Chapter 1
How are managers different than non-managers?
Managers direct and oversee others, while non-managers work directly on tasks. It's a manager's duty to help and assist the non-managers but that is not their only job.
The actively enrolled students, the professors, other faculty/staff, the family of students, those who donate to the university, prospective students, the Poughkeepsie area, and beyond.
What is the definition of a global village?
A boundaryless world where goods and services are produced and marketed worldwide.
What is the first step in the decision-making process?
Identification of a problem.
Which side are the "debits" in an account's t-chart?
The left side.
What are the four basic functions of management?
Planning, organizing, leading controlling.
What component of the external environment includes trends in population characteristics such as age, race, gender, education level, geographic location, income, and family composition?
Demographics
Name at least three ways a company can go global (Bonus points if you give examples!)
Foreign Subsidiary, Strategic Alliance, Joint Venture, Licensing, Franchising, Exporting and Importing, Global Sourcing.
After you implement the alternative (Step 7), what is the next step in the decision-making process?
Evaluation of decision effectiveness.
What is the name of the owner's equity account in the Statement of Owner's Equity?
What is the difference between effectiveness and efficiency?
Efficiency means doing a task correctly (“doing things right”) and getting the most output from the least amount of inputs.
Effectiveness means “doing the right things” by doing those work tasks that help the organization reach its goals.
List at least two ways a company can create an innovative culture.
Challenge and involvement, Freedom, Trust and openness, Idea time, Playfulness/humor, Conflict resolution, Debates, Risk taking
Define what a Multidomestic Corporation is and give an example.
A multidomestic corporation is a type of multinational corporation (MNC) that adapts its products, services, and strategies to each local market it operates in. Instead of offering a standardized global approach, it customizes its operations to meet local cultural, legal, and consumer preferences.
Example: McDonald’s – Although it’s a global brand, it changes its menu to reflect local cuisines (e.g., McPaneer in India, Teriyaki Burger in Japan).
Name at least two common decision-making errors.
Overconfidence, Immediate gratification, anchoring effect, Selective perception, Confirmation bias, availability bias, Representation bias, randomness bias, sunk costs error, self-serving bias, hindsight bias, revision bias
What are the four financial statements in order?
Income statement, Statement of Owner's Equity, Balance Sheet, Cash Flows
What are Mintzberg's three categories for managerial roles?
Interpersonal roles (Figurehead, leader, liaison), Informational roles (spokesperson, disseminator, monitor), Decisional roles (Entrepreneur, disturbance handler, resource allocator, and negotiator)
What are the two dimensions of uncertainty?
Degree of Complexity: Complex or Simple
Give one example of a dimension of cultural difference and explain why it's important to consider it.
Assertiveness, Future orientation, Gender differentiation, Uncertainty avoidance, Power distance, Individualism/Collectivism, In-group collectivism, Performance orientation, Humane orientation
How do you calculate the worth of the alternative based on the criteria and its weight?
By calculating Assessment Criteria x Criteria Weight for each piece of criteria, then adding them together for the total value.
What is the accounting equation?
Assets = Liabilities + Equity
Name the three management levels in order and define what their responsibilities/duties are.
Top Managers - responsible for making decisions about the direction of the organization and establishing policies
Middle Managers - responsible for translating goals set by top managers to lower-level managers
First-line Managers - responsible for day-to-day activities for non-managerial employees
Name the six key elements of organizational culture (bonus points if you give examples!)
Describe at least one way that ethical behavior can be determined/developed in an organization.
Morality, Values, Personality, Experience, Organization’s culture, Issue being faced, Code of Ethics.
What are two advantages and two disadvantages of group decision making?
Advantages: Diverse perspectives improve creativity and solutions, Better information sharing, Greater acceptance and commitment to decisions
Disadvantages: Time-consuming process, Risk of groupthink suppressing dissent, Dominance by outspoken members, Potential for conflict among members
What is the difference between an "Accounts Payable" and a "Notes Payable"?
An "Accounts Payable" is typically a credit card or other purchases made on account. A "Notes Payable" requires a promissory note or other form of formal note, such as a loan from a bank.