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Business Management 1 - Final Exam Review

Total questions: 55

Worksheet time: 55mins

Name
Class
Date
1.

The primary purpose of developing organizational goals is to:

a)

assign authority.

b)

provide direction.

c)

ensure profitability.

2.

What project management stage involves determining when project tasks should be performed?

a)

monitoring

b)

processing

c)

scheduling

3.

Sandy, a top-level manager, identifies jobs to be performed, assigns responsibility for them, establishes departments to handle the jobs, and determines how many and which employees the mid-level managers will supervise. Which function of management is Sandy performing?

a)

controlling

b)

directing

4.

Amy and Tom work in a busy purchasing department. Amy relies on Tom to provide her with important information every day to do her job. Because the business’s ability to achieve its goals relies on Amy and Tom’s collaborative efforts, these two employees’ jobs are:

a)

flexible

b)

interdependent

c)

symmetrical

5.

Patrice tells her sales staff to spend one-fourth of their time on sales meetings, one-fourth on sales reports, one-fourth on answering emails, and one-fourth on generating new leads. Which step of the organizing process is Patrice demonstrating?

a)

evaluating results

b)

allocating resources

c)

grouping tasks into structures

6.

Which employee has a human resources management career?

a)

Lydia is in charge of communicating with her business's suppliers.

b)

Brian is in charge of orienting new employees and preparing them to do their jobs.

c)

Michael helps his company align business and IT goals to aid in

7.

The Vice Presidents of Marketing, Product Development, Finance, and Operations all report to Camille, the CEO of a Fortune 500 company. They each have their own teams made up of several employees. Which organization structure does this represent?

a)

functional

b)

matrix

8.

A plant manager or a department head would be an example of which level of management?

a)

middle

b)

operating

c)

top

9.

The number of employees that a manager can effectively supervise is their:

a)

delegation

b)

span of control

10.

Which is an advantage of a wide span of control?

a)

requires fewer managerial skills

b)

costs less because businesses employ fewer managers

11.

Which level of management is responsible for purchasing the proper material resources for workers to use in doing their jobs?

a)

first-line

b)

middle

c)

top-level

12.

What management function is responsible for coordinating resources in ways that maximize efficiency?

a)

controlling

b)

directing

c)

organizing

13.

Which type of organizational design has an emphasis on teamwork?

a)

lateral relations

b)

matrix structure

14.

Which type of business management and administration career is all about people?

a)

operations management

b)

human resources management

15.

Positions within:

a)

operations management.

b)

supply chain management.

16.

Department Manager, Small Business Manager, and Regional Manager are positions in:

a)

general management.

b)

operations management.

17.

Benefits Administrator, Labor Relations Manager, and Compensation Analyst are positions within:

a)

operations management.

b)

human resources management.

18.

The role of ethics in human resources management involves:

a)

planning the hiring process.

b)

treating all employees fairly.

19.

It is important for employees to follow the rules of conduct established by management to:

a)

reduce the need for professional development.

b)

maintain a consistent and fair work environment.

20.

Which is an example of human resources management?

a)

Kurt prepares a press release to distribute to the media.

b)

Tony explains the company's policies to a new employee during orientation.

21.

Which is a benefit to businesses of orienting new employees?

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22.

Which question should a manager consider when hiring a new employee?

a)

How should the workload be distributed?

b)

How will the company compensate this worker?

23.

What management function involves motivating and encouraging an employee?

a)

directing

b)

recruiting

24.

The first task in the human resources management activity of staffing is:

a)

determining need.

b)

determining job descriptions.

25.

A human resources department uses interactive computer simulations to help employees learn how to do their jobs. For which purpose is the department using this technology?

a)

compliance

b)

training

26.

A primary activity of the directing function of management is:

a)

initiating action.

b)

identifying skills.

27.

The key to recruiting is:

a)

negotiating job offers.

b)

finding the right number of applicants.

28.

Which is an example of an ethical dilemma that human resources managers may encounter?

a)

recruiting job candidates

b)

promoting a qualified employee

c)

developing an employee pay scale

d)

hiring a friend or a family member

29.

Why is it important for managers to provide stability through direction?

a)

By providing stability, managers can eliminate risks.

b)

Instability leads to a greater chance of a high reward.

c)

Employees who feel secure are more productive and happier.

d)

Companies that have stability struggle to guide employees’ work.

30.

Angela’s team consistently hits sales targets and exceeds profit goals. Angela can see that she is a successful director by examining:

a)

time standards.

b)

quality standards.

31.

Which management function involves identifying qualified candidates to perform the business’s work?

a)

controlling

b)

leading

c)

persuading

d)

staffing

32.

Which scenario depicts the directing function?

a)

A CEO determines the company's goals.

b)

A manager hires six new staff members.

c)

A supervisor tells her team the tasks it needs to complete.

d)

A president figures out which staff members should report to him.

33.

Which scenario illustrates the creative aspect of directing?

a)

A manager instructs employees to develop a new website.

b)

A CEO directs a manager, who directs lower-level employees.

c)

A supervisor spends time getting to know each employee individually.

d)

A supervisor tries to determine why his employees are unable to get along.

34.

Directing is pervasive, which means that it:

a)

runs continuously.

b)

flows from the top down.

35.

Which business resource provides information about the company’s dress codes, vacation policies, and general rules for appropriate behavior?

a)

personnel record

b)

employee handbook

36.

If an employee continually fails to follow the firm’s rules of conduct, the firm is likely to:

a)

develop quotas.

b)

change its policies.

c)

promote the person.

d)

take disciplinary action.

37.

What is a cost associated with customer complaints?

a)

loss of sales

b)

higher commissions

c)

additional advertising

d)

markups on inventory

38.

Businesses and customers are taking place:

a)

in stores.

b)

on the phone.

c)

through the mail.

d)

over the Internet.

39.

Businesspeople from one country need to be aware of the cultural differences of businesspeople from other parts of the world to avoid:

a)

meeting face-to-face.

b)

being insulting or rude.

c)

asking important questions.

d)

discussing personal finances.

40.

Which is an example of a cultural characteristic that would have an impact on businesses trading with certain foreign countries?

a)

type of climate

b)

role of females

c)

source of income

d)

variety of industry

41.

One way for employees to demonstrate a service orientation to customers is to reinforce verbal communication with:

a)

effective pricing plans.

b)

good training methods.

c)

positive body language.

d)

vast personal knowledge.

42.

Which statement is true about customer relationship management (CRM)?

a)

A business has implemented a CRM program if it is providing good customer service.

b)

A primary goal of CRM is to maximize the long-term value of customer relationships.

c)

Price is the most important factor in building a long-term buyer-seller relationship.

d)

Organizational culture has little effect on a customer’s experiences with a business.

43.

Which type of customer relationship management software would be most appropriate for a company that is looking for a more efficient way to track leads, prospects, and customers?

a)

personalization technology

b)

matching engine technology

c)

campaign prediction software

d)

sales force automation technology

44.

A way to show respect for foreign clients’ cultural and social differences is to:

a)

embrace cultural stereotypes.

b)

use slang and idioms frequently.

c)

pronounce their names correctly.

d)

always speak in one’s native language.

45.

After a sales call, Carlos inputted a summary of the discussion in the company’s customer relationship management system. What aspect of customer relationship management is he using?

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46.

Which are the three major areas of customer complaints?

a)

product, personnel, and the business

b)

labeling, faulty design, and mispricing

c)

improper decisions, oversight, and service

d)

poor service, inaccurate forms, and rudeness

47.

Salespeople who are well informed about the brands, sizes, and styles of goods that their business offers can easily answer which customer question?

a)

What time does the business open?

b)

What is the business’s return policy?

c)

What type of credit does the business offer?

d)

What type of merchandise does the business carry?

48.

Employees can usually provide good customer service by considering the customers’:

a)

appearance

b)

habits

c)

needs

d)

wages

49.

Which is a factor that affects a business’s selection of policies to guide its operations?

a)

the nature of the business

b)

the space available to display policies

c)

the communication skills of employees

d)

the personal preferences of management

50.

The first step in handling customer complaints is to:

a)

tell the customer to be brief.

b)

call the manager for assistance.

c)

let the customer explain the problem.

d)

ask the customer to submit a written grievance.

51.

A business’s brand promise is what the business intends to:

a)

name its product.

b)

use as a trademark.

c)

provide to the customer.

d)

sell to the target market.

52.

What form of technology is MSB using as an element of customer relationship management?

a)

dial-up

b)

wireless

c)

traditional

d)

global positioning

53.

What should one do to determine whether a customer’s complaint is justified?

a)

ask a supervisor

b)

restate the complaint

c)

take immediate action

d)

investigate the problem

54.

If an irate customer yells because of a billing error, what should one do to demonstrate a customer-service mindset?

a)

ensure the error is corrected

b)

blame the billing department

c)

become as upset as the customer

d)

complain about the customer’s attitude

55.

“I buy only the most expensive brands” is a statement that characterizes which type of customer?

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