile of the customer it will target in its next promotional mailing. What environment would this be found in?

Accepted Answer

The task environment includes the customers, suppliers, competitors, and other entities that directly affect a company's daily operations. Therefore, compiling a customer profile for a promotional mailing falls under the task environment.

Question 5

The people and organizations in the environment that acquire goods or services from the organization are:

Accepted Answer

Customers are the people or organizations who purchase goods or services from an organization, and are therefore an important part of the organization's external environment. Competitors are other organizations that offer similar goods or services, suppliers are the organizations that provide the goods or services needed by the organization, and employees are the people who work for the organization. The labor market refers to the supply of potential employees for the organization.

Question 6

The __________ dimension of the general environment includes federal, state, and local government regulations.

Accepted Answer

The legal-political dimension of the general environment includes laws, regulations, and government policies at the local, state, and federal levels. This includes areas such as taxation, labor laws, environmental regulations, and trade restrictions.

Question 7

The __________ dimension of the general environment consists of demographic characteristics, such as population density.

Accepted Answer

The sociocultural dimension of the general environment includes demographic characteristics, such as population size and density, as well as cultural norms, values, and beliefs. The other dimensions listed (technological, legal-political, internal, and economic) are distinct from demographic factors.

Question 8

Which of the following roles are assumed by people and/or departments that link and coordinate the organization with key elements in the external environment?

Accepted Answer

Boundary spanning roles are assumed by people and/or departments that link and coordinate the organization with key elements in the external environment.

Question 9

Kristen's Jewelry Shop has just hired a comparative shopper to visit other local jewelry stores to gain product pricing information. What strategy is this describing?

Accepted Answer

Boundary spanning refers to activities that involve interacting with entities outside of the organization in order to gather information or influence decisions. In this case, Kristen's Jewelry Shop is hiring someone to gather pricing information from other local jewelry stores, which is an example of boundary spanning.

Question 10

When the Miami Herald launches a Spanish-language newspaper, El Nuevo Herald, with articles emphasizing Hispanic, Cuban, and Latin American news and sports, it is responding to changes in the __________ dimension of the general environment.

Accepted Answer

The Miami Herald launching a Spanish-language newspaper focused on Hispanic, Cuban, and Latin American news and sports is a response to sociocultural changes in the general environment. As the Hispanic population grows in the United States, there is a growing need for media outlets that cater specifically to this demographic.

Question 11

The general environment dimension that includes consumer purchasing power, the unemployment rate, and interest rates is called the __________ dimension.

Accepted Answer

The economic dimension of the general environment includes factors such as consumer purchasing power, the unemployment rate, and interest rates. This dimension is concerned with the overall state of the economy and how it affects businesses and consumers. Factors such as inflation, recession, and economic growth are also part of the economic dimension.

Question 12

In response to pressure from environmental advocates, organizations have become increasingly sensitive to diminishing __________ resources.

Accepted Answer

The sentence mentions environmental advocates, which suggests a concern for natural resources. Option B) economic and option C) financial are not mentioned in the context of the sentence. Option D) human is not relevant to the reference of diminishing resources. Option E) technological is an unrelated concept to natural resources.

Question 13

Kyla works as an engineer at TechSystems, Inc. She regularly has to work more than 50 hours per week to meet her deadlines. Management at TechSystems runs monthly performance reports, and those employees who do not meet their deadlines and goals are terminated. Management pays little attention to cultural values. Based on this information, which organizational outcome does TechSystems belong in?

Accepted Answer

Quadrant A represents a high-pressure, results-oriented culture where meeting deadlines and goals is prioritized over cultural values, aligning with TechSystems' focus on performance and termination for unmet goals.

Question 14

Roberta is a top-level executive at a banking institution. She spends a significant part of her day meeting with local government officials, everyday consumers, and federal banking officials to address key issues in the banking industry. Roberta's role can best be described as:

Accepted Answer

Roberta's role involves interacting with individuals and organizations outside of her own banking institution, such as government officials and consumers. This is known as boundary spanning, which involves working across organizational boundaries to achieve goals.

Question 15

Which of the following is not a part of adapting the organization to changes in the environment for coping with high environmental uncertainty?

Accepted Answer

Advertising/public relations is not directly related to adapting the organization to changes in the environment for coping with high environmental uncertainty. The other options listed are all strategies for adapting the organization to changes in the environment.

Question 16

Three large electronics companies have recently formed a strategic alliance to develop an innovative new cell phone. This is an example of which managerial trend?

Accepted Answer

The forming of a strategic alliance among companies is an example of a joint venture, which is a managerial trend that has become increasingly popular over recent years.

Question 17

Which of the following dimensions of the general environment includes all elements that occur naturally on Earth?

Accepted Answer

The dimension of the general environment that includes all elements that occur naturally on Earth is the natural environment. It encompasses all living and non-living things that occur naturally, such as air, water, plants, animals, minerals, and climate.

Question 18

__________ intelligence is an approach to boundary spanning which results from using sophisticated software to search through internal and external data to spot patterns, trends, and relationships that might be significant.

Accepted Answer

Business intelligence involves using software to analyze data for patterns and trends, aiding in decision-making and boundary spanning.

Question 19

Which of the following statements regarding the current external business environment is true?

Accepted Answer

Joint ventures are on the rise. This can be observed in the current business landscape as more and more companies are collaborating with each other to gain competitive advantage and enter new markets. The other options provided in the question are incorrect. Corporate culture is important, but it does not define success in the external business environment. The business environment is dynamic and constantly changing, not static. While mergers and acquisitions remain prevalent, they are not declining.

Question 20

Jefferson and Squire is an advertising firm that is viewed as having a fast-paced and posh corporate culture. The company uses bold coloring with expensive accents in all office décor. This exemplifies which level of corporate culture?

Accepted Answer

The use of bold coloring and expensive accents in office décor is a visible artifact that exemplifies the company's corporate culture.

Quiz 3: The Environment and Corporate Culture