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The Corporate Culture test bank

Corporate Culture test bank

While Blockbuster has closed hundreds of stores and is likely to file for bankruptcy, Netflix expanded its customer base to over 13 million.

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2. Factors external to the organizations have been primarily the focus of management as a discipline.

3. The general environment and the task environment are the two layers of an organization’s external environment.

4. The outer layer, the general environment, is widely dispersed and affects organizations directly.

5. Customers and competitors are two important sectors of the economic dimension of a firm’s general environment.

6. Current employees, management, and especially corporate culture are part of an organization’s internal environment.

7. The international dimension of the external environment represents events originating in foreign countries as well as opportunities for U.S. companies in other countries.

8. In recent years, the most dramatic change in the international environment is the shift of economic power to Germany and France.

9. The technological dimension of the external environment includes scientific and technological advancements in a specific industry as well as in society at large.

10. The sociocultural dimension of the general environment includes societal norms and values.

11. The international dimension includes scientific and technological advancements in a specific industry as well as in society at large.

12. According to Spotlight on Skills in Chapter 2, the Chinese concept of guanxi is a supportive, mutually beneficial connection between two people.


13. According to Spotlight on Skills in Chapter 2, one of the rules of doing business in China is remembering that relationships are short-term.

14. Economic problems in other parts of the world have a tremendous impact on U.S. companies.

15. The economic dimension of the general environment represents the demographic characteristics.

16. The economic dimension of the general environment includes consumer purchasing power.

17. An example of part of the legal-political dimension of the general environment is a government’s report on the decline of unemployment rate.

18. President Clinton’s signing of the telecommunications bill in 1996 deregulating the industry is an example of the legal-political dimension of the general environment.

19. The task environmental dimension includes all elements that occur naturally on earth, including plants, animals, rocks, and natural resources such as air, water, and climate.

20. Customers are the people and organizations in the environment who acquire goods or services from the organization.

21. Recently, there has been strong concern about climate change such as global warming caused by greenhouse gases, most notably carbon dioxide.

22. McDonalds, Burger King, and Checkers are competitors since all three sell fast food to individuals.

23. The raw materials that organizations use to produce its outputs are provided by customers.

24. Other organizations in the same industry or type of business that provide goods or services to the same set of customers are referred to as suppliers.

25. The labor market is made up by people in the environment who can be hired to work for an organization.

26. If Johnson Lumber provides trees for Westvaco Paper Manufacturing, then Johnson Lumber is considered a supplier for Westvaco.

27. Organizations must manage environmental uncertainty to be effective.

28. An organization experiences high uncertainty when internal factors gradually change over time.

29. A merger is an effort to spot trends that enable managers to predict future events.

30. Given the increasing environmental uncertainty, managers in partnering organizations are shifting from a partnership orientation to an adversarial orientation.

31. A joint venture involves a strategic alliance or program by two or more organizations.

32. Due to the stable environment and lack of technological change, mergers and joint ventures rarely occur in the U.S.

The Environment and Corporate Culture test bank

33. The internal environment within which managers work includes corporate culture, sociocultural aspects, and customers.

34. Culture can be defined as the ability to speak different languages.

35. Physical symbols are associated with the surface level of organizational culture.

36. Symbols, stories, heroes, slogans, and ceremonies combine to create an organization’s culture.


37. The set of key values, beliefs, and norms, that are shared by members of an organization are combined to create the symbols of an organization.

38. A symbol is a figure that exemplifies the deeds, character, and attributes of a corporate culture.

39. A narrative based on rumors within the organization that can lead to destructive results if not carefully controlled by management is called an organizational story.

40. A phrase or sentence that succinctly expresses a key corporate value is called a story.

41. The mythical sales representative at Robinson Jewelers who delivered a wedding ring directly to the church because the ring had been ordered late is an example of a hero.

42. A slogan is a phrase or sentence that succinctly expresses a key corporate value.

43. A ceremony is a planned activity at a special event that is conducted for the benefit of an audience.

44. In adaptive cultures, managers are concerned with customers and processes that bring about useful change.

45. The achievement culture emerges in an environment that requires fast response and high-risk decision-making.

46. An achievement culture is found in an environment that is dynamic and requires high-risk decision-making.

47. The involvement culture is suited to organizations that are concerned with serving specific customers in the external environment but without the intense need for flexibility and rapid change.

48. A results-oriented culture that values competitiveness, aggressiveness, personal initiative, and willingness to work long and hard to achieve results is called the achievement culture.

49. The bureaucratic culture has an external focus and a consistency orientation for a dynamic environment.

50. Corporate culture plays a key role in creating an organizational climate that enables learning and innovative responses to threats from the external environment, challenging new opportunities, or organizational crises.

51. When an organization pays little attention to either cultural values or business results, it is unlikely to survive for long.

52. When an organization pays little attention to cultural values and instead focuses on business results, success will be difficult to sustain in the long run.

53. Success will be difficult to sustain in the long run when an organization puts emphasis on both cultural values and business results.

54. In a high performance culture, organizations put high emphasis on both culture and solid business performance as drivers of organizational success.

55. A cultural leader defines and uses signals and symbols to influence corporate culture.

56. The cultural leader articulates a vision for the organizational culture that employees can believe in and that generates excitement.

57. Employees of an organization are considered part of the general environment.

58. In China, business tends to be more personal.

59. It is expected that the Hispanic population in the United States will shrink slightly over the next 30 years.

60. Over the last four years, the weakened U.S. economy has had a devastating impact on small business.

61. In 2010, Canada was the country with the highest environmental performance index score.

62. The most likely competitor for an automobile manufacturer would be a company in a different but related industry, such as a steel manufacturer.

63. Labor market forces affecting organizations right now include the growing need for computer-literate knowledge workers and the necessity for continuous investment in human resources through recruitment, education, and training.

64. To be successful, companies should only involve top-level executives in boundary-spanning activities.

65. As managers are increasingly shifting to a partnering orientation as opposed to one that is adversarial in nature, the use of information sharing has increased.

66. Cultural values in organizations are rarely observed, but are rather deeply embedded to the extent that members are not consciously aware of them.

67. In determining what cultural values are important for the organization, managers should consider the external environment as well as the company’s strategy and goals.

68. In today’s business environment, most companies operate in a stable and rigid environment.

69. Quadrant C represents organizations that are focused primarily on bottom-line results and pay little attention to organizational values.

70. Companies in Quadrant D put high emphasis on both culture and solid business performance as drivers of organizational success.

71. Quadrant A organizations represent the high-performance culture, which is based on solid organizational mission and purpose, and adaptive values that guide decisions and business practices.

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