51) What category of ratios measures a firms ability to meet maturing short-term obligations?A) LeverageB) ActivityC) ProfitabilityD) GrowthE) Liquidity52) According to Roger Schroeder, which of the following is not a basic function of production management?A) TransportationB) InventoryC) CapacityD) WorkforceE) Quality53) Which country has the highest average hourly pay for auto workers?A) JapanB) GermanyC) CanadaD) FranceE) U.S.54) ________ has been successful in determining R&D budget allocations.A) Financing as many project proposals as possibleB) Budgeting for R&D about what competitors spendC) Using the percentage of sales methodD) Deciding how many successful new products are neededE) All of the above have been used55) Which of the following ties all business functions together and provides thebasis for all managerial decisions?A) MarketingB) ManagementC) WorkforceD) InformationE) Technology 56) Which of the following is the first step in developing an IFE Matrix?A) Identifying the organizations functions of businessB) Summing the weighted scores for each variableC) Identifying the organizations strengths and weaknessesD) Determining the lead strategistE) Determining the organizations structure57) The IFE Matrix should be ________ in multidivisional firms.A) all-inclusiveB) constructed only for the major divisionsC) revised monthlyD) constructed for each divisionE) developed before the EFE Matrix58) Which of these strategies is effective when the number of suppliers is smalland the number of competitors is large?A) Conglomerate diversificationB) Forward integrationC) Backward integrationD) Concentric diversificationE) Horizontal diversification59) Which strategy seeks to increase market share of present products or servicesin present markets through greater marketing efforts?A) Backward integrationB) Market penetrationC) Forward integrationD) Market developmentE) Product development60) All of the following situations are conducive to market development exceptA) when an organization competes in a high-growth industry.B) when new untapped or unsaturated markets exist.C) when an organization is very successful at what it does.D) when an organizations basic industry is becoming rapidly global in scope.E) when an organization has excess production capacity.61) Which strategy should an organization use if it competes in a no-growth or aslow-growth industry?A) Backward integrationB) RetrenchmentC) Unrelated diversificationD) Related diversificationE) Divestiture62) Which of the following is not an example of when an organization should usean unrelated diversification strategy?A) When revenues derived from an organizations current products or serviceswould increase significantly by adding the new unrelated, products.B) When the new products have counter-cyclical sales patterns compared to anorganizations present products.C) When an organization competes in a highly competitive and/or a no-growthindustry.D) When an organizations present channels of distribution can be used to market the new products to current customers.E) When the organization has a temporary management team.63) Which chapter of the bankruptcy code applies to municipalities?A) Chapter 9B) Chapter 12C) Chapter 8D) Chapter 13E) Chapter 764) The Family Farmer Bankruptcy Act of 1986 createdA) Chapter 13.B) Chapter 9.C) Chapter 8.D) Chapter 7.E) Chapter 12.65) Under which strategy would you offer products or services to a wide range ofcustomers at the lowest price available on the market?A) Low-costB) DifferentiationC) Best-valueD) Low-cost focusE) Best-value focus66) Under which condition would a differentiation strategy be especially effective?A) When the industry has many different niches and segments, thereby allowinga company to pick a competitively attractive niche suited to its own resources.B) When technological change is fast paced and competition revolves aroundrapidly evolving product features.C) When few, if any, other rivals are attempting to specialize in the same targetsegment.D) When industry leaders do not consider the niche to be crucial to their ownsuccess.E) When the target market niche is large, profitable and growing67) Which of the following is not a reason joint ventures fail?A) The venture may benefit the partnering companies but may not benefit thecustomers who then complain about poorer service or criticize the companiesin other ways.B) The venture may begin to compete more with one of the partners than theother.C) Stakeholders from both partners are equally satisfied.D) Managers who must collaborate daily in operating the venture are not in-volved in forming or shaping the venture.E) The venture may not be supported equally by both partners.68) What was the largest acquisition completed in 2007?A) CVS acquiring Caremark RxB) AT&T acquiring BellSouth CorpC) Linde acquiring BOC GroupD) Johnson & Johnson acquiring Pjizen Consumer HealthcareE) Porsche acquiring Volkswagon69) Which section of the SWOT Matrix involves matching internal strengths withexternal opportunities?A) The ST cellB) The WT cellC) The WO cellD) The SW cellE) The SO cell70) Which strategies aim at improving internal weaknesses by taking advantage ofexternal opportunities?A) STB) WOC) SOD) WTE) SW71) How many cells are in a SWOT Matrix?A) EightB) NineC) TwoD) FourE) Six72) Which of the following is not a step of a SWOT Matrix?A) Match strengths with external opportunities and record the resultant SO strategies in the appropriate cell.B) List the firms key external threats.C) Match internal weaknesses with external threats and record the resultant WTstrategies.D) List the firms external opportunities.E) List the firms external weaknesses.73) Which of these is not a SPACE Matrix quadrant?A) AggressiveB) DefensiveC) ConservativeD) CompetitiveE) Offensive74) In the SPACE analysis, what does a (+6, +3) strategy profile portray?A) A strong industryB) A stable environmentC) A weak industryD) An unstable environmentE) A weak financial position75) For what type of company is the BCG Matrix ideal for analyzing?A) All companiesB) Large companiesC) Companies with more than one divisionD) Companies with annual sales of less than $1 millionE) Companies with annual sales greater than $1 million51) What category of ratios measures a firms ability to meet maturing short-term obligations?A) LeverageB) ActivityC) ProfitabilityD) GrowthE) Liquidity52) According to Roger Schroeder, which of the following is not a basic function of production management?A) TransportationB) InventoryC) CapacityD) WorkforceE) Quality53) Which country has the highest average hourly pay for auto workers?A) JapanB) GermanyC) CanadaD) FranceE) U.S.54) ________ has been successful in determining R&D budget allocations.A) Financing as many project proposals as possibleB) Budgeting for R&D about what competitors spendC) Using the percentage of sales methodD) Deciding how many successful new products are neededE) All of the above have been used55) Which of the following ties all business functions together and provides thebasis for all managerial decisions?A) MarketingB) ManagementC) WorkforceD) InformationE) Technology 56) Which of the following is the first step in developing an IFE Matrix?A) Identifying the organizations functions of businessB) Summing the weighted scores for each variableC) Identifying the organizations strengths and weaknessesD) Determining the lead strategistE) Determining the organizations structure57) The IFE Matrix should be ________ in multidivisional firms.A) all-inclusiveB) constructed only for the major divisionsC) revised monthlyD) constructed for each divisionE) developed before the EFE Matrix58) Which of these strategies is effective when the number of suppliers is smalland the number of competitors is large?A) Conglomerate diversificationB) Forward integrationC) Backward integrationD) Concentric diversificationE) Horizontal diversification59) Which strategy seeks to increase market share of present products or servicesin present markets through greater marketing efforts?A) Backward integrationB) Market penetrationC) Forward integrationD) Market developmentE) Product development60) All of the following situations are conducive to market development exceptA) when an organization competes in a high-growth industry.B) when new untapped or unsaturated markets exist.C) when an organization is very successful at what it does.D) when an organizations basic industry is becoming rapidly global in scope.E) when an organization has excess production capacity.61) Which strategy should an organization use if it competes in a no-growth or aslow-growth industry?A) Backward integrationB) RetrenchmentC) Unrelated diversificationD) Related diversificationE) Divestiture62) Which of the following is not an example of when an organization should usean unrelated diversification strategy?A) When revenues derived from an organizations current products or serviceswould increase significantly by adding the new unrelated, products.B) When the new products have counter-cyclical sales patterns compared to anorganizations present products.C) When an organization competes in a highly competitive and/or a no-growthindustry.D) When an organizations present channels of distribution can be used to market the new products to current customers.E) When the organization has a temporary management team.63) Which chapter of the bankruptcy code applies to municipalities?A) Chapter 9B) Chapter 12C) Chapter 8D) Chapter 13E) Chapter 764) The Family Farmer Bankruptcy Act of 1986 createdA) Chapter 13.B) Chapter 9.C) Chapter 8.D) Chapter 7.E) Chapter 12.65) Under which strategy would you offer products or services to a wide range ofcustomers at the lowest price available on the market?A) Low-costB) DifferentiationC) Best-valueD) Low-cost focusE) Best-value focus66) Under which condition would a differentiation strategy be especially effective?A) When the industry has many different niches and segments, thereby allowinga company to pick a competitively attractive niche suited to its own resources.B) When technological change is fast paced and competition revolves aroundrapidly evolving product features.C) When few, if any, other rivals are attempting to specialize in the same targetsegment.D) When industry leaders do not consider the niche to be crucial to their ownsuccess.E) When the target market niche is large, profitable and growing67) Which of the following is not a reason joint ventures fail?A) The venture may benefit the partnering companies but may not benefit thecustomers who then complain about poorer service or criticize the companiesin other ways.B) The venture may begin to compete more with one of the partners than theother.C) Stakeholders from both partners are equally satisfied.D) Managers who must collaborate daily in operating the venture are not in-volved in forming or shaping the venture.E) The venture may not be supported equally by both partners.68) What was the largest acquisition completed in 2007?A) CVS acquiring Caremark RxB) AT&T acquiring BellSouth CorpC) Linde acquiring BOC GroupD) Johnson & Johnson acquiring Pjizen Consumer HealthcareE) Porsche acquiring Volkswagon69) Which section of the SWOT Matrix involves matching internal strengths withexternal opportunities?A) The ST cellB) The WT cellC) The WO cellD) The SW cellE) The SO cell70) Which strategies aim at improving internal weaknesses by taking advantage ofexternal opportunities?A) STB) WOC) SOD) WTE) SW71) How many cells are in a SWOT Matrix?A) EightB) NineC) TwoD) FourE) Six72) Which of the following is not a step of a SWOT Matrix?A) Match strengths with external opportunities and record the resultant SO strategies in the appropriate cell.B) List the firms key external threats.C) Match internal weaknesses with external threats and record the resultant WTstrategies.D) List the firms external opportunities.E) List the firms external weaknesses.73) Which of these is not a SPACE Matrix quadrant?A) AggressiveB) DefensiveC) ConservativeD) CompetitiveE) Offensive74) In the SPACE analysis, what does a (+6, +3) strategy profile portray?A) A strong industryB) A stable environmentC) A weak industryD) An unstable environmentE) A weak financial position75) For what type of company is the BCG Matrix ideal for analyzing?A) All companiesB) Large companiesC) Companies with more than one divisionD) Companies with annual sales of less than $1 millionE) Companies with annual sales greater than $1 million
