1. Concentration of effect is how much an act affects the average person.
a. True
b. False
2. The media would be an example of a secondary stakeholder group for an organization.
a. True
b. False
3. A strategic objective is a statement of a company's purpose or reason for existing.
a. True
b. False
4. The six steps in the rational decision-making process are as follows: (1) frame the problem, (2) identify decision criteria, (3) weight the criteria, (4) generate alternative courses of action, (5) evaluate each alternative, and (6) compute the optimal decision.
a. True
b. False
5. Most companies compete directly with all the firms in their industry.
a. True
b. False
6. Companies use their resources to improve organizational efficiency and effectiveness.
a. True
b. False
7. Organizational innovation is defined as “doing things differently” inside an organization.
a. True
b. False
8. Milestones are formal review points that tend to lengthen the innovation process.
a. True
b. False
9. Historically, companies have generally followed the phase model of globalization.
a. True
b. False
10. Two factors that help companies determine the growth potential of foreign markets are the purchasing power of the consumers and types of foreign competitors already in the market.
a. True
b. False