Management Notes

Reference Notes for Management

The task of strategy choice involves:

The task of strategy choice involves:

The task of strategy choice involves:

 Options:

A. developing plans and activities which will improve the organization’s performance and competitive position
B. determining how the organization can be more market and efficiency oriented
C. monitoring whether the organization is achieving good financial performance
D. keeping the organization free of debt

 

The Correct Answer Is:

A. developing plans and activities which will improve the organization’s performance and competitive position

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Declining costs per unit of output results from international trade especially if:

Declining costs per unit of output results from international trade especially if:

Declining costs per unit of output results from international trade especially if:

 Options:

a. International trade affords producers monopoly power.
b. National governments levy import tariffs and quotas.
c. Producing goods entails increasing costs.
d. economies of scale exist for producers.

The Correct Answer Is:

d. economies of scale exist for producers.

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Dynamic gains from trade could result from

Dynamic gains from trade could result from

Dynamic gains from trade could result from

 Options:

a. The stimulus of additional investment spending as markets open
b. Economies of large scale production as markets open
c. Additional competition made possible by the opening of markets
d. All of the above

The Correct Answer Is:

d. All of the above

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In autarky, when a community maximizes its standard of living, its production and consumption point is:

In autarky, when a community maximizes its standard of living, its production and consumption point is:

In autarky, when a community maximizes its standard of living, its production and consumption point is:

 Options:

a. below the production possibility frontier.
b. on the production possibility frontier.
c. above the production possibility frontier.
d. can’t tell without more information.

The Correct Answer Is:

b. on the production possibility frontier.

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If a country has a bowed out (concave to the origin) production possibility frontier, then production is said to be subject to:

If a country has a bowed out (concave to the origin) production possibility frontier, then production is said to be subject to:

If a country has a bowed out (concave to the origin) production possibility frontier, then production is said to be subject to:

 Options:

a. constant opportunity costs.
b. decreasing opportunity costs.
c. first increasing and then decreasing opportunity costs.
d. increasing opportunity costs.

The Correct Answer Is:

d. increasing opportunity costs.

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The real income of domestic producers and consumers can be increased by:

The real income of domestic producers and consumers can be increased by:

The real income of domestic producers and consumers can be increased by:

 Options:

a. Technological progress, but not international trade
b. International trade, but not technological progress
c. Technological progress and international trade
d. Neither technological progress nor international trade

The Correct Answer Is:

c. Technological progress and international trade

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International trade is based on the idea that:

International trade is based on the idea that

International trade is based on the idea that:

 Options:

a. Exports should exceed imports
b. Imports should exceed exports
c. Resources are more mobile internationally than are goods
d. Resources are less mobile internationally than are goods

The Correct Answer Is:

d. Resources are less mobile internationally than are goods

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The type of diversification in which the company adds up same type of products at the same level of production is ______________.

The type of diversification in which the company adds up same type of products at the same level of production is ______________.

The type of diversification in which the company adds up same type of products at the same level of production is ______________.

 Options:

A. conglomerate diversification.
B. horizontal integration.
C. vertical integration.
D. concentric integration.

The Correct Answer Is:

B. horizontal integration.

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Which of the following factors does the macro-environment not include?

Which of the following factors does the macro-environment not include?

Which of the following factors does the macro-environment not include?

 Options:

A. political and regulatory factors.
B. customer needs in a given market.
C. social and demographic factors.
D. technological changes.

The Correct Answer Is:

B. customer needs in a given market.

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Which one of the following is the step involved in setting up a new enterprises?

Which one of the following is the step involved in setting up a new enterprises?

Which one of the following is the step involved in setting up a new enterprises?

 Options:

A. Creating a business plan
B. Making a product choice
C. Selecting the location
D. Setting up infrastructure

The Correct Answer Is:

D. Setting up infrastructure

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All of the following are characteristics of attractive industries EXCEPT:

All of the following are characteristics of attractive industries EXCEPT:

All of the following are characteristics of attractive industries EXCEPT:

 Options:

A. the industry is young.
B. the industry is fragmented.
C. the industry is crowded.
D. the industry has high operating margins.

The Correct Answer Is:

C. the industry is crowded.

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