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At which of Alfred Chandler’s four stages of structural development does high product demand cause a crisis for a company?

Question 1.                       

The organizing function includes all of the following activities EXCEPT

job design

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Question 2.                       

Shine is a clothing manufacturer with home offices in the United Kingdom and the United States, factories in Bangladesh and Indonesia, and distribution hubs in China and Brazil. Which type of departmentalization MOST applies to Shine?

strategic business unit

geographic region



Question 3.                      

The five coordinated flows of production are authority, decision process, ideology, _______________, and ________________.

strategy; information

work material; strategy

work material; promotion

information; work material

Question 4.                       

Authority consists of which two key components?

the right to act and permission to direct

the right to direct and permission to act

the right to decide and permission to repair

the right to repair and permission to decide

Question 5.                      

French management authority Henri Fayol described the concept of parity of authority and responsibility, which refers to an authority figure’s

obligation to employees

commanding presence


respectability and honor

Question 6.                      

Chaturanga is a yoga supply company that uses a business-to-business (B2B) model for selling yoga mats to yoga specialty stores. What kind of departmentalization does this represent?

departmentalization by strategic business unit

departmentalization by product

departmentalization by customer

departmentalization by matrix

Question 7.                      

Which type of organizational structure is prone to duplication of activities and counterproductive inter-market customer competition?

machine bureaucracy

professional bureaucracy

divisional structure


Question 8.                       

At which of Alfred Chandler’s four stages of structural development does product diversification occur?

Stage 1

Stage 2

Stage 3

Stage 4

Question 9.                      

All of the following organizations would be very likely to use an organic organizational structure EXCEPT

Blank Walls, an advertising agency

Wonderlight, a manufacturing plant

Smith & Gerot, a management consulting firm

Rough Draft, a graphic design group


Question 10.                    

At which of Alfred Chandler’s four stages of structural development does high product demand cause a crisis for a company?

Stage 1

Stage 2

Stage 3

Stage 4



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