Exam 1: Organizations and Organizational Effectiveness

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Organizational theory is primarily concerned with how an organization can outperform its competitors.

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Entrepreneurship is the process by which people recognize opportunities to structure organizations more efficiently.

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Finding new and improved ways of using resources and capabilities to increase value is called

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An organization:

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A large company was successful, but has been losing market share and laying off workers. Product development has been slow. What could be the source of the problem, and what can be done to resolve it?

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The process of selecting organizational structure and organizational culture is___________ .

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Organizational structure is used to control and coordinate people's actions.

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___________means developing modern production facilities using new information technologies that can produce and distribute products in a timely and cost- effective manner.

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Transaction costs are the costs associated with negotiating, monitoring, and governing exchanges between people.

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The external resource approach evaluates an organization's ability to implement technology.

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___________goals provide employee direction.

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The degree of specialization in small companies tends to be lower than that of large companies.

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The environment in which an organization operates is a major source of uncertainty.

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Organizational culture:

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One reason that organizations exist is so that they can exert power and control.

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___________means developing an organization's skills and capacities so that the organization can discover and take advantage of new products and processes.

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___________means having control over the external environment and having the ability to attract resources and customers.

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Studying organizations is relatively easy because they are tangible. That is, we can see and touch them.

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Jeffrey Bezos saw the opportunity to sell books over the Internet, which was growing. This is an example of _____________.

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Operative goals can be either short or long term in nature.

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