intro to mgmt final wk 6-10

T/F - computers and robots are only useful in continuous production processes where the same type of product is produced many times

false (can help with other kinds of processes as well)

T/F - Marcus just got started using a storage method called dropbox. he stores most of his information with this service. Marcus is using cloud computing

true

The use of ___ has increased productivity along the assembly line and within service-based businesses while simultaneously causing a reduction in jobs for people

robots

a girm that wanted to enable its employees to use and share data without allowing outsiders to gain access could do so by establishing an

intranet

T/F - the main difference between process manufacturing and an assembly process is that process manufacturing uses sophisticated robots and automated machinery to produce a good or service, while an assembly process uses labor and simple tools to make a product

false

process manufacturing

physically or chemically changing materials

\

assembly process

combines components to make a product

T/F - manufacturers use computer-aided manufacturing (CAM) to create three-dimensional designs of products before they are built

false

CAD

computed aided design

CAM

computer aided manufacturing

T/F - to make dry ice, keep it cold ice company compresses carbon dioxide and cools it to an extremely low temperature. Keeep it cold’ method is an example of process manufacturing

true

A firm would use data mining if it wanted to

discover hidden relationships among the data it accumulates

T/F - As businesses began using business intelligence, managers spent less time finding information and more time using it to make decisions

true

a just in time inventory system helps a producer reduce its costs by

limiting the amounts of parts on hand for later use

Extel Inc. acquires components to create its computers from an assortment of suppliers. The compnany puts them together according to the customer’s specifications to create custom-made computers. this is an example of

\

the assembly process

Vari-corp Inc, manufactures machinery and robots that can assemble an assortment of ars and trucks including heavy duty pickup trucks, sports cars, luxury sedans, minivans, and multiple sizes of SUVs. Varicorp. sells products to companies that require

flexible manufacturing

flexible manufacturing

the design of machines to do multiple tasks so that they can produce a variety of products

T/F - the first step in the PERT method is to assign a cost to each activity

false

PERT method

program evaluation review technique- used to identify, analyze and determine the sequence of tasks that must be completed in order to complete the overall project

T/F - michael is the social media manager for his firm. he works with the firm’s marketing department to identify keywords or trending topics that will drive traffic to the company’s social media accounts. this is known as search engine optimization

true

T/F - labor costs play a minor role when selecting a facility location

false (they still pay a major role in consideration)

T/F - the key to improving management decision making is to provide the manager with as much info as possible

false- they need a useful flow of info, but not too much as it can slow decision making

T/F - improvements in technology have significantly increased the quality of products as well as helped reduce costs

true

T/F - Fashion group inc. is a specialty manufacturer that produces custom jewelry according to custom specifications. Fashion Group should probably use an intermittent process in production

true

intermittent process

short production runs and frequent adjustments to machinery in order to produce different products. this system works well for firms producing customized products in small batches

lean manufacturing ____ productivity

increase

how does a company become more lean?

by continuously increasing its capacity to produce high quality goods while decreasing its need for resources.

T/F - when a company has the ability to produce the same amount of goods with only half the floor space and half the labor that it used int he past, the firm is practicing flexible manufacturing

false its a characteristic of lean manufacturing

T/F - social networks such as facebook, youtube, and twitter are excellent example of web 2.0

true - web 2.0 is a set of tools that allow people to build social and business connections, share info, and collaborate on projects w/ user generated sites

T/F - land, labor, capital, knowledge are all inputs into the production process

true

T/F - firms that specialize in accounting, finance, and management consulting are all parts of the service sector

true

from house to home inc. uses labor and machinery to transform wood, plastic, metal, and cloth into comfortable chairs, sofas, and love seats for the home. This process creates..

form utility

form utility

the value added by the creation of finished goods and services

T/F - the main purpose of an intranet is to allow a company to keep in close contact with its customers

false - intranet is close to public access

your favorite photo can now be printed on your favorite credit card. you can desgin your own dresses online and have then sent to you in a few days. you can even create your own orthotics to fit inside your shoes. these are example of trend toward…

mass customization

T/F - over time, business technology has become must more sophisticated, but its basic application has remained to support the existing operations of businesses and by providing key financial information

false- emphasis as then switched from using technology to support business, to using technology to do business

if a business wanted to gather up-to-the-minute data on its customers, one way to do that would be …

social media

T/F - the significance of the critical path on a pert chart is that it identifies the least costly method of producing a given product

false- the PERT chart tells you the sequence of events in a project that takes the longest time to complete

what is an important aspect of operations management?

choosing the best location for a firm’s facilitates?

what statement about the B2B market is true?

industrial buyers are usually large

what is an example of a B2B sales promotion activity?

conventions

compared to consumer markets, B2B markets

rely less on marketing intermediaries

T/F - a 24 hour quick mart is focused on providing time utility

true

T/F - a bank’s product line would include customer safety deposit boxes, business loans, and student internships

false - they would be in the bank’s product mix, not its product line

product line

a group of products that are physically similar

T/F - a firm’s promotion mix consists of its pricing and distribution strategies

false

what does a promotional mix include

advertising, personal selling, public relations, and sales promotion

‘selling to everybody and listening to nobody’ might be the result of a firm that is uses a ___ marketing strategy

mass

T/F - a cup of yogurt is an example of a product that would always be classified as a consumer good

false - depends on the buyers reason for getting the good (maybe its a B2B not a B2C)

suppose that nine dairy producers each tried to sell their products directly to 8 ice cream shops. the total number of exchange relationships that would be established is

72

T/F - consumers expect to find specialty goods in convenient location

false- they expect them to be harder to find

jannae, owner of a jewelry shop in a small shopping center, sells jewelry produced by a national company. Jannae sells to final customers, so she is a…

retailer

T/F - marketing intermediaries will eventually be eliminated bc the activities they provide don’t enhance the marketing process

false- they are effective

T/F - motivated by the iumpolite treatement he recieved at a running shoe store, Ray shared his bad experience on Yelp. He encouraged other not to frequent that store. Ray’s review represents negative word of mouth

true

T/F - when determining the price for a product, marketers must consider the costs of producing, distributing, and promoting the product

true

T/F - getting the product from the producer to the consumer is a production- related process and not related to the marketing mix

false- distribution is one component in the marketing mix

T/F - many firms that want to use an intensive distribution strategy would find vending machines an attractive method of selling their good.

true- makes them widely available

T/F - tremont, owner and operator of a donut shop, is working on a break-even analysis. his fixed cost would include rent, insurance, and property taxes

true- fixed costs are costs that don’t change with the level of production

mario brings together buys and sellers of used farm implement equipment and helps them negotiate the terms of the sale. However, he never takes title to any of the equipment himself, nor does he provide any financing for the buyer. Mario is acting as a ….

broker

T/F - Currently, flow plumbing sells directly to thousands of industrial customers. Flow could reduce the number of exchange relationships by including wholesalers in its channel of distribution

true

Shayna finished writing a news release about her company’s new product. She intends to email the message to local television and ratio stations as well as newpapers in hope that they will find the information newsworthy and run a story about the product. Shayna’s efforts represents the firm’s ….

public relations

the cost of raw materials used to produce a good or service represent the firm’s _____ costs.

variable

T/F - a pickup truck can be classified as either a consumer good or an industrial good

true

attracting attention, describing contents, explaining benefits, and identifying the uses of a product are all functions of…

packaging

T/F - in order to be considered advertising, the organization being promoted in the advertisement must be identified in the message

true ( this separates advertising from propaganda)

T/F - companies that rely on secondary data are using the most expensive type of data available in the research process

false- secondary is less expensive then primary as the data has already been collected

the primary difference between retailers and wholesalers is that..

retailers sell to final consumers, while wholesaler sell to other organizations, such as retailers or manufacturers

T/F - salads, bagels, sandwiches, soups, and pastries are products that might be included in the product mix of a cafe

true

T/F - marketers are concerned with selling goods and services, and therefore are not involved in designing the products their firm will sell

false- design is part of the marketing mix

T/F - to be successful in global advertising it is important to understand the culture of the country the ad will be showed in

true

T/F - James is a salesperson for Partners Publishing. his activities are part of Partner’s Promotion mix

true w

what is part of a promotion mix

advertising, personal selling, public relations, and sales promotion

the ___ shows how the capital is structured in the business, including the value of assets and the amount the firm owes at a specific point in time

balance sheet

T/F - your personal budget is the same things as your personal income statement

false- income statement is your actual revenue (everything you earned minus the costs and expenses to determine your actual net income) budgets are a financial plan that will help you think about your future and your goals

T/F - assets are listed on the balance sheet in order of liquidity, with the most liquid assets listed first

true

what is liquidity

an asset’s ability to be turned into cash

T/F - when the value of the euro increases compared to the U.S. dollar, the price of US exports to Europe will decrease

true

T/F - a relatively poor nation wants to obtain funds for a project to improve the availability of water and electricity. this nation should contact the International Monetary Fund

false- they should contact the World Bank

What does the World bank do

responsible for financing economic development- whether that is lending money to less developed nations, other …

what does the International Monetary Fund do?

they oversee the monetary and exchange rate policies of member nations

T/F - one strategy used to lower car insurance premiums is to choose a policy with a large deductible

true

T/F - one advantage of the double-entry method of bookkeeping is that it helps to identify mistakes made in recording financial transactions

true

T/F - mickey mouse and the geico gecko are examples of intangible assets

true

intangible assets

long-term assets that have no physical form but do have value. the include patents, trademarks, copyrights, and goodwill

T/F - Trading internationally by using money appears easy and almost effortless, but the fact is there is a very complex banking system that makes it happen

true

T/F - one way to make ratio analysis more meaningful is to compare the ratios of one firm to those of other firms in the same industry

true

T/F - by reducing the reserve requirement, the fed intends to increase the money supply

true

T/F - the US government is a user of a firm’s accounting infomation

true

leverage ratios indicate the extent to which ___ has been used to fund a business’s operations

debt

The purpose of creating the FDIC was to…

restore confidence in banking institutions

FDIC

federal deposit insurance corporation

Which institutions monitors the monetary policies of member nations to ensure a global monetary system that works best for all nations?

International Monetary Fund

T/F - When the Fed increases the reserve requirement it forces banks to increase the number of loans they make

false

____ measures the speed of inventory moving through the firm and its conversion into sales

inventory turnover ratio

T/F - to decrease the money supply, the federal reserve sells US government bonds in open-market operations

true

Generally, the higher the risk of failure or loss in an industry, means that investors will expect a ___ rate of return on the investment

higher

T/F - one of the keys to financial success is never to apply for a credit card

false

T/F - citizens of a small island nation readily accept a specific type of seashell as payment for the goods and services they trade. For citizens of this island nation, seashells serve as money

true

which institution primarily finances economic development projects in less-developed countries

world bank

T/F - GAAP (general accepted accounting principles) refers to a set of standards concerning accounting principles that were established by the financial accounting standards board

true