Chapter #4

Question 1

An economy where wealth is created through the effective management of knowledge workers instead of by the efficient control of physical and financial assets.

Answer 1

Knowledge Economy

Question 2

The difference between the market value of the firm and the book value of the firm, including assets such as reputation, employee loyalty and commitment, customer relationships, company values , brand names, and the experience and skills of employees.

Answer 2

Intellectual Capital

Question 3

The individual capabilities, knowledge, skills, and experience of a company’s employees and managers.

Answer 3

Human Capital

Question 4

The network of friendships and working relationships between talented people both inside and outside the organization.

Answer 4

Social Capital

Question 5

Knowledge that is codified , documented, easily reproduced, and widely distributed.

Answer 5

Explicit Knowledge

Question 6

Knowledge that is in the minds of employees and is based on their experiences and backgrounds.

Answer 6

Tacit Knowledge

Question 7

Superiors, direct reports, colleagues, and even external and internal customers rate a person’s performance.

Answer 7

360-degree Evaluation and Feedback Systems

Question 8

Analysis of the pattern of social interactions among individuals.

Answer 8

Social Network Analysis

Question 9

The degree to which all members of a social network have relationships (or ties) with other group members.

Answer 9

Closure

Question 10

Relationships in a social network that connect otherwise disconnected people.

Answer 10

Bridging Relationships

Question 11

Social gaps between groups in a social network where there are few relationships bridging the groups.

Answer 11

Structural Holes

Question 12

A tendency in an organization for individuals not to question shared beliefs.

Answer 12

Groupthink

Question 13

A team of individuals that completes tasks primarily through email communication.

Answer 13

Electronic Teams

Question 14

Intangible property owned by a firm in the forms of patents, copyrights, trademarks, or trade secrets.

Answer 14

Intellectual Property Rights

Question 15

A firm’s capacity to build and protect a competitive advantage, which rests on knowledge, assets, competencies, complementary asserts, and technologies. Include ability to sense and seize new opportunities, generate new knowledge, and reconfigure existing assets and capabilities.

Answer 15

Dynamic Capabilities