Question 1

Competitors are a force in the general environment.

Accepted Answer

A) True 
 B)False

Question 2

An organization decides to join a trade organization so that it can share information and ideas with competitors. 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 3

Economic forces, such as interest rates, are considered to be a specific environmental force.

Accepted Answer

A) True 
 B)False

Question 4

________is the most formal interorganizational linkage.

Accepted Answer

A) Minority ownership 
B) A joint venture 
C) A network organization 
D) A merger 
A) Minority ownership 
B) A joint venture 
C) A network organization 
D) A merger

Question 5

Both collusions and cartels are illegal in the United States.

Accepted Answer

A) True 
 B)False

Question 6

A franchiser has a symbiotic relationship with a franchisee.

Accepted Answer

A) True 
 B)False

Question 7

Which of the following is the least formal interorganizational strategy for managing competitive interdependence?

Accepted Answer

A) Long- term contracts 
B) Industry standards 
C) Co- optation 
D) Third- party linkage mechanisms 
A) Long- term contracts 
B) Industry standards 
C) Co- optation 
D) Third- party linkage mechanisms

Question 8

Formal linkage mechanisms should be used when companies:

Accepted Answer

A) exchange specific assets and uncertainty is high. 
B) have few possible exchange partners and uncertainty is low. 
C) exchange nonspecific assets and have few exchange partners. 
D) exchange specific assets and have many possible exchange partners. 
A) exchange specific assets and uncertainty is high. 
B) have few possible exchange partners and uncertainty is low. 
C) exchange nonspecific assets and have few exchange partners. 
D) exchange specific assets and have many possible exchange partners.

Question 9

All of the following are interorganizational strategies to manage competitive interdependencies except:

Accepted Answer

A) price leadership. 
B) interlocking directorate. 
C) joining a trade association. 
D) developing a good reputation. 
A) price leadership. 
B) interlocking directorate. 
C) joining a trade association. 
D) developing a good reputation.

Question 10

The richer the environment, the more difficult it is for organizations to manage resource transactions.

Accepted Answer

A) True 
 B)False

Question 11

Two companies pool their resources to develop a new computer technology. This is an example of ________.

Accepted Answer

A) an interorganizational linkage 
B) co- optation 
C) resource dependence 
D) bounded rationality 
A) an interorganizational linkage 
B) co- optation 
C) resource dependence 
D) bounded rationality

Question 12

Which of the following interorganizational strategies help an organization minimize transaction costs and avoid bureaucratic costs?

Accepted Answer

A) Merging with another company 
B) Outsourcing 
C) Forming a joint venture 
D) Obtaining minority ownership in other companies 
A) Merging with another company 
B) Outsourcing 
C) Forming a joint venture 
D) Obtaining minority ownership in other companies

Question 13

An organization entering the global market will have reduced environmental uncertainty due to the enlarged domain it offers.

Accepted Answer

A) True 
 B)False

Question 14

Which of the following interorganizational strategies is most appropriate for a company that wants to enlarge its domain and produce a wider range of products?

Accepted Answer

A) Trade association 
B) Long- term contracts 
C) Merger 
D) Co- optation 
A) Trade association 
B) Long- term contracts 
C) Merger 
D) Co- optation

Question 15

Which term is defined as how rapidly the forces in the environment change?

Accepted Answer

A) Environmental richness 
B) Environmental dynamism 
C) Environmental complexity 
D) Organizational domain 
A) Environmental richness 
B) Environmental dynamism 
C) Environmental complexity 
D) Organizational domain

Question 16

When a company decides to produce different products for different customers,

Accepted Answer

A) environmental complexity increases. 
B) environmental stability increases. 
C) the number of stakeholders decreases. 
D) the organizational domain decreases. 
A) environmental complexity increases. 
B) environmental stability increases. 
C) the number of stakeholders decreases. 
D) the organizational domain decreases.

Question 17

A keiretsu is a form of which of the following types of strategic alliance?

Accepted Answer

A) Developing a good reputation 
B) Minority ownership 
C) Joint venture 
D) Long- term contracts 
A) Developing a good reputation 
B) Minority ownership 
C) Joint venture 
D) Long- term contracts

Question 18

Which of the following is an example of co- optation?

Accepted Answer

A) Appointing the CEO of a company's bank to its board of directors 
B) Creating cross- functional teams 
C) Establishing an ethics committee 
D) Forming a joint venture to develop a new technology 
A) Appointing the CEO of a company's bank to its board of directors 
B) Creating cross- functional teams 
C) Establishing an ethics committee 
D) Forming a joint venture to develop a new technology

Question 19

By dramatically reducing their number of suppliers, Ford was able to reduce the complexity of its environment.

Accepted Answer

A) True 
 B)False

Question 20

Which term is defined as the strength, number, and interconnectedness of the specific and general forces that an organization has to manage?

Accepted Answer

A) Environmental richness 
B) Environmental dynamism 
C) Environmental complexity 
D) Organizational domain 
A) Environmental richness 
B) Environmental dynamism 
C) Environmental complexity 
D) Organizational domain

Competitors are a force in the general environment.

An organization decides to join a trade organization so that it can share information and ideas with competitors. This is an example of ________.

Economic forces, such as interest rates, are considered to be a specific environmental force.

________is the most formal interorganizational linkage.

Both collusions and cartels are illegal in the United States.

A franchiser has a symbiotic relationship with a franchisee.

Which of the following is the least formal interorganizational strategy for managing competitive interdependence?

Formal linkage mechanisms should be used when companies:

All of the following are interorganizational strategies to manage competitive interdependencies except:

The richer the environment, the more difficult it is for organizations to manage resource transactions.

Two companies pool their resources to develop a new computer technology. This is an example of ________.

Which of the following interorganizational strategies help an organization minimize transaction costs and avoid bureaucratic costs?

An organization entering the global market will have reduced environmental uncertainty due to the enlarged domain it offers.

Which of the following interorganizational strategies is most appropriate for a company that wants to enlarge its domain and produce a wider range of products?

Which term is defined as how rapidly the forces in the environment change?

When a company decides to produce different products for different customers,

A keiretsu is a form of which of the following types of strategic alliance?

Which of the following is an example of co- optation?

By dramatically reducing their number of suppliers, Ford was able to reduce the complexity of its environment.

Which term is defined as the strength, number, and interconnectedness of the specific and general forces that an organization has to manage?

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

Competitors are a force in the general environment.

An organization decides to join a trade organization so that it can share information and ideas with competitors. This is an example of ________.

Economic forces, such as interest rates, are considered to be a specific environmental force.

________is the most formal interorganizational linkage.

Both collusions and cartels are illegal in the United States.

A franchiser has a symbiotic relationship with a franchisee.

Which of the following is the least formal interorganizational strategy for managing competitive interdependence?

Formal linkage mechanisms should be used when companies:

All of the following are interorganizational strategies to manage competitive interdependencies except:

The richer the environment, the more difficult it is for organizations to manage resource transactions.

Two companies pool their resources to develop a new computer technology. This is an example of ________.

Which of the following interorganizational strategies help an organization minimize transaction costs and avoid bureaucratic costs?

An organization entering the global market will have reduced environmental uncertainty due to the enlarged domain it offers.

Which of the following interorganizational strategies is most appropriate for a company that wants to enlarge its domain and produce a wider range of products?

Which term is defined as how rapidly the forces in the environment change?

When a company decides to produce different products for different customers,

A keiretsu is a form of which of the following types of strategic alliance?

Which of the following is an example of co- optation?

By dramatically reducing their number of suppliers, Ford was able to reduce the complexity of its environment.

Which term is defined as the strength, number, and interconnectedness of the specific and general forces that an organization has to manage?

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