QUESTION Explain why two companies would want to join together in a merger or acquisition. What will be an ideal response? ANSWER Mergers and acquisitions help companies diversify and manage risk. A company may join with another company that offers different types of products, does business in new geographic areas, or has a specialized […]
QUESTION An organization’s structure determines all of the following EXCEPT A) who is responsible for what. B) who is unionized. C) who answers to whom. D) who will manage whom. ANSWER B
QUESTION In a free market economy, scarce resources are rationed through ________. a. government intervention b. prices c. economics d. societal pressures ANSWER b
QUESTION Which of the following questions can help you gauge your own emotional intelligence? a. Do you get people excited about anything? b. Do others come to you for advice when they are trying to do something new? c. How often does your honesty cost you something important? d. Do you motivate yourself? ANSWER […]
QUESTION What is the concept of the long tail? What will be an ideal response? ANSWER Instead of selling millions of units of a single product, some companies succeed by selling a few units of millions of products. Movie and music download sites are examples.
QUESTION That’s Brilliant sells $1 light bulbs for home use. Last year, the company produced 10 million bulbs and sold 8.5 million bulbs. The number of light bulbs offered by That’s Brilliant is the ________. a. supply b. demand c. surplus d. shortage ANSWER a
QUESTION An effective division of labor A) reduces conflict between employees from different units or divisions. B) allocates the majority of workers to the company’s headquarters. C) helps an organization avoid human-resources-related lawsuits. D) maximizes an organization’s productivity. ANSWER D
QUESTION An organization chart A) depicts the relationships between departments or employees in an enterprise. B) shows the competitive strategy that the organization’s management has defined. C) lays out the pay scales and actual salaries everyone in the company is earning. D) indicates the physical arrangement of the company’s office buildings and plants. ANSWER […]
QUESTION Leaders do all of the following EXCEPT ________. a. possess an entrepreneurial mindset b. look for new and better ways to get things accomplished c. have no vision d. innovate in order to effect change ANSWER c
QUESTION What are the disadvantages to using friends, family, and credit cards for short-term financing? What will be an ideal response? ANSWER Relationships with friends and family could be damaged if the borrower cannot pay back the debt or if the lenders do not like how the business is being operated. Credit cards usually […]
