Question 1

Johnson & Johnson's _____ states what the organization is generally committed to doing.

Accepted Answer

Johnson & Johnson's mission statement outlines the organization's general commitment and purpose, guiding its strategies and operations.

Question 2

Mary Kay Inc.'s _____ states that the organization is committed "To enrich the lives of women around the world."

Accepted Answer

Mary Kay Inc.'s mission statement expresses the company's commitment to enriching the lives of women globally, which aligns with the purpose and goals typically outlined in a mission statement.

Question 3

The traditional planning process begins at the _____ level of an organization.

Accepted Answer

The traditional planning process typically begins at the top level of an organization, involving senior management in setting strategic goals and directions.

Question 4

_____ planning means identifying those aspects of a business that are most likely to be adversely affected by change.

Accepted Answer

Contingency planning focuses on preparing for potential future events or circumstances, especially those that could disrupt or negatively impact normal operations. It involves identifying and planning for risks that could adversely affect the business.

Question 5

In performing the _____ function,managers set goals and determine the best way to achieve them.

Accepted Answer

The planning function involves setting goals and deciding on the actions needed to achieve those goals. This is a fundamental management activity that precedes the organizing, directing, and controlling functions.

Question 6

A SWOT analysis begins by examining _____ factors that could influence a company in either a positive or negative way.

Accepted Answer

SWOT analysis examines external factors that could influence a company in either a positive or negative way.

Question 7

_____ are shorter-term performance targets that direct the activities of an organization.

Accepted Answer

Objectives are specific, measurable targets that are designed to direct the short-term actions of an organization towards achieving its longer-term goals.

Question 8

A common approach to environmental analysis,called _____ analysis,entails matching a company's strengths with its available opportunities.

Accepted Answer

SWOT analysis, which stands for Strengths, Weaknesses, Opportunities, and Threats, is a common approach used in environmental analysis to match a company's strengths with its available opportunities, as well as identify its weaknesses and potential threats.

Question 9

Step one in planning a business,usually called _____,is the process of establishing an overall course of action.

Accepted Answer

Strategic planning is the process of establishing an overall course of action for a business. It involves setting long-term goals and determining the best approach to achieve those goals, serving as the first step in planning a business.

Question 10

_____ are major accomplishments that a company plans to achieve over a long period of time,generally five years.

Accepted Answer

Goals are long-term aims that a company wants to achieve. They are generally set for a period of five years or more and provide a broad direction for the company. Objectives are more specific and short-term when compared to goals. Tactical and operational plans are more about how to achieve these goals and objectives, focusing on the medium and short term, respectively.

Question 11

Assessing a company's strengths,weaknesses,opportunities,and threats usually takes place during the process of _____ planning.

Accepted Answer

Assessing a company's strengths, weaknesses, opportunities, and threats is a key component of strategic planning, helping organizations to formulate long-term goals and strategies.

Question 12

What step in the strategic planning process is a manager engaged in when he or she asks this question: "What values will define it?"

Accepted Answer

Asking about the values that will define an organization is directly related to identifying its core values. Core values are fundamental beliefs or guiding principles that dictate behavior and can help people understand the difference between right and wrong within the context of the organization.

Question 13

In commenting on his company's responsibility for a massive oil spill in the Gulf of Mexico,Tony Hayward (CEO of BP)stated: "There's no one who wants this over more than I do.I would like my life back." This is an example of:

Accepted Answer

Hayward's statement reflects poor crisis management by showing insensitivity to the magnitude of the disaster and its impact on others, focusing instead on his personal inconvenience. This can damage public perception and trust in the company's ability to handle the crisis.

Question 14

Dorothy Gibson and her team are currently working on _____ plans that specify her firm's activities and the allocation of its resources.

Accepted Answer

The answer of Dorothy Gibson and her team are currently...

Question 15

The company's _____ team led Wendy's response when a diner claimed to have found a fingertip in her chili.

Accepted Answer

The correct term is "crisis-management" because it refers to the team responsible for handling unexpected and potentially damaging situations, such as a customer claiming to have found a fingertip in their food.

Question 16

Build-A-Bear Workshop's stated _____ include Di-bear-sity,Colla-bear-ate,Cele-bear-ate,reach,and tell employees exactly what behaviors are acceptable.

Accepted Answer

The correct answer is "core values" because the terms Di-bear-sity, Colla-bear-ate, Cele-bear-ate, reach, and the context of guiding acceptable behaviors align with the concept of core values, which are fundamental beliefs or guiding principles that dictate behavior and can help people understand the difference between right and wrong within a company.

Question 17

The best time for management to practice crisis management is when a crisis occurs in their company.

Accepted Answer

The best time for management to practice crisis management is before a crisis occurs, so they are prepared to handle it effectively when it does happen.

Question 18

After being away from leadership in Starbucks,Howard Schultz returned to his leadership position and concluded that his own rapid growth strategy had almost destroyed the brand.

Accepted Answer

Howard Schultz returned as CEO of Starbucks in 2008 and acknowledged that the company's rapid expansion strategy, which he had overseen, was a key factor in diluting the brand's essence and contributing to its struggles.

Question 19

The statement "The company forecasts sales of $20,000 and profit of $2,000 for the first 12 months of operations" is best characterized as a _____.

Accepted Answer

The answer of The statement "The company forecasts sales of...

Question 20

When Starbucks' profits fell by 77% in 2009,Howard Schultz attributed this drop in profits to:

Accepted Answer

Schultz attributed the drop in profits to his rapid growth strategy, which he believed diluted the brand and its customer experience, leading to a decline in store performance.

Quiz 5: Managing for Business Success