TB Ch01 Revised
TB Ch01 Revised
TB Ch01 Revised
1.1 What are the rewards of being an exceptional managerof being a star in my workplace? 1.2 Challenges can make one feel alive. What are six challenges I could look forward to as a manager? 1.3 What would I actually dothat is, what would be my four principal functionsas a manager? 1.4 What are the levels and areas of management I need to know to move up, down, and sideways? 1.5 To be an exceptional manager, what roles must I play successfully? 1.6 Do I have what it takes to be an entrepreneur?
15,18,24,25,27,28, 74,75,77,79
80, 139
32,33,34,35,36, 82,83,84,85,86,87
89
88,90,91, 140
38,46, 94,106
44, 93,96,99,101,105
47,48,49,50,52,53, 107,115,119
60, 125
128,130,133, 144
62,63, 127,132,135,136
129,131,134
Note: Bold numbers indicate short essay questions; italicized numbers indicate T/F questions.
Effectiveness means to use resources wisely and cost-effectively. Answer: False Page: 5 LO: 1 Difficulty: Easy AACSB: 3 BT: Knowledge
4.
Efficiency and effectiveness mean the same thing. Answer: False Page: 5 LO: 1 Difficulty: Easy AACSB: 3 BT: Knowledge
5.
Automated telephone systems are often very effective, but rarely are they efficient. Answer: False Page: 5 LO: 1 Difficulty: Moderate AACSB: 4 BT: Comprehension Rationale: Automated telephone systems are often efficient; the companies no longer need as many telephone receptionists. They may be ineffective in satisfying customers.
6.
An effective manager's influence on the organization is multiplied beyond the results achievable by just one person. Answer: True Page: 6 LO: 1 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: Good managers create value. The reason is that in being a manager you have a multiplier effect: your influence on the organization is multiplied far beyond the results that can be achieved by just one person acting alone.
7.
Being a manager usually leads to a higher salary. Answer: True Page: 6 LO: 1 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: The financial payoff for being a manager can be as much as $233,500 if you are a small business chief executive, far more than the average American worker.
One of the reasons network television is losing competitive advantage is the fragmentation of the audience occasioned by the change from a linear viewing model to an on-demand model. Answer: True Page: 9 LO: 2 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: One of the ways that network television is losing competitive advantage is that the audience is fragmenting due to the change from a linear viewing model to an on-demand model.
E-commerce is the buying and selling of goods or services over computer networks. Answer: True Page: 11 LO: 2 Difficulty: Easy AACSB: 4 BT: Knowledge
26.
E-business is using the Internet to facilitate every aspect of running a business. Answer: True Page: 11 LO: 2 Difficulty: Easy AACSB: 4 BT: Knowledge
Computerized collections of interrelated files are called megafiles. Answer: False Page: 11 LO: 2 Difficulty: Easy AACSB: 4 BT: Knowledge
29.
Project management software allows managers to plan and schedule the people, costs, and resources to complete a project on time. Answer: True Page: 11 LO: 2 Difficulty: Easy AACSB: 4 BT: Comprehension
30.
Accelerated decision making, conflict, and stress are some of the implications of e-business. Answer: True Page: 11 LO: 2 Difficulty: Medium AACSB: 4 BT: Knowledge Rationale: One of the implications of e-business is accelerated decision making, conflict, and stress. The Internet not only speeds everything up, it also can overwhelm us with information, much of it useful, much of it not.
31.
Telecommuting means working from home or remote locations using a variety of information technologies. Answer: True Page: 11 LO: 2 Difficulty: Easy AACSB: 4 BT: Knowledge
32.
Meetings that are conducted via videoconferencing, use video and audio links along with computers to let people in different locations see, hear, and talk with one another. Answer: True Page: 11 LO: 2 Difficulty: Easy AACSB: 4 BT: Knowledge
33.
Collaborative computing involves using state-of-the-art computer software and hardware to help people work better together. Answer: True Page: 11 LO: 2 Difficulty: Easy AACSB: 4 BT: Knowledge
34.
Knowledge management is the implementation of systems and practices to increase the sharing of knowledge and information throughout an organization. Answer: True Page: 11 LO: 2 Difficulty: Easy AACSB: 4 BT: Knowledge
When a manager is motivating others to work hard to achieve the organizations goals, she is engaged in the management function of leading. Answer: True Page: 13 LO: 3 Difficulty: Easy AACSB: 3 BT: Knowledge
40.
When a manager is setting goals, he is involved in the management function of organizing. Answer: False Page: 13 LO: 3 Difficulty: Easy AACSB: 3 BT: Knowledge
41.
Organizing is the arranging of tasks, people, and other resources to accomplish work. Answer: True Page: 14 LO: 3 Difficulty: Easy AACSB: 3 BT: Knowledge
42.
Controlling includes taking corrective actions on problems that a manager observes. Answer: True Page: 14 LO: 3 Difficulty: Easy AACSB: 3 BT: Knowledge
Fortunately, everyone who works in an organization is a manager. Answer: False Page: 15 LO: 4 Difficulty: Medium AACSB: 3 BT: Comprehension Rationale: Not everyone who works in an organization is a manager, of course, but those who are may be classified into three levelstop, middle, and first-line.
45.
There are managers at three levels of an organization: top, middle, and first-line. Answer: True Page: 15 LO: 4 Difficulty: Easy AACSB: 3 BT: Knowledge
46.
Middle managers make long-term decisions about the overall direction of the organization and establish the objectives, policies, and strategies for it. Answer: False Page: 16 LO: 4 Difficulty: Easy AACSB: 3 BT: Knowledge
47.
Middle managers implement the policies and plans of the top managers above them and supervise and coordinate the activities of the first-line managers below them. Answer: True Page: 16 LO: 4 Difficulty: Easy AACSB: 3 BT: Knowledge
48.
A first-line manager directs the daily tasks of nonmanagerial personnel. Answer: True Page: 17 LO: 4 Difficulty: Easy AACSB: 3 BT: Knowledge
49.
A manager of Marketing is a general manager. Answer: False Page: 17 LO: 4 Difficulty: Easy AACSB: 3 BT: Knowledge
50.
A Chief Operating Officer of an organization is likely to be a first-line supervisor. Answer: False Page: 17 LO: 4 Difficulty: Moderate AACSB: 3 BT: Application Rationale: A first-line supervisor makes short-term operating decisions, directing the daily tasks of nonmanagerial personnel. A Chief Operating Officer is a high-level general manager who oversees the operations of the firm.
The main purpose of a nonprofit organization is to make a profit. Answer: False Page: 18 LO: 4 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: The purpose of nonprofit organizations is to offer services to some clients, not to make a profit.
53.
Managers tend to work long hours, but at a relatively leisurely pace. Answer: False Page: 19 LO: 5 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: Managers tend to work long hours at an intense pace.
54.
Managers rely more on written than on oral communication. Answer: False Page: 19 LO: 5 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: Managers rely more on verbal than on written communication.
55.
E-mail helps managers to concentrate on the important tasks in their day. Answer: False Page: 19 LO: 5 Difficulty: Moderate AACSB: 4 BT: Comprehension Rationale: All the e-mail, cell phone calls, text messaging, and so on can lead people to end up concentrating on the urgent rather than the important, according to Ed Reilly, head of the America Management Association.
56.
Time and task management are major challenges for every manager. Answer: True Page: 20 LO: 5 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: It is clear from Mintzbergs work that time and task management are major challenges for every manager.
57.
According to Mintzberg, the three types of managerial roles include interpersonal, collaborational, and decisional. Answer: False Page: 20 LO: 5 Difficulty: Easy AACSB: 3 BT: Knowledge
A manager, in a spokesperson role, needs to constantly disseminate important information to employees, as via email and meetings. Answer: False Page: 22 LO: 5 Difficulty: Easy AACSB: 3 BT: Knowledge
62.
Decisional managerial roles include entrepreneur roles, monitor roles, resource allocator roles, and negotiator roles. Answer: False Page: 22 LO: 5 Difficulty: Easy AACSB: 3 BT: Knowledge
63.
Entrepreneurship means taking risks to create a new enterprise. Answer: True Page: 23 LO: 6 Difficulty: Easy AACSB: 3 BT: Knowledge
64.
Two types of entrepreneurship include the extrapreneur and the intrapreneur. Answer: False Page: 23 LO: 6 Difficulty: Easy AACSB: 3 BT: Knowledge
65.
Art Fry, the3M employee who invented Post-it Notes is an example of an intrapreneur. Answer: True Page: 25 LO: 6 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: One of the most famous instances of intrapreneurship occurred at 3M Corp, when 3M employee Art Fry conceived of Post-it Notes.
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Opportunity entrepreneurs are those who start their own business out of a burning desire rather than because they lost a job. Answer: True Page: 26 LO: 6 Difficulty: Easy AACSB: 3 BT: Knowledge
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To deal with ambiguous problems with far-reaching potential, a manager needs technical skills. Answer: False Page: 27 LO: 7 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: Conceptual skills consist of the ability to think analytically, to visualize an organization as a whole and understand how the parts work together. Conceptual skills are particularly important for top managers, who must deal with problems that are ambiguous but that could have far-reaching consequences.
69.
Human skills are critical for first level and middle managers, but not for top managers. Answer: False Page: 27 LO: 7 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: Human skills consist of the ability to work well in cooperation with other people to get things done. These skills are necessary for managers of all levels. Multiple Choice Questions
70.
Which of the following are examples of Kelleys star strategies? A) Reflectiveness B) Self-control C) Focus D) Show and tell E) Cooperation Answer: D Page: 3 LO: 1 Difficulty: Medium AACSB: 3 BT: Comprehension Rationale: Kelleys star strategies include: initiative, networking, self-management, perspective, followership, leadership, teamwork, organizational savvy, and show and tell.
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A group of people who work together to achieve some specific purpose is/are called A) managers. B) employees. C) a team. D) an organization. E) a community. Answer: D Page: 4 LO: 1 Difficulty: Easy AACSB: 3 BT: Knowledge
73.
To be _____________ means to use resources wisely and cost-effectively. A) efficient B) effective C) multiplied D) ethical E) innovative Answer: A Page: 5 LO: 1 Difficulty: Easy AACSB: 3 BT: Knowledge
74.
To be ______________ means to make the right decisions and successfully carry them out to achieve goals. A) efficient B) effective C) multiplied D) ethical E) innovative Answer: B Page: 5 LO: 1 Difficulty: Easy AACSB: 3 BT: Knowledge
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According to a recent Fortune magazine article, The scarcest, most valuable resource in business is A) a highly stable technology. B) a young workforce. C) skilled effective managers. D) financial capital. E) government support. Answer: C Page: 6 LO: 1 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: The scarcest, most valuable resource in business is no longer financial capital, says a recent Fortune article. Its talent. If you doubt that, just watch how hard companies are battling for the best peopleTalent of every type is in short supply, but the greatest shortage of all is skilled, effective managers.
77.
Which of the following is a payoff of studying management as a discipline? A) You will understand how to choose target markets. B) You will understand how to relate to your family much better. C) You will understand how to market the organization. D) You will understand how to advance your career quickly. E) You will understand how to manage yourself in the workplace. Answer: E Page: 7 LO: 1 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: A few of the payoffs of studying management as a discipline include, understanding how to deal with organizations from the outside, understanding how to relate to your supervisors and how to interact with co-workers, and you will understand how to manage yourself in the workplace.
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An organization must stay ahead of their competitors in all of the following areas except A) being responsive to customers. B) innovation. C) quality. D) white-collar organization. E) efficiency. Answer: D Page: 8 LO: 2 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: Competitive advantage is the ability of an organization to produce goods or services more effectively than competitors do, thereby outperforming them. This means an organization must stay ahead in four areas: (1) being responsive to customers, (2) innovation, (3) quality, and (4) efficiency.
83.
Finding ways to deliver goods or services as quickly as possible using as few resources as possible is called A) innovation. B) efficiency. C) effectiveness. D) organizing. E) quality improvement. Answer: B Page: 10 LO: 2 Difficulty: Easy AACSB: 3 BT: Knowledge
84.
During the next half-century, the percentage of whites in the population is expected to ____________, and the percentage of Hispanics is expected to ________. A) increase, increase B) increase, decrease C) decrease, increase D) increase, stay the same E) stay the same, increase Answer: C Page: 10 LO: 2 Difficulty: Moderate AACSB: 5 BT: Comprehension Rationale: Nonhispanic whites are projected to decrease from 69% of the population at the turn of the 21st century to 50% in 2050. Hispanics are expected to increase from 13% to 24%.
Kinicki/Williams, Management: A Practical Introduction, 4e Copyright 2009, The McGraw-Hill Companies 15
Amy is in charge of the company newsletter. She provides the newsletter by both e-mail and hard copy to each employee. In the newsletter she includes changes in company policy, awards employees have received, and general interest articles about the company staff. Amy is participating in A) Information management B) E-management C) Project management D) Knowledge management E) Software management Answer: D Page: 11 LO: 2 Difficulty: Hard AACSB: 3 BT: Application Rationale: Knowledge management is the implementation of systems and practices to increase the sharing of knowledge and information throughout an organization. This is exactly what Amy does with the newsletter.
87.
The companys culture most directly affects A) a managers happiness. B) the number of competitors a firm has. C) the number of products a company makes. D) the amount charged for the firms products or services. E) the education of the workforce. Answer: A Page: 12 LO: 2 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: Ones experience in management is greatly affected by the companys culture. Culture, or style, is indeed an important matter, because it affects your happiness within an organization.
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What you as a manager do to get things done is called A) the management process. B) efficiency. C) effectiveness. D) goal setting. E) strategy. Answer: A Page: 13 LO: 3 Difficulty: Easy AACSB: 3 BT: Knowledge
90.
Setting goals and deciding how to achieve them is called A) planning. B) organizing. C) leading. D) controlling. E) managing. Answer: A Page: 13 LO: 3 Difficulty: Easy AACSB: 3 BT: Knowledge
91.
Arranging tasks, people, and other resources to accomplish the work is called A) planning. B) organizing. C) leading. D) controlling. E) managing. Answer: B Page: 14 LO: 3 Difficulty: Easy AACSB: 3 BT: Knowledge
92.
Motivating and directing people to work hard to achieve the organization's goals is called A) planning. B) organizing. C) leading. D) controlling. E) managing. Answer: C Page: 14 LO: 3 Difficulty: Easy AACSB: 3 BT: Knowledge
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A manager at a Pharmaceutical company is attempting to determine which type of people to hire. This is an example of A) planning. B) organizing. C) leading. D) controlling. E) marketing. Answer: A Page: 13 LO: 3 Difficulty: Moderate AACSB: 3 BT: Application Rationale: Planning is defined as setting goals and deciding how to achieve them. Good decisions such as which type of people to hire help the manager in achieving company goals.
95.
An administrator at a college is deciding whether English professors should teach specialized courses or teach a variety of English courses. This is an example of A) planning. B) organizing. C) leading. D) controlling. E) leadership. Answer: B Page: 14 LO: 3 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: Organizing is defined as arranging tasks, people, and other resources to accomplish the work. This would include decisions around what English professors should teach.
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Managers who make strategic and long-term decisions about the overall direction of the organization are most likely to be A) first-line managers. B) middle managers. C) top managers. D) functional managers. E) general managers. Answer: C Page: 16 LO: 4 Difficulty: Easy AACSB: 3 BT: Knowledge
105.
GE CEO Jeffrey Immelt is a A) first-line manager. B) middle manager. C) top manager. D) functional manager. E) comprehensive manager. Answer: C Page: 16 LO: 4 Difficulty: Moderate AACSB: 3 BT: Application Rationale: CEOs such as Immelt are top level managers, those that make long-term decisions about the overall direction of the organization and establish the objectives, policies, and strategies for it.
Kinicki/Williams, Management: A Practical Introduction, 4e Copyright 2009, The McGraw-Hill Companies 21
22
John is a plant manager for Proctor & Gamble who implements the policies of P & G in his plant. His plant makes diapers and other baby-related products. John is most likely a A) first-line manager. B) middle manager. C) top manager. D) functional manager. E) coordination manager. Answer: B Page: 16 LO: 4 Difficulty: Moderate AACSB: 3 BT: Application Rationale: Middle managers implement the policies and plans of the top managers above them and supervise and coordinate the activities of the first-line managers below them. One title may be plant manager for example.
108.
Managers who make short-term operating decisions and direct the daily tasks of the organization are called A) first line managers. B) middle managers. C) top managers. D) functional managers. E) general managers. Answer: A Page: 17 LO: 4 Difficulty: Easy AACSB: 3 BT: Knowledge
109.
A ______ manager is responsible for just one organizational activity. A) first-line B) functional C) top-level D) CEO as a E) general Answer: B Page: 17 LO: 4 Difficulty: Easy AACSB: 3 BT: Knowledge
23
A & H Farm Cooperative advances its members interests by providing a place for the members to sell their produce. A & H is which type of organization? A) for-profit B) nonprofit C) administrative D) mutual-benefit E) aid-based Answer: D Page: 18 LO: 4 Difficulty: Moderate AACSB: 3 BT: Application Rationale: Mutual-benefit organizations are voluntary collections of members such as a farm cooperative whose purpose is to advance members interests.
112.
The measure of success of a nonprofit organization is A) ROI. B) the money that is earned. C) the effectiveness of the services delivered. D) the number of services delivered. E) the profit of the organization. Answer: C Page: 18 LO: 4 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: In a nonprofit organization, although income and expenditures are very important concerns, the measure of success is usually the effectiveness of the services delivered.
24
Which of the following is an example of an informational role? A) Disturbance handler B) Leader C) Spokesperson D) Liaison E) Resource allocator Answer: C Page: 21 LO: 5 Difficulty: Easy AACSB: 3 BT: Knowledge
116.
According to Mintzberg's work, which of the following is a type of role that managers play? A) Analytical B) Interrogatory C) Interdependent D) Decisional E) All of these are managerial roles according to Mintzberg. Answer: D Page: 22 LO: 5 Difficulty: Easy AACSB: 3 BT: Knowledge
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The belief that you control your own destiny is called A) internal locus of control. B) entrepreneurship. C) intrapreneurship. D) external locus of control. E) manifest destiny. Answer: A Page: 26 LO: 6 Difficulty: Easy AACSB: 3 BT: Knowledge
132.
All of the following are characteristics of an entrepreneur EXCEPT A) high need for achievement B) ability to maintain a business C) belief in personal control of destiny D) high energy level and action oriented E) self confidence Answer: B Page: 26 LO: 6 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: An entrepreneur has a high need for achievement, a belief in personal control of destiny, a high energy level and action orientation, a high tolerance for ambiguity, and self-confidence and tolerance for risk.
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According to Katz, which of the following principal skills is one that managers need? A) intuition B) evaluative C) human D) comprehensive E) coordination Answer: C Page: 27 LO: 7 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: Robert Katz found that through education and experience managers acquire three principle skillstechnical, conceptual, and human.
135.
__________ skills consist of the job-specific knowledge needed to perform well in a specialized field. A) Technical B) Conceptual C) Human D) Physical E) Evaluative Answer: A Page: 27 LO: 7 Difficulty: Easy AACSB: 3 BT: Knowledge
136.
Jo, a managing partner of an accounting firm, understands tax law. This means she has a ______________ skill. A) technical B) conceptual C) human D) physical E) intuitive Answer: A Page: 27 LO: 7 Difficulty: Moderate AACSB: 3 BT: Application Rationale: In this case, knowledge of tax law is a job-specific or technical skill.
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Robert has a picture in his mind of the whole process by which his company produces applesauce. This is an example of a ______________ skill. A) technical B) conceptual C) human D) physical E) intuitive Answer: B Page: 27 LO: 7 Difficulty: Moderate AACSB: 3 BT: Application Rationale: This reflects Roberts ability to understand how the parts of his organization work together.
139.
Conceptual skills are particularly important for _____________ managers. A) first-line B) middle C) top D) functional E) general Answer: C Page: 27 LO: 7 Difficulty: Moderate AACSB: 3 BT: Comprehension Rationale: Top managers must deal with ambiguous problems that require a conceptual understanding.
140.
__________ skills consist of the ability to work well in cooperation with other people to get things done. A) technical B) conceptual C) human D) physical E) intuitive Answer: C Page: 27 LO: 7 Difficulty: Easy AACSB: 3 BT: Knowledge
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Answer: The multiplier effect means is that a manager's influence is multiplied far beyond the results that could be achieved by just one person acting alone.
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Answer: Competitive advantage is the ability of an organization to produce goods or services more effectively than competitors do, thus outperforming them. This means an organization must stay ahead in four areas: customer responsiveness, innovation, quality, and efficiency. Being responsive to customers. The first law of business is: take care of the customer. Without customersbuyers, clients, consumers, shoppers, users, patrons, guests, investors, or whatever theyre calledsooner or later there will be no organization. Innovation is finding ways to deliver new or getter goods or services. Quality. If your organization is the only one of its kind, customers may put up with products or services that are less than stellar. However, if you are not a unique organization, which is more likely, customers will begin to buy from the company with better quality for the same price. 146. One of the challenges for managers is managing personal happiness and life goals. Explain why this is a challenge for managers. Discuss how you think these ideas apply to yourself in the future. Page: 12 LO: 2 Difficulty: Difficult AACSB: 3 BT: Application
Answer: Every person must consider whether his job (managerial or otherwise) helps him or her reach his or her own happiness and goals. Many managers find the job of management to be unfulfilling they often feel they have to give up too much of their personal lives because of the long hours or travel, or they don't enjoy the constant activity that management entails. Also, many managers feel caught in the middle between upper levels of management and their employees. The student should offer an example of how this may affect them (or not) in the future.
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Answer: Planning is setting goals and deciding how to achieve them. Organizing is arranging tasks, people, and other resources to accomplish the work. Leading is motivating, directing, and otherwise influencing people to work hard to achieve the goals. Controlling is monitoring performance, comparing it to goals, and taking corrective action as needed. The student should give an example of each from his or her experience. 148. Describe what top-level managers do. Page: 16 LO: 4 Difficulty: Easy AACSB: 3 BT: Knowledge
Answer: Top managers make long-term decisions about the overall direction of the organization and establish the objectives, policies, and strategies for it. They need to pay a lot of attention to the environment outside the organization, being alert for long-run opportunities and problems and devising strategies for dealing with them. Thus, executives at this level must be3 future oriented, dealing with uncertain, highly competitive conditions. 149. List Mintzberg's findings about the nature of managerial work. Page: 19-20 LO: 5 Difficulty: Easy AACSB: 3 BT: Knowledge
Answer: A manager relies more on verbal than on written communication. A manager works long hours at an intense pace. A manager's work is characterized by fragmentation, brevity, and variety. 150. List the characteristics that most entrepreneurs have. Page: 26 LO: 6 Difficulty: Easy AACSB: 3 BT: Knowledge
Answer: The characteristics that most entrepreneurs have include: high need for achievement, belief in personal control of destiny, high energy level and action orientation, high tolerance for ambiguity, and self-confidence and tolerance for risk.
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Answer: Technical skills consist of job-specific knowledge needed to perform well in a specialized field. Conceptual skills consist of the ability to think analytically, to visualize an organization as a whole and understand how the parts work together. Human skills are the ability to work well with others to get things done.
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