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Exam 3: The Organizational Environment and Culture

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Question 31

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For many years, Mars, Incorporated manufactured M&M's candies in assorted but fixed colors. M&M's were known and branded worldwide as individual candies featuring single solid colors. Then, in response to technological advancements and evolving customer tastes and expectations, Mars adapted its technical core by producing M&M's in an infinite variety of configurations and colors, even offering M&M's with personal photographs imprinted upon them. Thus, Mars offers personalized M&M's today as a product of "mass customization." Mars accomplished this by implementing

A) smoothing.
B) buffering.
C) flexible processes.
D) independent strategies.
E) concurrence.

F) A) and C)
G) A) and B)

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Question 32

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________ is/are composed of all relevant forces outside a firm's boundaries, such as competitors, customers, the government, and the economy.

A) The external environment
B) Open systems
C) Relative constraints
D) The barriers to entry domain selection
E) Conditions of certainty

F) A) and B)
G) C) and D)

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Question 33

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Domain selection, diversification, mergers or acquisitions, and divestitures are all examples of

Competition is most intense when there are ________ direct competitors, industry growth is slow, and the product or service cannot be differentiated.

Sandra owns a small gift shop in Tennessee. She hopes the economy will rebound this fall as she has to order her Christmas merchandise and other holiday gifts in February. She wants to make sure she has enough goods for the surge in sales that the holiday season usually brings to her retail store. Here, Sandra is using ________ to be sure she has enough gifts for those extra customers that she hopes will bear the economic woes and shop for holiday presents.

There are two parts to this question. What are the four types of organizational culture? Describe the culture of an organization in which you have either worked or studied. Which of the four types of organizational culture does your organization illustrate? Justify your answer.

Environmental uncertainty means that managers do not have enough information about the environment to understand or predict the future.

Sam, general manager of a licensed supplier of advanced 3-D printing equipment, routinely and independently influences his business environment to the benefit of his company. Determine which action below is NOT among the ways that Sam independently influences his business environment.

List the actions and attitudes that reflect excellent customer service. Illustrate each from your own experiences as either a customer or a service provider.

Open systems are all relevant forces outside an organization's boundaries.

________ are the strongly held and taken-for-granted beliefs that guide behavior in a firm.

Jameson Products is the only provider of a patented leakproof valve for industrial applications. Acme Construction desires to include Jameson Products in a project for Acme's customer, thereby increasing the chance that Acme will be selected by Acme's customer to perform the project. However, Jameson Products charges a premium price for its valves, eroding Acme's profitability. This situation is indicative of the high bargaining power of

________ are methods for adapting the technical core to changes in an environment.

Jonas is the marketing manager in a firm that sells air pollution control systems to the coal-fired power industry. His business is highly competitive, with existing rivalries and new players. Coal-fired power plants are being shut down in favor of substitute forms of energy, e.g., wind and natural gas. Thus, new project opportunities in coal-fired power plants are rare. His clients (electric utility companies) have many choices of providers and technologies. Jonas's firm has long-term pricing agreements with its equipment suppliers, so Jonas knows what external costs his firm will incur on potential new projects. The competitive force that appears to represent the lowest risk to Jonas's firm is

Which approaches should an organization adopt for managing uncertainty in a simple and stable environment?

A decentralized, organic approach with mutual adjustment for managing uncertainty is ideal for which of the following environments?

Johnny Minelli, Chief Operating Office at Hank Corporation, effectively sustains and manages the company culture by

________ is an organization's conscious efforts to change the boundaries of its task environment.

A decentralized, bureaucratic approach with standardized skills for managing uncertainty is ideal for which of the following environments?

Josiah, a new manager at Super Sandwiches, has been asked to focus on the competitive environment of the organization. Which of these factors is among those that Josiah should focus on?