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The document provides information about the Test Bank for Management, 3rd Edition by Michael A. Hitt, Stewart Black, and Lyman W. Porter, available for instant PDF download. It includes a collection of educational resources, solution manuals, and test banks for various management-related subjects. Additionally, it features sample questions and answers related to management concepts, roles, and functions.

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Management, 3e (Hitt)
Chapter 1 The Nature of Management

1) Management is the process of assembling and using sets of resources in a goal-directed


manner to accomplish tasks in an organizational setting.
Answer: TRUE
Page Ref: 4
Difficulty: Easy
Classification: Conceptual
Objective: 1

2) In the context of an organization, all managers are members but all members are not
managers.
Answer: TRUE
Page Ref: 4
Difficulty: Easy
Classification: Conceptual
Objective: 1

3) Managing change becomes difficult for managers because employees tend to resist change.
Answer: TRUE
Page Ref: 5
Difficulty: Easy
Classification: Conceptual
Objective: 2

4) The growth of the Internet has increased the importance of human capital.
Answer: TRUE
Page Ref: 5
Difficulty: Easy
Classification: Conceptual
Objective: 2

1
Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
5) Global events have little effect on the goals that managers set, the decisions they make, and
how they coordinate and lead the work of other people.
Answer: FALSE
Page Ref: 5
Difficulty: Easy
Classification: Conceptual
Objective: 2

2
Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
6) A manager's interpersonal and communication skills are essential to the process of allocating
and coordinating resources to accomplish the required tasks of an organization.
Answer: TRUE
Page Ref: 6-7
Difficulty: Easy
Classification: Conceptual
Objective: 2

7) A firm's reputation and its employees are both tangible resources.


Answer: FALSE
Page Ref: 8
Difficulty: Easy
Classification: Conceptual
Objective: 2

8) An entrepreneurial mind-set allows a manager to assess uncertainty and take action to exploit
any possible opportunities.
Answer: TRUE
Page Ref: 9
Difficulty: Easy
Classification: Conceptual
Objective: 2

9) Frederick Taylor, who is credited to be the "father of modern management," believed that
employees are primarily motivated by pay.
Answer: FALSE
Page Ref: 10
Difficulty: Easy
Classification: Conceptual
Objective: 3

10) Planning involves estimating future conditions and circumstances, and based on these
estimations, making decisions about the work of the manager and for all employees for whom
she or he is responsible.
Answer: TRUE
Page Ref: 11
Difficulty: Easy
Classification: Conceptual
Objective: 4

11) Controlling is important but not a necessary managerial function.


Answer: FALSE
Page Ref: 13
Difficulty: Easy
Classification: Conceptual
Objective: 4

3
Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
12) Evaluating employee performance on completed tasks is not a part of controlling.
Answer: FALSE
Page Ref: 13
Difficulty: Easy
Classification: Conceptual
Objective: 4

13) Mintzberg's typology of managerial roles entails three major categories: planning, directing,
and controlling.
Answer: FALSE
Page Ref: 13
Difficulty: Easy
Classification: Conceptual
Objective: 5

14) A marketing manager is acting as a figurehead when he or she interacts with key customers
to learn about their reactions to new product ideas.
Answer: FALSE
Page Ref: 13
Difficulty: Easy
Classification: Conceptual
Objective: 5

15) According to Mintzberg, the informational roles of a manager are derived from the network
of contacts that he or she has built up and maintained.
Answer: FALSE
Page Ref: 14
Difficulty: Easy
Classification: Conceptual
Objective: 5

16) In Mintzberg's management model, the negotiator role often requires managers to make
accommodations with other units or other organizations.
Answer: TRUE
Page Ref: 16
Difficulty: Easy
Classification: Conceptual
Objective: 5

17) Decisional roles are relatively unimportant in managerial responsibilities.


Answer: FALSE
Page Ref: 16
Difficulty: Easy
Classification: Conceptual
Objective: 5

4
Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
18) As the general manager of a steel plant, Frederick Ivanovic has to divide his time between
supervising the overall functioning of the plant, resolving conflicts between workers, preparing
production reports, and meeting with his seniors to provide them with regular updates. This
reflects the constraint dimension of management.
Answer: FALSE
Page Ref: 18
Difficulty: Easy
Classification: Application
Objective: 6
AACSB: Analytic skills

19) Technical skills involve specialized knowledge about procedures, processes, and equipment
and the related abilities of knowing when and how to use that knowledge.
Answer: TRUE
Page Ref: 19
Difficulty: Easy
Classification: Conceptual
Objective: 7

20) A manager's interpersonal skills include empathy, persuasiveness, and sensitivity.


Answer: TRUE
Page Ref: 19
Difficulty: Easy
Classification: Conceptual
Objective: 7

21) Conceptual skills - such as logical reasoning, judgment, and analytical abilities are a strong
predictor of managerial effectiveness.
Answer: TRUE
Page Ref: 20
Difficulty: Easy
Classification: Conceptual
Objective: 7

22) ________ is the process of assembling and using sets of resources in a goal-directed manner
to accomplish tasks in an organization.
A) Accounting
B) Management
C) Budgeting
D) Planning
Answer: B
Page Ref: 4
Difficulty: Easy
Classification: Conceptual
Objective: 1

5
Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
23) In the context of an organization, members are defined as ________.
A) the nonmanagerial employees
B) all employees
C) the group of rank-and-file employees
D) members of the labor union
Answer: B
Page Ref: 4
Difficulty: Easy
Classification: Conceptual
Objective: 1

24) In the context of an organization, identify the correct statement from the following.
A) All members are, by definition, parts of collective bargaining units.
B) Union is synonymous with collective bargaining units.
C) All those who are not involved in specific managerial activities must be members of the
union.
D) The term member refers to all employees of the organization.
Answer: D
Page Ref: 4
Difficulty: Easy
Classification: Conceptual
Objective: 1

25) The term ________ refers to any person in an organization without regard to that individual's
role in it.
A) management
B) member
C) manager
D) union
Answer: B
Page Ref: 4
Difficulty: Easy
Classification: Conceptual
Objective: 1

26) The term manager refers to anyone who ________.


A) is not a member of a labor union
B) is a member of an organization
C) owns shares in the company
D) plans, controls, and evaluates
Answer: D
Page Ref: 4
Difficulty: Easy
Classification: Conceptual
Objective: 1

6
Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
27) Which of the following statements is true regarding change in an organization?
A) New managers are usually not expected to create change.
B) Managing change is a lengthy but straightforward task.
C) If employees are resistent to change, the only option left with a manager is to enforce it
forcibly.
D) Managers must face the need for change and the opportunity to create change.
Answer: D
Page Ref: 5
Difficulty: Easy
Classification: Conceptual
Objective: 2

28) The development of new technologies has ________.


A) increased the speed of change implementation
B) reduced the importance of skilled labor
C) restricted the flow of information
D) reduced the time-horizon of strategic planning
Answer: A
Page Ref: 5
Difficulty: Easy
Classification: Conceptual
Objective: 2

29) Which one of the following statements is true about the effects of the Internet on how
managers do their jobs?
A) The importance of knowledge has declined.
B) The Internet has reduced the amount of competition in all markets.
C) It offers new ways of accomplishing tasks.
D) It has decreased the importance of entrepreneurs.
Answer: C
Page Ref: 5
Difficulty: Easy
Classification: Conceptual
Objective: 2

30) Which of the following statements about globalization is NOT true?


A) Globalization opens new markets and increases competition.
B) Globalization promotes greater involvement in international markets.
C) Globalization affects the goals, decisions, and responsibilities of managers.
D) Globalization affects large businesses but seldom impacts small businesses.
Answer: D
Page Ref: 5-6
Difficulty: Easy
Classification: Conceptual
Objective: 2

7
Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
31) Effective managers ________.
A) accept existing resource limits and levels of employee motivation
B) use resources to maximize the achievement of the organization's goals
C) prefer working alone rather than with groups or other individuals
D) let subordinates evaluate people's skills before selecting the best candidate
Answer: B
Page Ref: 6
Difficulty: Easy
Classification: Conceptual
Objective: 2

32) Managers at ________ establish goals and formulate a strategy for the firm to achieve those
goals.
A) the top of the organization
B) all levels of the organization
C) operational levels of the organization
D) functional levels of the organization
Answer: A
Page Ref: 8
Difficulty: Easy
Classification: Conceptual
Objective: 2

33) When forming the strategy of the major units within an organization, managers should
________.
A) not focus on the human factor
B) be innovative and entrepreneurial
C) assume that conditions will remain stable
D) focus only on existing opportunities
Answer: B
Page Ref: 9
Difficulty: Easy
Classification: Conceptual
Objective: 2

34) Managers who have an entrepreneurial mind-set ________.


A) resist uncertainty and maintain the status quo
B) are found only at the top-level of the organizational hierarchy
C) are alert to new ideas and use them to create value for customers
D) usually avoid risky ventures
Answer: C
Page Ref: 9
Difficulty: Easy
Classification: Conceptual
Objective: 2

8
Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
35) What is the primary legacy of Frederick Taylor?
A) the concept of employee motivation
B) the principles of scientific management
C) the "hierarchy of needs" theory
D) the concept of job enrichment
Answer: B
Page Ref: 10
Difficulty: Easy
Classification: Conceptual
Objective: 3

36) Which of the following views is consistent with Frederick Taylor's theory?
A) Workers are most motivated by pay.
B) The management should link workers' incentives to their performance.
C) The management should bear in mind that workers function better when tasks are clearly
assigned.
D) Workers are best motivated by autonomy.
Answer: B
Page Ref: 10
Difficulty: Easy
Classification: Conceptual
Objective: 3

37) Douglas McGregor is best known for promoting ________ leadership practices in which
positive leadership can bring forth greater efforts and levels of achievement from employees.
A) Theory Y
B) Theory X
C) ERG theory
D) Theory Z
Answer: B
Page Ref: 10
Difficulty: Easy
Classification: Conceptual
Objective: 3

38) ________ involves estimating future conditions and circumstances and making decisions
based on these estimations.
A) Directing
B) Controlling
C) Organizing
D) Planning
Answer: D
Page Ref: 11
Difficulty: Easy
Classification: Conceptual
Objective: 4

9
Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
39) ________ translates long-term plans into actions designed to achieve specific and shorter-
term goals and objectives.
A) Operational planning
B) Strategic planning
C) Tactical planning
D) Transactional planning
Answer: C
Page Ref: 11
Difficulty: Easy
Classification: Conceptual
Objective: 4

40) Sarah is the business manager of a company manufacturing shoes. After a successful stint in
the shoe industry, she begins to consider the viability of expanding the business to the leather
bag industry. This is an example of ________.
A) strategic planning
B) functional planning
C) operational planning
D) tactical planning
Answer: A
Page Ref: 11
Difficulty: Moderate
Classification: Application
Objective: 4

41) Scott is the business head of a software development firm that wants to increase its market
share to 30 percent in the next 5 years. The company feels that the best way to go about this is to
acquire smaller firms that have a promising talent pool. In his capacity as a business head, Scott
is required to plan how the company will arrange for the necessary finances for these
acquisitions. Scott is engaging in ________ for the firm.
A) operational planning
B) product planning
C) tactical planning
D) strategic planning
Answer: C
Page Ref: 11
Difficulty: Moderate
Classification: Application
Objective: 4
AACSB: Analytic skills

10
Copyright © 2012 Pearson Education, Inc. Publishing as Prentice Hall
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