Question: The chief executive officer of Creative Toys,

> 3.1. When two people involved in an exchange say “thank you” afterward, they are merely being polite. __________ (True/False) 3.2. Consider a transaction in which a consumer buys a toy for $20. The value of the toy to the buyer is at least $__________, a

> 1.1. Consider Figure 2.1. Between points c and d, the opportunity cost of __________ tons of wheat is __________ tons of steel. Figure 2.1: 1.2. Arrow up or down: An increase in the wage for high school graduates __________ the opportunity cost of col

> 4.1. Consider the example of Xena’s copy shop. Adding a second worker increased output by 300 pages. If she added a third worker, her output would increase by fewer than __________ pages. 4.2. If a firm is subject to diminishing margina

> 2.1. A car rental company currently has seven cars in its fleet, and its total daily cost is $2,300. If the company added an 8th car, its daily cost would be $2,400, or $300 per car. Adding the 8th car will increase the daily total revenue by $200. Shoul

> You manage Gofer Delivery Service. You rent a truck for $50 per day, and each delivery takes an hour of labor time. The hourly wage is $8. a. Draw a curve showing the relationship between the number of deliveries (on the horizontal axis) and your total c

> A change in a variable measured on an axis of a graph causes movement _________ a curve, while a change in a relevant variable that is not measured on an axis _________ the entire curve.

> 1. The three basic economic questions a society must answer are _________ products do we produce? _________ do we produce the products? _________ consumes the products? 2. List the five factors of production. 3. Which of the following statements is true?

> 3.1. In 2015, less than 20 percent of the unemployed in the United States were unemployed for a period shorter than 5 weeks. _________ (True/False) 3.2. As most states in the United States replace the entire wages of individuals on unemployment insuranc

> 6.1. Inflation that is not expected is known as _________ inflation. 6.2. Shoe-leather costs typically increase with the rate of inflation. _________ (True/False) 6.3. Creditors lose from unanticipated inflation. _________ (True/False) 6.4. Hyperinflat

> 4.1. The value of a price index in the base year is equal to _________. 4.2. Economists believe that the CPI tends to overestimate the increase in the cost of living over time. _________. (True/False) 4.3. Unlike the CPI, the chain-weighted price index

> 5.1. If a price index is 40 in 1997 and 50 in 1998, the rate of inflation between the two years is _________. 5.2. Inflation in the United States was higher from 1990 to 2009 than it was from 1970 to 1980. _________ (True/ False) 5.3. Which of the foll

> 1.1. Which of the following is not included in the labor force? a. People who have full-time, but poorly paid jobs. b. Individuals who have sizable inheritances and do not want any jobs. c. People who work 15 hours a week. d. 17-year-olds who do not have

> 2.1. The three key types of unemployment are cyclical, structural, and _________. 2.2 The natural rate of unemployment consists solely of _________ and _________ unemployment. 2.3. When the economy is at full employment, there is no cyclical unemployme

> 2.1. When calculating GDP using the production method, which of the following would you not include? a. Consumption b. Investment c. Value added d. Government purchases e. Net exports 2.2. What part of government spending is excluded from GDP because it

> 3.1. What do we add to GDP to reach GNP? a. Net income earned abroad by U.S. households b. Personal income c. Depreciation d. Net exports 3.2. If no foreign companies produce in a country, but many of the country’s companies produce abroad, then it

> 1.1. The circular flow describes the process by which GDP generates __________, which is spent on goods and services. 1.2. Macroeconomics is the study of the __________ (national/international) economy taken as a whole. 1.3. Which government department p

> 6.1. Which of the following are not included in GDP? a. A mother taking care of children at home b. Professors teaching at a university c. Strawberries sold in a grocery store d. Economics textbooks sold in a bookstore 6.2. Men’s reported happiness has i

> 1. A road map incorporates two unrealistic assumptions: (1) _________ and (2) _________. 2. The four elements of the economic way of thinking are (1) use _________ to simplify the analysis, (2) explore the relationship between two variables by _________,

> 5.1. The date that a recession ends is called the __________. 5.2. The traditional definition of a recession is a decline in real GDP lasting for at least two consecutive quarters. __________ (True/False) 5.3. The __________ marks the date that a recessi

> 4.1. The GDP deflator is calculated for any given year by dividing nominal GDP by __________ GDP and multiplying by 100. 4.2. Nominal GDP is not an accurate measure of the real level of economic activity in a country because the GDP deflator constantly u

> 1. The supply curve depicts the relationship between the __________ and the __________. 2. From the following list, choose the variables that are held fixed when drawing a market supply curve: • The price of the product â€&ce

> 1. Arrow up or down: According to the law of demand, an increase in price __________ the quantity demanded. 2. From the following list, choose the variables that are held fixed in drawing a market demand curve: • The price of the produ

> 1. Fill in the blanks in the following table. Note that the ordering of the first column has been scrambled. 2. When (supply/demand) changes, the equilibrium price and the equilibrium quantity change in the same direction. When (supply/demand) changes,

> 1. The market equilibrium is shown by the intersection of the __________ curve and the __________ curve. 2. Excess demand occurs when the price is (less/greater) than the equilibrium price; excess supply occurs when the price is (less/greater) than the e

> 1. A change in demand causes a (movement along/ shift of) the demand curve. A change in quantity demanded causes a (movement along/shift of) the demand curve. 2. Circle the variables that change as we move along the demand curve for pencils and cross out

> 2.1. Four social inventions that support markets are (1) __________, which specify the terms of exchange; (2) __________, which reduce the risk of entrepreneurs; (3) __________, which increases the profitability of inventions; and (4) __________ rules, w

> 3.1. For markets to operate efficiently, the people making consumption and production decisions must bear the full __________ and reap the full __________ from their decisions. 3.2. Pollution from a paper mill is an example of market failure because peop

> 1.1. Consider an accounting firm with two accountants. a. Fill in the blanks in the following table. b. Quigley has a comparative advantage in __________, while Slokum has a comparative advantage in __________. 1.2. To explore the rationale for special

> 1. What is the economist’s solution to the problem of smog in cities? a. Ban the use of cars in cities. b. Require commuters to use bicycles at least twice a week. c. Tax the owners of vehicles that produce significant amounts of air pollution. d. No eco

> Administrative theorists concluded many decades ago that the most effective organizations have a narrow span of control. Yet today’s top-performing manufacturing firms have a wide span of control. Why is this possible? Under what circumstances, if any, s

> Think about the business school or other organizational unit whose classes you are currently attending. What is the dominant coordinating mechanism used to guide or control the instructor? Why is this coordinating mechanism used the most here?

> Valve Corporation’s organizational structure was described at the beginning of this chapter. What coordinating mechanism is likely most common in this organization? Describe the extent and form in which the other two types of coordination might be appare

> You hear two people debating the merits of women as leaders. One person claims that women make better leaders than do men because women are more sensitive to their employees’ needs and involve them in organizational decisions. The other person counters t

> How do you think emotional intelligence, cognitive, and practical intelligence influence authentic leadership?

> Find two newspaper ads for management or executive positions. What leadership competencies are mentioned in these ads? If you were on the selection panel, what methods would you use to identify these competencies in job applicants?

> Identify a current political leader (e.g., president, governor, mayor) and his or her recent accomplishments. Now, using the implicit leadership perspective, think of ways that these accomplishments of the leader may be overstated. In other words, explai

> Your employees are skilled and experienced customer service representatives who perform nonroutine tasks, such as solving unique customer problems or meeting special needs with the company’s equipment. Use path- goal theory to identify the most appropria

> Consider your favorite teacher. What people-oriented and task-oriented leadership behaviors did he or she use effectively? In general, do you think students prefer an instructor who is more people-oriented or task- oriented? Explain your preference.

> This chapter distinguished charismatic leadership from transformational leadership. Yet charisma is identified by most employees and managers as a characteristic of effective leaders. Why is charisma commonly related to leadership? In your opinion, are t

> I recently served on the Outstanding Faculty Award committee for the College of Business. This award is our college’s highest honor for a faculty member, which is bestowed at a special reception ceremony. At the first meeting, our committee discussed the

> Transformational leadership is the most popular perspective of leadership. However, it is far from perfect. Discuss the limitations of transformational leadership.

> Why is it important for top executives to value and support shared leadership?

> Laura is about to renegotiate her job role with her new manager. She has heard through the grapevine that he is a tough negotiator, highly competitive, and unwilling to take others’ needs into consideration. She has also heard that even if he gives conce

> You are a new program manager with responsibility for significant funding and external relations, and because of downsizing issues in your area, you have lost two valuable employees (actually 1.5, because the second person is on half time now; she used t

> Jane has just been appointed as purchasing manager of Tacoma Technologies, Inc. The previous purchasing manager, who recently retired, was known for his “winner-take-all” approach to suppliers. He continually fought for more discounts and was skeptical a

> Describe the inquisitional approach to resolving disputes between employees or work units. Discuss its appropriateness in organizational settings, including the suitability of its use with a multigenerational workforce.

> The chief operating officer (COO) has noticed that production employees in the company’s Mexican manufacturing operations are unhappy with some of the production engineering decisions made by engineers in the company’s headquarters in Chicago. At the sam

> You are a special assistant to the commander-in-chief of a peacekeeping mission to a war-torn part of the world. The unit consists of a few thousand peacekeeping troops from the United States, France, India, and four other countries. The troops will work

> Conflict among managers emerged soon after a French company acquired a Swedish firm. The Swedes perceived the French management as hierarchical and arrogant, whereas the French thought the Swedes were naive, cautious, and lacking an achievement orientati

> Tamarack Industries manufactures motorboats primarily used for water skiing. Students are hired during summer months to fill in for permanent employees on vacation. In past years, students worked alongside permanent employees, but a few staff complained

> Distinguish task conflict from relationship conflict and explain how to apply the former, with minimal levels of the latter.

> This book frequently emphasizes that successful companies engage in organizational learning. How do political tactics interfere with organizational learning objectives?

> In the mid-1990s, the CEO of Apple Computer invited the late Steve Jobs (who was not associated with the company at the time) to serve as a special adviser and raise morale among Apple employees and customers. While doing so, Jobs spent more time advisin

> Consider a situation in which there is a only one female member on a team of six people, and she is generally excluded from informal gatherings of the team. What kind of influence tactics can she use to address this situation?

> List the eight influence tactics described in this chapter in terms of how they are used by students to influence their college instructors. Which influence tactic is applied most often? Which is applied least often, in your opinion? To what extent is ea

> Men tend to build social networks with many relationships, but very few deep relationships. Women tend to build social networks with a small number of very strong relationships. What are the likely advantages and disadvantages of each style of social net

> You have just been hired as a brand manager of toothpaste for a large consumer products company. Your job mainly involves encouraging the advertising and production groups to promote and manufacture your product more effectively. These departments aren’t

> Until recently, a mining company’s data resided in the department that was responsible for that information. Property data were on the computers in land administration, hydrocarbon data were in the well administration group, maps were found in the map de

> What role does countervailing power play in the power relationship? Give an example of one of your own encounters with countervailing power at school or work.

> In your opinion, has the introduction of email and other information technologies increased or decreased the amount of information flowing through the corporate grapevine? Explain your answer.

> It is said that the CEO and other corporate leaders are keepers of the organization’s memory. Please discuss this.

> Explain why men and women are sometimes frustrated with each other’s communication behaviors.

> Suppose that you are part of a virtual team and must persuade other team members on an important matter (such as switching suppliers or altering the project deadline). Assuming that you cannot visit these people in person, what can you do to maximize you

> Under what conditions, if any, do you think it is appropriate to use email to notify an employee that he or she has been laid off or fired? Why is email usually considered an inappropriate channel to convey this information?

> Wikis are collaborative websites where anyone in the group can post, edit, or delete any information. Where might this communication technology be most useful in organizations?

> Senior management at a consumer goods company wants you to investigate the feasibility of using a virtual reality platform (such as Second Life) for monthly online meetings involving its three dozen sales managers, located in several cities and countries

> “An organization comes into being when people can communicate with each other.” Discuss the benefits and limitations of communicating with emails among team members.

> You have been hired as a consultant to improve communication between engineering and marketing staff in a large high-technology company. Use the communication model and the four ways to improve that process to devise strategies to improve communication e

> The chief marketing officer of Sawgrass Widgets wants marketing and sales staff to identify new uses for its products. Which of the four team structures for creative decision making would you recommend? Describe and justify this process to Sawgrass’s chi

> You are responsible for convening a major event in which senior officials from several state governments will try to come to an agreement on environmental issues. It is well known that some officials take positions to make themselves appear superior, whe

> Suppose you are put in charge of a virtual team whose members are located in different cities around the world. What tactics could you use to build and maintain team trust and performance, as well as minimize the decline in trust and performance that oft

> The Regency Grand Hotel is a five-star hotel in Bangkok, Thailand. The hotel was established 15 years ago by a local consortium of investors and has been operated by a Thai general manager throughout this time. The hotel is one of Bangkok’s most prestigi

> You have been assigned to a class project with five other students, none of whom you have met before, and some of whom come from different countries. To what extent would team cohesion improve your team’s performance on this project? What actions would y

> A software engineer in the United States needs to coordinate with four team members in geographically dispersed areas of the world. What team challenges might the team experience, and how will they affect the team design elements?

> You have just been transferred from the Kansas office to the Denver office of your company, a national sales organization of electrical products for developers and contractors. In Kansas, team members regularly called customers after a sale to ask whethe

> You have been put in charge of a cross-functional task force that will develop enhanced Internet banking services for retail customers. The team includes representatives from marketing, information services, customer service, and accounting, all of whom

> The late management guru Peter Drucker once said: “The now-fashionable team in which everybody works with everybody on everything from the beginning rapidly is becoming a disappointment.” Discuss three problems associated with teams.

> Employee involvement applies just as well to the classroom as to the office or factory floor. Explain how student involvement in classroom decisions typically made by the instructor alone might improve decision quality. What potential problems may occur

> Two characteristics of creative people are that they have relevant experience and are persistent in their quest. Does this mean that people with the most experience and the highest need for achievement are the most creative? Explain your answer.

> A fresh graduate is offered a job by an employer she admires even before she can start her job search. The student thinks it is an opportunity and jumps to it. Do you think there is an effect of emotions in her decision making?

> Ancient Book Company has a problem with new book projects. Even when others are aware that a book is far behind schedule and may engender little public interest, sponsoring editors are reluctant to terminate contracts with authors whom they have signed.

> A developer received financial backing for a new business financial center along a derelict section of the waterfront, a few miles from the current downtown area of a large European city. The idea was to build several high-rise structures, attract large

> Thomas Chan hung up the telephone and sighed. The vice president of software engineering at Advanced Photonics Inc. (API) had just spoken to Suzanne Chalmers, who called to arrange a meeting with Chan later that day. She didn’t say what the meeting was a

> Intuition is both an emotional experience and a nonconscious analytic process. One problem, however, is that not all emotions signaling that there is a problem or opportunity represent intuition. Explain how we would know if our “gut feelings” are intuit

> You have been asked to personally recommend a new travel agency to handle all airfare, accommodation, and related travel needs for your organization of 500 staff. One of your colleagues, who is responsible for the company’s economic planning, suggests th

> A management consultant is hired by a manufacturing firm to determine the best site for its next production facility. The consultant has had several meetings with the company’s senior executives regarding the factors to consider when making the recommend

> Can self-leadership replace formal leadership in an organizational setting?

> Describe a time when you practiced self-leadership to perform a task successfully. With reference to each step in the self-leadership process, describe what you did to achieve this success.

> Can a manager or supervisor “empower” an employee? Discuss fully.

> Most of us have watched pizzas being made while waiting in a pizzeria. What level of job specialization do you usually notice in these operations? Why does this high or low level of specialization exist? If some pizzerias have different levels of special

> What can organizations do to increase the effectiveness of financial rewards?

> Waco Tire Corporation redesigned its production facilities around a team-based system. However, the company president believes that employees will not be motivated unless they receive incentives based on their individual performance. Give three reasons w

> Which of the performance reward practices—individual, team, or organizational—would work better in improving organizational goals? Please comment with reference to an organization of your choice.

> Gil Reihana was the chief executive officer of X-Stream, a company he launched in Auckland, New Zealand, six years ago at the age of 25, after graduating with a bachelor’s degree in information technology and management. He had inherited $300,000 and had

> As a consultant, you have been asked to recommend either a gainsharing plan or a profit-sharing plan for employees who work in the four regional distribution and warehousing facilities of a large retail organization. Which reward system would you recomme

> A large organization has hired you as a consultant to identify day-to-day activities for middle managers to minimize distributive and procedural injustice. The company explains that employees have complained about distributive injustice because they have

> Most people think they are “worth more” than they are paid. Furthermore, most employees seem to feel that they exhibit better leadership skills and interpersonal skills than others. Please comment on this human tendency.

> Using your knowledge of the characteristics of effective goals, establish two meaningful goals related to your performance in this class.

> You just closed a deal with an organizational client, and this helps you achieve the target that was set for you by the unit. Use expectancy theory to discuss how the events that will follow may increase your motivation and engagement.

> Everyone who works as an electronic game developer has extrinsic sources of motivation, and most of them also experience some degree of intrinsic motivation. Considering the dynamics of extrinsic and intrinsic motivation, what should companies in this in