Deck 3: Managing the External Environment and Organisational Culture

Question 1

In which of the views of managerial impact is the actual part that managers play in organisational success and organisational failure minimal?

A)generalist
B)omnipotent
C)symbolic
D)autocratic
E)dynamic

Answer 1

C

Question 2

The view of managers as ________ is consistent with the stereotypical picture of the take-charge business executive who can overcome any obstacle in carrying out the organisation's objectives.

A)symbolic
B)omnipotent
C)generalist
D)autocratic
E)dynamic

Answer 2

B

Question 3

Following the symbolic view, managers have a ________ effect on substantive organisational outcomes.

A)substantial
B)moderate
C)limited
D)unlimited
E)undetermined

Answer 3

C

Question 4

According to which of the following views of managerial impact is it external forces, not management, that determines outcomes?

A)symbolic view of management
B)autocratic view of management
C)omnipotent view of management
D)linear view of management
E)quality view of management

Question 5

The current dominant assumption in management theory ________.

A)suggests a balanced view of managers as symbolic and omnipotent
B)suggests managers are symbolic
C)suggests managers are omnipotent
D)is that both the symbolic and omnipotent views are fading
E)is that neither symbolic nor omnipotent views are relevant

Question 6

The dominant view in management theory and society in general is the ________ view of management.

A)symbolic
B)omnipotent
C)generalist
D)autocratic
E)dynamic

Question 7

When a firm is involved in a disaster or scandal and their CEO typically resigns, this would be an example of the CEO taking an omnipotent view of their management role.

Question 8

In the symbolic view of management, managers are seen as directly responsible for an organisation's success or failure.

Question 9

The symbolic view of managerial impact is useful in explaining the high turnover among senior sports coaches who are considered the 'managers' of their teams.

Question 10

If an organisation subscribes to the symbolic view of managers, it is unreasonable to expect managers to have a significant effect on the organisation's performance.

Question 11

Which of the following is NOT an example of management's symbolic role?

A)Management can create meaning out of confusion.
B)Management can create the illusion of control.
C)Management can create profitability for the organisation.
D)Management is someone to praise when things go right in the organisation.
E)Management is someone to blame when things go wrong in the organisation.

Question 12

What are the two views of managerial impact on the success or failure of the organisation?

A)omnipotent and symbolic
B)omnipotent and reflective
C)symbolic and interactive
D)reflective and interactive
E)dynamic and static

Question 13

The current dominant assumption in management theory suggests managers are omnipotent.

Question 14

Which of the following views of managerial impact is useful in explaining the high turnover among professional sport coaches who can be considered the 'managers' of their teams?

A)symbolic
B)omnipotent
C)generalist
D)autocratic
E)dynamic

Question 15

Which of the following most accurately reflects the symbolic view of management?

A)Managers are directly responsible for an organisation's success or failure.
B)Managers have little or no responsibility for an organisation's success or failure.
C)External forces are directly responsible for an organisation's success or failure.
D)Employees are directly responsible for an organisation's success or failure.
E)Success or failure is dependent on the strength of the organisation's culture.

Question 16

In the omnipotent view of management, much of an organisation's success or failure is due to forces outside management's control.

Question 17

Which of the following statements best represents the symbolic view of management?

A)Outside forces have most of the influence on organisational outcomes.
B)Effective managers are viewed as role models that employees emulate.
C)Upper management's proper role is that of organisational figurehead.
D)Managers are one of the three significant forces that determine organisational outcomes.
E)Managers are directly responsible for the success or failure of the organisation.

Question 18

What view suggests that managers are directly responsible for an organisation's success or failure?

A)symbolic view of management
B)autocratic view of management
C)omnipotent view of management
D)linear view of management
E)quality view of management

Question 19

The view of managers as omnipotent is consistent with the stereotypical picture of the take-charge business executive who can overcome any obstacle in carrying out the organisation's objectives.

Question 20

A manager's role in the omnipotent view of management is to create meaning out of randomness, confusion and ambiguity.

Question 21

The internal constraints within every organisation that are placed on management are derived from what factor?

A)the organisation structure
B)their positional power within the organisation
C)laws and regulations
D)the organisational culture
E)the economic well-being of the organisation

Question 22

Non-profit organisations are not generally affected by economic conditions.

Question 23

The 'Baby Boomers' are a population group born between 1912 and 1921.

Question 24

According to the textbook, workers seeking more balance in their lives is a sociocultural condition firms should respond to.

Question 25

In a short essay, differentiate between the 'symbolic view' and the 'omnipotent view' of management.Include specific examples of each view to support your answer.

Question 26

For a company such as Shell drilling for oil and gas in Bass Strait, a bank would be an example of what kind of factor in their specific environment?

A)competitor
B)supplier
C)special interest group
D)government agency
E)customer

Question 27

Typically, the specific organisational environment includes which of the following?

A)economic factors
B)political conditions
C)technological factors
D)globalisation issues
E)competitors

Question 28

Increasing fear of crime and violence is a societal change affecting Australian businesses.

Question 29

Scenario-based questions: Changing Organisational Culture
Mary has been asked by the company chairman to change the organisational culture to reflect the company's new organisational goals.As chief executive officer, she certainly understands the goals but is really not sure she understands what to do about the culture.
Refer to Changing Organisational Culture (Scenario).Mary has also been asked, as part of the cultural change, to build on the belief that managers are directly responsible for the organisation's success or failure and not forces outside their control.This would be consistent with an organisational culture that has a(n)________ view of management.

A)traditional
B)omnipotent
C)standard
D)symbolic
E)conservative

Question 30

External constraints on managers arise from ________.

A)the organisation's environment
B)the organisation's culture
C)the founder
D)other managers
E)the ineptitude of subordinates

Question 31

For an organisation such as a hospital that needs nurses, the labour union and the local labour market are examples of what kinds of factors in their specific environment?

A)special-interest group and supplier
B)customer and special-interest group
C)both are examples of suppliers
D)government agency and competitor
E)special interest group and competitor

Question 32

The external environment directly related to achievement of an organisation's goals is the specific environment.

Question 33

Voters represent what factor in the specific environment of governmental organisations?

A)special-interest group
B)competitor
C)supplier
D)customer
E)government agency

Question 34

Which of the following is NOT true regarding managers?

A)Internal constraints that restrict a manager's decision options exist within every organisation.
B)External constraints restrict managerial freedom to influence.
C)External constraints come from the organisation's environment.
D)Internal constraints arise from the organisation's culture.
E)Managers are either helpless or all-powerful.

Question 35

In Australia, the Equal Opportunity for Women in the Workplace Act 1999 is an example of a sociocultural condition.

Question 36

According to the textbook, the ________ environment includes those constituencies that have a direct and immediate impact on managers' decisions and actions, and are directly relevant to the achievement of the organisation's goals.

A)general
B)specific
C)secondary
D)forward
E)reverse

Question 37

The general environment refers to everything inside the organisation.

Question 38

Scenario-based questions: Changing Organisational Culture
Mary has been asked by the company chairman to change the organisational culture to reflect the company's new organisational goals.As chief executive officer, she certainly understands the goals but is really not sure she understands what to do about the culture.
Refer to Changing Organisational Culture (Scenario).The new view of management change for the new culture will be difficult because, in the past, success has been viewed as being outside management's control; a view known as ________.

A)traditional
B)omnipotent
C)standard
D)symbolic
E)conservative

Question 39

The term suppliers includes providers of financial and labour inputs.

Question 40

Economic conditions are part of the organisation's specific environment.

Question 41

A change in the way an organisation does business because of employees' pursuit of healthy lifestyles is an example of which factor of an organisation's general environment?

A)demographic
B)economic
C)competitive
D)technological
E)sociocultural

Question 42

To a taxi service, Uber considered a ________.

A)customer
B)supplier
C)special-interest group
D)competitor
E)regulator

Question 43

According to the textbook, the members of which of the following groups are learning, working, shopping and playing in fundamentally different ways that are likely to greatly impact organisations and managers?

A)the Depression group
B)the World War II group
C)the Baby Boomers
D)Generation X
E)Generation Y and iGen

Question 44

Why should managers and organisations study global demographics?

A)Fewer people will make decisions that affect the organisation
B)Demographics can determine the impact of future markets
C)Technology will be able to provide more real-time responses to demands
D)Physical characteristics of populations will remain constant over time
E)Changing demographics will change sociocultural aspects of doing business

Question 45

Which factor has been the most rapidly changing component in an organisation's general environment in the past quarter century?

A)global
B)economic
C)social
D)technological
E)political

Question 46

According to the textbook, ________ is having an impact on who an organisation's competitors are because it has virtually eliminated the geographic boundaries.

A)local area network
B)the intranet
C)the internet
D)video conferencing
E)proprietary networks

Question 47

A downturn in the contributions from the public to the Salvation Army charity is an example of the impact from what factor in its general environment?

A)political
B)social
C)technological
D)economic
E)global

Question 48

Which of the following groups is often described as the digital or internet generation because of their immersion into and acceptance of computers and all things digital?

A)the Depression group
B)the World War II group
C)iGen
D)Generation X
E)the Baby Boomers

Question 49

Interest rates, inflation rates and stock market indexes are all examples of what factor in an organisation's external general environment?

A)economic
B)political
C)social
D)technological
E)global

Question 50

Which of the following is an effect of globalisation on managers and organisations?

A)Expanded competition
B)Increased labour cost
C)Greater emphasis on business boundaries
D)Expanded reliance on home country markets
E)Increased cross-nation trade barriers

Question 51

Which of the following is NOT true of the impact of government regulations on an organisation?

A)Organisations spend a great deal of time with them.
B)Organisations spend a great deal of money with them.
C)They limit managerial choices.
D)They increase managerial discretion.
E)They may determine what an organisation can sell.

Question 52

Compared to the specific environment, which of the following is an accurate statement about the general environment of an organisation?

A)They have less impact on the organisation's operations.
B)They have more impact on the organisation's operations.
C)They have an indirect impact on an organisation's operations.
D)It is the concern of upper management.
E)It is generally considered an unimportant environmental factor.

Question 53

Typically, the external general organisational environment includes which of the following?

A)political conditions
B)issues directly relevant to achieving organisational goals
C)stakeholders
D)suppliers
E)government agencies

Question 54

Private courier services represent what factor to the Australian General Post Office in its specific environment?

A)competitor
B)supplier
C)customer
D)special-interest group
E)government agency

Question 55

The enhanced speed and quality of managerial decision making due to an integrated office system is an example of the impact of which general environmental factor?

A)global
B)social
C)political
D)economic
E)technological

Question 56

The impact of future population trends, such as birth rates in developing countries, is an example of what general environmental factor for the movie industry?

A)social
B)technological
C)economic
D)demographic
E)competitive

Question 57

According to the textbook, which of the following groups includes individuals who were born between the years 1945-1960?

A)the Depression group
B)the World War II group
C)the Baby Boomers
D)Generation X
E)Generation Y

Question 58

The Greenpeace organisation is an example of what factor in the specific external environment?

A)competitor
B)pressure group
C)customer
D)government agency
E)supplier

Question 59

Which of the following is NOT an example of a constituency that makes up the specific environment?

A)customers
B)sociocultural factors
C)suppliers
D)competitors
E)pressure groups

Question 60

Which of the following is NOT an example of a specific environmental factor?

A)suppliers
B)political conditions
C)customers
D)governmental agencies
E)special-interest pressure groups

Question 61

According to the textbook, the environmental ________ refers to the number of components in an organisation's environment and the extent of the knowledge that the organisation has about these components.

A)degree of stability
B)openness
C)complexity
D)change
E)theory Y

Question 62

Scenario-based questions: The Election
At the present time, your organisation is faced with many changes.One of these is the election of a new prime minister and party in power.Another concerns new requests from customers for changes to the look of your product design.A third involves changes in the ages and education levels of your customer base.Your customers have also recently expressed a desire to have your product manufactured using a newly-developed, environmentally-friendly type of plastic.
Refer to The Election (Scenario).The request to have your product manufactured using new environmentally friendly plastics is most likely to be a response to the ________.

A)economic conditions
B)political/legal conditions
C)sociocultural conditions
D)technological conditions
E)both C and D

Question 63

In a short essay, discuss the importance of the various population groups known as Baby Boomers, Generation Y and the iGen to organisations and managers.Include how these groups are defined.

Question 64

Scenario-based questions: Operating within the Environment
The environment places constraints on the behaviour of managers.Suppose you are a manager trying to understand the forces in your organisation's environment.
Refer to Operating within the Environment (Scenario).Imagine you are the manager of a real estate office trying to maximise profits.If the mortgage interest rates increase, this would be an example of changing ________ in your general environment.

A)economic conditions
B)political conditions
C)competition
D)social conditions
E)technological conditions

Question 65

Computer manufacturers' digital formats and music downloading sites operate in an environment that is best described as ________.

A)stable
B)static
C)dynamic
D)fixed
E)open

Question 66

Environmental Constraints (Scenario)
It is safe to say that managers do not have complete control over organisational outcomes; the environment has a significant impact.However, there are different environmental factors that shape a manager's work life.
Refer to Environmental Constraints (Scenario).As a manager, if you were working in an industry that was dependent on internet connections and the many new customers vying for the same space, this would be an example of what kind of environment?

A)general
B)static
C)stable
D)dynamic
E)specific

Question 67

In a short essay, list and discuss six areas of the general environment.

Question 68

________ are any constituencies in the organisation's external environment that are affected by the organisation's decisions and actions.

A)Stockholders
B)Baby Boomers
C)Stakeholders
D)Generation X
E)Generation Y

Question 69

Scenario-based questions: Environmental Constraints
It is safe to say that managers do not have complete control over organisational outcomes; the environment has a significant impact.However, there are different environmental factors that shape a manager's work life.
Refer to Environmental Constraints (Scenario).Political conditions, which include attitudes that officials hold towards specific industries, fall within an organisation's ________ environment.

A)global
B)internal
C)competitive
D)specific
E)general

Question 70

In the textbook, a company's computer hardware and software supplier would NOT be considered a critical stakeholder.

Question 71

Management researchers considering stakeholder relationship management have found that high-performing companies are principally concerned with external stakeholders.

Question 72

Scenario-based questions: Operating within the Environment
The environment places constraints on the behaviour of managers.Suppose you are a manager trying to understand the forces in your organisation's environment.
Refer to Operating within the Environment (Scenario).As the manager of a large poultry farm, you have begun to notice sales being lost to competitors who produce a product free of steroids and other artificial additives.This is an example of the manager having to respond to changing ________ in the organisation's general environment.

A)economic conditions
B)political conditions
C)governmental conditions
D)social conditions
E)technological conditions

Question 73

Scenario-based questions: The Election
At the present time, your organisation is faced with many changes.One of these is the election of a new prime minister and party in power.Another concerns new requests from customers for changes to the look of your product design.A third involves changes in the ages and education levels of your customer base.Your customers have also recently expressed a desire to have your product manufactured using a newly-developed, environmentally-friendly type of plastic.
Refer to The Election (Scenario).The changes in the prime minister and government represent which of the following environmental factors for your organisation?

A)general environment
B)specific environment
C)pressure group
D)customers
E)dynamic environment

Question 74

To a firm like BHP Billiton, large institutional investors like mutual funds would be considered a critical stakeholder.

Question 75

Which of the following are the two dimensions of environmental uncertainty?

A)degree of change and degree of complexity
B)degree of change and degree of volume
C)degree of complexity and degree of impact
D)degree of impact and degree of timing
E)degree of timing and degree of complexity

Question 76

Scenario-based questions: The Election
At the present time, your organisation is faced with many changes.One of these is the election of a new prime minister and party in power.Another concerns new requests from customers for changes to the look of your product design.A third involves changes in the ages and education levels of your customer base.Your customers have also recently expressed a desire to have your product manufactured using a newly-developed, environmentally-friendly type of plastic.
Refer to The Election (Scenario).The changes in the ages and education levels of your customers are an example of which of the following conditions?

A)economic
B)political/legal
C)sociocultural
D)demographic
E)technological

Question 77

Because certainty is a threat to the organisation's effectiveness, managers try to minimise it.

Question 78

Environmental Constraints (Scenario)
It is safe to say that managers do not have complete control over organisational outcomes; the environment has a significant impact.However, there are different environmental factors that shape a manager's work life.
Refer to Environmental Constraints (Scenario).An organisation that has many competitors and suppliers would likely be said to have a highly ________ environment.

A)complex
B)dynamic
C)stable
D)large
E)varied

Question 79

Environmental uncertainty can be divided into two dimensions: degree of trust and degree of integration.

Question 80

Scenario-based questions: The Election
At the present time, your organisation is faced with many changes.One of these is the election of a new prime minister and party in power.Another concerns new requests from customers for changes to the look of your product design.A third involves changes in the ages and education levels of your customer base.Your customers have also recently expressed a desire to have your product manufactured using a newly-developed, environmentally-friendly type of plastic.
Refer to The Election (Scenario).The change in how customers want your product to look in design is an example of which of the following types of factors?

A)political/legal
B)specific environment
C)global
D)demographic
E)both C and D