Question 1

Operational decision making in a large business places excessive demands on top management of the firm.

Accepted Answer

A) True 
 B)False

Question 2

A worldwide product division structure is used when global strategies require that each division be responsible for overall efficiency and performance.

Accepted Answer

A) True 
 B)False

Question 3

Complicated working relationships,intense power struggles,and excessive reliance on group processes are disadvantages of which type of organizational structure?

Accepted Answer

A)  divisional
B)  matrix
C)  holding company
D)  functionalE) None of the above
F) B) and C)

Question 4

What type of organization is defined as a central hub surrounded by networks of outside suppliers and specialists?

Accepted Answer

A)  matrix organization
B)  virtual organization
C)  modular organization
D)  barrier-free organizationE) B) and D)
F) A) and D)

Question 5

Which of the following is not a disadvantage of virtual structures?

Accepted Answer

A)  difficulty in individual and organizational knowledge sharing
B)  potential loss of operational control among partners
C)  loss of strategic control over emerging technology
D)  difficulty in determining where one company ends and another begins due to close interdependenciesE) B) and C)
F) None of the above

Question 6

A strategy of related diversification requires most firms to organize around geographical areas or product lines.This type of organizational growth leads to a(n) ________ structure.

Accepted Answer

A)  divisional
B)  functional
C)  matrix
D)  internationalE) None of the above
F) A) and B)

Question 7

Which of the following statements about simple organizational structures is false?

Accepted Answer

A)  Small firms with a narrow product-market scope will adopt such a structure.
B)  Decision-making authority is highly centralized.
C)  There is little specialization of tasks.
D)  Creativity and individualism are rare.E) None of the above
F) C) and D)

Question 8

Whole Foods tried to overcome some of the limitations of a divisional structure by

Accepted Answer

A)  decentralizing key activities.
B)  redistributing financial support.
C)  centralizing the purchasing function.
D)  reducing power conflicts.E) A) and D)
F) B) and C)

Question 9

A global start-up faces many management challenges including

Accepted Answer

A)  communication and coordination across time zones.
B)  pressure to perform internally all primary activities of the value chain.
C)  assuring financing from home country only.
D)  hiring only from home country.E) B) and D)
F) A) and C)

Question 10

Organizations that make it to the growth stage,design strategies to

Accepted Answer

A)  reduce the tendency to increase operational scope.
B)  leave exiting product-market domains.
C)  increase the overall scope of operations.
D)  reduce the commitment to new product-market domains.E) C) and D)
F) A) and D)

Question 11

One of the challenges of an ambidexterity in a firm is that it must ensure that it remains proactive in expanding or modifying its product-market scope to anticipate and satisfy market conditions.

Accepted Answer

A) True 
 B)False

Question 12

BRCK began in 2014 and from the start designed its products in a developing country while manufacturing in a developed country.Its corporate headquarters are in Nairobi,Kenya,at a technology center that houses a small group of entrepreneurs.By 2016,the company was selling in 50 countries.BRCK is an example of a

Accepted Answer

A)  multidomestic organization.
B)  worldwide matrix organization.
C)  worldwide product division structure.
D)  global start-up organization.E) A) and D)
F) B) and D)

Question 13

What advantages does outsourcing not provide an organization?

Accepted Answer

A)  accessing best in class goods and services
B)  enabling rapid expansion with relatively low capital investment
C)  focusing scarce resources on core competencies
D)  improved buyer positioningE) A) and D)
F) None of the above

Question 14

A simple structure is characterized by

Accepted Answer

A)  high specialization and low centralization.
B)  low specialization and high centralization.
C)  low formality and low creativity.
D)  high formality and low centralization.E) None of the above
F) A) and B)

Question 15

In the ambidextrous firm,if managers direct their efforts primarily at ________,they are likely to miss out on promising business opportunities.

Accepted Answer

A)  alignment
B)  adaptability
C)  structure
D)  opportunitiesE) B) and C)
F) B) and D)

Question 16

Virtual organizations ________ whereas modular organizations ________.

Accepted Answer

A)  are usually permanent;are usually temporary
B)  accept interdependent destinies;pursue collective strategies
C)  pursue collective strategies;forfeit strategic control
D)  give up part of their strategic control;retain full strategic controlE) A) and B)
F) B) and D)

Question 17

A strategy of related diversification requires a need to reorganize only around product lines.This leads to a divisional structure.

Accepted Answer

A) True 
 B)False

Question 18

Discuss the advantages and disadvantages of a simple organizational structure.

Accepted Answer

The simple organizational structure is t...

Question 19

If an international firm has a global strategy and a relatively low level of product diversity,the best choice for its organizational structure is a(n) ________ structure.

Accepted Answer

A)  worldwide functional
B)  worldwide product division
C)  worldwide matrix
D)  international divisionE) A) and C)
F) A) and B)

Question 20

Three major contingencies that influence the chosen structure of a company are: the type of strategy that drives its foreign operations,its product diversity,and the extent to which the company is dependent on foreign sales.

Accepted Answer

A) True 
 B)False

Exam 10: Creating Effective Organizational Designs

Whole Foods tried to overcome some of the limitations of a divisional structure by

Correct Answer
verified

A strategy of related diversification requires a need to reorganize only around product lines.This leads to a divisional structure.

Correct Answer
verified

Three major contingencies that influence the chosen structure of a company are: the type of strategy that drives its foreign operations,its product diversity,and the extent to which the company is dependent on foreign sales.

Correct Answer
verified

A global start-up faces many management challenges including

Correct Answer
verified

What type of organization is defined as a central hub surrounded by networks of outside suppliers and specialists?

Correct Answer
verified

One of the challenges of an ambidexterity in a firm is that it must ensure that it remains proactive in expanding or modifying its product-market scope to anticipate and satisfy market conditions.

Correct Answer
verified

In the ambidextrous firm,if managers direct their efforts primarily at ________,they are likely to miss out on promising business opportunities.

Correct Answer
verified

A simple structure is characterized by

Correct Answer
verified

A strategy of related diversification requires most firms to organize around geographical areas or product lines.This type of organizational growth leads to a(n) ________ structure.

Correct Answer
verified

Organizations that make it to the growth stage,design strategies to

Correct Answer
verified

A worldwide product division structure is used when global strategies require that each division be responsible for overall efficiency and performance.

Correct Answer
verified

Complicated working relationships,intense power struggles,and excessive reliance on group processes are disadvantages of which type of organizational structure?

Correct Answer
verified

Operational decision making in a large business places excessive demands on top management of the firm.

Correct Answer
verified

What advantages does outsourcing not provide an organization?

Correct Answer
verified

If an international firm has a global strategy and a relatively low level of product diversity,the best choice for its organizational structure is a(n) ________ structure.

Correct Answer
verified

Which of the following is not a disadvantage of virtual structures?

Correct Answer
verified

Virtual organizations whereas modular organizations .

Correct Answer
verified

Correct Answer
verified

Discuss the advantages and disadvantages of a simple organizational structure.

Correct Answer
verified
The simple organizational structure is t...
View Answer

Which of the following statements about simple organizational structures is false?

Correct Answer
verified

Exam 10: Creating Effective Organizational Designs

Whole Foods tried to overcome some of the limitations of a divisional structure by

Correct AnswerverifiedShow Answer

A strategy of related diversification requires a need to reorganize only around product lines.This leads to a divisional structure.

Correct AnswerverifiedShow Answer

Three major contingencies that influence the chosen structure of a company are: the type of strategy that drives its foreign operations,its product diversity,and the extent to which the company is dependent on foreign sales.

Correct AnswerverifiedShow Answer

A global start-up faces many management challenges including

Correct AnswerverifiedShow Answer

What type of organization is defined as a central hub surrounded by networks of outside suppliers and specialists?

Correct AnswerverifiedShow Answer

One of the challenges of an ambidexterity in a firm is that it must ensure that it remains proactive in expanding or modifying its product-market scope to anticipate and satisfy market conditions.

Correct AnswerverifiedShow Answer

In the ambidextrous firm,if managers direct their efforts primarily at ________,they are likely to miss out on promising business opportunities.

Correct AnswerverifiedShow Answer

A simple structure is characterized by

Correct AnswerverifiedShow Answer

A strategy of related diversification requires most firms to organize around geographical areas or product lines.This type of organizational growth leads to a(n) ________ structure.

Correct AnswerverifiedShow Answer

Organizations that make it to the growth stage,design strategies to

Correct AnswerverifiedShow Answer

A worldwide product division structure is used when global strategies require that each division be responsible for overall efficiency and performance.

Correct AnswerverifiedShow Answer

Complicated working relationships,intense power struggles,and excessive reliance on group processes are disadvantages of which type of organizational structure?

Correct AnswerverifiedShow Answer

Operational decision making in a large business places excessive demands on top management of the firm.

Correct AnswerverifiedShow Answer

What advantages does outsourcing not provide an organization?

Correct AnswerverifiedShow Answer

If an international firm has a global strategy and a relatively low level of product diversity,the best choice for its organizational structure is a(n) ________ structure.

Correct AnswerverifiedShow Answer

Which of the following is not a disadvantage of virtual structures?

Correct AnswerverifiedShow Answer

Virtual organizations ________ whereas modular organizations ________.

Correct AnswerverifiedShow Answer

Correct AnswerverifiedShow Answer

Discuss the advantages and disadvantages of a simple organizational structure.

Correct AnswerverifiedThe simple organizational structure is t...View AnswerShow Answer

Which of the following statements about simple organizational structures is false?

Correct AnswerverifiedShow Answer

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Correct Answer
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Correct Answer
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Correct Answer
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Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Virtual organizations whereas modular organizations .

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
The simple organizational structure is t...
View Answer

Correct Answer
verified