Chapter 2

Chapter 2 Quiz

1.Which of the following is a component of Porter's competitive environment?

Suppliers

2.Why is understanding an organization's environment important?

Without this understanding, organizations tend to miss opportunities or make poor decisions.

3.Differences in the way people dress and act, their interactions with each other and with customers, and what qualities are expected and

appreciated by their managers and company are examples of the _____.

organization culture

4. Which of the following is a controllable environmental factor that can affect an organization?

Cost leadership strategy

5. Pluto Inc. is computer technology corporation that has been manufacturing laptops for the last five years. Recently, in the face of sinking

market share, Pluto reduced its dependency on laptops by venturing into tablets and smartphones. This is an example of _____.

diversification

6. In competition, a substitute is best described as a(n):

alternative to a product.

.

7. Which of the following is a demographic factor of an organization's macroenvironment?

Employees' age

8.Complexity and dynamism in the environment result in:

environmental uncertainty.

9. Raw materials, services, equipment, capital, and information are _____ for an organization.

inputs

10. Which of the following is a dominant attribute of a hierarchical culture?

Rules and regulations

11. Which of the following refers to the immediate environment surrounding a firm, including suppliers, customers, rivals, and new entrants?

Competitive environment

Safety emissions

Drivers lic

Regististration

Copy of insurance declaration

12. The internal environment includes:

culture and climate.

13.

According to Michael Porter's competitive environment model, high switching costs increases _____.

the power of suppliers

14.

Identifying the best-in-class performance by a company in a given area, such as customer service, and then...