Question 1

Microsoft is not very dependent on other companies for scarce resources.

Accepted Answer

A) True 
 B)False  True

Question 2

Which strategic alliance would be most appropriate for two organizations that operate in a very uncertain environment?

Accepted Answer

A) Minority ownership 
B) Network 
C) Joint venture 
D) Contract 
A) Minority ownership 
B) Network 
C) Joint venture 
D) Contract C

Question 3

Which of the following statements about the difference between transaction cost theory and resource dependence theory is true?

Accepted Answer

A) Resource dependence theory proposes the use of strategic alliances, but transaction cost theory recommends not using alliances. 
B) Transaction cost theory is a better predictor of why companies choose a certain form of interorganizational strategy. 
C) Transaction cost theory proposes the use of a merger as an interorganizational strategy and resource dependence theory does not. 
D) Transaction cost theory considers how an organization can manage its environment but resource dependence theory does not. 
A) Resource dependence theory proposes the use of strategic alliances, but transaction cost theory recommends not using alliances. 
B) Transaction cost theory is a better predictor of why companies choose a certain form of interorganizational strategy. 
C) Transaction cost theory proposes the use of a merger as an interorganizational strategy and resource dependence theory does not. 
D) Transaction cost theory considers how an organization can manage its environment but resource dependence theory does not. B

Question 4

Which strategic alliance would be most appropriate for two organizations that operate in a relatively certain environment?

Accepted Answer

A) Joint venture 
B) Contract 
C) Minority ownership 
D) Network 
A) Joint venture 
B) Contract 
C) Minority ownership 
D) Network

Question 5

The more complex an organization's environment, the more problems associated with controlling the flow of resources there are.

Accepted Answer

A) True 
 B)False

Question 6

The Toronto Stock Exchange is an example of:

Accepted Answer

A) a network. 
B) a third party linkage mechanism. 
C) a trade association. 
D) a kieretsu. 
A) a network. 
B) a third party linkage mechanism. 
C) a trade association. 
D) a kieretsu.

Question 7

Environments may be poor because:

Accepted Answer

A) resources are plentiful. 
B) competition is high. 
C) uncertainty is low. 
D) the country is wealthy. 
A) resources are plentiful. 
B) competition is high. 
C) uncertainty is low. 
D) the country is wealthy.

Question 8

An organization's environment will be more uncertain when:

Accepted Answer

A) many forces in the environment are not connected. 
B) many forces in the environment are interconnected. 
C) forces in the environment do not change much. 
D) competition is low. 
A) many forces in the environment are not connected. 
B) many forces in the environment are interconnected. 
C) forces in the environment do not change much. 
D) competition is low.

Question 9

A defense company decided to sell the services of its scientists to commercial clients. This company is:

Accepted Answer

A) managing bounded rationality. 
B) managing competitive interdependencies. 
C) managing symbiotic interdependencies. 
D) changing its organizational domain. 
A) managing bounded rationality. 
B) managing competitive interdependencies. 
C) managing symbiotic interdependencies. 
D) changing its organizational domain.

Question 10

Which linkage mechanism is the most informal?

Accepted Answer

A) Interlocking directorate 
B) Reputation 
C) Contracts 
D) Strategic alliance 
A) Interlocking directorate 
B) Reputation 
C) Contracts 
D) Strategic alliance

Question 11

An organization in a dynamic, unstable environment seeks ways to make the environment more predictable.

Accepted Answer

A) True 
 B)False

Question 12

A small U.S. auto parts manufacturer says it faces environmental forces that are out of its control, such as low- cost labor costs abroad. Is this organization at the mercy of its environment?

Accepted Answer

No, the company selects the forces it wi

Question 13

Which of the following interorganizational linkage mechanisms allows an organization to minimize transaction costs and to avoid bureaucratic costs?

Accepted Answer

A) Keiretsu 
B) Merger 
C) Third- party linkage mechanisms 
D) Co- optation 
A) Keiretsu 
B) Merger 
C) Third- party linkage mechanisms 
D) Co- optation

Question 14

Customers would be considered an inside stakeholder group affecting an organization's specific environment.

Accepted Answer

A) True 
 B)False

Question 15

Financial keiretsu is used to manage linkages among diverse companies. The benefits include all except:

Accepted Answer

A) sharing of information. 
B) minority ownership. 
C) sharing activities. 
D) decreased profits for suppliers. 
A) sharing of information. 
B) minority ownership. 
C) sharing activities. 
D) decreased profits for suppliers.

Question 16

Which of the following theories states that an organization must respond to the needs and demands of other organizations in its environment?

Accepted Answer

A) The enacted environment concept 
B) Resource dependence theory 
C) Transaction cost theory 
D) Contingency theory 
A) The enacted environment concept 
B) Resource dependence theory 
C) Transaction cost theory 
D) Contingency theory

Question 17

Changes in customer tastes and preferences is a force in the specific environment that impacts an organization.

Accepted Answer

A) True 
 B)False

Question 18

An organization decides to meet with its competitor in order to agree to fix prices in a certain market. This is an example of ________.

Accepted Answer

A) a third- party linkage mechanism 
B) an illegal collusion agreement 
C) a cartel 
D) forming a strategic alliance 
A) a third- party linkage mechanism 
B) an illegal collusion agreement 
C) a cartel 
D) forming a strategic alliance

Question 19

________is/are a function of how much and how quickly forces in the specific and general environments change over time and contribute to uncertainty.

Accepted Answer

A) Societal ethics 
B) Organizational theory 
C) Organizational behavior 
D) Environmental dynamism 
A) Societal ethics 
B) Organizational theory 
C) Organizational behavior 
D) Environmental dynamism

Question 20

Which of the following is not a specific environmental force?

Accepted Answer

A) The government 
B) Customers 
C) Competitors 
D) Employees 
A) The government 
B) Customers 
C) Competitors 
D) Employees

Microsoft is not very dependent on other companies for scarce resources.

Which strategic alliance would be most appropriate for two organizations that operate in a very uncertain environment?

Which of the following statements about the difference between transaction cost theory and resource dependence theory is true?

Which strategic alliance would be most appropriate for two organizations that operate in a relatively certain environment?

The more complex an organization's environment, the more problems associated with controlling the flow of resources there are.

The Toronto Stock Exchange is an example of:

Environments may be poor because:

An organization's environment will be more uncertain when:

A defense company decided to sell the services of its scientists to commercial clients. This company is:

Which linkage mechanism is the most informal?

An organization in a dynamic, unstable environment seeks ways to make the environment more predictable.

A small U.S. auto parts manufacturer says it faces environmental forces that are out of its control, such as low- cost labor costs abroad. Is this organization at the mercy of its environment?

Which of the following interorganizational linkage mechanisms allows an organization to minimize transaction costs and to avoid bureaucratic costs?

Customers would be considered an inside stakeholder group affecting an organization's specific environment.

Financial keiretsu is used to manage linkages among diverse companies. The benefits include all except:

Which of the following theories states that an organization must respond to the needs and demands of other organizations in its environment?

Changes in customer tastes and preferences is a force in the specific environment that impacts an organization.

An organization decides to meet with its competitor in order to agree to fix prices in a certain market. This is an example of ________.

________is/are a function of how much and how quickly forces in the specific and general environments change over time and contribute to uncertainty.

Which of the following is not a specific environmental force?

Organizations and Organizational Effectiveness

Organizational Stakeholders, Management, and Ethics

Basic Challenges of Organizational Design

Designing Organizational Structure: Coordination, Communication, and Control

Designing Organizational Structure: Specialization and Coordination

Creating and Managing Organizational Culture

Organizational Design and Strategy in a Changing Global Environment

Organizational Design, Competencies, and Technology

Types and Forms of Organizational Change

Organizational Transformations: Birth, Growth, Decline, and Death

Decision Making, Learning, Knowledge Management, and Information Technology

Innovation, Entrepreneurship, and Creativity

Managing Conflict, Power, and Politics

Filters

Exam 3: Managing in a Changing Global Environment

Microsoft is not very dependent on other companies for scarce resources.

Which strategic alliance would be most appropriate for two organizations that operate in a very uncertain environment?

Which of the following statements about the difference between transaction cost theory and resource dependence theory is true?

Which strategic alliance would be most appropriate for two organizations that operate in a relatively certain environment?

The more complex an organization's environment, the more problems associated with controlling the flow of resources there are.

The Toronto Stock Exchange is an example of:

Environments may be poor because:

An organization's environment will be more uncertain when:

A defense company decided to sell the services of its scientists to commercial clients. This company is:

Which linkage mechanism is the most informal?

An organization in a dynamic, unstable environment seeks ways to make the environment more predictable.

A small U.S. auto parts manufacturer says it faces environmental forces that are out of its control, such as low- cost labor costs abroad. Is this organization at the mercy of its environment?

Which of the following interorganizational linkage mechanisms allows an organization to minimize transaction costs and to avoid bureaucratic costs?

Customers would be considered an inside stakeholder group affecting an organization's specific environment.

Financial keiretsu is used to manage linkages among diverse companies. The benefits include all except:

Which of the following theories states that an organization must respond to the needs and demands of other organizations in its environment?

Changes in customer tastes and preferences is a force in the specific environment that impacts an organization.

An organization decides to meet with its competitor in order to agree to fix prices in a certain market. This is an example of ________.

________is/are a function of how much and how quickly forces in the specific and general environments change over time and contribute to uncertainty.

Which of the following is not a specific environmental force?

Organizations and Organizational Effectiveness

Organizational Stakeholders, Management, and Ethics

Basic Challenges of Organizational Design

Designing Organizational Structure: Coordination, Communication, and Control

Designing Organizational Structure: Specialization and Coordination

Creating and Managing Organizational Culture

Organizational Design and Strategy in a Changing Global Environment

Organizational Design, Competencies, and Technology

Types and Forms of Organizational Change

Organizational Transformations: Birth, Growth, Decline, and Death

Decision Making, Learning, Knowledge Management, and Information Technology

Innovation, Entrepreneurship, and Creativity

Managing Conflict, Power, and Politics

Filters