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Why must managers use a mechanistic structure to implement a cost-leadership strategy?


A) A mechanistic structure offers a centralized structure with well-defined lines of authority.
B) A mechanistic structure allows for a lower degree of specialization.
C) A mechanistic structure offers continuous innovation and flexibility as well as creativity.
D) A mechanistic structure allows for the CEO to delegate tasks.

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Which of the following is an advantage offered by a functional structure?


A) It allows for an efficient top-down communication chain and thus relies on a relatively tall structure.
B) It facilitates a lower division of labor, which is linked to higher productivity.
C) It allows for a higher degree of specialization and deeper domain expertise.
D) It facilitates a lower level of specialization.

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The _____ structure consists of several distinct strategic business units (SBUs) ,each with its own profit-and-loss responsibility.


A) ambidextrous
B) multidivisional
C) functional
D) organic

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_____ organizations have a low degree of specialization and formalization as well as a flat organizational structure.


A) Mechanistic
B) Centralized
C) Organic
D) Top-down

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Which of the following is true of the process of organizing for competitive advantage?


A) To maintain competitive advantage, companies need to restructure as they grow and the competitive environment changes.
B) Strategy formulation and strategy implementation are independent activities.
C) Organizing for competitive advantage is a static and not a dynamic process.
D) Formulating an effective strategy is a necessary and sufficient condition for gaining and sustaining competitive advantage.

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Curve Inc.is a software development firm based in California.It strives to provide highly differentiated software at cheaper prices when compared to its competitors.Which of the following organizational designs should Curve Inc.implement to ensure the maximum success of its business strategies?


A) organic
B) simple
C) ambidextrous
D) mechanistic

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_____ organizations are characterized by a high degree of specialization and formalization,and tall hierarchies that rely on centralized decision making.


A) Organic
B) Virtual
C) Mechanistic
D) Flat

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Which of the following did management at Zappos do to reduce the level of formalization in their organization?


A) They avoided asking their customer service reps in call centers to follow a detailed script.
B) They increased their reliance on drop-shipment orders.
C) They established top-down management as their primary strategy.
D) They put an end to the practice that enabled employees to horizontally rotate to different jobs once they had mastered a particular job.

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Zappos' 10 core values that define what it means for employees to be working at Zappos also define the _____ of Zappos.


A) organizational structure
B) organizational culture
C) organizational strategy
D) organizational controls

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Why does strategy implementation often require changes within an organization?


A) Strategy implementation is less important than strategy formulation.
B) Strategy implementation transforms strategy into actions and business models.
C) Strategy always follows structure.
D) Strategy implementation does not affect resource allocation and power distribution within an organization.

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Which of the following organizational structures matches best with an international strategy?


A) simple
B) matrix
C) multidivisional
D) functional

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DigiGames Inc.established itself as the foremost producer of computer games.However,as the market for these games moved from laptop computers to cell phones based on cloud applications,DigiGames failed to adapt its games enough to this new environment.As result,the firm soon lost its competitive advantage.Which of the following best describes this scenario?


A) movement from core rigidity to core competency
B) movement from core rigidity to founder imprinting
C) movement from founder imprinting to core competency
D) movement from core competency to core rigidity

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Which of the following shows founder imprinting?


A) A company's founder defines and shapes her organization; the founder dies; the influence of the founder on the organization's culture persists for decades.
B) A company's founder defines and shapes her organization; the founder dies; the influence of the founder on the organization's culture changes after a few years.
C) A company's founder strongly influences her organization; the founder sells the company; the organization's culture changes despite resistance from some employees.
D) A company's founder strongly influences her organization; the founder sells the company; the organization's culture changes after it is sold again in five years.

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W.L.Gore & Associates is the inventor of path-breaking new products such as breathable GORE-TEX fabrics,Glide dental floss,and Elixir guitar strings.Which of the following would be most likely to hinder its intention of fostering employee satisfaction,retention,and creativity?


A) an extremely formalized organizational structure
B) a highly organic organizational structure
C) a low degree of centralization
D) a flat organization structure

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If a firm pursues only a differentiation strategy,it is most likely a(n) _____ organization.


A) organic
B) mechanistic
C) integrated
D) centralized

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Which of the following types of organizations best helps match a differentiation strategy to a functional structure?


A) ambidextrous organization
B) mechanistic organization
C) organic organization
D) rigid organization

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Remote Inc.is a notebook manufacturing company based in Ohio.Remote's main market is Ohio.It aims at providing its products at better prices than its competitors.Which of the following structures is Remote Inc.likely to use if it has functional setup?


A) organic
B) simple
C) matrix
D) mechanistic

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Which of the following is true of W.L.Gore & Associates,which has a lattice organizational form?


A) It has a high degree of centralization.
B) All employees are empowered to speak to all other employees in the organization.
C) Its culture has been linked to lower employee satisfaction and retention.
D) The degree to which a task is divided into separate jobs is high.

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GreenValue Inc.started a chain of organic supermarkets that had initial success.The managers achieved a mastery of the firm's current environment,thereby filling a need in the market.However,GreenValue defined and measured it success by financial metrics,with a focus on short-term performance.As a result,the firm put in place metrics and systems to accommodate and manage increasing firm size due to continued success.As a result of this tightly coupled system,GreenValue developed a


A) resistance to change.
B) innovative approach.
C) significant value gap.
D) holacratic system.

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_____ describes the degree to which a task is divided into separate jobs.


A) Hierarchy
B) Formalization
C) Centralization
D) Specialization

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