business managment data bank

25. (p. 88) Characteristics of managerial decisions include all of the following EXCEPT:
A. Risk
B. Uncertainty
C. Convention
D. Lack of structure
E. All of the above are correct

26. (p. 88) Managers often ignore problems for all of the following reasons EXCEPT:
A. They can't be sure how much time, energy or trouble lies ahead
B. Getting involved is risky
C. It is easier to procrastinate or to get busy with less demanding activities
D. Managers are often too busy to make decisions
E. All of the above are correct

27. (p. 89) Decisions encountered and made before, having objectively correct answers and solvable by using simple rules, policies or numerical computations are:
A. Qualitative decisions
B. Programmed decisions
C. Non-economic decisions
D. Policy options
E. Nonprogrammed decisio

28. (p. 89) New, novel, complex decisions having no proven answers are:
A. Nonprogrammed decisions
B. Standing plans
C. Single-use plans
D. Corporate objectives
E. Programmed decisions

29. (p. 89) The state that exists when the probability of success is less than 100 percent is:
A. Certainty
B. Uncertainty
C. Risk
D. Standard deviation
E. Programmable decisions

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30. (p. 89) The state that exists when decision makers have accurate and comprehensive information is:
A. Uncertainty
B. Probability analysis
C. Certainty
D. Policy formulation
E. Risk

31. (p. 89) The state that exists when decision makers have insufficient information is:
A. Certainty
B. Uncertainty
C. Risk
D. Probability
E. Undecided

32. (p. 89) Shakil works for a large contractor. Company policy requires that in hiring subcontractors, at least three bids must be received and that the lowest bid which meets specifications will be accepted. Shakil's decisions regarding the hiring of subcontractors would be classified as:
A. Minimizing
B. Programmed
C. Lacking structure
D. Reprehensible
E. Maximizing

33. (p. 89) Managers of Shadow Blinds are contemplating whether to open the company's first international branch in Europe or Asia. These managers are facing a _______ decision.
A. Routine
B. Programmed
C. Well structured
D. Nonprogrammed
E. Satisficing

34. (p. 89) Uncertainty exists when the manager:
A. Faces two conflicting issues
B. Knows the risk involved in making the decision
C. Has accurate information to make the decision
D. Has insufficient information to make the decision
E. None of the above describes uncertainty in decision making

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35. (p. 91) Opposing pressures from different sources is:
A. Conflict
B. Cooperation
C. Collusion
D. Cohesiveness
E. Groupthink

36. (p. 91) Kathy has received two job offers. One is from a firm in a town that Kathy would like to live in but the other offer would pay more. Kathy is having a difficult time making a decision due to experiencing:
A. Internal conflict
B. Organizational conflict
C. Physical location conflict
D. Psychological conflict
E. Individual conflict

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37. (p. 91) The initial step in the decision making process is to:
A. Select an alternative
B. Evaluate the decision
C. Implement the decision
D. Generate alternatives
E. Identify the problem

Learning Objec:38. (p. 91) A manager may discover that a problem exists by comparing current performance with
A. Past performance
B. The performance of other organizations
C. Future expected performance
D. All of the above
E. None of the above

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39. (p. 92) The mager of the Gallery Restaurant noted that the restaurant had experienced a decrease number of evening customers. The manager promptly ordered the chef to rewrite the evening menu. Customer feedback later indicated that the problem had not been the menu but poor service from the wait staff. The manager's decision to have the menu revised suggests that she failed to:
A. Identify the problem
B. Evaluate the alternatives and consequences
C. Properly diagnose the cause of the problem
D. Evaluate the decision and its consequences
E. Identify a solution

: 2

40. (p. 92) Once a problem is identified and properly diagnosed, the next stage in the decision making process involves:
A. Evaluating alternatives
B. Evaluating consequences
C. Evaluating information
D. Evaluating the decision
E. Generating alternative solutions

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41. (p. 92-93) 41 When a solution is specifically designed for a particular problem or set of problems, it is called:
A. A designer-enhancement
B. Dynamic
C. Ready-made
D. Future-generated
E. None of the above

42. (p. 93) Custom-made decisions require:
A. A consultant
B. In-depth computations
C. Top management approval
D. Creativity
E. Brainstorming

43. (p. 93) Alternative solutions to a competitor's price cuts might include all of the following EXCEPT:
A. Emphasizing consumer risks to low-priced products
B. Building awareness of your products' features and overall quality
C. Communicating your cost advantage to your competitors so they realize they can't win a price war
D. Eliminating all communication with your competitors so they will have less information about your pricing strategies
E. All of the above are correct

: 2

44. (p. 94) Alternative courses of action that can be implemented based on how the future unfolds are called:
A. Single-use plans
B. Contingency plans
C. Standing plans
D. Corporate objectives
E. Shadow plans

: 2

45. (p. 94) Aggie, the manager of Happy Hounds Kennel, knows that the economy can greatly affect her level of business. She has developed a plan of action for each of the four possible economic outcomes that have been predicted for her geographic area over the next 4-6 years. Aggie's use of these strategies according to the state of the economy suggests that she:
A. Is facing a stable environment
B. Utilizes contingency planning
C. Focuses on efficient decisions
D. Engages in satisficing
E. Is a rational decision maker