Organization Theory And Design 12th Edition by Richard L. Daft – Test Bank
Chapter 4
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1. An organization’s _____ is the chosen environmental field of action. a. domain b. strategy c. mission d. policy ANSWER: a RATIONALE: Feedback: An organization’s domain is the chosen environmental field of action. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-01 – 04-01 NATIONAL STANDARDS: United States – AACSB: Analytic TOPICS: The Organization’s Environment KEYWORDS: Bloom’s: Remember |
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2. Melissa works in the fashion industry. Her job is to research, by analyzing social media, the growing trends among youth. Her company designs and manufactures clothing based on her analysis. Melissa is a part of the _____ of the task environment. a. industry sector b. market sector c. raw material sector d. international sector ANSWER: b RATIONALE: Feedback: Melissa is a part of the market sector of the task environment. In the market sector, smart companies are keeping tabs on social media (tweets, Facebook) to see what customers and potential customers care about, gain rapid insight into trends, and learn what words to use in marketing. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-01 – 04-01 NATIONAL STANDARDS: United States – AACSB: Reflective Thinking TOPICS: The Organization’s Environment KEYWORDS: Bloom’s: Apply |
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3. The _____ is a part of the task environment because of globalization and intense competition. a. government sector b. technology sector c. international sector d. natural sector ANSWER: c RATIONALE: Feedback: The international sector is a part of the task environment because of globalization and intense competition. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-01 – 04-01 NATIONAL STANDARDS: United States – AACSB: Analytic TOPICS: The Organization’s Environment KEYWORDS: Bloom’s: Remember |
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4. A fast food chain in the United States, Simpson’s Kitchen, got its supply of chicken from a local farm. Its business was adversely affected when the country faced an epidemic of bird flu. The epidemic adversely affected Simpson’s Kitchen’s _____. a. international environment b. general environment c. global environment d. task environment ANSWER: d RATIONALE: Feedback: The epidemic adversely affected Simpson’s Kitchen’s task environment. The task environment typically includes the industry sector, raw materials sector, market sector, the human resources sector, and international sector of an organization. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-01 – 04-01 NATIONAL STANDARDS: United States – AACSB: Reflective Thinking TOPICS: The Organization’s Environment KEYWORDS: Bloom’s: Apply |
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5. Which of the following is a characteristic of the general environment? a. It includes those sectors that will indirectly impact a firm. b. It includes the raw materials and human resources sectors. c. It includes sectors with which the organization interacts directly. d. It includes sectors that are internally controlled by an organization. ANSWER: a RATIONALE: Feedback: The general environment includes those sectors that might not have a direct impact on the daily operations of a firm but will indirectly influence it. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-02 – 04-02 NATIONAL STANDARDS: United States – AACSB: Analytic TOPICS: The Organization’s Environment KEYWORDS: Bloom’s: Understand |
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6. Leo Burton is the CEO of a cigarette manufacturing company. He and his employees suffered a major loss when tobacco products were banned in his country. Leo’s organization was affected by changes in the _____. a. technological environment b. government sector c. international sector d. economic environment ANSWER: b RATIONALE: Feedback: Leo Burton and his employees suffered due to the ban of tobacco products by the government in his country. In the government sector, regulations influence every phase of organizational life. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-02 – 04-02 NATIONAL STANDARDS: United States – AACSB: Reflective Thinking TOPICS: The Organization’s Environment KEYWORDS: Bloom’s: Apply |
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7. The sociocultural sector of an organization is concerned with issues such as: a. the impact of the company’s products and policies on the environment. b. strategies to be undertaken in times of adverse economic conditions. c. the working conditions of workers hired by contractors. d. trending issues on social media sites. ANSWER: c RATIONALE: Feedback: One significant element in the sociocultural sector is pressure from advocacy groups to improve working conditions for employees hired by contractors for large companies such as Walmart, Apple, and Amazon. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-02 – 04-02 NATIONAL STANDARDS: United States – AACSB: Analytic TOPICS: The Organization’s Environment KEYWORDS: Bloom’s: Understand |
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8. Percy developed a new accounting system which processed data that was previously computed by ten accountants. As a result, the new technology replaced ten employees. Due to Percy’s innovation, the technological sector impacted the _____ of the organization. a. external environment b. international environment c. global environment d. general environment ANSWER: d RATIONALE: Feedback: Percy’s innovation contributed to the technological sector which is a part of the general environment. The general environment often includes the government, natural, sociocultural, economic conditions, technology, and financial resources sectors. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-02 – 04-02 NATIONAL STANDARDS: United States – AACSB: Reflective Thinking TOPICS: The Organization’s Environment KEYWORDS: Bloom’s: Apply |
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9. The two ways in which the environment influences organizations are the need for information about changes in the environment and: a. the need for opposition from the environment. b. the need for information about future requirements of customers. c. the need for resources from the environment. d. the need for information about competitors’ activities. ANSWER: c RATIONALE: Feedback: The two essential ways the environment influences organizations are: (1) the need for information about changes in the environment and (2) the need for resources from the environment. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-03 – 04-03 NATIONAL STANDARDS: United States – AACSB: Analytic TOPICS: The Changing Environment KEYWORDS: Bloom’s: Understand |
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10. Besides dynamism and abundance, the third dimension that contributes to the changes in an organization’s environment is _____. a. transparency b. hierarchy c. variability d. complexity ANSWER: d RATIONALE: Feedback: The patterns and events occurring in the environment can be described along three primary dimensions: dynamism, complexity, and abundance. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-03 – 04-03 NATIONAL STANDARDS: United States – AACSB: Analytic TOPICS: The Changing Environment KEYWORDS: Bloom’s: Remember |
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11. Determining an organization’s environmental uncertainty generally means focusing on sectors of the _____. a. general environment b. task environment c. natural environment d. technological environment ANSWER: b RATIONALE: Feedback: Determining an organization’s environmental uncertainty generally means focusing on sectors of the task environment. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-03 – 04-03 NATIONAL STANDARDS: United States – AACSB: Analytic TOPICS: The Changing Environment KEYWORDS: Bloom’s: Remember |
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12. Environmental _____ refers to heterogeneity, or the number and dissimilarity of external elements. a. dynamics b. complexity c. uncertainty d. compatibility ANSWER: b RATIONALE: Feedback: Environmental complexity refers to heterogeneity, or the number and dissimilarity of external elements. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-03 – 04-03 NATIONAL STANDARDS: United States – AACSB: Analytic TOPICS: The Changing Environment KEYWORDS: Bloom’s: Remember |
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13. Which of the following is an external element that contributes to environmental complexity? a. Managers b. Employees c. Suppliers d. Board of directors ANSWER: c RATIONALE: Feedback: Environmental complexity refers to heterogeneity, or the number and dissimilarity of external elements (e.g., competitors, suppliers, industry changes, government regulations) that affect an organization’s operations. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-03 – 04-03 NATIONAL STANDARDS: United States – AACSB: Analytic TOPICS: The Changing Environment KEYWORDS: Bloom’s: Remember |
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14. Which of the following statements is true of environmental complexity? a. It refers to homogeneity b. The number of companies in an organization’s domain do not affect its complexity. c. Industry changes do not contribute to environmental complexity. d. It refers to the number and dissimilarity of external elements. ANSWER: d RATIONALE: Feedback: Environmental complexity refers to heterogeneity, or the number and dissimilarity of external elements (e.g., competitors, suppliers, industry changes, government regulations) that affect an organization’s operations. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.04-03 – 04-03 NATIONAL STANDARDS: United States – AACSB: Analytic TOPICS: The Changing Environment KEYWORDS: Bloom’s: Understand |
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