100% satisfaction guarantee Immediately available after payment Both online and in PDF No strings attached
Previously searched by you
Strategic Management Concepts & Cases Competitiveness And Globalization 8e Author Michael A. Hitt_ R. Duane Ireland_ Robert E. Hoskisson test bank chapter 11$3.49
Add to cart
Strategic Management Concepts & Cases Competitiveness And Globalization 8e Author Michael A. Hitt_ R. Duane Ireland_ Robert E. Hoskisson test bank chapter 11
Exam (elaborations)
Strategic Management Concepts & Cases Competitiveness And Globalization 8e Author Michael A. Hitt_ R. Duane Ireland_ Robert E. Hoskisson test bank chapter 11
89 views 2 purchases
Course
Strategic Management Concepts & Cases Competitiveness And Globalization 8e Author Michael A. Hitt_ R. Duane Ireland_ Robert E. Hoskisson test bank chapter 11
Institution
Academy
Book
Strategic Management: Concepts and Cases: Competitiveness and Globalization
Strategic Management Concepts & Cases Competitiveness And Globalization 8e Author Michael A. Hitt_ R. Duane Ireland_ Robert E. Hoskisson test bank chapter 11
strategic management concepts cases competitiveness and globalization 8e author michael a hitt r duane ireland robert e hoskisson test bank chapter 11
Connected book
Book Title:
Author(s):
Edition:
ISBN:
Edition:
More summaries for
Strategic Management Concepts and Cases Competitiveness and Globalization, Hitt - Exam Preparation Test Bank (Downloadable Doc)
Strategic Management Concepts & Cases Competitiveness And Globalization 8e Author Michael A. Hitt_ R. Duane Ireland_ Robert E. Hoskisson test bank chapter 12
Strategic Management Concepts & Cases Competitiveness And Globalization 8e Author Michael A. Hitt_ R. Duane Ireland_ Robert E. Hoskisson test bank chapter 9
All for this textbook (10)
Written for
Academy
Strategic Management Concepts & Cases Competitiveness And Globalization 8e Author Michael A. Hitt_ R. Duane Ireland_ Robert E. Hoskisson test bank chapter 11
All documents for this subject (1)
Seller
Follow
Hesham
Content preview
Chapter 11—Organizational Structure and Controls
TRUE/FALSE
1. Decisions about strategy and structure are interrelated.
ANS: T PTS: 1 DIF: Easy REF: 308
OBJ: 11-01 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Knowledge of general business functions
2. Over time, large and complex organizations must customize their structure to fit their unique
strategic needs.
ANS: T PTS: 1 DIF: Easy REF: 308
OBJ: 11-01 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Managing administration & control
3. Organizational structures must be both stable and flexible.
ANS: T PTS: 1 DIF: Medium REF: 309
OBJ: 11-01 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Managing administration & control
4. Organizational inertia often prompts top management to initiate structural change when
organizational performance levels drop.
ANS: F PTS: 1 DIF: Easy REF: 309
OBJ: 11-01 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Managing administration & control
5. A corporate-wide emphasis on sharing leads to a reliance on financial controls.
ANS: F PTS: 1 DIF: Medium REF: 311
OBJ: 11-01 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Managing administration & control
6. The three types of organizational controls are strategic, isomorphic, and financial.
ANS: F PTS: 1 DIF: Medium REF: 311
OBJ: 11-01 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Managing administration & control
7. Diversification controls guide the use of strategy, indicate how to compare actual results with
expected results, and suggest corrective actions to take when the difference is unacceptable.
, ANS: F PTS: 1 DIF: Medium REF: 311
OBJ: 11-01 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Managing administration & control
8. To properly execute strategic controls in firms using related diversification, the executives must have
a deep understanding of each unit’s business-level strategy.
ANS: T PTS: 1 DIF: Medium REF: 311
OBJ: 11-01 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Managing administration & control
9. RexMacDonald, Inc., uses a differentiation strategy that relies on cooperation, communication, and
sharing of ideas among employees. In order to foster this behavior, RexMacDonald should emphasize
strategic controls over financial controls.
ANS: T PTS: 1 DIF: Medium REF: 311
OBJ: 11-01 TYPE: application
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Managing administration & control
10. Organizations should first change strategy and then determine a compatible structure as it is easy to
change existing structure.
ANS: F PTS: 1 DIF: Medium REF: 312
OBJ: 11-02 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Strategic & systems skills
11. In general, small firms, even if long-established, are best matched with simple structures.
, NOT: AACSB: Business Knowledge & Analytical Skills | Management: Leadership Principles |
Dierdorff & Rubin: Managing administration & control
14. A simple structure is an organizational form in which the owner-manager makes all major decisions
directly and monitors all activities, while the staff merely serves as an extension of the manager’s
supervisory authority.
16. There are three primary forms of the multidivisional structure.
ANS: T PTS: 1 DIF: Medium REF: 314 | 319 (Figure 11.4)
OBJ: 11-02 TYPE: knowledge
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Leadership Principles |
Dierdorff & Rubin: Managing administration & control
17. High levels of formalization of procedures are generally found in firms following a cost leadership
strategy.
ANS: T PTS: 1 DIF: Easy REF: 316
OBJ: 11-03 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Creation of Value | Dierdorff &
Rubin: Managing administration & control
18. Centralized and formalized procedures allow for greater flexibility, an important factor for firms using
a cost strategy.
ANS: F PTS: 1 DIF: Easy REF: 316
OBJ: 11-03 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Managing administration & control
19. The marketing and R&D functions are emphasized in the differentiation strategy’s functional
structure.
ANS: T PTS: 1 DIF: Easy REF: 317
OBJ: 11-03 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Creation of Value | Dierdorff &
Rubin: Managing administration & control
, 20. Firms using the differentiation strategy need to respond quickly to environmental opportunities and
threats. The functional structure is effective for this strategy because of its centralization of decision-
making.
ANS: F PTS: 1 DIF: Hard REF: 317-318
OBJ: 11-03 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Knowledge of general business functions
21. Both the integrated cost-leadership differentiation strategy and the transnational strategy need
structures that are formalized and nonformalized as well as centralized and decentralized.
ANS: T PTS: 1 DIF: Hard REF: 318 | 328
OBJ: 11-03 | 11-05 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Knowledge of general business functions
22. The functional structure is most appropriate for large firms with very high levels of diversification.
ANS: F PTS: 1 DIF: Medium REF: 318
OBJ: 11-02 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Knowledge of general business functions
23. Firms switch from a functional structure to a multidivisional structure because greater levels of
environmental complexity and uncertainty make it necessary for the firm to develop cooperative
relationships with its stakeholders.
ANS: F PTS: 1 DIF: Hard REF: 318-319
OBJ: 11-04 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Knowledge of general business functions
24. The three multidivisional structures that are used to implement a diversification strategy are the
competitive form, the strategic business unit form, and the integrated form.
ANS: F PTS: 1 DIF: Hard REF: 319 (Figure 11.4)
OBJ: 11-04 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Knowledge of general business functions
25. The matrix organization has a dual structure combining functional specialization and business
product or project specialization.
ANS: T PTS: 1 DIF: Easy REF: 320
OBJ: 11-04 TYPE: comprehension
NOT: AACSB: Business Knowledge & Analytical Skills | Management: Strategy | Dierdorff & Rubin:
Managing administration & control
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller Hesham. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $3.49. You're not tied to anything after your purchase.
