Exam 2: The External and Internal Environments

Organizations are at an advantage if they depend on a single powerful supplier because such dependency ensures consistency.

Wholesale Tools Corporation (WTC)is a wholesale provider of power tools. Six months ago, Mac Jones, national sales director for WTC, negotiated a multi-year contract to provide power tools to FixIt, Inc., a national retail hardware chain. Under the contract, WTC can provide FixIt with power tools made of materials of lesser quality at a lesser price. Therefore, FixIt can charge its retail customers a lower price, providing an attractive profit for both companies. Six months into the contract, Mac and FixIt are disappointed that, although the power tools meet the technical specifications of the contract, the tools are not selling. Furthermore, FixIt is receiving complaints from its customers about the quality of the power tools, prompting FixIt to consider canceling the contract. In retrospect, in its eagerness to land a large contract with FixIt, Mac failed to adequately consider the needs of the

Leveling normal fluctuations at the boundaries of the environment is called

Which of the following is a barrier to entry?

Using bribery as a business tactic may result in fines for U.S. firms. Which of the following types of environmental forces at work does this reflect?

________ are specific government organizations in a firm's more immediate task environment.

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

The method for predicting how variables will change in the future is known as

Parker Brothers is a high-end furniture manufacturer located in the Midwest. Mr. Herbert "Bud" Parker started the firm as a young man in the 1960s. The firm has grown, but with growth, it has never forgotten the vision of Mr. Parker: to be creative in all that the firm does while rewarding employees who show innovation and entrepreneurial leadership. Each year the Budding Genius Award is given to the employee who comes up with the best design or marketing idea. New employees are told of the organization's history of product innovation and are taken on a tour of the "Wall of Parker Legends," where pictures of outstanding employees are hung with descriptions of their accomplishments. Managers at the firm encourage their team members to take risks in proposing new ideas. The company prides itself on its product leadership.Which of the following is likely to be the dominant attribute of Parker Brothers?

Titan and Spencer-Fields are the two leading online booksellers. Recently, Titan engaged in an online price war with Spencer-Fields in order to gain greater market share. This is an example of ________ on the part of Titan.

________ create alternative combinations of different factors into a total picture of the environment and a firm.

In some situations, two or more organizations work together using ________ to influence the environment.

________ are measures of various characteristics of the people who make up groups or other social units.

Tansal is a new marketing manager for JustBooks, a small bookstore chain in the Midwest. He has been told by the human resources department that management thinks he is having difficulty assimilating into the organization culture of the company. To improve his situation, Tansal should consider whether

Suave and Debonair, Inc., a chain of men's clothing stores, is facing increased competition. CEO Pablo Espinosa has tried several tactics-all unsuccessful-to influence his business environment: slashing prices, offering seasonal promotions to smooth out sales, contracting with wholesalers in advance of seasonal rushes to prevent inventory depletion, and appointing the president of the chamber of commerce in his state to his board of directors. Now, Pablo is considering a more significant change to his business-perhaps acquiring a formal wear/tuxedo rental and retail business or a boutique Western wear store to add to his business portfolio. Pablo is now considering ________ as a tactic to manage the business environment.

Which of the following statements about organizational culture is true?

Environmental ________ refers to the degree of discontinuous change that occurs within the industry.

The attitude and behavior patterns that shape people's experience of an organization is called an organizational

How is immigration affecting U.S. demographics?

Which of the following was designed to help managers analyze the competitive environment and adapt to or even influence the nature of competition?