Chapter 6: Managing the Business Enterprise

Question 1

Management levels

Answer 1

Top managers, middle managers, first-line managers, non-managerial workers

Question 1

4 categorizations of products and services

Answer 1

People vs possessions + tangible vs intangible actions

Question 2

4 functions of management

Answer 2

Planning, leading, organizing, controlling

Question 3

Planning

Answer 3

what business needs and best way to achieve it:
strategic plans, tactical plans, operational plans

Question 4

organizing

Answer 4

how to use existing resources to implement plan

Question 5

leading

Answer 5

guiding and motivating subordinates to meet objectives

Question 6

What responsibilities do managers have regarding employees

Answer 6

authority to give orders, ability to guide employees, power to motivate subordinates

Question 7

controlling

Answer 7

monitor the firm’s performance

Question 8

2 types of management skills

Answer 8

technical, human relations, conceptual
top managers need more conceptual than technical and first-line managers need more technical than conceptual

Question 9

mission statement

Answer 9

how the organization will achieve its purpose/ clarifies who the organization serves, what if offers, and how it will be provided/ may also include core values and ethical commitments

Question 10

Types of plans

Answer 10

strategic (long-term plans - 2-5 years), tactical plans (1-2 years), operational plans (short-term usually monthly, weekly or daily)

Question 11

level of strategies

Answer 11

corporate-level (what businesses to pursue), business-level (how to compete in chosen area), functional (department level)

Question 12

corporate-level strategies

Answer 12

concentration, growth, integration, diversification, investment reduction

Question 13

business-level (competitive) strategies

Answer 13

cost leadership, differentiation, focus