Question 1

What is throughput?

Accepted Answer

A)  The movement of inputs and outputs through a production process 
B)  Assets that assist in the production or distribution of goods and services 
C)  A condition that determines the horizontal and vertical boundaries of business firms 
D)  An investment in the acquisition of raw materials 
E)  The amount of time for a good to travel between metropolitan areas 
A)  The movement of inputs and outputs through a production process 
B)  Assets that assist in the production or distribution of goods and services 
C)  A condition that determines the horizontal and vertical boundaries of business firms 
D)  An investment in the acquisition of raw materials 
E)  The amount of time for a good to travel between metropolitan areas A

Question 2

What was one of the first plant/factory types to use the "American System" of manufacturing?

Accepted Answer

A)  Firearms 
B)  Steel 
C)  Oil 
D)  Automobiles 
E)  Chemicals 
A)  Firearms 
B)  Steel 
C)  Oil 
D)  Automobiles 
E)  Chemicals A

Question 3

Matchmakers between manufacturers and sellers are called:

Accepted Answer

A)  Agents 
B)  Factors 
C)  Brokers 
D)  Merchants 
E)  None of the Above 
A)  Agents 
B)  Factors 
C)  Brokers 
D)  Merchants 
E)  None of the Above C

Question 4

What was the major role of private banks in the early 1800s?

Accepted Answer

A)  Serve as an institution for deposits 
B)  Issue credit 
C)  Reduce the risk of price fluctuation 
D)  Create futures markets 
E)  Sell stocks 
A)  Serve as an institution for deposits 
B)  Issue credit 
C)  Reduce the risk of price fluctuation 
D)  Create futures markets 
E)  Sell stocks

Question 5

What significant transportation event brought about the first significant growth of the Great Lakes region?

Accepted Answer

A)  Harnessing of the steam engine 
B)  Invention of the screw propeller 
C)  Opening of the Erie Canal 
D)  Integration of railway system 
E)  Invention of the railway system 
A)  Harnessing of the steam engine 
B)  Invention of the screw propeller 
C)  Opening of the Erie Canal 
D)  Integration of railway system 
E)  Invention of the railway system

Question 6

What does it mean for a manufacturing firm to vertically integrate?

Accepted Answer

A)  Expand using established product technologies to offer a wider variety of products 
B)  Reorganize management into semi-autonomous divisions 
C)  Produce raw materials and distribute finished goods on their own 
D)  Geographic distance between buyers and sellers 
E)  Use management consultants to optimize processes 
A)  Expand using established product technologies to offer a wider variety of products 
B)  Reorganize management into semi-autonomous divisions 
C)  Produce raw materials and distribute finished goods on their own 
D)  Geographic distance between buyers and sellers 
E)  Use management consultants to optimize processes

Question 7

What was a key factor that aided foreign steel producers in penetrating U.S.markets?

Accepted Answer

A)  Shifting demand in the economy to "lighter" products 
B)  Invention of the basic oxygen furnace 
C)  Development of the continuous casting process 
D)  U.S. steelmakers' commitment to "light" products 
E)  Development of the electric arc furnace 
A)  Shifting demand in the economy to "lighter" products 
B)  Invention of the basic oxygen furnace 
C)  Development of the continuous casting process 
D)  U.S. steelmakers' commitment to "light" products 
E)  Development of the electric arc furnace

Question 8

How has Atlanta been able to grow as a center of commerce despite its poor water and rail connections?

Accepted Answer

A)  Widespread air transportation 
B)  New government regulations 
C)  Improved Financing 
D)  Better Communications 
E)  Better technology and innovation 
A)  Widespread air transportation 
B)  New government regulations 
C)  Improved Financing 
D)  Better Communications 
E)  Better technology and innovation

Question 9

Which of the following facets of modern financial infrastructure came as a result of deregulation in the 1970s and 1980s?

Accepted Answer

A)  Separation of commercial and investment banking 
B)  Enhanced role of central banks 
C)  Increased regulation of securities markets 
D)  Supply of debt and equity funding for firms that could not fund themselves through retained earnings 
E)  The availability of large investment funds facilitating M&A to flourish 
A)  Separation of commercial and investment banking 
B)  Enhanced role of central banks 
C)  Increased regulation of securities markets 
D)  Supply of debt and equity funding for firms that could not fund themselves through retained earnings 
E)  The availability of large investment funds facilitating M&A to flourish

Question 10

What economics game theory concept is demonstrated by the Erie Canal public works project?

Accepted Answer

A)  Nash equilibrium 
B)  Lock-in 
C)  Backwards induction 
D)  Fair division 
E)  Prisoner's dilemma 
A)  Nash equilibrium 
B)  Lock-in 
C)  Backwards induction 
D)  Fair division 
E)  Prisoner's dilemma

Question 11

What firm is generally regarded as being the first to extensively use mass production processes?

Accepted Answer

A)  IBM 
B)  Burroughs 
C)  Remington Rand 
D)  Ford 
E)  Sears 
A)  IBM 
B)  Burroughs 
C)  Remington Rand 
D)  Ford 
E)  Sears

Question 12

Which of the following did not contribute to the high transaction related risks for U.S.potato sales in 1840?

Accepted Answer

A)  Infrequency of transactions 
B)  Changing transaction partners 
C)  Lack of availability of sales and prices for comparable goods 
D)  Competition from European merchants 
E)  Geographic distance between buyers and sellers 
A)  Infrequency of transactions 
B)  Changing transaction partners 
C)  Lack of availability of sales and prices for comparable goods 
D)  Competition from European merchants 
E)  Geographic distance between buyers and sellers

Question 13

What is a key issue facing managers of the 2000s with respect to production technology?

Accepted Answer

A)  Using the technology while maintaining an adequate level of complexity vs. simplicity 
B)  Balancing price of the technology with the benefits of its use 
C)  The choice between reformulating strategies and reorganizing or using the technologies for incremental improvements 
D)  Integrating CAD/CAM into their factories 
E)  Ensuring all parties understand the technology 
A)  Using the technology while maintaining an adequate level of complexity vs. simplicity 
B)  Balancing price of the technology with the benefits of its use 
C)  The choice between reformulating strategies and reorganizing or using the technologies for incremental improvements 
D)  Integrating CAD/CAM into their factories 
E)  Ensuring all parties understand the technology

Question 14

What is the accounting concept inventory turnover as developed by Sears in the late 19ᵗʰ century?

Accepted Answer

A)  To systemize and circulate credit information 
B)  To manage the requirements of operating efficiencies 
C)  To publicly disclose the details of a firm's operations 
D)  To present the payment of dividends out of profits 
E)  To link profits to fluctuations in sales volume 
A)  To systemize and circulate credit information 
B)  To manage the requirements of operating efficiencies 
C)  To publicly disclose the details of a firm's operations 
D)  To present the payment of dividends out of profits 
E)  To link profits to fluctuations in sales volume

Question 15

What is a benefit of alliances and joint ventures over mergers and acquisitions?

Accepted Answer

A)  Better organizational structure 
B)  Scale savings 
C)  Less vertical integration 
D)  Less horizontal integration 
E)  Lower likelihood of antitrust scrutiny 
A)  Better organizational structure 
B)  Scale savings 
C)  Less vertical integration 
D)  Less horizontal integration 
E)  Lower likelihood of antitrust scrutiny

Question 16

What significant government infrastructure project led to the development of national stock and commodity markets?

Accepted Answer

A)  Transcontinental Railroad 
B)  Erie Canal 
C)  Union Pacific Railroad 
D)  Prime Meridian Conference 
E)  Central Pacific Railroad 
A)  Transcontinental Railroad 
B)  Erie Canal 
C)  Union Pacific Railroad 
D)  Prime Meridian Conference 
E)  Central Pacific Railroad

Question 17

How have late 20ᵗʰ and 21ˢᵗ century communications technologies directly created global markets from products and services?

Accepted Answer

A)  Created paperless communications 
B)  Created seamless and instantaneous communications 
C)  Decreased coordination for interfirm alliances 
D)  Increased worker productivity 
E)  Unflattened the world 
A)  Created paperless communications 
B)  Created seamless and instantaneous communications 
C)  Decreased coordination for interfirm alliances 
D)  Increased worker productivity 
E)  Unflattened the world

Question 18

What was a key contribution to the dominance of the family-run small business in 1840?

Accepted Answer

A)  Factories 
B)  Infrastructure 
C)  Raw Materials 
D)  Management 
E)  Laws 
A)  Factories 
B)  Infrastructure 
C)  Raw Materials 
D)  Management 
E)  Laws

Question 19

Which of the following government regulations on business conditions did not increase circa 1910?

Accepted Answer

A)  Regulation on corporate governance 
B)  Securities markets regulation 
C)  Antitrust regulation 
D)  Regulations on disability insurance provisions 
E)  Regulations on insurance for widows and children 
A)  Regulation on corporate governance 
B)  Securities markets regulation 
C)  Antitrust regulation 
D)  Regulations on disability insurance provisions 
E)  Regulations on insurance for widows and children

Question 20

What caused railway transportation to remain the primary transportation source over trucking until World War II?

Accepted Answer

A)  The country lacked of an interstate highway system 
B)  Rail consolidation was more extensive 
C)  Rail was faster, safer and more reliable 
D)  Railroads could carry goods a further distance 
E)  Companies preferred rail transportation for their goods 
A)  The country lacked of an interstate highway system 
B)  Rail consolidation was more extensive 
C)  Rail was faster, safer and more reliable 
D)  Railroads could carry goods a further distance 
E)  Companies preferred rail transportation for their goods

What is throughput?

What was one of the first plant/factory types to use the "American System" of manufacturing?

Matchmakers between manufacturers and sellers are called:

What was the major role of private banks in the early 1800s?

What significant transportation event brought about the first significant growth of the Great Lakes region?

What does it mean for a manufacturing firm to vertically integrate?

What was a key factor that aided foreign steel producers in penetrating U.S.markets?

How has Atlanta been able to grow as a center of commerce despite its poor water and rail connections?

Which of the following facets of modern financial infrastructure came as a result of deregulation in the 1970s and 1980s?

What economics game theory concept is demonstrated by the Erie Canal public works project?

What firm is generally regarded as being the first to extensively use mass production processes?

Which of the following did not contribute to the high transaction related risks for U.S.potato sales in 1840?

What is a key issue facing managers of the 2000s with respect to production technology?

What is the accounting concept inventory turnover as developed by Sears in the late 19ᵗʰ century?

What is a benefit of alliances and joint ventures over mergers and acquisitions?

What significant government infrastructure project led to the development of national stock and commodity markets?

How have late 20ᵗʰ and 21ˢᵗ century communications technologies directly created global markets from products and services?

What was a key contribution to the dominance of the family-run small business in 1840?

Which of the following government regulations on business conditions did not increase circa 1910?

What caused railway transportation to remain the primary transportation source over trucking until World War II?

Economies of Scale and Scope

The Vertical Boundaries of the Firm

Integration and Its Alternatives

Competitors and Competition

Entry and Exit

The Dynamics Competing Across Time

Industry Analysis

Strategic Positioning for Competitive Advantage

Information and Value Creation

Sustaining Competitive Advantage

Performance Measurement and Incentives

Strategy and Structure

Environment, power, and Culture

Filters

Exam 1: The Power of Principles: an Historical Perspective

What is throughput?

What was one of the first plant/factory types to use the "American System" of manufacturing?

Matchmakers between manufacturers and sellers are called:

What was the major role of private banks in the early 1800s?

What significant transportation event brought about the first significant growth of the Great Lakes region?

What does it mean for a manufacturing firm to vertically integrate?

What was a key factor that aided foreign steel producers in penetrating U.S.markets?

How has Atlanta been able to grow as a center of commerce despite its poor water and rail connections?

Which of the following facets of modern financial infrastructure came as a result of deregulation in the 1970s and 1980s?

What economics game theory concept is demonstrated by the Erie Canal public works project?

What firm is generally regarded as being the first to extensively use mass production processes?

Which of the following did not contribute to the high transaction related risks for U.S.potato sales in 1840?

What is a key issue facing managers of the 2000s with respect to production technology?

What is the accounting concept inventory turnover as developed by Sears in the late 19ᵗʰ century?

What is a benefit of alliances and joint ventures over mergers and acquisitions?

What significant government infrastructure project led to the development of national stock and commodity markets?

How have late 20ᵗʰ and 21ˢᵗ century communications technologies directly created global markets from products and services?

What was a key contribution to the dominance of the family-run small business in 1840?

Which of the following government regulations on business conditions did not increase circa 1910?

What caused railway transportation to remain the primary transportation source over trucking until World War II?

Economies of Scale and Scope

The Vertical Boundaries of the Firm

Integration and Its Alternatives

Competitors and Competition

Entry and Exit

The Dynamics Competing Across Time

Industry Analysis

Strategic Positioning for Competitive Advantage

Information and Value Creation

Sustaining Competitive Advantage

Performance Measurement and Incentives

Strategy and Structure

Environment, power, and Culture

Filters