Organizational Behavior, 18e (Robbins)

Chapter 12 Leadership

1) Leadership is best defined as ________.

A) the ability to merely project one's abilities in the lack of actual accomplishments
B) the ability to reduce the dependence of team members on each other
C) the ability to induce the team members to focus on individual goals rather than collective
goals
D) the ability to influence a group toward the achievement of a vision or set of goals
E) the ability to use factors like training and experience to reduce dependence on formal
leadership
Answer: D
Explanation: Leadership can be defined as the ability to influence a group toward the
achievement of a vision or set of goals. Leaders can emerge from within a group as well as by
formal appointment.
LO: 12.1: Summarize the conclusions of trait theories of leadership.
Difficulty: Easy
Quest. Category: Concept

2) Which of the following statements regarding leadership is true?

A) All managers are leaders.
B) Formal rights ensure good leadership.
C) Formal appointment is essential in creating leaders.
D) All leaders are hierarchically superior to followers.
E) Nonsanctioned leadership is as important as formal influence.
Answer: E
Explanation: The source of a leader's influence may be formal, such as that provided by
managerial rank in an organization. But not all leaders are managers, nor, for that matter, are all
managers leaders. Just because an organization provides its managers with certain formal rights
is no assurance they will lead effectively. Nonsanctioned leadership–the ability to influence that
arises outside the formal structure of the organization–is often as important as or more important
than formal influence.
LO: 12.1: Summarize the conclusions of trait theories of leadership.
Difficulty: Easy
Quest. Category: Concept

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3) Which of the following is a desirable feature of leadership?
A) one-directional influence from the leader to the follower
B) coercive power and authority
C) lack of freedom
D) passivity of followers
E) coexistence of leaders and managers
Answer: E
Explanation: Organizations need strong leadership and strong management for optimal
effectiveness. We need leaders today to challenge the status quo, create visions of the future, and
inspire organizational members to want to achieve the visions. We also need managers to
formulate detailed plans, create efficient organizational structures, and oversee day-to-day
operations.
LO: 12.1: Summarize the conclusions of trait theories of leadership.
Difficulty: Easy
Quest. Category: Concept

4) Trait theories of leadership focus on ________.

A) the special relationship that leaders establish with a small group of their followers
B) the personal qualities and characteristics that differentiate leaders from nonleaders
C) the way the leader makes decisions
D) the extent to which followers are willing and able to accomplish a specific task
E) the match between the leader's style and the degree to which the situation gives the leader
control
Answer: B
Explanation: Trait theories of leadership focus on personal qualities and characteristics. The
search for personality, social, physical, or intellectual attributes that differentiate leaders from
nonleaders goes back to the earliest stages of leadership research.
LO: 12.1: Summarize the conclusions of trait theories of leadership.
Difficulty: Easy
Quest. Category: Concept

5) Which of the following Big Five personality traits has been identified as the most important
trait in effective leaders?
A) conscientiousness
B) openness
C) extraversion
D) agreeableness
E) emotional stability
Answer: C
Explanation: A comprehensive review of leadership literature, when organized around the Big
Five, has found extraversion to be the most important trait of effective leaders but more strongly
related to leader emergence than to leader effectiveness. Conscientiousness and openness to
experience also showed strong relationships to leadership, though not quite as strong as
extraversion.
LO: 12.1: Summarize the conclusions of trait theories of leadership.
Difficulty: Easy
Quest. Category: Concept
2
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6) Emotional intelligence (EI) is critical to effective leadership because one of its core
components is ________, which reflects the consideration that leaders must be able to express.
A) conscientiousness
B) empathy
C) optimism
D) introversion
E) perfectionism
Answer: B
Explanation: A core component of EI is empathy. Empathetic leaders can sense others' needs,
listen to what followers say (and don't say), and read the reactions of others. The caring part of
empathy, especially for the people with whom you work, is what inspires people to stay with a
leader when the going gets rough.
LO: 12.1: Summarize the conclusions of trait theories of leadership.
Difficulty: Easy
Quest. Category: Concept

7) Trait theories most accurately predict ________.

A) distinguishing features of an effective leader
B) differences between an effective and an ineffective leader
C) success of a leader
D) roles to be played by the leader
E) emergence of a leader
Answer: E
Explanation: Traits are more accurate in predicting the emergence of leaders and the appearance
of leadership than actually distinguishing between effective and ineffective leaders.
LO: 12.1: Summarize the conclusions of trait theories of leadership.
Difficulty: Easy
Quest. Category: Concept

3
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8) Tim Wrench was leading the client services division of AmWeb for seven years when he was
asked to move to another region where the company was setting up its office. Before moving,
Tim was asked to help in finding a successor for him from his team. Tim's most obvious choice
was Judy Judge, and the management accepted his choice as Judy was a popular person across
the company. Judy was known for her vivacious nature, was often seen speaking to employees
from various divisions, and was always excited to take up a new opportunity. Once she became a
leader, she continued to give employees freedom and flexibility even if it resulted in deficiencies
on the work front like missed deadlines or low quality. Judy's initial weeks as a leader were full
of confusion among her team members, but many felt that the situation would come under
control. When things did not improve in the next two months and many complaints poured in
from clients, the management realized that Judy was not the best candidate to lead the team.
Which of the following, if true, would best explain this outcome?
A) Judy was a high-performing employee and enjoyed good relationships with everyone on the
team.
B) Everyone felt Judy was given insufficient time to prove her worth as a leader.
C) Research has shown that traits can predict the emergence of a leader, but not his or her
efficiency as a leader.
D) The client complaints were a common thing encountered by the company.
E) Judy demonstrated low levels of consideration and high levels of task-orientation.
Answer: C
Explanation: The fact that Judy was a high-performing employee and enjoyed good
relationships with everyone on the team does not explain this outcome. The fact that everyone
felt that Judy was given insufficient time to prove her worth as a leader does not explain this
outcome. The fact that research has shown that traits can predict the emergence of a leader, but
not his or her efficiency as a leader does explain this outcome. Traits are more accurate in
predicting the emergence of leaders and the appearance of leadership than actually distinguishing
between effective and ineffective leaders. The fact that client complaints were a common thing
encountered by the company does not explain Judy's failure as a leader. The fact that Judy
demonstrated low levels of consideration and high levels of task-orientation as a leader does not
explain her failure in leading the team.
LO: 12.1: Summarize the conclusions of trait theories of leadership.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

9) According to the Big Five personality model, emotional stability is the most important trait of
effective leaders.
Answer: FALSE
Explanation: A comprehensive review of the leadership literature, when organized around the
Big Five personality model, has found extraversion to be the most important trait of effective
leaders. However, it is more strongly related to the way leaders emerge than to their
effectiveness.
LO: 12.1: Summarize the conclusions of trait theories of leadership.
Difficulty: Easy
Quest. Category: Concept

4
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10) Trait theories of leadership most accurately predict the emergence and appearance of
leadership.
Answer: TRUE
Explanation: Traits do a better job predicting the emergence of leaders and the appearance of
leadership than actually distinguishing between effective and ineffective leaders.
LO: 12.1: Summarize the conclusions of trait theories of leadership.
Difficulty: Easy
Quest. Category: Concept

11) What is the role played by traits in predicting leadership behaviors?

Answer: Studies have shown that the extraversion dimension of the Big Five personality model
is the most important trait of effective leaders, followed by the dimensions of conscientiousness
and openness to experience. Empathy, one of the core components of emotional intelligence, is
also closely linked to effective leadership. The two major conclusions about trait theories and
leadership are that (1) traits can predict leadership and (2) traits are more useful in predicting the
emergence of leaders and the appearance of leadership than in actually distinguishing between
effective and ineffective leaders.
LO: 12.1: Summarize the conclusions of trait theories of leadership.
Difficulty: Moderate
Quest. Category: Concept

12) The Ohio State Studies narrowed the independent dimensions of leader behavior to two that
substantially accounted for most of the leadership behavior described by employees:
consideration and ________.
A) employee-orientation
B) empathy
C) constructing vision
D) initiating structure
E) charisma
Answer: D
Explanation: Seeking to identify independent dimensions of leader behavior, the Ohio State
Studies determined that two dimensions accounted for most effective leadership behavior:
initiating structure and consideration. Initiating structure is the extent to which leaders are likely
to define and structure their roles and those of their employees in the search for goal attainment.
Consideration is the extent to which a leader's job relationships are characterized by mutual trust,
respect for employees' ideas, and regard for their feelings.
LO: 12.2: Identify the central tenets and main limitations of behavioral theories.
Difficulty: Easy
Quest. Category: Concept

5
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13) In the context of behavioral dimensions of leadership identified in the Ohio State Studies,
initiating structure refers to the extent to which ________.
A) a person's job relationships are characterized by mutual trust, respect for employees' ideas,
and regard for their feelings
B) a leader engages in participative management
C) a leader is accepting of and respects individual differences among various team members
D) a leader is likely to define and organize his or her role and those of employees in the search
for goal attainment
E) a leader initiates efforts to communicate personally with employees
Answer: D
Explanation: As a behavioral dimension of leaders, initiating structure is the extent to which a
leader is likely to define and structure his or her role and those of employees in the search for
goal attainment. It includes behavior that attempts to organize work, work relationships, and
goals.
LO: 12.2: Identify the central tenets and main limitations of behavioral theories.
Difficulty: Easy
Quest. Category: Concept

14) Adrian Atwood, a senior manager at MNC, spends a lot of his time assigning group members
to particular tasks and scheduling their work such that deadlines are achievable. Adrian also sets
high expectations for standards of performance and holds regular meetings to ensure that
productivity and quality are up to the mark. In the light of the Ohio State Studies, this indicates
that Adrian, as a leader, is ________.
A) low in task orientation
B) high in consideration
C) relationship oriented
D) employee oriented
E) high in initiating structure
Answer: E
Explanation: Initiating structure is the extent to which a leader is likely to define and structure
his or her role and those of employees in the search for goal attainment. It includes behavior that
attempts to organize work, work relationships, and goals. A leader high in initiating structure is
someone who assigns group members to particular tasks, expects workers to maintain definite
standards of performance, and emphasizes the meeting of deadlines.
LO: 12.2: Identify the central tenets and main limitations of behavioral theories.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

6
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15) In the context of behavioral dimensions of leadership identified in the Ohio State Studies,
________ is the extent to which a person's job relationships are characterized by mutual trust,
respect for employees' ideas, and regard for their feelings.
A) consideration
B) transaction
C) authentication
D) task orientation
E) identification
Answer: A
Explanation: In the context of behavioral dimensions of leadership identified in the Ohio State
Studies, consideration is the extent to which a person's job relationships are characterized by
mutual trust, respect for employees' ideas, and regard for their feelings.
LO: 12.2: Identify the central tenets and main limitations of behavioral theories.
Difficulty: Easy
Quest. Category: Concept

16) Nellie Fritz, the head of client support services at Olson Inc., is very popular among her
subordinates. Many believe that Nellie has a knack for getting the work done without making the
employees feel pushed into a corner. She is often seen speaking to her subordinates and support
staff about their families, helping them with any personal problems they have, and praising
employees for their good work. In light of the Ohio State Studies, this indicates that Nellie, as a
leader, is ________.
A) task oriented
B) high in consideration
C) low in trust propensity
D) low in relationship orientation
E) production oriented
Answer: B
Explanation: Consideration is the extent to which a person's job relationships are characterized
by mutual trust, respect for employees' ideas, and regard for their feelings. A leader high in
consideration helps employees with personal problems, is friendly and approachable, treats all
employees as equals, and expresses appreciation and support.
LO: 12.2: Identify the central tenets and main limitations of behavioral theories.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

17) The Ohio State Studies started with more than a thousand dimensions of leader behavior.
Answer: TRUE
Explanation: The most comprehensive behavioral theories of leadership resulted from the Ohio
State Studies, which sought to identify independent dimensions of leader behavior. Beginning
with more than a thousand dimensions, the studies narrowed the list to two that substantially
accounted for most of the leadership behavior described by employees: initiating structure and
consideration.
LO: 12.2: Identify the central tenets and main limitations of behavioral theories.
Difficulty: Easy
Quest. Category: Concept
7
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18) The Ohio State Studies narrowed a list of more than a thousand dimensions to just one that
accounted for most of the leadership behavior described by employees: participation.
Answer: FALSE
Explanation: The most comprehensive behavioral theories of leadership resulted from the Ohio
State Studies, which sought to identify independent dimensions of leader behavior. Beginning
with more than a thousand dimensions, the studies narrowed the list to two that substantially
accounted for most of the leadership behavior described by employees: initiating structure and
consideration.
LO: 12.2: Identify the central tenets and main limitations of behavioral theories.
Difficulty: Easy
Quest. Category: Concept

19) The behavioral theories view leadership as a set of actions that people can be trained in.
Answer: TRUE
Explanation: The behavioral theories aimed to understand if there was something unique in the
way effective leaders behave. These theories implied we could train people to be leaders.
LO: 12.2: Identify the central tenets and main limitations of behavioral theories.
Difficulty: Easy
Quest. Category: Concept

20) Explain mentoring with reference to the dimensions of initiating structure and consideration.
Answer: Initiating structure is the extent to which a leader is likely to define and structure his or
her role and those of employees in the search for goal attainment. It includes behavior that
attempts to organize work, work relationships, and goals. Consideration is the extent to which a
person's job relationships are characterized by mutual trust, respect for employees' ideas, and
regard for their feelings. A leader high in consideration helps employees with personal problems,
is friendly and approachable, treats all employees as equals, and expresses appreciation and
support. Mentoring is a process by which a senior employee sponsors and supports a less-
experienced employee or a protégé. Mentoring performs many career functions, like helping the
new employee get challenging assignments, opportunities to develop skills, exposure to
influential individuals in the company, and nominations for potential advantages. These career
functions of mentoring are similar to the initiating structure of leadership. Mentoring also fulfills
certain psychosocial functions, like counseling the employee to enhance confidence, providing
friendship and acceptance, and providing the new employee with a role model. These are similar
to the consideration dimension of leadership.
LO: 12.2: Identify the central tenets and main limitations of behavioral theories.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

8
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21) Contingency theories focus on the ________ that impact leadership success.
A) personality variables
B) leader's abilities to inspire and transform followers
C) situational variables
D) values and ethics
E) features of the followers
Answer: C
Explanation: Numerous studies have shown that predicting leadership success is more complex
than isolating a few traits or behaviors, since leadership styles that are effective in very bad times
or in very good times do not necessarily translate into long-term success. This idea led
researchers to change their focus from trait and behavior theories to situational influences on
leadership styles, or contingency theories.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Easy
Quest. Category: Concept

22) Which of the following theories of leadership is based on situational variables?

A) attribution theory
B) trait theories
C) charismatic leadership theory
D) path-goal theory
E) behavioral theories
Answer: D
Explanation: Numerous studies have shown that predicting leadership success is more complex
than isolating a few traits or behaviors, since leadership styles that are effective in very bad times
or in very good times do not necessarily translate into long-term success. This idea led
researchers to change their focus from trait and behavior theories to situational influences on
leadership styles, or contingency theories. The path-goal theory is one of the contingency
theories.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Easy
Quest. Category: Concept

23) The least preferred co-worker (LPC) questionnaire is used to measure whether ________.
A) the followers are able and willing
B) a leader is task- or relationship-oriented
C) the members are in the ingroup or out-group
D) employees prefer servant leadership over situational leadership
E) the leader is high on the dimension of conscientiousness
Answer: B
Explanation: Fiedler believes a key factor in leadership success is the individual's basic
leadership style. He created the least preferred co-worker (LPC) questionnaire to identify that
style by measuring whether a person is task- or relationship-oriented.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Easy
Quest. Category: Concept

9
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24) Dora Lee has just completed and scored the LPC questionnaire given to her during an
evaluation exercise. She is surprised when she finds out that she described her least preferred co-
worker in relatively positive terms because she recalls being particularly annoyed by this
difficult co-worker several times in the past. Based on your understanding of Fiedler's model,
you explain to Dora that her LPC score makes sense within the model because ________.
A) Dora tends to become very dominating when given ambiguous tasks
B) Dora is usually much more focused on productivity than on developing relationships
C) Dora tends in general to focus on building good relationships with the other employees
D) Dora has a spotty work history and has tended to switch jobs every couple of years
E) Dora is usually chosen for positions of high responsibility within your organization
Answer: C
Explanation: If you describe the person you are least able to work with in favorable terms (a
high LPC score), Fiedler would label you relationship-oriented. In contrast, if you see your least
preferred co-worker in relatively unfavorable terms (a low LPC score), you are primarily
interested in productivity and are task-oriented.
LO: 12.3: Contrast contingency theories of leadership.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

25) Fiedler's contingency model assumes that ________.

A) an individual's leadership style is essentially fixed
B) an individual is constantly striving to develop a more productive style
C) an individual's leadership is primarily determined by the features of the followers
D) an individual's leadership style can be altered much like his or her personality traits
E) an individual's leadership style must be task oriented to be effective
Answer: A
Explanation: Fiedler assumes an individual's leadership style is fixed. This means if a situation
requires a task-oriented leader and the person in the leadership position is relationship oriented,
either the situation has to be modified or the leader has to be replaced to achieve optimal
effectiveness.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Easy
Quest. Category: Concept

10
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26) Fiedler defines the degree of confidence, trust, and respect that subordinates have in their
leader as ________.
A) leader-member relations
B) task structure
C) positional power
D) follower variables
E) path-goal frameworks
Answer: A
Explanation: Fiedler identified three contingency or situational dimensions to leadership
success, including leader-member relations, task structure, and position power. Leader-member
relations is the degree of confidence, trust, and respect members have in their leader.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Easy
Quest. Category: Concept

27) Trevor Guerney is a manager who believes that those who are to be affected by a change
must be involved in the change. Consequently, he always ensures that his subordinates have the
knowledge of what is happening around them, and he often holds meetings to obtain employee
opinion and suggestions before making any decision that would apply to them. Similarly,
Trevor's team proactively approaches him with problems and potential solutions as they know he
will not respond by criticizing them. From the information provided in the scenario, we can say
that ________.
A) Trevor's leadership is primarily task-oriented
B) Trevor's team has a low degree of trust propensity
C) Trevor's team requires more directive leadership
D) Trevor's team has positive leader-member relations
E) Trevor's team is unsatisfied with his power position
Answer: D
Explanation: Fiedler identified three contingency or situational dimensions to leadership
success, including leader-member relations, task structure, and position power. Leader-member
relations is the degree of confidence, trust, and respect members have in their leader.
LO: 12.3: Contrast contingency theories of leadership.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

11
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28) Which of the following situational dimensions identified by Fiedler relates to the degree to
which job assignments are regimented, that is, structured or unstructured?
A) task reflexivity
B) task significance
C) task structure
D) task complexity
E) task orientation
Answer: C
Explanation: Fiedler identified three contingency or situational dimensions in which certain
types of leaders might excel or fail, including leader-member relations, task structure, and
position power. Task structure is the degree to which job assignments are regimented (that is,
structured or unstructured). Leaders who are task-oriented, Fiedler proposes, perform best when
the situation is very favorable or very unfavorable.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Easy
Quest. Category: Concept

29) According to the Fiedler contingency model, a very favorable situation in which the leader
has a great deal of control is characterized by ________.
A) high task structure, good leader-member relations, and strong position power
B) limited position power, good leader-member relations, and low task structure
C) less structured jobs, strong position power, and moderate leader-member relations
D) broad employee responsibilities, low position power, and moderate leader-member relations
E) good leader-member relations, low position power, unstructured jobs
Answer: A
Explanation: The Fiedler contingency model proposes that effective group performance depends
on the proper match between the leader's style and the degree to which the situation gives the
leader control. Fiedler states that the better the leader-member relations, the more highly
structured the job, and the stronger the position power, the more control the leader has.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Moderate
Quest. Category: Concept

30) Which of the following theoretical approaches in the study of leadership focuses on
followers' readiness as a determinant of effective leadership?
A) Big Five personality model
B) behavioral theories
C) Fiedler contingency model
D) laissez-faire leadership
E) situational leadership theory
Answer: E
Explanation: Situational leadership theory (SLT) focuses on the followers. It says successful
leadership depends on selecting the right leadership style contingent on the followers' readiness,
or the extent to which they are willing and able to accomplish a specific task.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Moderate
Quest. Category: Concept
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31) According to the situational leadership theory, if employees are unwilling and unable, the
appropriate leadership style in this situation would be ________.
A) participative
B) democratic
C) person-oriented
D) directive
E) supportive
Answer: D
Explanation: According to the situational leadership theory, if employees are unwilling and
unable, the appropriate leadership style in this situation would be directive.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Easy
Quest. Category: Concept

32) According to the situational leadership theory, a follower with the desired ability and
willingness is likely to be ________.
A) lacking in the area of motivation
B) deficient in the specific skills required
C) comfortable in his ability to do the job well
D) highly skilled in relevant areas but low on experience
E) in need of leadership that is highly task oriented
Answer: C
Explanation: If followers are able and unwilling, the leader needs to use a supportive and
participative style; if they are both able and willing, the leader does not need to do much.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Moderate
Quest. Category: Concept

33) Which of the following statements is true with regard to the path-goal theory of leadership?
A) The theory considers leadership to be a set of attributes ascribed to leaders by followers.
B) The theory proposes only a passive and supportive role for leaders.
C) The theory considers removing obstacles to be a component of effective leadership.
D) The theory proposes that leaders must work closely with followers throughout.
E) The path-goal theory represents a laissez-faire approach to leadership.
Answer: C
Explanation: The theory proposes that the leader's job is to provide followers with the
information, support, or other resources necessary to achieve their goals. The term path-goal
implies effective leaders clarify followers' paths to their work goals and make the journey easier
by reducing roadblocks.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Moderate
Quest. Category: Concept

13
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34) In the context of Fiedler's model, the situational dimension termed ________ relates to the
degree of influence a leader has over important variables such as hiring, firing, discipline,
promotions, and salary increases.
A) task structure
B) leader-member exchange
C) position power
D) initiating structure
E) leader-member relations
Answer: C
Explanation: In the context of Fiedler's model, the situational dimension termed position power
relates to the degree of influence a leader has over power variables such as hiring, firing,
discipline, promotions, and salary increases.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Easy
Quest. Category: Concept

35) According to the situational leadership theory, if followers are unable and willing to do a
task, then a leader needs to ________.
A) follow a supportive style
B) engage in participative leadership
C) refrain from providing too many inputs
D) display high task and relationship orientation
E) demonstrate high task and low relationship orientation
Answer: D
Explanation: If followers are unable and willing, the leader needs to display high task
orientation to compensate for followers' lack of ability and high relationship orientation to get
them to commit to the leader's desires.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Moderate
Quest. Category: Concept

14
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36) Maura Ruiz has been working in the e-learning industry for over eight years. She is aware of
the fact that in this industry, once an employee has learned his or her job, the work becomes
fairly automatic and competence can be achieved rapidly. She has been noticing how in her
team, this competence has come along with a lot of complacency; the employees, though able,
are unwilling to work hard. According to the situational leadership theory, to rectify this
situation, Maura would benefit the most if she uses the ________ style of leadership.
A) task-oriented
B) production-oriented
C) participative
D) directive
E) autocratic
Answer: C
Explanation: If followers are able and unwilling, the leader needs to use a supportive and
participative style.
LO: 12.3: Contrast contingency theories of leadership.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

37) George has been a project leader at NSys for five years. George's job description involves
scheduling work for his team, coordinating their work with that of the other departments, and
providing feedback. George, who has successfully led this team, believes that it is his task-
oriented and directive approach that has helped him in the last five years. Which of the
following, if true, would weaken his argument supporting a directive leadership?
A) The members of the team are resentful with George's directives relating to work.
B) George has seen that employees in his team lack initiative and motivation to work hard.
C) The team's workload is expected to rise substantially as the company is growing at an
unprecedented rate.
D) George's team is organized as a wheel network and depends on his ability to coordinate
amongst members of the team and between other departments.
E) NSys hires only highly qualified and experienced employees.
Answer: E
Explanation: The fact that the members of the team are resentful with George's directives
relating to work does not strengthen or weaken his approach to leadership. The fact that George
has seen that employees in his team lack initiative and motivation to work strengthens his
argument for using a directive approach to leadership. The fact that the team's workload is
expected to rise substantially as the company is growing at an unprecedented rate also
strengthens his argument for using a directive approach to leadership. The fact that George's
team is organized as a wheel network and depends on his ability to coordinate amongst members
of the team and between other departments does not weaken his current approach to leadership.
The fact that NSys hires only highly qualified and experienced employees does weaken his
approach as directive leadership is likely to be perceived as redundant among employees with
high ability or considerable experience.
LO: 12.3: Contrast contingency theories of leadership.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking
15
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38) Leslie is a middle-level production manager at the California branch of ALT Corp. ALT
Corp. is an automobile manufacturing company that specializes in the manufacture of heavy
motor vehicles. Leslie's job is to supervise his assembly line employees. Leslie has worked in
this position for over four years, and he strongly believes that a supportive leadership style is
most suitable in his context. Which of the following, if true, would strengthen Leslie's approach
to leadership in this case?
A) The company has recently announced its move to diversify into manufacturing light motor
vehicles because of high profitability in that line.
B) Most of the assembly line employees are highly experienced in their jobs and committed to
Leslie.
C) With developments in technology, the company was enhancing the role of assembly line
employees with new tasks combined into natural work units.
D) The company has initiated many changes in the tasks of assembly line workers in its attempts
to refine the process of manufacturing.
E) A good proportion of the assembly line employees are new employees.
Answer: B
Explanation: The fact that the company recently announced its move to diversify into
manufacturing light motor vehicles does not strengthen Leslie's approach to leadership. The fact
that most of the assembly line employees are highly experienced in their jobs and committed to
Leslie does strengthen Leslie's approach to leadership as the employees are performing
structured tasks. The fact that the company is enhancing the role of assembly line employees
with new tasks does not strengthen Leslie's approach to leadership. The fact that the company
has initiated many changes in the tasks of assembly line workers in its attempts to refine the
process of manufacturing weakens Leslie's argument. The fact that a good proportion of the
assembly line employees are new employees weakens Leslie's argument.
LO: 12.3: Contrast contingency theories of leadership.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

16
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39) Leslie is a middle-level production manager at the California branch of ALT Corp. ALT
Corp. is an automobile manufacturing company that specializes in the manufacture of heavy
motor vehicles. Leslie's job is to supervise his assembly line employees. Leslie has worked in
this position for over four years, and he strongly believes that a supportive leadership style is
most suitable in his context. Which of the following, if true, would weaken Leslie's approach to
leadership in this case?
A) The company is planning to lay off some employees in the near future.
B) The company has stopped the production of most of its older models as it wants to focus on
the most profitable models.
C) The assembly line jobs are routine and highly structured by nature.
D) The recent round of OSHA inspections revealed that many assembly line employees were not
complying with stipulated safety measures.
E) The company's workforce is comprised primarily of employees of the baby boomer
generation.
Answer: D
Explanation: The fact that the company is planning to lay off some employees in the near future
does not weaken Leslie's supportive approach to leadership. The fact that the company has
stopped the production of most of its older models as it wants to focus on the most profitable
models does not weaken Leslie's supportive approach to leadership; it may strengthen his
approach as the employees, being familiar with the process for assembling these models, would
require less directions and supervision. The fact that assembly line jobs are routine and highly
structured by nature strengthens Leslie's supportive approach to leadership. The fact that the
recent round of OSHA inspections revealed that many assembly line employees were not
complying with stipulated safety measures weakens Leslie's supportive approach. This is
because the assembly line employees seem to require someone who would ensure their
compliance with safety regulations. The fact that the company's workforce is comprised
primarily of employees of the baby boomer generation strengthens Leslie's approach as this
generation of employees would be highly experienced in their jobs.
LO: 12.3: Contrast contingency theories of leadership.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

17
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40) Max Hiller was recently hired by Sync, a consumer goods company. During his first meeting
with the sales team, Max impressed upon his team that work performance is the only criterion he
would use to evaluate them. To help them perform well and meet their targets, he pushed his
team to work extra hours. He also gave very clear instructions to each member regarding their
job responsibilities and continually verified if they were meeting their targets. Which of the
following, if true, would weaken Max's approach?
A) Max is leading many new employees who have joined his team directly after training.
B) Max's team functions in a sluggish manner and picks up pace only a week or so before the
monthly operations cycle meetings.
C) Max's sales team is comprised of independent and experienced employees who are committed
to their jobs.
D) Max's team does not display high levels of cohesiveness, and members fail to coordinate with
each other.
E) Sales figures for the region that Max's team is responsible for have improved in the last
quarter.
Answer: C
Explanation: The fact that Max is leading many new employees who have joined his team
directly after training strengthens his directive approach. The fact that Max's team functions in a
sluggish manner and picks up pace only a week or so before the monthly operations cycle
meetings also strengthens his directive approach. The fact that Max's sales team is comprised of
independent and experienced employees who are committed to their jobs weakens his directive
approach in leading them. This is because directive leadership is likely to be perceived as
redundant among employees with high ability or considerable experience. The fact that Max's
team does not display high levels of cohesiveness and members fail to coordinate with each other
shows that the team requires a directive leader. The fact that sales figures for the region that
Max's team is responsible for have improved in the last quarter does not strengthen or weaken
Max's approach as he has been hired only recently and the rise in revenue for this region could be
attributed to many other factors.
LO: 12.3: Contrast contingency theories of leadership.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

41) The leader-participation model focuses on ________.

A) the personality traits of leaders
B) the presence of charisma in the leader
C) the way decisions are made by the leader
D) the mere projection of successful leadership by the leader
E) the use of ingroups by the leader
Answer: C
Explanation: The leader-participation model argues that the way the leader makes decisions is as
important as what she or he decides. Victor Vroom and Phillip Yetton's leader-participation
model relates leadership behavior and participation in decision making.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Moderate
Quest. Category: Concept

18
Copyright © 2019 Pearson Education, Inc.
42) In the context of the Fiedler contingency model, leader-member relations measures the
degree of influence a leader has over power variables such as hiring, firing, discipline,
promotions, and salary increases.
Answer: FALSE
Explanation: In the context of the Fiedler contingency model, leader-member relations is the
degree of confidence, trust, and respect members have in their leader.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Easy
Quest. Category: Concept

43) The situational leadership theory focuses on follower readiness to determine the appropriate
leadership behavior.
Answer: TRUE
Explanation: Situational leadership theory (SLT) focuses on the followers. It says successful
leadership depends on selecting the right leadership style contingent on the followers' readiness,
or the extent to which they are willing and able to accomplish a specific task.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Easy
Quest. Category: Concept

44) According to the path-goal theory, directive leadership is likely to be welcomed and accepted
by employees with high ability or considerable experience.
Answer: FALSE
Explanation: One of the predictions of the path-goal theory is that directive leadership is likely
to be perceived as redundant among employees with high ability or considerable experience.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Easy
Quest. Category: Concept

45) According to the Fiedler model of leadership, how can leader effectiveness be improved?
Answer: Fiedler views an individual's leadership style as fixed. Therefore, there are only two
ways to improve leader effectiveness. First, you can change the leader to fit the situation. If a
group situation rates highly unfavorable but is currently led by a relationship-oriented manager,
the group's performance could be improved under a manager who is task-oriented. The second
alternative is to change the situation to fit the leader, by restructuring tasks or increasing or
decreasing the leader's power to control factors such as salary increases, promotions, and
disciplinary actions.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Moderate
Quest. Category: Concept

19
Copyright © 2019 Pearson Education, Inc.
46) Describe the path-goal theory of leadership.
Answer: Developed by Robert House, path-goal theory extracts elements from the Ohio State
leadership research on initiating structure and consideration and the expectancy theory of
motivation. The theory proposes that the leader's job is to provide followers with the
information, support, or other resources necessary to achieve their goals. The term path-goal
implies effective leaders clarify followers' paths to their work goals and make the journey easier
by reducing roadblocks. According to path-goal theory, whether a leader should be directive or
supportive or should demonstrate some other behavior depends on complex analysis of the
situation. It predicts the following:
a) Directive leadership yields greater satisfaction when tasks are ambiguous or stressful than
when they are highly structured and well laid out.
b) Supportive leadership results in high performance and satisfaction when employees are
performing structured tasks.
c) Directive leadership is likely to be perceived as redundant among employees with high ability
or considerable experience.
LO: 12.3: Contrast contingency theories of leadership.
Difficulty: Moderate
Quest. Category: Concept

47) Which of the following leadership theories argues that because of time pressures, leaders
establish a special relationship with a small group of their subordinates–the ingroup, who are
trusted, get a disproportionate amount of the leader's attention, and are more likely to receive
special privileges?
A) situational leadership theory
B) leader-member exchange
C) path-goal
D) expectancy
E) Fiedler's theory
Answer: B
Explanation: Leader-member exchange (LMX) theory proposes that, because of time pressures,
leaders establish a special relationship with a small group of their followers. These individuals
make up the ingroup. Members of the ingroup are trusted, get a disproportionate amount of the
leader's attention, and are more likely to receive special privileges. Other followers fall into the
out-group.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

20
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48) According to the LMX theory, a leader implicitly categorizes followers as "in" or "out"
________.
A) after careful performance analysis
B) on a temporary basis
C) early in the interaction
D) because of political pressure
E) only after several months of working together
Answer: C
Explanation: The LMX theory proposes that early in the history of the interaction between a
leader and a given follower, the leader implicitly categorizes the follower as an "in" or an "out,"
and that relationship is relatively stable over time.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

49) In her first few weeks at the marketing division of Rolland Retails, Judith Cox realized that
Joshua, Doug, and Carl were closer to her manager, Eric Scott, than the other five team
members. Eric, Joshua, Doug, and Carl came to work at the same time, were seen together at the
cafeteria, and stayed late and worked when the need arose. In contrast to them, the other five
team members did the routine jobs assigned to them, and their interactions lacked the
understanding and camaraderie that Eric shared with the others. Joshua, Doug, and Carl make up
Eric's ________.
A) out-group
B) reference group
C) nominal group
D) ingroup
E) peripheral group
Answer: D
Explanation: Leader-member exchange (LMX) theory argues that, because of time pressures,
leaders establish a special relationship with a small group of their followers. These individuals
make up the ingroup; they are trusted, get a disproportionate amount of the leader's attention, and
are more likely to receive special privileges. Other followers fall into the out-group.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Moderate
Quest. Category: Application

21
Copyright © 2019 Pearson Education, Inc.
50) In her first few weeks at the marketing division of Rolland Retails, Judith Cox realized that
Joshua, Doug, and Carl were closer to her manager, Eric Scott, than the other five team
members. Eric, Joshua, Doug, and Carl came to work at the same time, were seen together at the
cafeteria, and stayed late and worked when the need arose. While Judith was in training, she
received very good feedback from Eric, and as she transitioned to the floor, she felt that Eric was
giving her interesting projects, allowing her more freedom, and seeking her opinion frequently.
The information provided in the scenario supports the prediction that ________.
A) Judith will develop low trust propensity toward Eric
B) Joshua, Doug, and Carl will display low trust propensity in Judith
C) Eric's ingroup will remain a reference group for Judith permanently
D) Judith will become a part of Eric's ingroup in the marketing division
E) Judith will have lower levels of identification-based trust with Eric when compared to other
trainees
Answer: D
Explanation: Leader-member exchange (LMX) theory argues that, because of time pressures,
leaders establish a special relationship with a small group of their followers. These individuals
make up the ingroup, and they are trusted, get a disproportionate amount of the leader's attention,
and are more likely to receive special privileges. Other followers fall into the out-group.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Moderate
Quest. Category: Application

51) Which theory of leadership proposes that followers attribute heroic or extraordinary
leadership abilities when they observe certain behaviors?
A) situational leadership theory
B) path-goal leadership theory
C) transactional leadership theory
D) behavioral leadership theory
E) charismatic leadership theory
Answer: E
Explanation: According to House's charismatic leadership theory, followers attribute heroic or
extraordinary leadership abilities when they observe certain behaviors. A number of studies have
attempted to identify the characteristics of charismatic leaders: they have a vision, they are
willing to take personal risks to achieve that vision, they are sensitive to follower needs, and they
exhibit extraordinary behaviors.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

22
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52) According to evidence, what is the first step a charismatic leader takes to influence
followers?
A) by developing an aura of charisma
B) engaging in emotion-inducing and often unconventional behavior
C) setting an example for followers through actions and words
D) articulating an appealing vision
E) communicating high performance expectations
Answer: D
Explanation: Evidence suggests that charismatic leaders use a process that begins with
articulating an appealing vision, a long-term strategy for attaining a goal by linking the present
with a better future for the organization. Desirable visions fit the times and circumstances and
reflect the uniqueness of the organization.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

53) Charismatic leaders ________.

A) engage in traditional behaviors that follow norms
B) focus on their own responsibilities largely ignoring the needs and feelings of employees
C) avoid personal risk
D) propose a vision of the future that is better than the status quo
E) ensure their own position as leader even if it means sacrificing others
Answer: D
Explanation: Key characteristics of charismatic leaders include vision and articulation
(proposing a future that is better than the status quo); personal risk (willing to take on high
personal risk); sensitivity to follower needs (perceptive of others' abilities and responsive to their
needs and feelings); unconventional behavior (engages in behaviors that are perceived as novel
and counter to the norm).
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

23
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54) Leaders who function primarily by clarifying role and task requirements to accomplish
established goals exhibit a(n) ________ style of leadership.
A) transformational
B) transactional
C) charismatic
D) laissez-faire
E) employee-oriented
Answer: B
Explanation: Recent studies, including the Ohio State Studies, Fiedler's model, and path-goal
theory, have focused on the differences between transformational leaders and transactional
leaders. In contrast to transformational leaders, who inspire their followers to transcend their
self-interests for the good of the organization, transactional leaders encourage their followers to
achieve goals by defining specific goals and task requirements.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

55) A transactional leader is likely to ________.

A) reward employees for the work that they have done, thus recognizing accomplishments
B) help followers trust the leader and develop a loyalty toward the common vision
C) stimulate others in the organization to become thinkers of what the organization is all about
D) pay attention to the emotional needs of others and consider individual differences
E) avoid authoritarian, command, and control behaviors when dealing with employees
Answer: A
Explanation: A transactional leader is likely to reward employees for the work that they have
done, thus recognizing accomplishments.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

24
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56) Which of the following scenarios reflects a transactional approach to leadership?
A) Samuel Perez has been running a small automobile service agency with a set of employees
that he hired and trained over a decade ago. Though the business is mediocre and profit margins
are not substantial, the employees work well as a team because each of them treats the other as
equal, just like Samuel himself does.
B) Carol Turner began V Care, a non-profit organization, with the purpose of battling various
forms of abuse. As the organization grew, she took care to hire employees who felt the same
kind of sensitivity she felt for victims of abuse. Today, she openly proclaims that the
organization that she started is successful because every single employee shares and understands
what the organization is aiming for.
C) When new projects come, it is a time of excitement for the content production team of
Impact, an advertising agency. Lori Wood, the department head, begins a project meeting by
having her whole team envision what the final product of this campaign must aim at. She then
sets progressively higher standards for the team and clarifies what each member of the team
stands to gain if the project is a success. In allocating roles and tasks, she often incorporates the
needs and preferences of her team members.
D) Wayne Torres believes that setting targets, monitoring employee performance, and correcting
defaulting employees are his tried and tested ways to accomplish tasks. He rewards employees
who do well and match his predetermined expectations and recognizes accomplishments that he
values. His team, however, has not grown substantially and seems to be at a functional status
quo.
E) Glenn Cruzz works at Leverage as a senior consultant. She ensures that her team of
consultants has a framework of flexible tools and skills to help clients who come their way with
diversity and inclusion issues. Through audits, research, and workshops, her team is encouraged
to come up with unconventional solutions that help clients establish and leverage its employee
diversity.
Answer: B
Explanation: Transactional leaders set goals for their employees and define roles and
expectations. Unlike transformational leaders, however, transactional leaders are unlikely to
motivate their employees to exceed expectations or go beyond the call of duty.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

25
Copyright © 2019 Pearson Education, Inc.
57) ________ leaders inspire followers to transcend their self-interests for the good of the
organization and can have an extraordinary effect on their followers.
A) Transformational
B) Transactional
C) Task-oriented
D) Laissez-faire
E) Production-oriented
Answer: A
Explanation: Transformational leaders can have an extraordinary effect on their followers,
inspiring them toward selfless goals that benefit the larger organization. These types of leaders
inspire their followers by paying attention to their concerns, helping them rethink old problems
in new ways, and encouraging them to achieve goals as a group.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

58) Transformational leaders enhance performance of employees by ________.

A) restricting creativity among employees
B) focusing on short-term goals for employees
C) instilling pride in employees
D) establishing goals, roles, and requirements
E) abdicating all responsibility to employees
Answer: C
Explanation: Characteristics of transactional leaders: contingent reward, management by
exception (active), management by exception (passive), and laissez-faire. Characteristics of
transformational leaders: idealized influence; inspirational motivation, intellectual stimulation,
individualized considerations.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

26
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59) In terms of the full range of leadership models, which leadership behavior is the least
effective?
A) management by exception (active)
B) contingent reward
C) management by exception (passive)
D) individualized consideration
E) laissez-faire
Answer: E
Explanation: According to the full range of leadership models, laissez-faire is the most passive
and therefore least effective of leader behaviors. Management by exception–active or passive–is
slightly better than laissez-faire.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

60) Which of the following leadership behaviors is likely to differentiate between transactional
and transformational leaders?
A) management by exception (active and passive)
B) contingent reward
C) individualized consideration
D) micromanagement
E) laissez-faire
Answer: C
Explanation: According to the full range of leadership models, leadership behaviors including
laissez-faire, management by exception (active or passive), and contingent reward will not get
employees to go above and beyond the call of duty. Only with the four styles of transformational
leadership–individualized consideration, intellectual stimulation, inspirational motivation, and
idealized influence–are leaders able to motivate followers to perform above expectations and
transcend their self-interest for the sake of the organization.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

27
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61) In terms of the full range of leadership models, which leadership behavior represents the
most active and effective approach for leaders?
A) contingent reward
B) idealized influence
C) management by exception (active)
D) individualized consideration
E) laissez-faire
Answer: B
Explanation: According to the full range of leadership models, idealized influence, wherein a
leader provides vision, establishes a sense of mission, and instills pride is the most active and
effective leadership behavior. By doing so, the leader gains respect and trust.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

62) The leader-member exchange (LMX) theory proposes that the leader implicitly categorizes
the follower as belonging to his ingroup or out group after a detailed analysis of his or her
performance over a prolonged period of time.
Answer: FALSE
Explanation: The theory proposes that early in the history of the interaction between a leader
and a given follower, the leader implicitly categorizes the follower as belonging to the ingroup or
out-group, and this relationship is relatively stable over time.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

63) An individual who lacks self-esteem and questions his or her self-worth is more likely to
absorb a leader's direction rather than establish and individual way of leading or thinking.
Answer: TRUE
Explanation: An individual who lacks self-esteem and questions his or her self-worth is more
likely to absorb a leader's direction rather than establish and individual way of leading or
thinking. For these people the situation may matter much less than the charismatic qualities of
the leader.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

64) The best leaders are transformational, not transactional.

Answer: FALSE
Explanation: The best leaders are transactional and transformational.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept
28
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65) Transactional leaders guide their followers toward established goals by clarifying role and
task requirements.
Answer: TRUE
Explanation: Transactional leaders guide their followers toward established goals by clarifying
role and task requirements.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

66) Intellectual stimulation and individualized consideration are likely to be seen in the
management by exception (active) style of leadership.
Answer: FALSE
Explanation: Intellectual stimulation and individualized consideration are likely to be seen in the
transformational style of leadership, while management by exception (active or passive) is a
transactional style of leadership.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

67) Transformational leadership has a greater impact on the bottom line in smaller, privately held
firms than in more complex organizations.
Answer: TRUE
Explanation: Transformational leadership has a greater impact on the bottom line in smaller,
privately held firms than in more complex organizations. The personal nature of transformational
leadership may be most effective when leaders can directly interact with the workforce and make
decisions than when they report to an external board of directors or deal with a complex
bureaucratic structure.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

29
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68) The HR department at Basic Elements, a software development firm, has begun testing
employee personality and preferences to reorganize their teams such that team members and
leaders are matched. They believe that this will enable them to ensure smooth functioning and
greater cohesion. As a part of this test, employees were given the least preferred co-worker
questionnaire. The employees were asked to think of all the co-workers they had in the past and
describe the one they least enjoyed working with by rating that person on a scale of 1 to 8 for
each of 16 sets of contrasting adjectives. Rachel's LPC score was high, while Victor's was low.
Many employees like Ashley had LPC scores that were moderate. Interpret and compare the
results of Rachel, Victor, and Ashley.
Answer: The fact that Rachel's LPC score was high means that she described the person she was
least able to work with in favorable terms. Victor's low LPC score reflects that he rated his least
preferred co-worker in unfavorable terms. Thus, we can say that Rachel is relationship-oriented,
while Victor is task-oriented. Ashley's LPC score, being in the middle range, cannot be
interpreted as her preference falls beyond the range of the predictions of Fiedler contingency
model.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Synthesis

69) What are the key characteristics of charismatic leaders?

Answer: A charismatic leader is characterized by:
a) vision and articulation: having an idealized goal and being able to clarify its importance
b) personal risk: willingness to take personal risks, incur high costs, and make sacrifices
c) sensitivity to follower needs: recognizing and responding to others' abilities, needs, and
feelings
d) unconventional behavior: engaging in behaviors that are novel
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Moderate
Quest. Category: Concept

30
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70) Describe the full range of leadership model.
Answer: According to the full range of leadership model, laissez-faire is the most passive and
therefore least effective of leader behaviors. Management by exception–active or passive–is
slightly better than laissez-faire, but it's still considered ineffective. Management-by-exception
leaders tend to be available only when there is a problem, which is often too late. Contingent
reward leadership can be an effective style of leadership but will not get employees to go above
and beyond the call of duty. Only with the four remaining styles–all aspects of transformational
leadership–are leaders able to motivate followers to perform above expectations and transcend
their self-interest for the sake of the organization. Individualized consideration, intellectual
stimulation, inspirational motivation, and idealized influence all result in extra effort from
workers, higher productivity, higher morale and satisfaction, higher organizational effectiveness,
lower turnover, lower absenteeism, and greater organizational adaptability. Based on this model,
leaders are generally most effective when they regularly use each of the four transformational
behaviors.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Moderate
Quest. Category: Concept

71) Charismatic leaders are not always authentic leaders. Discuss.

Answer: Charismatic leadership is a leadership theory that states that followers make
attributions of heroic or extraordinary leadership abilities when they observe certain behaviors.
Though charismatic leaders exert great influence on their followers, unfortunately, they do not
necessarily act in the best interests of their organizations. Many charismatic leaders have allowed
their personal goals to override the goals of the organization. Thus, their followers can never
consider them ethical people unless they inspire that confidence. Authentic leaders know who
they are, know what they believe in and value, and act on those values and beliefs openly and
candidly. The primary quality produced by authentic leadership, therefore, is trust. Authentic
leaders share information, encourage open communication, and stick to their ideals. The need to
incorporate trust and ethics into charismatic leadership has led to the concept of socialized
charismatic leadership, which conveys other-centered (not self-centered) values by leaders who
model ethical conduct. Socialized charismatic leaders are able to bring employee values in line
with their own values through their words and actions.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

31
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72) Compare and contrast charismatic leadership from the understanding of leadership under the
attribution theory.
Answer: Charismatic leadership is a leadership theory that states that followers make
attributions of heroic or extraordinary leadership abilities when they observe certain behaviors. A
number of studies have attempted to identify the characteristics of charismatic leaders: they have
a vision, they are willing to take personal risks to achieve that vision, they are sensitive to
follower needs, and they exhibit extraordinary behaviors. Individuals are born with traits that
make them charismatic. Personality is also related to charismatic leadership; charismatic leaders
are likely to be extraverted, self-confident, and achievement oriented. However, most experts
believe individuals can be trained to exhibit charismatic behaviors. The attribution theory, on the
other hand, says leadership is merely an attribution people make about other individuals.
Attribution theory suggests what is important is projecting the appearance of being a leader
rather than focusing on actual accomplishments. According to this theory, those who want to be
leaders merely need to shape the perception that they are smart, personable, verbally adept,
aggressive, hardworking, and consistent in their style. This portrayal is enough to increase the
probability their bosses, colleagues, and employees will view them as effective leaders.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

73) A long-term strategy for attaining a goal by linking the present with a better future for the
organization is defined as a(n) ________.
A) transaction
B) attribution
C) contingent plan
D) vision
E) substitution
Answer: D
Explanation: A long-term strategy for attaining a goal by linking the present with a better future
for the organization is defined as a vision.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
Difficulty: Easy
Quest. Category: Concept

32
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74) Cooper Mills is a company that accomplished one of the greatest success stories of our time.
The company, which began in the garage of its current CEO, Kyle Cooper, went on to become
one of the largest producers of textiles in the country. The company has now diversified
successfully into other product lines. A group of researchers is now undertaking a study on
Cooper Mills as an organization led by a transformational leader. Which of the following, if true,
would most support the conclusion that Kyle Cooper is a transformational leader?
A) The management follows Kyle's principle of avoiding risks and conducting business
conservatively.
B) Cooper Mills' goals tend to be very ambitious and to hold personal value for employees.
C) Cooper Mills has a centralized decision-making structure.
D) Cooper Mills' performance has held at average levels for the past three years.
E) Cooper Mills' compensation plans are designed to reward short-term results.
Answer: B
Explanation: In companies with transformational leaders, followers are more likely to pursue
ambitious goals, agree on the strategic goals of the organization, and believe the goals they are
pursuing are personally important. There is greater decentralization of responsibility, managers
have more propensity to take risks, and compensation plans are geared toward long-term results.
All these factors result in superior organizational performance.
LO: 12.4: Describe the contemporary theories of leadership and their relationship to
foundational theories.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

75) The primary quality produced by authentic leadership is ________.

A) efficiency
B) reinforcement
C) supervision
D) trust
E) authority
Answer: D
Explanation: Authentic leaders know who they are, know what they believe in and value, and
act on those values and beliefs openly and candidly. Their followers consider them ethical
people. The primary quality produced by authentic leadership, therefore, is trust.
LO: 12.5: Discuss the roles of leaders in creating ethical organizations.
Difficulty: Easy
Quest. Category: Concept

33
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76) Which of the following is a feature of servant leadership?
A) pursuit of the leaders' self-interest
B) use of power and authority to achieve organizational ends
C) universal appeal and effectiveness across cultures
D) focus on growth, development, and well-being of followers
E) applicability restricted to the leader's ingroup
Answer: D
Explanation: Servant leaders go beyond their own self-interest and focus on opportunities to
help followers grow and develop. They do not use power to achieve ends; they emphasize
persuasion. Characteristic behaviors include listening, empathizing, persuading, accepting
stewardship, and actively developing followers' potential.
LO: 12.5: Discuss the roles of leaders in creating ethical organizations.
Difficulty: Easy
Quest. Category: Concept

77) Servant leadership reflects the ________.

A) traditional view that followers are expected to serve the leaders
B) task-oriented approach to leadership
C) use of empathy, listening, and persuasion by leaders
D) Western prototype of a leader who gives orders to followers
E) tendency of leaders to prioritize their interests over the interests of their employees
Answer: C
Explanation: Servant leaders go beyond their own self-interest and focus on opportunities to
help followers grow and develop. They do not use power to achieve ends; they emphasize
persuasion. Characteristic behaviors include listening, empathizing, persuading, accepting
stewardship, and actively developing followers' potential.
LO: 12.5: Discuss the roles of leaders in creating ethical organizations.
Difficulty: Easy
Quest. Category: Concept

78) ________ is defined as a psychological state that exists when you agree to make yourself
vulnerable to another because you have positive expectations about how things are going to turn
out.
A) Consideration
B) Trust
C) Support
D) Empathy
E) Respect
Answer: B
Explanation: Trust is a psychological state that exists when you agree to make yourself
vulnerable to another because you have positive expectations about how things are going to turn
out. Even though you aren't completely in control of the situation, you are willing to take a
chance that the other person will come through for you.
LO: 12.6: Describe how leaders can have a positive impact on their organizations through
building trust and mentoring.
Difficulty: Easy
Quest. Category: Concept
34
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79) ________ is a dimension of trust defined as honesty, truthfulness, and the ability to display
consistency between one's words and action.
A) Consideration
B) Sensitivity
C) Support
D) Reflexivity
E) Integrity
Answer: E
Explanation: Integrity refers to honesty and truthfulness. It is the most critical characteristic in
assessing another's trustworthiness. Integrity also means having consistency between what you
do and say.
LO: 12.6: Describe how leaders can have a positive impact on their organizations through
building trust and mentoring.
Difficulty: Easy
Quest. Category: Concept

80) Which of the following dimensions of trust is defined as an individual's technical and
interpersonal knowledge and skills?
A) integrity
B) ability
C) propensity
D) reflexivity
E) complexity
Answer: B
Explanation: Ability encompasses an individual's technical and interpersonal knowledge and
skills.
LO: 12.6: Describe how leaders can have a positive impact on their organizations through
building trust and mentoring.
Difficulty: Easy
Quest. Category: Concept

35
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81) The CEO of Xenon Solutions recently cancelled numerous leave requests and asked several
employees to put in extra days of work as the company was slated to meet several deadlines in
the immediate future. In addition, he also assured that those who work this extra bit will be given
their due leaves and additional incentives once the time crisis had passed. Following this
announcement, Joan and Shane were overheard speaking in the cafeteria. Shane was resentful
that his holiday plans were disrupted, and he was sure that the management would ultimately not
provide any of the leaves and incentives it promised. Joan, however, said that she was sure that
their CEO had a valid reason behind making such a request and that if they put in the extra effort,
they would be rewarded suitably. From the information provided in the scenario, which of the
following statements can be inferred?
A) Shane has a high degree of empathy.
B) The leader-member relations between Shane and the CEO are the same as that between Joan
and the CEO.
C) Joan has a high degree of trust propensity.
D) Shane has a high degree of identification-based trust in the CEO.
E) Shane is one of the members of the CEO's ingroups.
Answer: C
Explanation: Trust propensity refers to how likely a particular employee is to trust a leader.
Some people are simply more likely to believe others can be trusted. In this scenario, Joan
reflects a high degree of trust propensity and feels that her CEO's words and actions can be
trusted.
LO: 12.6: Describe how leaders can have a positive impact on their organizations through
building trust and mentoring.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

82) Leaders who want to foster a climate that reinforces ethical behavior do all of the following
except ________.
A) set high ethical standards
B) demonstrate good ethical behavior
C) encourage integrity among employees
D) reward employees demonstrating integrity
E) use their charisma to enhance power over followers, directed towards self-serving ends
Answer: E
Explanation: Top executives set the moral tone for organizations. They should set high ethical
standards, demonstrate them through their own behavior, and encourage and reward integrity in
others while avoiding abuses of power such as giving themselves large raises and bonuses while
laying off employees.
LO: 12.5: Discuss the roles of leaders in creating ethical organizations.
Difficulty: Moderate
Quest. Category: Concept

36
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83) Abusive supervision is supervision that is hostile both verbally and nonverbally.
Answer: TRUE
Explanation: Abusive supervision is supervision that is hostile both verbally and nonverbally.
LO: 12.5: Discuss the roles of leaders in creating ethical organizations.
Difficulty: Easy
Quest. Category: Concept

84) Abusive supervision leads to increases in organizational commitment, job satisfaction, and
perceived organizational support.
Answer: FALSE
Explanation: Abusive supervision is supervision that is hostile both verbally and nonverbally.
Abusive supervision leads to decreases in organizational commitment, job satisfaction, and
perceived organizational support.
LO: 12.5: Discuss the roles of leaders in creating ethical organizations.
Difficulty: Easy
Quest. Category: Concept

85) Attempts to integrate ethical and charismatic leadership have led to the advancement of the
idea of socialized charismatic leadership.
Answer: TRUE
Explanation: Scholars have tried to integrate ethical and charismatic leadership by advancing the
idea of socialized charismatic leadership, which conveys other-centered (not self-centered)
values by leaders who model ethical conduct.
LO: 12.5: Discuss the roles of leaders in creating ethical organizations.
Difficulty: Easy
Quest. Category: Concept

86) What is abusive supervision?

Answer: Abusive supervision refers to supervision that is hostile both verbally and nonverbally.
A recent review suggests that several factors are related to abusive supervision. For one, nearly
all forms of justice are negatively related to abusive supervision, suggesting that a sense of
injustice is at the core of abusive supervision (especially for interpersonal justice). Although
some personality traits such as agreeableness and conscientiousness appear to be negatively (but
weakly) associated with perceptions of abusive supervision, negative affect is strongly linked
with it.
The same review also suggests that abusive supervision comes with dire consequences. First and
foremost, abusive supervision negatively affects health. Second, it also leads to decreases in
organizational commitment, job satisfaction, and perceived organizational support, along with
increased work-family conflict.
LO: 12.5: Discuss the roles of leaders in creating ethical organizations.
Difficulty: Moderate
Quest. Category: Concept

37
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87) What is servant leadership?
Answer: Scholars have recently considered ethical leadership from a new angle by examining
servant leadership. Servant leaders go beyond their own self-interest and focus on opportunities
to help followers grow and develop. They do not use power to achieve ends; they emphasize
persuasion. Characteristic behaviors include listening, empathizing, persuading, accepting
stewardship, and actively developing followers' potential. Servant leadership leads to higher
levels of commitment to the supervisor, self-efficacy, and perceptions of justice; it also increases
team potency. Servant leadership may be more prevalent and more effective in certain cultures;
the East Asian prototype is more like a servant leader, which might mean servant leadership is
more effective in these cultures.
LO: 12.5: Discuss the roles of leaders in creating ethical organizations.
Difficulty: Moderate
Quest. Category: Concept

88) A(n) ________ is a senior employee who sponsors and supports a less-experienced
employee, a protégé.
A) intern
B) subordinate
C) supervisee
D) mentor
E) apprentice
Answer: D
Explanation: A mentor is a senior employee who sponsors and supports a less-experienced
employee, a protégé.
LO: 12.6: Describe how leaders can have a positive impact on their organizations through
building trust and mentoring.
Difficulty: Easy
Quest. Category: Concept

89) The only key characteristic we use to determine the trustworthiness of a leader is his or her
ability.
Answer: FALSE
Explanation: There are three key characteristics that lead us to believe that a leader is
trustworthy. These are integrity, benevolence, and ability.
LO: 12.6: Describe how leaders can have a positive impact on their organizations through
building trust and mentoring.
Difficulty: Easy
Quest. Category: Concept

38
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90) Describe the relationship between trust and leadership.
Answer: Trust is a psychological state that exists when you agree to make yourself vulnerable to
another because you have positive expectations about how things are going to turn out. Trust is a
primary attribute associated with leadership; breaking it can have serious adverse effects on a
group's performance. The key characteristics that lead us to believe that a leader is trustworthy
are integrity, benevolence, and ability. Integrity refers to honesty and truthfulness. It is the most
critical characteristic in assessing another's trustworthiness. Benevolence means the trusted
person has your interests at heart, even if yours aren't necessarily in line with theirs. Ability
encompasses an individual's technical and interpersonal knowledge and skills. Another factor
that influences trust is trust propensity, which refers to how likely a particular employee is to
trust a leader.
LO: 12.6: Describe how leaders can have a positive impact on their organizations through
building trust and mentoring.
Difficulty: Moderate
Quest. Category: Concept

91) As an upper level manager in his organization, Lionel Tucker has been asked to mentor a less
experienced, lower-level employee. His boss wants both the lower-level employee and Lionel to
have input into the relationship. Lionel is not happy with the request because he feels his work
load is already too heavy. Lionel reluctantly agrees to the request because he ________.
A) thinks the lower-level employee is falling behind
B) cannot see any way out of the request
C) owes his boss a favor
D) believes in network ties
E) thinks the relationship with be beneficial to him
Answer: E
Explanation: Mentors must see the relationship as beneficial to themselves and the protégé, and
the protégé must have input to the relationship.
LO: 12.6: Describe how leaders can have a positive impact on their organizations through
building trust and mentoring.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

92) Formal mentoring programs are most likely to succeed if they appropriately match the work
style, needs, and skills of protégé and mentor.
Answer: TRUE
Explanation: Formal mentoring programs are most likely to succeed if they appropriately match
the work style, needs, and skills of protégé and mentor.
LO: 12.6: Describe how leaders can have a positive impact on their organizations through
building trust and mentoring.
Difficulty: Easy
Quest. Category: Concept

39
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93) The primary gains from mentoring are seen in greater compensation and higher job
performance.
Answer: FALSE
Explanation: Mentoring is less valuable for objective outcomes like compensation and job
performance, and research suggests the gains are primarily psychological.
LO: 12.6: Describe how leaders can have a positive impact on their organizations through
building trust and mentoring.
Difficulty: Easy
Quest. Category: Concept

94) According to the attribution theory of leadership, leadership is characterized by ________.

A) the significant gains made in the mentoring relationship between the leader and follower
B) the act of people ascribing qualities like intelligence or charisma to leaders
C) the focus on the actual accomplishments and performance of the leader
D) the impact of substitutes and neutralizers in enhancing the role of the leader
E) the division of the group into ingroup and out-group members based on the leader's preference
Answer: B
Explanation: The attribution theory of leadership says leadership is merely an attribution people
make about other individuals. Thus, we attribute to leaders intelligence, outgoing personality,
strong verbal skills, aggressiveness, understanding, and industriousness. At the organizational
level, we tend to see leaders, rightly or wrongly, as responsible for extremely negative or
extremely positive performance.
LO: 12.7: Identify the challenges to our understanding of leadership.
Difficulty: Easy
Quest. Category: Concept

95) According to the attribution theory of leadership, a person aiming to be a leader has to
________.
A) gain sufficient experience to be a leader
B) possess qualities like charisma and intelligence
C) make changes on ground before leading people
D) possess many significant actual accomplishments
E) shape the perception that he or she could be a leader
Answer: E
Explanation: Attribution theory suggests what's important is projecting the appearance of being
a leader rather than focusing on actual accomplishments. Leader-wannabes who can shape the
perception that they're smart, personable, verbally adept, aggressive, hardworking, and consistent
in their style can increase the probability their bosses, colleagues, and employees will view them
as effective leaders.
LO: 12.7: Identify the challenges to our understanding of leadership.
Difficulty: Easy
Quest. Category: Concept

40
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96) The president of a small Asian country was hailed as a visionary and a genius when the
nation's economy burgeoned during his first term in office. However, when the currency and the
stock markets crashed during his government's second term, he was censured as arrogant, elitist,
and shortsighted. Which of the following theoretical approaches is reflected here?
A) trait theories
B) behavioral theories
C) path-goal theory
D) servant leadership perspective
E) attribution theory
Answer: E
Explanation: The attribution theory of leadership says leadership is merely an attribution people
make about other individuals. Thus, we attribute to leaders intelligence, outgoing personality,
strong verbal skills, aggressiveness, understanding, and industriousness. At the organizational
level, we tend to see leaders, rightly or wrongly, as responsible for extremely negative or
extremely positive performance.
LO: 12.7: Identify the challenges to our understanding of leadership.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

97) Which of the following is a substitute for leadership in the theory that suggests leaders'
actions are irrelevant in many situations?
A) lack of experience
B) training
C) ambiguous task
D) high need for supervision
E) external feedback
Answer: B
Explanation: A theory of leadership suggests that in many situations leaders' actions are
irrelevant. Experience and training are among the substitutes that can replace the need for a
leader's support or ability to create structure. Organizational characteristics such as explicit
formalized goals, rigid rules and procedures, and cohesive work groups can also replace formal
leadership.
LO: 12.7: Identify the challenges to our understanding of leadership.
Difficulty: Easy
Quest. Category: Concept

41
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98) Which of the following is true about substitutes for leadership?
A) Substitutes are clearly distinguishable from neutralizers.
B) Substitutes enhance the need for leader's support or ability to create structure.
C) Substitutes increase the levels of identification-based trust.
D) Substitutes are factors and conditions that replace formal leadership.
E) Organizations cannot provide any substitutes for leadership.
Answer: D
Explanation: A theory of leadership suggests that in many situations, leaders' actions are
irrelevant. Experience and training are among the substitutes that can replace the need for a
leader's support or ability to create structure. Organizational characteristics such as explicit
formalized goals, rigid rules and procedures, and cohesive work groups can also replace formal
leadership.
LO: 12.7: Identify the challenges to our understanding of leadership.
Difficulty: Easy
Quest. Category: Concept

99) The top management of Myers Corp are planning a reorganization of their company to cut
costs and increase efficiency. The different department heads have been asked to present their
departmental strengths, needs, and concerns at a meeting. The various division heads have come
to an agreement that clarity of goals and tasks, detailed procedural guidelines like employee
manuals, and a cooperative workforce are their main strengths. Additionally, they are of the
opinion that cutting managerial positions to reduce costs and reorganizing Myers Corp as a
relatively flat organization is a good approach. This scenario reflects the operation of ________
in replacing the support and ability offered by leaders.
A) vision
B) traits
C) attributes
D) substitutes
E) charisma
Answer: D
Explanation: One theory of leadership suggests that in many situations leaders' actions are
irrelevant. Experience and training are among the substitutes that can replace the need for a
leader's support or ability to create structure. Organizational characteristics such as explicit
formalized goals, rigid rules and procedures, and cohesive work groups can also replace formal
leadership.
LO: 12.7: Identify the challenges to our understanding of leadership.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

42
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100) ________ make it impossible for leader behavior to make any difference to follower
outcomes.
A) Catalysts
B) Mentors
C) Neutralizers
D) Hygiene factors
E) Vision and charisma
Answer: C
Explanation: Neutralizers make it impossible for leader behavior to make any difference to
follower outcomes. Indifference to organizational rewards can neutralize the effects of
leadership.
LO: 12.7: Identify the challenges to our understanding of leadership.
Difficulty: Easy
Quest. Category: Concept

101) Which of the following is a neutralizer of leadership?

A) indifference to rewards
B) experience and training
C) explicit formalized rules
D) cohesive work groups
E) highly structured task
Answer: A
Explanation: Neutralizers make it impossible for leader behavior to make any difference to
follower outcomes. Indifference to organizational rewards can neutralize the effects of
leadership.
LO: 12.7: Identify the challenges to our understanding of leadership.
Difficulty: Easy
Quest. Category: Concept

102) Which of the following is true with regard to getting the most from leadership-training
budgets?
A) Leadership training is likely to be more successful with low self-monitors.
B) It is difficult for organizations to teach implementation skills.
C) Teaching trust building and monitoring is virtually impossible.
D) Leaders can be trained in transformational leadership skills that have bottom-line results.
E) For online leaders, substitutes and neutralizers have no effect.
Answer: D
Explanation: Leaders can be trained in transformational leadership skills that have bottom-line
results.
LO: 12.7: Identify the challenges to our understanding of leadership.
Difficulty: Easy
Quest. Category: Concept

43
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103) The attribution theory of leadership says leadership is merely an attribution people make
about other individuals.
Answer: TRUE
Explanation: The attribution theory of leadership says leadership is merely an attribution people
make about other individuals.
LO: 12.7: Identify the challenges to our understanding of leadership.
Difficulty: Easy
Quest. Category: Concept

104) Genetics and experiences shape young people, and the relationship between these factors
and CEO success is complex.
Answer: TRUE
Explanation: The stories of CEOs who start early make for good press reports, but CEOs do not
by definition start early. What we can say, though, is that genetics and experiences both shape
young people, and that the relationship between those factors and CEO success is complex.
LO: 12.7: Identify the challenges to our understanding of leadership.
Difficulty: Moderate
Quest. Category: Concept

105) How do substitutes and neutralizers challenge the effectiveness of leadership?

Answer: One theoretical approach of leadership suggests that in many situations leaders' actions
are irrelevant. Experience and training are among the substitutes that can replace the need for a
leader's support or ability to create structure. Organizational characteristics such as explicit
formalized goals, rigid rules and procedures, and cohesive work groups can also replace formal
leadership, while indifference to organizational rewards can neutralize its effects. Neutralizers
make it impossible for leader behavior to make any difference to follower outcomes. It must be
added that the difference between substitutes and neutralizers is not clear-cut.
LO: 12.7: Identify the challenges to our understanding of leadership.
Difficulty: Moderate
Quest. Category: Concept

106) What is the most important event an organization needs to plan for?
Answer: The most important event an organization needs to plan for is a change in leadership. In
general, organizations seem to spend no time on leadership succession and are surprised when
their pick turns out poorly.
LO: 12.7: Identify the challenges to our understanding of leadership.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

44
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Organizational Behavior, 18e (Robbins)
Chapter 13 Power and Politics

1) Power is a function of ________.

A) goal congruency
B) realization
C) inheritance
D) dependence
E) altruism
Answer: D
Explanation: Power is a function of dependence. Leaders use power as a means of attaining
group goals. Power does not require goal compatibility, just dependence. Leadership, on the
other hand, requires some congruence between the goals of the leader and those being led. For a
power situation to exist, one person or group needs to have control over resources the other
person or group values.
LO: 13.1: Contrast leadership and power.
Difficulty: Easy
Quest. Category: Concept

2) Which of the following statements is true regarding power?

A) A is said to have power over B if B controls something that A desires.
B) The greater A's dependence on B, the greater A's power in the relationship.
C) If A has the capacity to influence the behavior of B, then A is said to have power over B.
D) A can have power over B only if A is B's leader.
E) A can have power over B only when A and B have similar goals.
Answer: C
Explanation: If A has the capacity to influence the behavior of B, then A is said to have power
over B. The most important aspect of power is that it is a function of dependence. The greater B's
dependence on A, the greater A's power in the relationship.
LO: 13.1: Contrast leadership and power.
Difficulty: Easy
Quest. Category: Concept

3) Which of the following is a differentiating factor between power and leadership?

A) control
B) influence
C) ability
D) goal compatibility
E) negative affect
Answer: D
Explanation: Power does not require goal compatibility, merely dependence. Leadership, on the
other hand, requires some congruence between the goals of the leader and those being led.
LO: 13.1: Contrast leadership and power.
Difficulty: Easy
Quest. Category: Concept

45
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4) Which of the following is something that often differentiates power from leadership?
A) lack of dependence of followers
B) use of positive styles over negative tactics
C) downward influence of leader on followers
D) lack of goal compatibility between leaders and followers
E) lack of control on behavior of followers
Answer: D
Explanation: Power does not require goal compatibility, merely dependence. Leadership, on the
other hand, requires some congruence between the goals of the leader and those being led.
LO: 13.1: Contrast leadership and power.
Difficulty: Easy
Quest. Category: Concept

5) Which of the following is true with regard to leadership?

A) It maximizes the importance of lateral and upward influence patterns.
B) It eliminates the requirement of goal compatibility.
C) It stimulates research in the area of tactics of influence.
D) It focuses on downward influence on followers.
E) It encourages dependence of followers on leaders.
Answer: D
Explanation: Leadership focuses on the downward influence on followers. It minimizes the
importance of lateral and upward influence patterns, while power does not.
LO: 13.1: Contrast leadership and power.
Difficulty: Easy
Quest. Category: Concept

6) Research on power is likely to provide information on the most effective ________.

A) leadership styles for motivating followers
B) methods to reduce dependence on leaders
C) tactics for gaining compliance of employees
D) methods of rewarding successful employees
E) modes of assessing employee performance
Answer: C
Explanation: Research on power focuses on tactics for gaining compliance. It goes beyond the
individual as the exerciser of power because groups as well as individuals can use power to
control other individuals or groups.
LO: 13.1: Contrast leadership and power.
Difficulty: Moderate
Quest. Category: Concept

7) Unlike power, leadership requires some degree of goal compatibility.

Answer: TRUE
Explanation: Power does not require goal compatibility, merely dependence. Leadership, on the
other hand, requires some congruence between the goals of the leader and those being led.
LO: 13.1: Contrast leadership and power.
Difficulty: Easy
Quest. Category: Concept
46
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8) For a power situation to exist, one person or group needs to have control over resources the
other person or group values.
Answer: TRUE
Explanation: For a power situation to exist, one person or group needs to have control over
resources the other person or group values. This is usually the case in established leadership
situations. However, power relationships are possible in all areas of life, and power can be
obtained in many ways.
LO: 13.1: Contrast leadership and power.
Difficulty: Easy
Quest. Category: Concept

9) If you want a college degree and have to pass a certain course to get it, and your current
instructor is the only faculty member in the college who teaches the course, she has power over
you.
Answer: TRUE
Explanation: A person can have power over you only if he or she controls something you desire.
If you want a college degree and have to pass a certain course to get it, and your current
instructor is the only faculty member in the college who teaches the course, she has power over
you because your alternatives are highly limited and you place a high degree of importance on
the outcome.
LO: 13.1: Contrast leadership and power.
Difficulty: Moderate
Quest. Category: Concept

10) Define power.

Answer: Power refers to a capacity that A has to influence the behavior of B so B acts in
accordance with A's wishes. Someone can thus have power but not use it; it is a capacity or
potential. Probably, the most important aspect of power is that it is a function of dependency.
The greater B's dependence on A, the greater A's power in the relationship. Dependence, in turn,
is based on alternatives that B perceives, and the importance B places on the alternative(s) A
controls. A person can have power over you only if he or she controls something you desire.
LO: 13.1: Contrast leadership and power.
Difficulty: Moderate
Quest. Category: Concept

47
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11) Contrast leadership and power.
Answer: Power does not require goal compatibility, merely dependence. Leadership, on the
other hand, requires some congruence between the goals of the leader and those being led. A
second difference relates to the direction of influence. Leadership focuses on the downward
influence on one's followers. It minimizes the importance of lateral and upward influence
patterns. Power does not. Still another difference deals with research emphasis. Leadership
research, for the most part, emphasizes style. It seeks answers to such questions as How
supportive should a leader be? How much decision making should be shared with followers? The
research on power encompasses a broader area and focuses on tactics for gaining compliance.
Power can be used by groups as well as by individuals to control other individuals or groups.
LO: 13.1: Contrast leadership and power.
Difficulty: Moderate
Quest. Category: Concept

12) The two general groupings into which power may be categorized are ________.
A) informational and personal
B) formal and informal
C) informal and legitimate
D) formal and personal
E) direct and indirect
Answer: D
Explanation: The bases or sources of power are divided into two general groupings, formal and
personal. These two groupings are then broken down into more specific categories.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Easy
Quest. Category: Concept

13) ________ power is based on the fear of the negative results from failing to comply.
A) Legitimate
B) Coercive
C) Punitive
D) Referent
E) Abusive
Answer: B
Explanation: The coercive power base depends on fear of the negative results from failing to
comply. It rests on the application, or the threat of application, of physical sanctions such as the
infliction of pain, frustration through restriction of movement, or the controlling by force of basic
physiological or safety needs.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Easy
Quest. Category: Concept

48
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14) In the last one week, May and Phyllis have been putting in extra hours at work so that the
project assigned to them is completed on time. Though the manager was due to assign two more
people to this project, he had not done so and, instead, was emphasizing to employees the
importance of adhering to the needs of the department in regard to workload. As a result, May
and Phyllis, who had double their routine workload, complained to the division manager. May
was promptly suspended from work for complaining about her immediate supervisor. This
scenario describes ________ power.
A) reward
B) legitimate
C) coercive
D) expert
E) referent
Answer: C
Explanation: The coercive power base depends on fear of the negative results from failing to
comply. At the organizational level, A has coercive power over B if A can dismiss, suspend, or
demote B, assuming B values his or her job.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

15) ________ power represents the compliance that is achieved based on the ability to distribute
positive benefits that others view as valuable.
A) Legitimate
B) Coercive
C) Reward
D) Personal
E) Reflective
Answer: C
Explanation: The opposite of coercive power is reward power, with which people comply
because it produces positive benefits; someone who can distribute rewards others view as
valuable will have power over them. These rewards can be either financial, such as controlling
pay rates, or nonfinancial, including recognition or promotions.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Moderate
Quest. Category: Concept

49
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16) As a regional sales officer, one of Brandon's job responsibilities is to process the yearly
appraisal forms of his subordinates and provide them with increments, bonuses, or benefits based
on their performance that year. This job responsibility directly reflects his ________.
A) active power
B) expert power
C) referent power
D) reward power
E) coercive power
Answer: D
Explanation: The opposite of coercive power is reward power, with which people comply
because it produces positive benefits; someone who can distribute rewards others view as
valuable will have power over them. These rewards can be either financial, such as controlling
pay rates, or nonfinancial, including recognition and promotions.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

17) Legitimate power is directly based on ________.

A) charisma of the leader
B) interpersonal trust and commitment of the manager
C) structural position of the manager in the organization
D) personality traits of the manager
E) ability of the manager to serve his or her subordinates
Answer: C
Explanation: In formal groups and organizations, probably the most common access to one or
more of the power bases is through legitimate power. It represents the formal authority to control
and use organizational resources based on structural position in the organization.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Easy
Quest. Category: Concept

18) Which of the following statements is true regarding legitimate power?

A) Legitimate power develops out of admiration of another and a desire to be like that person.
B) Legitimate power comes from an individual's unique characteristics.
C) Legitimate power is broader than the power to coerce and reward.
D) Celebrities who endorse products in commercials wield legitimate power over people.
E) Legitimate power is a type of personal power.
Answer: C
Explanation: In formal groups and organizations, probably the most common access to one or
more of the power bases is through legitimate power. It represents the formal authority to control
and use organizational resources based on structural position in the organization. Legitimate
power is broader than the power to coerce and reward.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Easy
Quest. Category: Concept

50
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19) Which of the following types of power can be categorized as personal power?
A) coercive
B) legitimate
C) reward
D) referent
E) positional
Answer: D
Explanation: Personal power comes from an individual's unique characteristics. There are two
bases of personal power: expert power and referent power.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Easy
Quest. Category: Concept

20) ________ power is influence wielded as a result of proficiency, special skill, or knowledge.
A) Legitimate
B) Reward
C) Referent
D) Expert
E) Coercive
Answer: D
Explanation: Expert power is influence wielded as a result of expertise, special skill, or
knowledge. As jobs become more specialized, we become increasingly dependent on experts to
achieve goals. It is generally acknowledged that physicians have expertise and hence expert
power: Most of us follow our doctor's advice.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Easy
Quest. Category: Concept

21) At the PR firm where Gerald works, everyone considers him to be very good with his work
and depends heavily on his knowledge to help the organization to solve its problems. Gerald is
often seen teaching interns a simpler way to present an article, helping project managers with
scheduling, and even the CEO often asks him for his opinion on important matters because of his
experience and skill. Gerald's specialized knowledge depicts his ________.
A) expert power
B) coercive power
C) legitimate power
D) referent power
E) reward power
Answer: A
Explanation: Expert power is influence wielded as a result of expertise, special skill, or
knowledge. As jobs become more specialized, we become increasingly dependent on experts to
achieve goals. It is generally acknowledged that physicians have expertise and hence expert
power: Most of us follow our doctor's advice.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application
51
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22) ________ power is based on identification with a person who has desirable resources or
personal traits.
A) Coercive
B) Legitimate
C) Referent
D) Expert
E) Reward
Answer: C
Explanation: Referent power is based on identification with a person who has desirable
resources or personal traits. If I like, respect, and admire you, you can exercise power over me
because I want to please you.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Easy
Quest. Category: Concept

23) Carl believes that he is lucky to be working under a manager like Mr. Parker–conscientious,
flexible and easy to work with. It was Mr. Parker who helped Carl learn the demands of the job,
gave him opportunities to learn from the mistakes he made, and always provided sound advice.
Mr. Parker, who has been in the field for over eighteen years, never made Carl feel like a novice
and this only increased Carl's personal confidence in his work and his loyalty toward his
manager. Carl, who is now doing very well on the job, aims to be a manager like Mr. Parker.
From this scenario, which of the following conclusions can be drawn?
A) Mr. Parker is an authoritarian manager.
B) Carl has a low degree of trust propensity.
C) Mr. Parker has a high degree of referent power.
D) Mr. Parker engages in a lot of ingratiation.
E) Mr. Parker exercises a high degree of coercive power.
Answer: C
Explanation: Mr. Parker has a high degree of referent power as Carl identifies with him and
wishes to be like him. Referent power is based on identification with a person who has desirable
resources or personal traits.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

52
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24) Which of the following is true with regard to bases of power?
A) Coercive power involves an identification with and imitation of the person in power.
B) Legitimate power is used by companies when they hire celebrities to promote their products.
C) Expert and referent power are the two major types of formal power.
D) The personal sources of power are most effective for increasing employee performance and
satisfaction.
E) Reward power is the most common and broad type of power seen in operation in
organizations.
Answer: D
Explanation: Of the three bases of formal power (coercive, reward, legitimate) and two bases of
personal power (expert, referent), research suggests pretty clearly that the personal sources of
power are most effective.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Moderate
Quest. Category: Concept

53
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25) Will Paten is the manager of a team of twelve people in the marketing division of Palmer
Inc. Will, who has been working in the company for eleven years, is held in high regard and
liked by all his colleagues and subordinates. However, Aaron and Abby, two of his subordinates,
are noted for frequently flouting his rules and directives. They continue behaving in this manner
even after Will had categorically requested them to refrain from upsetting the momentum of the
team. Which of the following, if true, would best explain Aaron and Abby's continued
noncompliance with Will's requests?
A) The promotions and bonuses of the team members depend heavily on Will's performance
ratings.
B) The company had provided Will with additional duties, and he was left with little time to
ensure that his team members performed well.
C) Will believes that since the job demands in marketing are ambiguous and ever-changing, a
supportive approach to leadership would suffice.
D) Will is uncomfortable exercising coercive measures to control employees.
E) Will is considered an expert at analyzing market trends and making accurate projections about
demand and revenue.
Answer: D
Explanation: The fact that promotions and bonuses of the team members depend heavily on
Will's performance ratings does not explain Aaron and Abby's noncompliance with his requests.
The fact that the company had provided Will with additional duties and he was left with little
time to ensure that his team members performed well does not adequately explain Aaron and
Abby's behavior especially since other team members were working well. The fact that Will
believes that a supportive approach to leadership would suffice when faced with ambiguous job
demands is false and does not explain Aaron and Abby's behavior. The fact that Will is
uncomfortable exercising coercive measures to control employees does explain Aaron and
Abby's behavior. Will has the right to exercise legitimate, coercive, and reward powers, but his
personality is such that he is not at ease forcing people to follow his command. The fact that Will
is considered an expert at analyzing market trends and making accurate projections about
demand and revenue does not explain Aaron and Abby's behavior toward him.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

54
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26) Joanna Mills has recently been promoted to the position of a project manager at Palmer Inc.,
a software development firm. As a project manager, she now has the authority to delegate work,
provide supervision and feedback, and monitor employee performance. Ever since her
promotion, she has been preparing herself to guide her subordinates in different project activities.
However, she feels that the employees do not proactively approach her for help. Which of the
following, if true, would best explain this situation?
A) Joanna has several years of experience in working on software programs.
B) The sole criterion for Joanna's promotion was her effectiveness in meeting individual targets.
C) Employees identify with Joanna because she successfully rose from the position of a
programmer to that of a manager.
D) The managers who promoted her believed that her approachable nature would be a key factor
in improving team performance.
E) The company follows a 360-degree performance evaluation system.
Answer: B
Explanation: The fact that Joanna has several years of experience in working on software
programs does not explain why her team members do not approach her for help. The fact that the
sole criterion for Joanna's promotion was her effectiveness in meeting individual targets does
explain why her team members do not proactively approach her for help. While the promotion
provided her with legitimate power, she does not enjoy referent power, which would encourage
team members to reach out to her for help. The fact that the employees identify with Joanna
because she successfully rose from the position of a programmer to that of a manager does not
explain the current situation. The fact that the managers who promoted her believed that her
approachable nature would be a key factor in improving team performance does not explain why
her team does not approach her for help. The fact that the company follows a 360-degree
performance evaluation system does not explain why her team does not approach her for help.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

27) Which of the following types of power is most likely to be negatively related to employee
satisfaction and commitment?
A) expert power
B) reward power
C) legitimate power
D) coercive power
E) referent power
Answer: D
Explanation: The coercive power base depends on fear of the negative results from failing to
comply. It is negatively related to employee satisfaction and commitment.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Easy
Quest. Category: Concept

55
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28) Expert power is based on identification with a person who has desirable resources or
personal traits.
Answer: FALSE
Explanation: Referent power is based on identification with a person who has desirable
resources or personal traits. Expert power is influence based on specific skills or knowledge.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Easy
Quest. Category: Concept

29) List and discuss the bases of formal power.

Answer: Formal power can come from the ability to coerce or reward, from formal authority, or
from control of information.
a) Coercive power: The coercive power base is dependent on fear. One reacts to this power out
of fear of the negative results that might occur if one failed to comply. A has coercive power
over B if A can dismiss, suspend, or demote B, assuming that B values his or her job.
b) Reward power: The opposite of coercive power is reward power. People comply with the
wishes or directives of another because doing so produces positive benefits. Therefore, one who
can distribute rewards that others view as valuable will have power over those others. These
rewards can be either financial or nonfinancial.
c) Legitimate power: In formal groups and organizations, probably the most common access to
one or more of the power bases is through legitimate power. It represents the formal authority to
control and use organizational resources based on structural position in the organization.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
Difficulty: Moderate
Quest. Category: Concept

30) How does reward power contribute to sexual harassment?

Answer: An individual with a high degree of reward power is someone who can distribute
rewards others view as valuable and thus, has power over them. These rewards can be either
financial–such as controlling pay rates, raises, and bonuses–or nonfinancial, including
recognition, promotions, interesting work assignments, friendly colleagues, and preferred work
shifts or sales territories. This makes sexual harassment especially disturbing for employees.
Because employees want favorable performance reviews, salary increases, and the like,
supervisors control resources most employees consider important and scarce. Thus, sexual
harassment by the boss typically creates the greatest difficulty for those being harassed.
LO: 13.2: Explain the three bases of formal power and the two bases of personal power.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

56
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31) Levin and Co. is a group of oil refineries that has been in the news recently. The company
had to stop production for over two weeks because their key supplier refused to sell them crude
oil at the old prices. Even after rounds of negotiations, the supplier refused to give in to the
demands of Levin and Co., and finally, the company had to acquire the raw material from the
same supplier because alternative suppliers, though abundant, could not provide the quantities
the company demanded at such short notice. This shows the role of ________ in increasing the
power one enjoys.
A) alternatives
B) dependence
C) abundance
D) substitutability
E) exchange
Answer: B
Explanation: The most important aspect of power is that it is a function of dependence.
Dependence increases when the resource you control is important, scarce, or nonsubstitutable.
LO: 13.3: Explain the role of dependence in power relationships.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

32) Dependence would be low when ________.

A) the goods have very few suppliers
B) the goods have low accessibility
C) the goods in question are scarce
D) the products are important
E) the goods have substitutes
Answer: E
Explanation: Dependence increases when the resource you control is important, scarce, or
nonsubstitutable. The fewer viable substitutes for a resource, the more power control over that
resource provides.
LO: 13.3: Explain the role of dependence in power relationships.
Difficulty: Easy
Quest. Category: Concept

33) One tool to assess the exchange of resources and dependencies within an organization is
social network analysis.
Answer: TRUE
Explanation: One tool to assess the exchange of resources and dependencies within an
organization is social network analysis. This method examines patterns of communication
among organizational members to identify how information flows between them.
LO: 13.3: Explain the role of dependence in power relationships.
Difficulty: Easy
Quest. Category: Concept

57
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34) Which of the following power tactics involves increasing the target's support by involving
him or her in decision making?
A) legitimacy
B) rational persuasion
C) consultation
D) ingratiation
E) pressure
Answer: C
Explanation: The power tactic of consultation involves increasing the target's support by
involving him or her in decision making.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Moderate
Quest. Category: Concept

35) Which of the following power tactics uses warnings and threats and is typically the least
effective of all the power tactics?
A) coalitions
B) exchange
C) pressure
D) rational persuasion
E) consultation
Answer: C
Explanation: Pressure tends to backfire and is typically the least effective of the nine tactics.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Moderate
Quest. Category: Concept

36) The power tactic of using flattery and creating goodwill before making a request is known as
________.
A) ingratiation
B) consultation
C) inspirational appeal
D) motivational appeal
E) affective appeal
Answer: A
Explanation: Ingratiation is defined as using flattery, praise, or friendly behavior prior to making
a request, hoping that the kindness will help get what is desired.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Easy
Quest. Category: Concept

58
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37) Rational persuasion is a power tactic that involves the use of ________.
A) formal authority
B) logical arguments and factual evidence
C) emotions to target the values, needs, and hopes of the other party
D) benefits or favors in exchange for following a request
E) warnings, repeated demands, and threats
Answer: B
Explanation: Rational persuasion is a power tactic that involves presenting logical arguments
and factual evidence to demonstrate that a request is reasonable.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Easy
Quest. Category: Concept

38) Mike Ford is a senior accountant at Coleman and Co., which is a financial management
company. Mike has wanted to be on the board of representatives of his company for a long time,
but the company stipulates a minimum number of years an employee must work at the
organization before he or she makes it to the board. Mike is unwilling to work two more years to
reach that stipulated experience and so he found a way to transgress this rule. He met up with
one of the existing board members who was having problems accounting for allocated funds that
went missing and offered to settle that for him in his department provided he nominate Mike to
the board. Which of the following power tactics is being used here?
A) ingratiation
B) legitimacy
C) inspirational appeals
D) pressure
E) exchange
Answer: E
Explanation: The power tactic used here is exchange, which involves rewarding the target with
benefits or favors in exchange for following a request.
LO: 13.4: Identify power or influence tactics and their contingencies.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

59
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39) When the contract with one of their major suppliers was about to expire, the management of
Pierre and Collins began seeking tenders from potential vendors. One of the top management
executives, Todd Hughes, wanted the contract to go to a vendor he personally knew. In order to
do so, he held separate discussions with two key members of the organization wherein he
downplayed the potentials of the competing tenders and convinced them to support this offer. At
the meeting to finalize a supplier, Todd and his supporters strongly supported the tender of the
supplier they had chosen amongst themselves and convinced their CEO to hire this supplier
despite the higher price quoted by him. Which of the following power tactics is being used here?
A) ingratiation
B) legitimacy
C) coalition
D) pressure
E) inspirational appeals
Answer: C
Explanation: Todd Hughes used the power tactic of creating a coalition by enlisting the aid or
support of others to persuade the target to agree. Coalitions represent a hard power tactic which
emphasizes formal power and involves greater costs and risks.
LO: 13.4: Identify power or influence tactics and their contingencies.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

40) Which of the following power tactics is more effective when the audience is highly
interested in the outcomes of a decision process?
A) ingratiation
B) consultation
C) personal appeals
D) exchange
E) pressure
Answer: B
Explanation: Rational persuasion, inspirational appeals, and consultation tend to be the most
effective power tactics, especially when the audience is highly interested in the outcomes of a
decision process.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Moderate
Quest. Category: Concept

60
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41) When the audience does not care about the outcomes, using a combination of ________ can
help lessen negative reactions to the feeling that one is dictating outcomes.
A) ingratiation and personal appeals
B) pressure and exchange
C) legitimacy and ingratiation
D) exchange and rational persuasion
E) inspirational appeals and consultation
Answer: C
Explanation: Using both ingratiation and legitimacy can lessen negative reactions to one's
appearing to dictate outcomes, but only when the audience does not really care about the
outcome of a decision process or the policy is routine.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Moderate
Quest. Category: Concept

42) ________ is the only tactic effective across organizational levels.

A) Legitimacy
B) Inspirational appeal
C) Rational persuasion
D) Ingratiation
E) Pressure
Answer: C
Explanation: The effectiveness of some influence tactics depends on the direction of influence.
For instance, rational persuasion is the only tactic effective across organizational levels.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Moderate
Quest. Category: Concept

43) Which of the following power tactics can be used most effectively for exerting lateral
influence?
A) legitimacy
B) inspirational appeal
C) coalition
D) ingratiation
E) pressure
Answer: C
Explanation: Personal appeals and coalitions are most effective as lateral influence.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Easy
Quest. Category: Concept

61
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44) Which of the following power tactics would be considered a soft tactic?
A) rational persuasion
B) exchange
C) coalition
D) politicking
E) pressure
Answer: A
Explanation: Soft tactics are those that rely on personal power such as personal and inspirational
appeals, rational persuasion, and consultation.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Easy
Quest. Category: Concept

45) Which of the following power tactics would be considered a hard tactic?
A) rational persuasion
B) inspirational appeals
C) personal appeals
D) coalition
E) consultation
Answer: D
Explanation: Hard tactics are those that emphasize formal power such as exchange, coalitions,
and pressure.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Moderate
Quest. Category: Concept

46) Which of the following statements is true with regard to the effectiveness of tactics?
A) Soft tactics are less effective than hard tactics when used individually.
B) The combination of a soft tactic with reasonable persuasion is more effective than a
combination of two hard tactics.
C) All tactics are equally effective with regard to upward influence.
D) Individuals from collectivist cultures are typically more likely to use soft tactics that reflect
personal power.
E) Individuals from individualistic cultures are typically more likely to use coalition and other
hard power tactics.
Answer: B
Explanation: A single soft tactic is more effective than a single hard tactic, and combining two
soft tactics or a soft tactic and rational persuasion is more effective than any single tactic or
combination of hard tactics.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Easy
Quest. Category: Concept

62
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47) For a person to be recognized as having a high degree of political skill, he or she must have
the ________.
A) ability to recognize that power in an organization does not translate into success
B) ability to submit to the demands made by others at all times
C) ability to influence others to enhance their own objectives
D) ability to respect and consider the needs of others first
E) ability to make sacrifices for the betterment of others
Answer: C
Explanation: Political skills of people indicate their ability to influence others to enhance their
own objectives.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Easy
Quest. Category: Concept

48) People from collectivistic countries tend to see power in personalized terms and as a
legitimate means of advancing their personal ends, while those in individualistic countries see
power in social terms and as a legitimate means of helping others.
Answer: FALSE
Explanation: People from individualistic countries tend to see power in personalized terms and
as a legitimate means of advancing their personal ends, while those in collectivistic countries see
power in social terms and as a legitimate means of helping others.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Moderate
Quest. Category: Concept

49) Dale Fisher is the manager of one branch of a retail chain. He often speaks with his customer
service attendants about the value they bring to the company and encourages them to continue
doing so. He knows that this approach of enhancing the worth of these executives and shaping
their aspirations to do well is a more effective approach than using warnings and ultimatums.
Dale is using the power tactic of an inspirational appeal here.
Answer: TRUE
Explanation: Inspirational appeals represent a power tactic that involves developing emotional
commitment by appealing to a target's values, needs, hopes, and aspirations.
LO: 13.4: Identify power or influence tactics and their contingencies.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

50) You're less likely to be effective if you begin with "softer tactics" that reply on personal
power such as personal and inspirational appeals, rational persuasion, and consultation.
Answer: FALSE
Explanation: You're more likely to be effective if you begin with "softer tactics" that reply on
personal power such as personal and inspirational appeals, rational persuasion, and consultation.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Easy
Quest. Category: Concept

63
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51) What power tactics can employees use to translate their power bases into specific actions and
how does each one work?
Answer: Research has identified nine distinct tactics of political influence.
1. Legitimacy involves relying on one's authority position or stressing that a request is in
accordance with organizational policies or rules.
2. Rational persuasion involves presenting logical arguments and factual evidence to demonstrate
that a request is reasonable.
3. Inspirational appeals involve developing emotional commitment by appealing to a target's
values, needs, hopes, and aspirations.
4. Consultation involves increasing a target's motivation and support by involving him or her in
deciding how a plan or change will be implemented.
5. Exchange involves rewarding targets with benefits or favors in exchange for following a
request.
6. Personal appeals involve asking for compliance based on friendship or loyalty.
7. Ingratiation involves using flattery, praise, or friendly behavior prior to making a request.
8. Pressure involves using warnings, repeated demands, and threats.
9. Finally, coalitions involve enlisting the aid of other people to persuade a target or using the
support of others as a reason for the target to agree.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Moderate
Quest. Category: Concept

52) Explain expert power with reference to the dimensions of importance, scarcity, and
nonsubstitutability.
Answer: Expert power is influence wielded as a result of expertise, special skill, or knowledge.
As jobs become more specialized, we become increasingly dependent on experts to achieve
goals. It is generally acknowledged that physicians have expertise and hence expert power.
Expert power arises from the fact that:
a) experts have specialized knowledge that others seek to use. In organizations, experts are
people who can absorb uncertainty and are believed to be controlling an important resource.
b) the expertise, special skill, and knowledge that experts have is not abundantly available and
this factor makes expertise a very important determinant of personal power.
c) until others in the organization learn and amass enough experience, the experts are a group of
people who have no substitutes. The fewer viable substitutes for a resource, the more power
control over that resource provides.
LO: 13.3: Explain the role of dependence in power relationships.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

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53) Differentiate between rational persuasion and inspirational appeals in terms of their operation
and direction of influence.
Answer: Rational persuasion is a power tactic that involves presenting logical arguments and
factual evidence to demonstrate a request is reasonable, while inspirational appeals as a power
tactic operate by appealing to one's emotions. When using an inspirational appeal, one is
attempting to develop an emotional commitment by appealing to a target's values, needs, hopes,
and aspirations. Further, rational persuasion is a tactic that can be used effectively across
different levels, while inspirational appeal works best as a downward-influencing tactic with
subordinates.
LO: 13.4: Identify power or influence tactics and their contingencies.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

54) Discuss the effectiveness of various influence tactics.

Answer: The effectiveness of some influence tactics depends on the direction of influence.
Rational persuasion is the only tactic effective across organizational levels. Inspirational appeals
work best as a downward-influencing tactic with subordinates. When pressure works, it's
generally downward only. Personal appeals and coalitions are most effective as lateral influence.
Other factors that affect the effectiveness of influence include the sequencing of tactics, a
person's skill in using the tactic, and the organizational culture.
You're more likely to be effective if you begin with "softer" tactics that rely on personal power,
such as personal and inspirational appeals. If these fail, you can move to "harder" tactics, such as
exchange and coalitions. People differ in their political skill, or their ability to influence others to
enhance their own objectives. The politically skilled are more effective users of all of the
influence tactics. The organizational culture at the company where a person works will have a
bearing on which tactics are considered appropriate. Some cultures encourage participation and
consultation, some encourage reason, and still others rely on pressure. People who fit the culture
of the organization tend to obtain more influence.
LO: 13.4: Identify power or influence tactics and their contingencies.
Difficulty: Moderate
Quest. Category: Concept

55) Discuss how power affects people and consider whether power is corruptive.
Answer: There is evidence that there are corrupting aspects of power. Evidence suggests that
power leads people to place their own interests ahead of others. Why does this happen?
Interestingly, research suggests that power not only leads people to focus on their self-interests
because they can, it also liberates people to focus inward and thus come to place greater weight
on their goals and interests. Power also appears to lead individuals to "objectify" others, to value
relations with people with less power, and to see relationships as more peripheral. Powerful
people react especially negatively to any threats to their competence. They're more willing to
denigrate others. People given power are more likely to make self-interested decisions when
faced with moral hazard. Power also leads to overconfident decision making.
LO: 13.5: Identify the causes and consequences of abuse of power.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Synthesis
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56) Which of the following statements is true?
A) The impact of sexual harassment is individual, not organizational.
B) The definition of sexual harassment changes from country to country.
C) Today, the rise of overt forms of sexual harassment presents a major concern for
organizations.
D) Women in positions of power in an organization are free from sexual harassment by male
subordinates.
E) Curtailing sexual harassment requires higher-order intervention programs as managers cannot
be expected to help in this regard.
Answer: B
Explanation: Sexual harassment is defined as any unwanted activity of a sexual nature that
affects an individual's employment and creates a hostile work environment. However, there is a
disagreement about what specifically constitutes sexual harassment.
LO: 13.5: Identify the causes and consequences of abuse of power.
Difficulty: Easy
Quest. Category: Concept

57) Sexual harassment ________.

A) is proportionally prevalent for women across all types of jobs
B) is virtually non-existent for men
C) is increasing according to the EEOC
D) is more prevalent in male-dominated societies
E) is less likely to occur where there are large power differentials
Answer: D
Explanation: Generally, sexual harassment is more prevalent in male-dominated societies. Data
from the EEOC suggest that sexual harassment is decreasing. Sexual harassment claims now
make up 10 percent of all discrimination claims, compared with 20 percent in the mid-1990s. Of
this percentage, though, claims from men have increased from 11 percent of total claims in 1997
to 17.5 percent today. Sexual harassment is disproportionately prevalent for women in certain
types of jobs. Sexual harassment is more likely to occur when there are large power differentials.
LO: 13.5: Identify the causes and consequences of abuse of power.
Difficulty: Easy
Quest. Category: Concept

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58) A woman is most likely to experience sexual harassment as ________.
A) a sales woman at a luxury car dealership
B) a teacher in an elementary school
C) a waitress at a sports bar
D) a professor at a small liberal arts college
E) a DJ at a hip radio station
Answer: C
Explanation: Sexual harassment is disproportionately prevalent for women in certain types of
jobs. In the restaurant industry, for instance, 80 percent of female wait staff reported having been
sexually harassed by coworkers or customers, compared to 70 percent of male wait staff.
LO: 13.5: Identify the causes and consequences of abuse of power.
Difficulty: Easy
Quest. Category: Concept

59) Connie Cole works as a junior market analyst at SPS Services. Her previous manager retired
a couple of months back, and she now has a younger male manager who repeatedly insists that
she accompany him for a coffee or dinner after work. Initially, Connie was unsuspecting and
refused because she did not have the time for such engagements during weekdays. Later, when
her manager's requests became frequent, she grew uncomfortable and firmly told him that she
was not interested in him and his attempts were not welcome. She realized that this step could
backfire because, as her superior, he has complete control over her appraisals, bonuses, and
promotions. Her manager even told her that if she does not agree, he will "find other ways."
Connie's experiences are best described as ________.
A) whistle-blowing
B) scapegoating
C) domestic abuse
D) sexual harassment
E) ambient abuse
Answer: D
Explanation: Sexual harassment is defined as any unwanted activity of a sexual nature that
affects an individual's employment and creates a hostile work environment. Organizations have
generally made progress toward limiting overt forms of sexual harassment. This includes
unwelcome sexual advances, requests for sexual favors, and other verbal or physical conduct of a
sexual nature.
LO: 13.5: Identify the causes and consequences of abuse of power.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

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60) Which of the following factors can lead to greater probability of sexual harassment at the
workplace?
A) an active sexual harassment policy
B) large power differentials
C) a no-retaliation policy for victims seeking justice
D) awareness regarding sexual harassment
E) larger percentage of women in positions of power
Answer: B
Explanation: Most studies confirm that the concept of power is central to understanding sexual
harassment. This seems true whether the harassment comes from a supervisor, a co-worker, or an
employee. Sexual harassment is more likely to occur when there are large power differentials.
LO: 13.5: Identify the causes and consequences of abuse of power.
Difficulty: Moderate
Quest. Category: Concept

61) To limit sexual harassment in the workplace, managers should strive to ________.
A) recognize that sexual harassment occurs in most work environments
B) instantly terminate anyone accused of sexual harassment
C) provide general guidelines about sexual harassment, but avoid detailed explanations
D) reassure employees that they will not encounter retaliation if they file a complaint
E) investigate only the most serious complaints
Answer: D
Explanation: Sexual harassment can have a detrimental impact on individuals and the
organization, but it can be avoided. The manager's role is critical: make sure an active policy
defines what constitutes sexual harassment, informs employees they can be fired for
inappropriate behavior, and establishes procedures for making complaints; Reassure employees
that they will not encounter retaliation if they file a complaint.; investigate every complaint, and
inform the legal and HR departments.; make sure offenders are disciplined or terminated.; set up
in-house seminars to raise employee awareness of sexual harassment issues.
LO: 13.5: Identify the causes and consequences of abuse of power.
Difficulty: Moderate
Quest. Category: Concept

68
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62) Tina Simmons worked as a welder at a shipyard company where she was forced to encounter
nude and partially nude pictures posted by her male co-workers in common areas. The men also
referred to her using obscene nicknames and made offensive remarks concerning her body.
When Tina complained, her supervisor took no corrective action despite having an active sexual
harassment policy approved by the EEOC. Tina wished to file a discrimination suit but instead
she chose to endure the harassment as she could not risk losing her job. Which of the following,
if true, would have strengthened her resolve to file a discrimination suit?
A) The colleagues who sexually harassed Tina shared a great rapport with her supervisor.
B) Tina had heard of only one prior instance wherein an employee in the company had filed a
discrimination suit.
C) Tina shared a strained working relationship with her supervisor.
D) The company policy prescribed that Tina would face no backlash if she approached the
EEOC.
E) Tina had few female colleagues at the shipyard where she worked.
Answer: D
Explanation: The fact that the colleagues who sexually harassed Tina shared a great rapport with
her supervisor is likely to weaken her resolve to file a discrimination suit. The fact that Tina had
heard of only one prior instance wherein an employee in the company had filed a discrimination
suit does not necessarily weaken her resolve to file a discrimination suit. The fact that Tina
shared a strained working relationship with her supervisor may weaken her resolve. The fact that
the company policy prescribed that Tina would face no backlash if she approached the EEOC
would strengthen her resolve as she would not lose her job following her action. The fact that
Tina had few female colleagues at the shipyard where she worked may weaken her resolve.
LO: 13.5: Identify the causes and consequences of abuse of power.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

63) Define sexual harassment and identify ways managers can protect themselves and their
employees from it.
Answer: Sexual harassment is defined as any unwanted activity of a sexual nature that affects an
individual's employment and creates a hostile work environment. Sexual harassment can wreak
havoc on an organization, not to mention the victims themselves, but it can be avoided.
Managers can do several things to protect themselves and their employees.
1. Make sure an active policy defines what constitutes sexual harassment, informs employees
they can be fired for sexually harassing another employee, and establishes procedures for making
complaints.
2. Reassure employees they will not encounter retaliation if they file a complaint.
3. Investigate every complaint and inform the legal and human resource departments.
4. Make sure offenders are disciplined or terminated.
5. Set up in-house seminars to raise employee awareness of sexual harassment issues.
LO: 13.5: Identify the causes and consequences of abuse of power.
Difficulty: Moderate
Quest. Category: Concept

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64) Which of the following is true of political behavior in an organization?
A) Political behavior is usually unethical.
B) Using political behavior is not necessary in most organizations.
C) Most experienced managers believe political behavior is a major part of organizational life.
D) Effective managers have been trained to use political behavior.
E) Political behavior is necessary for ensuring role clarity in an organization.
Answer: C
Explanation: Interviews with experienced managers show that most believe that political
behavior is a major part of organizational life.
LO: 13.6: Describe how politics work in organizations.
Difficulty: Easy
Quest. Category: Concept

65) Political behaviors usually ________.

A) lie outside of an individual's specified job requirements
B) are counterproductive to individual goals
C) are seen only in large organizations
D) are sanctioned by organizational leaders
E) are expected as part of each job requirement
Answer: A
Explanation: Political behavior is defined as activities that are not required as part of a person's
formal role in the organization but that influence, or attempt to influence, the distribution of
advantages and disadvantages within the organization.
LO: 13.6: Describe how politics work in organizations.
Difficulty: Easy
Quest. Category: Concept

66) Which of the following factors contributes to political behavior in the organization?
A) presence of pure and objective facts
B) existence of uniform goals and interests among all employees
C) provision of clear and objective performance outcomes
D) presence of limited resources in the organization
E) perception that gains of one group are not at the expense of the loss incurred by another group
Answer: D
Explanation: Organizations are made up of individuals and groups with different values, goals,
and interests, and this sets up the potential for conflict over the allocation of limited resources,
such as departmental budgets, space, project responsibilities, and salary adjustments. As
resources are limited, not everyone's interests can be satisfied. Furthermore, gains by one
individual or group are often perceived as coming at the expense of others within the
organization.
LO: 13.6: Describe how politics work in organizations.
Difficulty: Easy
Quest. Category: Concept

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67) ________ occurs when people within organizations use whatever influence they can to taint
the facts to support their goals and interests.
A) Legitimate political behavior
B) Politicking
C) Illegitimate political behavior
D) Sabotage
E) Whistle-blowing
Answer: B
Explanation: Most decisions in an organization have to be made in a climate of ambiguity where
facts are rarely fully objective and thus are open to interpretation. Under such circumstances,
people within organizations will use whatever influence they can to taint the facts to support
their goals and interests. That creates the activities called politicking.
LO: 13.6: Describe how politics work in organizations.
Difficulty: Easy
Quest. Category: Concept

68) Whistle-blowing is not considered to be a political behavior.

Answer: FALSE
Explanation: Political behavior includes a variety of behaviors such as withholding key
information from decision makers, joining a coalition, whistle-blowing, spreading rumors,
leaking confidential information to the media, exchanging favors with others in the organization
for mutual benefit, and lobbying on behalf of or against a particular individual or decision
alternative.
LO: 13.6: Describe how politics work in organizations.
Difficulty: Easy
Quest. Category: Concept

69) Limited resources are one of the major reasons for the development of organizational
politics.
Answer: TRUE
Explanation: As resources are limited, not everyone's interests can be satisfied. Furthermore,
gains by one individual or group are often perceived as coming at the expense of others within
the organization. These forces create real competition among members for the organization's
limited resources thus leading to political behavior.
LO: 13.6: Describe how politics work in organizations.
Difficulty: Easy
Quest. Category: Concept

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70) Define political behavior and explain its features.
Answer: Political behavior in organizations consists of activities that are not required as part of
an individual's formal role but that influence, or attempt to influence, the distribution of
advantages and disadvantages within the organization. Political behavior is outside specified job
requirements. It requires some attempt to use power bases. It includes efforts to influence the
goals, criteria, or processes used for decision making. Political behavior may include varied
behaviors such as withholding key information from decision makers, joining a coalition,
whistle-blowing, spreading rumors, leaking confidential information to the media, exchanging
favors with others in the organization for mutual benefit, and lobbying on behalf of or against a
particular individual or decision alternative.
LO: 13.6: Describe how politics work in organizations.
Difficulty: Moderate
Quest. Category: Concept

71) Timothy Jenkins spent six years at Hartford Mills, a company that takes a strong stand
against unionization. Though Timothy's designation was that of a production supervisor, as the
company grew, he also took on additional duties like keeping a check on employee safety,
ensuring that legal measures are followed, and implementing programs for labor welfare that the
company planned. Many believed that Timothy was doing a great job for the company, and so it
came as a surprise when Timothy was rumored to face severe disciplinary action, as he was
encouraging the workers to join a union. However, he was let off with a mere warning. Which of
the following, if true, would explain this paradox?
A) The management had recently instituted a formal employee welfare committee.
B) Timothy stressed the fact that he was a meticulous worker who always adhered to company
policies.
C) The management had recently moved from an open shop mechanism to a closed shop
mechanism.
D) Timothy claimed that he was only looking to ensure greater employee welfare, which was one
of the duties the company had assigned to him.
E) Timothy complained that allowing unionization would hurt employees' work/home balance.
Answer: D
Explanation: The fact that the management had recently instituted a formal employee welfare
committee does not explain this paradox. The fact that Timothy was a meticulous worker who
always adhered to company policies does not explain this paradox. The fact that the management
had recently moved from an open shop mechanism to a closed shop mechanism does not explain
why the company let Timothy go with just a warning. The fact that Timothy claimed that he was
only looking to ensure greater employee welfare, which was one of the duties the company had
assigned to him, does explain this paradox. Since the company had not clearly defined the scope
and functions of Timothy's role, he had greater freedom to engage in political activities that the
company did not formally prohibit. The fact that Timothy complained that allowing unionization
would hurt employees' work/home balance does not explain this paradox.
LO: 13.6: Describe how politics work in organizations.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

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72) Timothy Jenkins had been working for six years at Hartford Mills, a company that takes a
strong stand against unionization. Though Timothy's designation was that of a production
supervisor, as the company grew, he also took on additional duties like keeping a check on
employee safety, ensuring that legal measures are followed, and implementing programs for
labor welfare that the company planned. Many believed that Timothy was doing a great job for
the company, and so it came as a surprise when Timothy was rumored to face severe disciplinary
action, as he was encouraging the workers to join a union. However, he was let off with a mere
warning. Timothy argued that he was only doing his job–a job in which he had responsibility for
improving the welfare of employees. Which of the following, if true, would help Hartford Mills
avoid such situations in the future?
A) ensuring the provision of a retaliatory policy for employees who go against the company
B) holding town hall meetings to explain to employees why Timothy was suspected
C) enlisting the support of popular employees like Timothy to discharge the employee welfare
duties
D) engaging in collective bargaining as it is the only way to motivate employees to work
efficiently
E) specifying the permissible and prohibited aspects of an employee's formal role in the
organization
Answer: E
Explanation: Ensuring the provision of a retaliatory policy for employees who go against the
company is likely to cause problems for the company as it goes against EEOC directives.
Holding town hall meetings to explain to employees why Timothy was suspected is not going to
avoid such problems in the future; it may help control the present situation. Enlisting the support
of popular employees like Timothy to discharge the employee welfare duties is not a solution to
this problem. Engaging in collective bargaining to motivate employees goes against the
company's policy of non-unionization and is not a solution. Specifying the permissible and
prohibited aspects of an employee's formal role in the organization is a solution as it would limit
the scope and functions of the employee's political actions.
LO: 13.6: Describe how politics work in organizations.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

73) Reactive and protective behaviors designed to avoid action, blame, or change are termed
________.
A) repressive behaviors
B) defensive behaviors
C) submissive behaviors
D) impression management behaviors
E) proactive behaviors
Answer: B
Explanation: When employees see politics as a threat, they often respond with defensive
behaviors, which are reactive and protective behaviors to avoid action, blame, or change.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

73
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74) Will Cears works at Mesner Corp. as a middle-level manager. Will recognizes that his firm is
plagued by organizational politics. Since he is not good at playing games, he frequently engages
in defensive behaviors in order to protect himself and his interests. Will is frustrated because he
believes that he has little control over his environment and his environment is uncomfortable to
him. He has had some success at establishing a sense of control for himself by appearing to be
cooperative and supportive to his colleagues. However, he continues to hold his reservations
against politicking and does not engage in it. This is an example of ________ in order to avoid
action, blame, or change.
A) buffing
B) buck passing
C) scapegoating
D) misrepresenting
E) stalling
Answer: E
Explanation: Stalling is appearing to be more or less supportive publicly while doing little or
nothing privately.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

75) Buck passing is seen when an employee ________.

A) avoids an unwanted task by falsely pleading ignorance or inability
B) prolongs a task to give the appearance of being occupied
C) documents his or her activity rigorously to project an image of competence and thoroughness
D) develops explanations that lessen his or her responsibility for a negative outcome
E) transfers responsibility for the execution of a task or decision to someone else
Answer: E
Explanation: Buck passing means transferring responsibility for the execution of a task or
decision to someone else.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

76) Which of the following defensive behaviors involves rigorously documenting activity to
project an image of competence and thoroughness?
A) bluffing
B) justifying
C) scapegoating
D) stretching
E) overconforming
Answer: A
Explanation: Bluffing describes the practice of rigorously documenting activity to project an
image of competence and thoroughness.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept
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77) Placing the blame for a negative outcome on external factors that are not entirely
blameworthy is known as ________.
A) scapegoating
B) buffing
C) stalling
D) justifying
E) overconforming
Answer: A
Explanation: Scapegoating is placing the blame for a negative outcome on external factors that
are not entirely blameworthy.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

78) Daphne is one of the three project managers at Virgo Inc., an art and design studio. Raymond
and Gabriel, the other two project managers, are unhappy working with Daphne as she always
selects projects that suit her area of expertise and avoids projects which require more ambiguous
work, have tight deadlines, and represent a low probability of success. Raymond and Gabriel feel
that they deserve greater credit than Daphne for being open and accepting different work
demands and situations, as opposed to Daphne, who always takes a conservative and risk-averse
approach. Daphne is using the defensive behavior of ________ here.
A) scapegoating
B) ingratiating
C) stalling
D) retaliating
E) playing safe
Answer: E
Explanation: Daphne is playing safe here. This involves evading situations that may reflect
unfavorably. It includes taking on only projects with a high probability of success, having risky
decisions approved by superiors, qualifying expressions of judgment, and taking neutral
positions in conflicts.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

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79) Which of the following defensive behaviors involves developing explanations that lessen
one's responsibility for a negative outcome and apologizing to demonstrate remorse?
A) scapegoating
B) misrepresenting
C) justifying
D) overconforming
E) stretching
Answer: C
Explanation: One of the defensive behaviors used to avoid blame is justifying. Justifying
involves developing explanations that lessen one's responsibility for a negative outcome and/or
apologizing to demonstrate remorse, or both.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

80) Which of the following is a defensive behavior that is used to avoid change?
A) stalling
B) scapegoating
C) misrepresenting
D) stretching
E) preventing
Answer: E
Explanation: Prevention is a defensive behavior that involves trying to prevent a threatening
change from occurring.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

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81) Which of the following differentiates between high self-monitors and low self-monitors?
A) High self-monitors are more likely to use defensive impression management techniques,
while low self-monitors are more likely to use self-focused impression management techniques.
B) High self-monitors are commonly seen in collectivist cultures, while low self-monitors are
commonly seen in individualist cultures.
C) High self-monitors tend to mold their appearances and behavior to fit each situation, while
low self-monitors tend to present images of themselves that are consistent with their
personalities.
D) High self-monitors prefer to avoid using power and politics at the workplace, while low self-
monitors engage in a lot of politicking.
E) High self-monitors have an external locus of control as they attribute successes or failures to
luck and fate, while low self-monitors have an internal locus of control and believe that they
control the outcomes.
Answer: C
Explanation: Low self-monitors tend to present images of themselves that are consistent with
their personalities, regardless of the beneficial or detrimental effects for them. In contrast, high
self-monitors are good at reading situations and molding their appearances and behavior to fit
each situation.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

82) High-self monitors are good at reading situations and molding their appearances and
behaviors to fit each situation.
Answer: TRUE
Explanation: High-self monitors are good at reading situations and molding their appearances
and behaviors to fit each situation. Low self-monitors tend to present images of themselves that
are consistent with their personalities, regardless of the beneficial or detrimental effects for them.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

83) The Machiavellian personality is characterized by the will to manipulate and the desire for
power.
Answer: TRUE
Explanation: The Machiavellian personality is characterized by the will to manipulate and the
desire for power and is comfortable using politics as a means to further his or her self-interest.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

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84) Politicking is less likely to surface when an organization's resources are declining.
Answer: FALSE
Explanation: When an organization's resources are declining, when the existing pattern of
resources is changing, and when there is opportunity for promotions, politicking is more likely to
surface.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

85) When the production manager at CalTrack was asked to provide reasons for the delay in the
last batch of stock to be produced for the month, he clearly stated that this was the result of one
of his front-level managers taking two days off and that the fault was not his. The manager is
using buffing as a defensive behavior here.
Answer: FALSE
Explanation: The manager is using buck passing as a defensive behavior here. Buck passing
involves transferring responsibility for the execution of a task or decision to someone else, while
buffing involves the practice of rigorously documenting activity to project an image of
competence and thoroughness.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
AACSB: Analytical thinking
Difficulty: Easy
Quest. Category: Application

86) What are the various individual factors that make a person more likely to engage in political
behavior?
Answer: At the individual level, researchers have identified certain personality traits, needs, and
other factors likely to be related to political behavior. In terms of traits, employees who are high
self-monitors, possess an internal locus of control, and have a high need for power are more
likely to engage in political behavior. The high self-monitor is more sensitive to social cues,
exhibits higher levels of social conformity, and is more likely to be skilled in political behavior
than the low self-monitor. Because they believe they can control their environment, individuals
with an internal locus of control are more prone to take a proactive stance and attempt to
manipulate situations in their favor. Not surprisingly, the Machiavellian personality,
characterized by the will to manipulate and the desire for power, is comfortable using politics as
a means to further his or her self-interest.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Moderate
Quest. Category: Concept

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87) What are defensive behaviors? Provide three examples of defensive behaviors and explain
why an employee would engage in the behavior.
Answer: Defensive behaviors occur when people perceive politics as a threat rather than an
opportunity. They respond with reactive and protective behaviors to avoid action, blame, or
change. Defensive behaviors are often associated with negative feelings toward the job and work
environment. In the short run, employees may find that defensiveness protects their self-interest.
But in the long run, it is the only way they know how to behave. At that point, they lose the trust
and support of their peers, bosses, employees, and clients.
Buck passing is transferring responsibility for the execution of a task or decision to someone
else. Employees engage in buck passing with the goal of avoiding action.
Playing safe is evading situations that may reflect unfavorably. It includes taking on only
projects with a high probability of success, having risky decisions approved by superiors,
qualifying expressions of judgment, and taking neutral positions in conflicts. Employees engage
in playing it safe with the goal of avoiding blame.
Self-protection is acting in ways to protect one's self-interest during change by guarding
information or other resources. Employees engage in self-protection in order to avoid change.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Moderate
Quest. Category: Concept

88) Which of the following is an assertive impression management technique?

A) conformity
B) apologies
C) self-promotion
D) flattery
E) buffing
Answer: D
Explanation: Flattery and exemplification are assertive impression management techniques.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

89) When employees see politics as a threat, they often ________.

A) create role ambiguity
B) use democratic decision making
C) use a single outcome measure
D) respond with defensive behaviors
E) allow a significant lapse
Answer: D
Explanation: When employees see politics as a threat, they often respond with defensive
behaviors — reactive and protective behaviors to avoid action, blame, or change.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

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90) Under the zero-sum approach, rewards are distributed such that ________.
A) rewards are equal and do not increase or decrease with changes in profit margins
B) rewards increase for all employees at an identical rate
C) any drop in profits reduces the pay of employees by an identical amount
D) amount allocated for rewards is variable
E) rewards increase for a group at the expense of loss for another group
Answer: E
Explanation: The zero-sum approach treats the amount allocated for rewards as fixed so any
gain one person or group achieves has to come at the expense of another person or group.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

91) Which of the following is a self-focused impression management technique?

A) flattery
B) enhancement
C) apologies
D) excuses
E) conformity
Answer: B
Explanation: Enhancement and self-promotion are self-focused impression management
techniques.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

92) Which of the following impression management techniques involves an individual admitting
responsibility for an undesirable event and simultaneously seeking to get a pardon for the action?
A) flattery
B) favors
C) apologies
D) misrepresentation
E) exemplification
Answer: C
Explanation: Apologies involve admitting responsibility for an undesirable event and
simultaneously seeking to get a pardon for the action. It is a defensive impression management
technique.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

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93) Which of the following impression management techniques uses ingratiation?
A) flattery
B) exemplification
C) enhancement
D) conformity
E) apologies
Answer: D
Explanation: Conformity, which involves agreeing with someone else's opinion to gain his or
her approval, is a form of ingratiation.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

94) Recently, Curtis Gibson had an interview for the position of a senior manager at a transit
service. At the interview, the interviewer made a passing remark about how policies can make or
break the best economy in the world. Immediately, Curtis launched into a discussion of how true
the interviewer was, substantiating his claim with stories from real economies around the world.
Similarly, when the interviewer suggested that Curtis work the earlier shift because, if selected,
he would have a long commute to reach work, Curtis vehemently agreed, saying, "You couldn't
be more right." Which of the following impression management techniques is Curtis using?
A) favors
B) exemplification
C) enhancement
D) self-promotion
E) conformity
Answer: E
Explanation: Conformity, which involves agreeing with someone else's opinion to gain his or
her approval, is a form of ingratiation.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

95) Employees exhibiting which of the following features are more likely to engage in political
behavior?
A) lack of organizational investment
B) external locus of control
C) low need for power
D) Machiavellian personality
E) low self-monitoring
Answer: D
Explanation: The Machiavellian personality–characterized by the will to manipulate and the
desire for power–is comfortable using politics as a means to further his or her self-interest.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

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96) Which of the following is an individual factor that influences political behavior?
A) reallocation of resources
B) unclear performance evaluation system
C) high performance pressures
D) perceived job alternatives
E) zero-sum reward practice
Answer: D
Explanation: An individual's investment in the organization, perceived alternatives, and
expectations of success influence the degree to which he or she will pursue illegitimate means of
political action.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

97) If an individual ________, then he or she is less likely to engage in illegitimate political
behavior.
A) has invested a lot in the organization in terms of time and efforts
B) possesses a scarce skill or knowledge
C) has influential contacts outside the organization
D) does not expect any future benefits from the organization
E) has an external locus of control
Answer: A
Explanation: An individual's investment in the organization, perceived alternatives, and
expectations of success influence the degree to which he or she will pursue illegitimate means of
political action. The more a person expects increased future benefits from the organization, the
more that person has to lose if forced out and the less likely he or she is to use illegitimate
means.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

98) Which of the following is an organizational factor that increases illegitimate political
behavior?
A) internal locus of control
B) low expectations of success
C) high trust
D) low organizational investment
E) zero-sum reward practice
Answer: E
Explanation: Cultures characterized by low trust, role ambiguity, unclear performance
evaluation systems, zero-sum reward allocation practices, democratic decision making, high
pressures for performance, and self-serving senior managers will also create breeding grounds
for politicking.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

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99) Winston Mayer is a sales manager for a large company producing beverages and ready-to-eat
meals. Winston is often seen working late and on weekends although the company stipulates a
five-day workweek. Winston justifies his working extra by claiming that "in sales, one cannot
afford to waste a minute" and he is often condescending when subordinates take their allotted
time off. He frequently speaks to his manager about the deals he finalizes when he is working
beyond the normal working hours to prove his point. From the information provided, we can say
that Winston is using ________ as an impression management technique here.
A) flattery
B) exemplification
C) favors
D) apologies
E) conformity
Answer: B
Explanation: Exemplification is an impression management technique that involves an
individual doing more than he or she needs to in an effort to show how dedicated and hard-
working he or she is.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

100) In the last month, Stacey, an intelligent and astute employee, has finished only half the
work she was scheduled to complete. In addition, she has been taking frequent leaves, citing her
ill health as the reason, but her manager suspects she has been playing truant. When the manager
confronted her about her pending work, Stacey gave excuses: the work was time consuming, she
was unwell, and it was not a high-priority project in the first place. In this scenario, Stacey is
using a(n) ________ impression management technique.
A) self-focused
B) assertive
C) aggressive
D) defensive
E) ingratiation-based
Answer: D
Explanation: When one provides explanations of a predicament-creating event aimed at
minimizing the apparent severity of the predicament, it represents a defensive IM technique.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

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101) Which of the following can be used to understand how power and politics in an
organization can help you achieve your career goals?
A) counseling
B) constructing your power base relationships
C) mapping your own political career
D) alleviating your own power struggles
E) positioning your own power system
Answer: C
Explanation: A political map can help you sketch out your relationships with the people upon
whom your career depends.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

102) Interviewers are rarely able to detect when an individual is engaging in impression
management.
Answer: TRUE
Explanation: Interviewers are rarely able to detect when an individual is engaging in impression
management, especially when applicants are using deception to engage in impression
management.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

103) Self-promotion works well as an impression management technique for interviews as well
as performance evaluations.
Answer: FALSE
Explanation: Ingratiating always works because everyone–both interviewers and supervisors–
likes to be treated nicely. However, self-promotion may work only in interviews and backfire on
the job because, whereas the interviewer has little idea about one's accomplishments, the
supervisor knows because it is his or her job to observe the employee's work.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

104) Ingratiation is positively related to performance ratings.

Answer: TRUE
Explanation: Ingratiation is positively related to performance ratings, meaning those who
ingratiate themselves with their supervisors get higher performance evaluations.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

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105) What is impression management? Who is more likely to engage in impression
management?
Answer: The process by which individuals attempt to control the impression others form of
them is called impression management. High self-monitors are more likely to engage in
impression management. Low self-monitors tend to present images of themselves that are
consistent with their personalities, regardless of the beneficial or detrimental effects for them. In
contrast, high self-monitors are good at reading situations and molding their appearances and
behavior to fit each situation.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Moderate
Quest. Category: Concept

106) Explain impression management and discuss which impression management techniques are
most effective in an interview.
Answer: The process by which individuals attempt to control the impression others form of
them is called impression management (IM). Some IM techniques work better in interviews than
others. Researchers have compared applicants whose IM techniques focused on promoting their
accomplishments (self-promotion) to those who focused on complimenting the interviewer and
finding areas of agreement (ingratiation). In general, applicants appear to use self-promotion
more than ingratiation. What's more, self-promotion tactics may be more important to interview
success. Applicants who work to create an appearance of competence by enhancing their
accomplishments, taking credit for successes, and explaining away failures do better in
interviews. These effects reach beyond the interview: applicants who use more self-promotion
tactics also seem to get more follow-up job-site visits, even after adjusting for grade-point
average, gender, and job type. Ingratiation also works well in interviews: applicants who
compliment the interviewer, agree with his or her opinions, and emphasize areas of fit do better
than those who don't.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

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107) Victor Ortiz was a successful and popular manager at the marketing division of a consumer
goods company. Many attributed the company's immense success in the last two years to Victor's
highly creative marketing plans, which cost the company very little but increased the visibility of
its products. He also effectively tied up with new retail chains so the demand for their products
grows as the new retail chains grow. Recently, a subordinate alleged that Victor had sexually
harassed her, and stories of similar allegations made against him in the past resurfaced. The
situation was laid to rest when Victor made an appearance with the victim by his side claiming
that the allegations were baseless as he was romantically involved with her. Though this
announcement did not convince people, the allegations against Victor were withdrawn. From the
information provided in this scenario, this outcome can be explained by the fact that ________.
A) Victor has a high degree of referent power
B) Victor has enough power to get away with his misdeeds
C) Victor has abided by the standards of equity and justice
D) Victor has used a defensive impression management technique
E) Victor has used scapegoating to free himself from the charges
Answer: B
Explanation: Immoral people can justify almost any behavior. Those who are powerful,
articulate, and persuasive are most vulnerable to ethical lapses because they are likely to be able
to get away with unethical practices successfully.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

108) The more effort applicants put into highlighting their skills, motivation, and admiration for
the organization, the more likely they are to be hired.
Answer: TRUE
Explanation: The more effort applicants put into highlighting their skills, motivation, and
admiration for the organization, the more likely they are to be hired. A study examined this
relationship, finding that interviewers saw applicants who talked confidently about their
qualifications as a better fit for the job, and applicants who said positive things about the
organization as a better fit for the organization.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Easy
Quest. Category: Concept

109) When two organizations with very political environments interact with one another, the
political interactions between them can hurt performance in collaborative projects.
Answer: TRUE
Explanation: One study showed when two organizations with very political environments
interacted with one another, the political interactions between them hurt performance in
collaborative projects. This study shows companies should be wary of forming alliances with
companies that have high levels of internal political behavior.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Moderate
Quest. Category: Concept

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110) Studies from multiple countries around the world have similarly shown that higher levels of
political skill are associated with lower levels of perceived job performance.
Answer: FALSE
Explanation: Some individuals read interpersonal interactions well, fit their behavior to
situational needs, and excel at networking. Studies from multiple countries around the world
have similarly shown that higher levels of political skill are associated with higher levels of
perceived job performance.
LO: 13.7: Identify the causes, consequences, and ethics of political behavior.
Difficulty: Moderate
Quest. Category: Concept

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Organizational Behavior, 18e (Robbins)
Chapter 14 Conflict and Negotiation

1) ________ is defined as a process that begins when one party perceives another party has or is
about to negatively affect something the first party cares about.
A) Problem solving
B) Assessment
C) Conflict
D) Negotiation
E) Collective bargaining
Answer: C
Explanation: Conflict is defined as a process that begins when one party perceives another party
has or is about to negatively affect something the first party cares about.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Easy
Quest. Category: Concept

2) In the past, researchers ________.

A) considered all conflict to be harmful
B) considered all conflict to be necessary to generate discussion
C) considered all conflict to be necessary to improve the creativity of a group
D) argued about whether conflict was uniformly good or bad
E) argued about whether conflict was rational and cannot be avoided
Answer: D
Explanation: In the past, researchers argued about whether conflict was uniformly good or bad.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Moderate
Quest. Category: Concept

3) Conflict that hinders group performance is destructive or ________ conflict.

A) process
B) traditional
C) task
D) dysfunctional
E) dyadic
Answer: D
Explanation: Conflict that hinders group performance is destructive or dysfunctional conflict. A
highly personal struggle for control in a team that distracts from the task at hand is dysfunctional.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Easy
Quest. Category: Concept

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4) Gwyn is struggling with personal issues of control within her team. Her outbursts and
underhanded nature of functioning within the team is destructive. This could be considered
________.
A) relationship conflict
B) dysfunctional conflict
C) dysfunctional task conflict
D) dyadic relationship issues
E) intragroup conflict
Answer: B
Explanation: Conflict that hinders group performance is destructive or dysfunctional conflict. A
highly personal struggle for control in a team that distracts from the task at hand is dysfunctional.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Moderate
Quest. Category: Concept

5) Studies demonstrate that ________ conflicts are almost always ________.

A) relationship; formal
B) relationship; informal
C) relationship; dysfunctional
D) relationship; functional
E) task; reactive
Answer: C
Explanation: Studies demonstrate that relationship conflicts, at least in work settings, are almost
always dysfunctional.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Easy
Quest. Category: Concept

6) Conflict that relates to the content and goals of work is called ________ conflict.
A) job
B) task
C) relationship
D) process
E) communication
Answer: B
Explanation: Task conflict relates to the content and goals of the work. Low to moderate levels
of task conflict stimulate discussion of ideas. Task conflict is related to positive outcomes only
when all members share the same goals and have high levels of trust.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Easy
Quest. Category: Concept

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7) Conflicts related to how the work gets done are called ________ conflicts.
A) communication
B) task
C) job
D) relationship
E) process
Answer: E
Explanation: Process conflict relates to how the work gets done.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Easy
Quest. Category: Concept

8) Mike and Keith are on the same team; they work well with other people in the same team but
don't get along with each other. This type of conflict can best be described as ________.
A) intragroup
B) bilateral
C) intergroup
D) dyadic
E) dual
Answer: D
Explanation: Dyadic conflict takes place between two people. Intragroup conflict occurs within
a group or team. Intergroup conflict is conflict between groups or teams.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

9) Conflict between two people is called ________ conflict.

A) intragroup
B) bilateral
C) intergroup
D) dyadic
E) dual
Answer: D
Explanation: Dyadic conflict takes place between two people. Intragroup conflict occurs within
a group or team. Intergroup conflict is conflict between groups or teams.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Easy
Quest. Category: Concept

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It seems that your work group is in conflict much of the time. One colleague has suggested that
you, as the supervisor, are responsible for eliminating the conflict so that your work group can
function harmoniously. Another colleague has suggested that conflict is good for stimulating
creativity and productivity within the work environment. You are unsure about whether you
should try to eliminate the conflict within your group or learn to deal with it positively.

10) Contemporary perspectives tend to differentiate types of conflict based on their ________.
A) effects
B) being good or bad
C) emotional impact
D) task orientation
E) relationship orientation
Answer: A
Explanation: Contemporary perspectives differentiate types of conflict based on their effects.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
AACSB: Analytical thinking
Difficulty: Easy
Quest. Category: Application

11) Which of the following is false about views of conflict?

A) There is no consensus over the role of conflict in groups and organizations.
B) The notion that conflict is good or bad is somewhat outdated.
C) Contemporary perspectives differentiate types of conflict based on their good or bad effects.
D) The idea that conflict is good or bad can be viewed as simplistic.
E) Contemporary perspectives differentiate types of conflict based on their effects.
Answer: C
Explanation: Contemporary perspectives differentiate types of conflict based on their effects,
not on the notion of conflict being good or bad.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
AACSB: Analytical thinking
Difficulty: Easy
Quest. Category: Application

12) When your work group disagrees, the disagreements usually concern how the group's work
should be accomplished. The type of conflict experienced by your group is known as a ________
conflict.
A) task
B) relationship
C) process
D) traditional
E) reactive
Answer: C
Explanation: Process conflict relates to how the work gets done.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
AACSB: Analytical thinking
Difficulty: Easy
Quest. Category: Application
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13) Scholars generally agree that task and process conflicts are functional.
Answer: FALSE
Explanation: While scholars agree that relationship conflict is dysfunctional, there is
considerably less agreement about whether task and process conflicts are functional. Early
research suggested that task conflict within groups correlated to higher group performance, but a
review of 116 studies found that generalized task conflict was essentially unrelated to group
performance. However, there were factors of the conflict that could create a relationship between
conflict and performance.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Moderate
Quest. Category: Concept

14) Relationship conflicts are almost always functional.

Answer: FALSE
Explanation: Studies demonstrate that relationship conflicts are almost always dysfunctional. It
appears that the friction and interpersonal hostilities inherent in relationship conflicts increase
personality clashes and decrease mutual understanding, which hinders the completion of
organizational tasks.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Easy
Quest. Category: Concept

15) Conflict is uniformly good or bad.

Answer: FALSE
Explanation: In the past, researchers tended to argue about whether conflict was uniformly good
or bad. Such simplistic views eventually gave way to approaches that recognized that not all
conflicts are the same and that different types of conflict have different effects.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

16) The locus of conflict is synonymous with the framework within which the conflict occurs.
Answer: TRUE
Explanation: A way to understand conflict is to consider its locus, or the framework within
which the conflict occurs.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Moderate
Quest. Category: Concept

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17) Studies demonstrate that in work settings, relationship conflicts are almost always
dysfunctional. Why?
Answer: It appears that the friction and interpersonal hostilities inherent in relationship conflicts
increase personality clashes and decrease mutual understanding, which hinders the completion of
organizational tasks. Of the three types, relationship conflicts also appear to be the most
psychologically exhausting to individuals. Because they tend to revolve around personalities,
you can see how relationship conflicts can become destructive.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
Difficulty: Moderate
Quest. Category: Concept

18) Describe a functional conflict and dysfunctional conflict that could exist because of structure.
Answer: Some conflicts support the goals of the group and improve its performance; these are
functional, constructive forms of conflict. Additionally, there are conflicts that hinder group
performance; these are dysfunctional or destructive forms of conflict. Structural conflict includes
variables such as size, degree of specialization in the tasks assigned to group members,
jurisdictional clarity, member-goal compatibility, leadership styles, reward systems, and the
degree of dependence between groups. A functional-structural conflict that could exist in a long-
term situation would be that of a salesperson and a credit manager who are in constant conflict
because they have differing goals; the salesperson wishing to make the highest number of sales,
and the credit manager needing to ensure that all the sales will be paid. Although there is
conflict, it is functional because it is supportive of the overall group performance. A
dysfunctional-structural conflict could exist, for example, because tasks are not adequately
defined in a work group. The group would always be at odds and would not be advancing the
goals set and the tasks would be hindered.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Synthesis

19) Identify the three basic types of conflict from the perspective of where the conflict occurs
and discuss why it is important to understand the loci of conflict in order to address conflict in
the workplace.
Answer: The three basic types of conflict are dyadic (conflict between two people), intragroup
(conflict within a group or team), and intergroup (conflict between groups or teams). It is
important to recognize the loci of conflict in an organization in order to better understand why
the conflict is taking place and its impact on the organization.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Analytical

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20) What is the difference between intergroup conflict and intragroup conflict? Provide an
example of each type of conflict.
Answer: Intragroup conflict is conflict within a group or work team, whereas intergroup conflict
is conflict between groups or teams. Intragroup conflict is the focus of much of the research on
conflict in the workplace and the groups and teams that exist to perform a particular task. In this
type of group, it is important that a supportive climate exists if conflict is to have a positive
influence. Within an NFL team, for example, team members may be motivated to improve when
team members are supportive. The intergroup conflict that exists between members of one team
and those of another is a very different type of conflict, however, and one that may have little
bearing on conflict within a group.
LO: 14.1: Describe the three types of conflict and the three loci of conflict.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Analytical

21) Conservationists have had a perpetual conflict with the government of the United States over
the fast and rampant depletion of Earth's natural resources. They argue that the United States
must reduce its consumption level significantly to rectify this problem. Which of the following,
if true, would most strengthen the conservationists' argument?
A) The United States has been conserving forests for several years.
B) Most countries have not taken any measures to reduce their consumption levels of natural
resources.
C) There are several countries that have more requirements for resources than the United States.
D) The United States accounts for one-third of the total world resource consumption.
E) New resource deposits are constantly being discovered.
Answer: D
Explanation: The fact that the United States has been conserving forests for several years has
nothing to do with the conservationists' argument. Neither does the fact that there are several
countries that have more requirements for resources than the United States nor the fact that new
deposits are being discovered. The fact that most countries have not taken any measures to
reduce the consumption level does not provide support for the conclusion. The fact that the
United States consumes one-third of all resources used in the world supports the conclusion as
the United States cannot increase consumption to more than one-third of the world's resources or
they risk depleting Earth's resources even faster.
LO: 14.2: Outline the conflict process.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

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22) Matt works as a sales representative at Tandem Industries, which manufactures and sells
bicycles. He's the best salesman on the floor, but he also receives the highest number of customer
complaints for late deliveries. Which of the following, if true, best explains this situation?
A) The company uses enterprise solutions to manage inventory.
B) The company's manufacturing facility is functioning at optimum capacity.
C) The company's sales and logistics functions are tightly integrated.
D) The company keeps inventory levels low in order to reduce costs.
E) The company has an efficient credit verification process.
Answer: D
Explanation: In this situation, if the company keeps inventory levels low in order to reduce
costs, then it directly conflicts with Matt's job of selling bicycles and ultimately results in late
deliveries. This conflict is structural in nature. If the company uses enterprise solutions to
manage inventory and if its sales and logistics functions are tightly integrated, then the problem
of late deliveries should not arise. Similarly, if the firm's manufacturing facility is functioning at
optimum capacity, then there should be an adequate of supply of bicycles. If the company's
credit verification process is efficient, then it would not result in late deliveries.
LO: 14.2: Outline the conflict process.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

23) Conditions that can create conflicts can be classified into three categories. Which of the
following is one of these three categories that includes variables such as jurisdictional clarity,
member-goal compatibility, and leadership styles?
A) communication
B) structure
C) personal variables
D) group interactions
E) process variables
Answer: B
Explanation: Conflicts related to structure result from variables such as size, degree of
specialization in the tasks assigned to group members, jurisdictional clarity, member-goal
compatibility, leadership styles, reward systems, and the degree of dependence between groups.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

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24) Which of the following statements is true regarding conflict?
A) The smaller the group, the greater the likelihood of conflict.
B) The less specialized the activities of the group, the greater the likelihood of conflict.
C) People low in the personality traits of disagreeableness, neuroticism, or self-monitoring are
more likely to engage in a conflict.
D) Emotions can cause conflict even when they are not directed at others.
E) As the ambiguity about where responsibility for actions lies decreases, the potential for
conflict increases.
Answer: D
Explanation: Emotions can cause conflict even when they are not directed at others. People high
in the personality traits of disagreeableness, neuroticism, or self-monitoring are more likely to
engage in a conflict.
LO: 14.2: Outline the conflict process.
Difficulty: Hard
Quest. Category: Concept

25) Stage II of the conflict process deals with the conflict being ________.
A) perceived and felt
B) apparent and experienced
C) expressed and resolved
D) analyzed
E) internalized
Answer: A
Explanation: The potential for opposition or incompatibility becomes actualized in the second
stage. Because a conflict is a perceived conflict does not mean it is personalized. It is at the felt
conflict level, when individuals become emotionally involved, that parties experience anxiety,
tension, frustration, or hostility.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

26) The ________ stage of the conflict process is important because it's where conflict issues
tend to be defined.
A) potential opposition
B) cognition and personalization
C) intention
D) behavior
E) reaction and transference
Answer: B
Explanation: The cognition and personalization stage of the conflict process is important
because it's where conflict issues tend to be defined. This is the point when the parties decide
what the conflict is about.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

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27) ________ is the third stage in the conflict process and it intervenes between people's
perceptions and their overt behavior.
A) Potential for opposition
B) Intention
C) Cognition
D) Attribution
E) Behavioral manifestation
Answer: B
Explanation: Intentions intervene between people's perceptions and emotions and their overt
behavior. They are decisions to act in a given way.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

28) The conflict-handling techniques are characterized by two dimensions, cooperativeness and
assertiveness. Cooperativeness indicates the degree to which ________.
A) one party attempts to satisfy his or her own concerns
B) one party attempts to suppress the conflict
C) the parties attempt to find a win-win solution
D) one party attempts to satisfy the other party's concerns
E) the parties are willing to involve a third party in conflict resolution
Answer: D
Explanation: Cooperativeness indicates the degree to which one party attempts to satisfy the
other party's concerns.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Concept

29) Assertiveness indicates the degree to which ________.

A) one party attempts to satisfy his or her own concerns
B) one party attempts to suppress the conflict
C) the parties attempt to find a win-win solution
D) one party attempts to satisfy the other party's concerns
E) the parties are willing to involve a third party in conflict resolution
Answer: A
Explanation: Assertiveness indicates the degree to which one party attempts to satisfy his or her
own concerns.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Concept

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30) When one person seeks to satisfy his or her own interests regardless of the impact on the
other parties to the conflict, that person is using the conflict-handling intention of ________.
A) competing
B) avoiding
C) accommodating
D) compromising
E) collaborating
Answer: A
Explanation: When one person seeks to satisfy his or her own interests regardless of the impact
on the other parties to the conflict, that person is competing.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

31) ________ is a conflict-handling technique in which the parties in a conflict each desire to
satisfy fully the concerns of all parties.
A) Collaborating
B) Competing
C) Accommodating
D) Avoiding
E) Compromising
Answer: A
Explanation: When parties in conflict each desire to fully satisfy the concerns of all parties,
there is cooperation and a search for a mutually beneficial outcome. In collaborating, the parties
intend to solve a problem by clarifying differences rather than by accommodating various points
of view.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

32) The conflict-handling intention of collaborating is ________.

A) assertive and uncooperative
B) assertive and cooperative
C) unassertive and uncooperative
D) unassertive and cooperative
E) affective and reflective
Answer: B
Explanation: Collaborating intentions are assertive and cooperative.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Concept

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33) Which of the following conflict-handling intentions is unassertive and uncooperative?
A) competing
B) collaborating
C) avoiding
D) compromising
E) accommodating
Answer: C
Explanation: Avoiding intentions are unassertive and uncooperative.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Concept

34) The conflict-handling intention of accommodating is ________.

A) assertive and uncooperative
B) assertive and cooperative
C) unassertive and uncooperative
D) unassertive and cooperative
E) reflective and assertive
Answer: D
Explanation: Accommodating intentions are unassertive and cooperative.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Concept

35) Luke's cubicle neighbor Leia, though an understanding and great co-worker, talks loudly on
the phone. Luke gets annoyed every time Leia's phone rings, but he has decided it's simply not
worth the trouble to talk to her about it. Luke's conflict-handling intention is called ________.
A) competing
B) avoiding
C) accommodating
D) compromising
E) collaborating
Answer: B
Explanation: A person may recognize a conflict exists and want to withdraw from or suppress it.
Examples of avoiding include trying to ignore a conflict and avoiding others with whom you
disagree.
LO: 14.2: Outline the conflict process.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

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36) A party who seeks to appease an opponent may be willing to place the opponent's interests
above his or her own, sacrificing to maintain the relationship. We refer to this conflict-handling
intention as ________.
A) collaborating
B) avoiding
C) compromising
D) competing
E) accommodating
Answer: E
Explanation: A party who seeks to appease an opponent may be willing to place the opponent's
interests above his or her own, sacrificing to maintain the relationship. We refer to this conflict-
handling intention as accommodating.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Concept

37) Macy does not like a few of the standard operating procedures adapted for the new project.
However, she discussed the items with the team and told them that she realized she was in the
minority and that she would adapt the new procedures to maintain smooth operations within the
team. This type of conflict-handling intention is called ________.
A) negotiating
B) accommodating
C) collaborating
D) compromising
E) competing
Answer: B
Explanation: A party who seeks to appease an opponent may be willing to place the opponent's
interests above his or her own, sacrificing to maintain the relationship. We refer to this conflict-
handling intention as accommodating. Supporting someone else's opinion despite your
reservations about it, for example, is accommodating.
LO: 14.2: Outline the conflict process.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

38) Which of the following conflict-handling intentions is assertive and uncooperative?

A) compromising
B) avoiding
C) competing
D) collaborating
E) accommodating
Answer: C
Explanation: The conflict-handling intention of competing is assertive and uncooperative.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

100
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39) Which of the following conflict-handling intentions involves accepting a solution that
provides incomplete satisfaction of both parties' concerns?
A) collaborating
B) compromising
C) avoiding
D) competing
E) accommodating
Answer: B
Explanation: In compromising, there is no clear winner or loser. Rather, there is a willingness to
ration the object of the conflict and accept a solution that provides incomplete satisfaction of
both parties' concerns.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

40) In which stage of the conflict process does conflict become visible?
A) outcomes
B) intentions
C) incompatibility
D) behavior
E) personalization
Answer: D
Explanation: When most people think of conflict situations, they tend to focus on Stage IV
because this is where conflicts become visible. The behavior stage includes the statements,
actions, and reactions made by the conflicting parties, usually as overt attempts to implement
their own intentions.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

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41) A conflict-intensity continuum has "annihilatory conflict" at the upper end and "no conflict"
at the lower end. In the context of this conflict-intensity continuum, which of the following
statements is true of conflict intensities?
A) Aggressive physical attacks fall in the lower range of the conflict-intensity continuum.
B) Conflicts that reach the lower ranges of the conflict-intensity continuum are almost always
dysfunctional.
C) Strikes, riots, and wars fall in the lower range of the conflict-intensity continuum.
D) In cases of annihilatory conflict, there is overt questioning or challenging of others.
E) Functional conflicts are typically confined to the lower range of the conflict-intensity
continuum.
Answer: E
Explanation: All conflicts exist somewhere along the conflict-intensity continuum. At the lower
part are conflicts characterized by subtle, indirect, and highly controlled forms of tension.
Conflict intensities escalate as they move upward along the continuum until they become highly
destructive. Strikes, riots, and wars clearly fall in this upper range. Conflicts that reach the upper
ranges of the continuum are almost always dysfunctional. Functional conflicts are typically
confined to the lower range of the continuum.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Concept

102
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42) The division manager at Xperience Inc. wants to replace the SAP ERP currently used in his
division with Epicor ERP as it costs 30 percent less to train new staff in Epicor ERP. But this
leads to a conflict with the general manager, who insists that they can simply hire only people
who already know how to use SAP ERP. Which of the following, if true, weakens the general
manager's objection to the replacement of SAP ERP with Epicor ERP?
A) Currently all employees in the company are required to attend workshops on how to use SAP
ERP.
B) Once employees learn how to use an ERP system, they tend to change employers more
readily than before.
C) Experienced users of SAP ERP command much higher salaries than do prospective
employees who have no experience in the use of any ERP.
D) The average productivity of employees in the company is below the average productivity of
the employees of its competitors.
E) The high costs of updates and upgrades make Epicor ERP more expensive to maintain than
SAP ERP.
Answer: C
Explanation: The general manager's objection is based on avoiding training costs altogether. But
if hiring experienced users of SAP ERP is significantly more costly than hiring otherwise
qualified people who would have to be trained to use Epicor ERP, the objection is weakened.
Hence, the fact that experienced users of SAP ERP command much higher salaries weakens it.
The fact that the high costs of updates and upgrades make Epicor ERP more expensive to
maintain than SAP ERP argues independently against replacing SAP ERP with Epicor ERP and
thus is also incorrect. The rest of the options do not provide any information relevant to an
evaluation of SAP ERP as compared with Epicor ERP.
LO: 14.2: Outline the conflict process.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

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43) According to a newly added office smoking regulation, only employees who have an
enclosed office may smoke at their desks. This leads to a major conflict between various
employees as virtually all employees with enclosed offices are higher-level managers and all
other employees lack enclosed offices. Therefore, the lower-level employees who smoke argue
that they should be offered enclosed offices. Which of the following, if true, strengthens the
employees' argument?
A) The company is a zealous supporter of the "Kick the Butt" campaign–a corporate anti-
smoking campaign.
B) Higher-level managers, who have enclosed offices, are willing to share their offices with-
lower level employees.
C) The smoking regulations allow all employees who smoke an equal opportunity to do so,
regardless of an employee's job level.
D) Employees at the higher level, who do not smoke, do not have enclosed offices.
E) The company has a limited budget for infrastructure modifications.
Answer: C
Explanation: If the smoking regulations allow all employees who smoke an equal opportunity to
do so, regardless of an employee's job level, then the employees are justified in demanding
enclosed offices. Hence, this strengthens their argument. If higher-level managers are willing to
share, this only weakens the employees' argument as they don't need separate offices. The other
options are all against rather than for the employees' argument. The fact that the company is a
zealous supporter of the "Kick the butt before you kick the bucket campaign" is out of scope.
LO: 14.2: Outline the conflict process.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

44) Which of the following is a conflict-stimulation technique?

A) expansion of resources
B) compromise
C) bringing in outsiders
D) exercising authoritative command
E) problem solving
Answer: C
Explanation: Bringing in outsiders, or adding employees to a group whose backgrounds, values,
attitudes, or managerial styles differ from those of present members, creates a conflict-
stimulation.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

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45) Which of the following conflict management techniques involves designating a critic to
purposely argue against the majority positions held by the group?
A) altering the structural variables
B) altering the human variable
C) bringing in outsiders
D) exercising authoritative command
E) appointing a devil's advocate
Answer: E
Explanation: Appointing a devil's advocate is a conflict-stimulation technique where a critic is
designated to purposely argue against the majority positions held by the group.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

46) Conflict is dysfunctional when it ________.

A) provides a medium to release tension
B) reduces group cohesiveness
C) fosters an environment of self-evaluation
D) provides a means for expressing frustration
E) leads to change
Answer: B
Explanation: Among the more undesirable consequences of dysfunctional conflict are hampered
communication, reductions in group cohesiveness, and subordination of group goals to the
primacy of infighting among members.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Concept

47) Which of the following statements is true regarding negotiation that takes place in a
collectivist culture?
A) Collectivists are less likely to seek to preserve relationships and promote the good of the
group as a whole than individualists.
B) Collectivists are more likely to confront differences of opinion directly and openly than
individualists.
C) Collectivist cultures see people as autonomous, not as people deeply embedded in social
situations.
D) Compared to individualists, collectivists are less likely to see offers from their counterparts as
unfair and to reject them.
E) The method of conflict management preferred by collectivist managers is competing.
Answer: D
Explanation: Compared to collectivist culture negotiators, their more individualist counterparts
are more likely to see offers from their counterparts as unfair and to reject them.
LO: 14.2: Outline the conflict process.
AACSB: Diverse and multicultural work environments
Difficulty: Hard
Quest. Category: Concept

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48) A collectivist Chinese manager is most likely to use which of the following techniques for
conflict management?
A) direct confrontation
B) authoritative command
C) avoiding
D) pressurizing
E) competing tactics
Answer: C
Explanation: To preserve peaceful relationships, collectivists will avoid direct expression of
conflicts, preferring to use more indirect methods for resolving differences of opinion. Whereas
U.S. managers are more likely to use competing tactics in the face of conflicts, compromising
and avoiding are the most preferred methods of conflict management in China.
LO: 14.2: Outline the conflict process.
AACSB: Diverse and multicultural work environments
Difficulty: Easy
Quest. Category: Concept

49) All of the following are benefits of conflict in organizations except ________.
A) increased self-evaluation and change
B) increased groupthink
C) increased creativity and innovation
D) increased curiosity among group members
E) increased opportunity to air problems
Answer: B
Explanation: Conflict is constructive when it improves the quality of decisions, stimulates
creativity and innovation, encourages curiosity and interest among group members, provides the
medium for problems to be aired and tension released, and fosters self-evaluation and change.
LO: 14.2: Outline the conflict process.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

50) The potential for conflict increases when too much communication takes place.
Answer: TRUE
Explanation: The potential for conflict increases when either too little or too much
communication takes place. Apparently, an increase in communication is functional up to a
point, after which it is possible to overcommunicate, with a resultant increase in the potential for
conflict.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

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51) A review that examined the effects of the four sets of behaviors across multiple studies found
that openness and collaborating were both associated with superior group performance, whereas
avoiding and competing strategies were associated with significantly worse group performance.
Answer: TRUE
Explanation: A review that examined the effects of the four sets of behaviors across multiple
studies found that openness and collaborating were both associated with superior group
performance, whereas avoiding and competing strategies were associated with significantly
worse group performance.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Analytical

52) During the behavior stage of the conflict process, the parties decide what the conflict is
about.
Answer: FALSE
Explanation: During the cognition and personalization stage, the parties decide what the conflict
is about. The definition of a conflict is important because it typically delineates the set of
possible settlements.
LO: 14.2: Outline the conflict process.
Difficulty: Easy
Quest. Category: Concept

53) Cross-cultural negotiations have no issues of trust.

Answer: FALSE
Explanation: Cross-cultural negotiations can also create issues of trust. One study of Indian and
U.S. negotiators found that respondents reported having less trust in their cross-culture
negotiation counterparts. The lower level of trust was associated with lower discovery of
common interests between parties, which occurred because cross-culture negotiators were less
willing to disclose and solicit information.
LO: 14.2: Outline the conflict process.
AACSB: Diverse and multicultural work environments
Difficulty: Easy
Quest. Category: Concept

54) Collectivists are more interested in demonstrations of concern and working through third
parties to resolve disputes, whereas individualists are more likely to confront differences of
opinion directly and openly.
Answer: TRUE
Explanation: Collectivists are more interested in demonstrations of concern and working
through third parties to resolve disputes, whereas individualists are more likely to confront
differences of opinion directly and openly.
LO: 14.2: Outline the conflict process.
AACSB: Diverse and multicultural work environments
Difficulty: Moderate
Quest. Category: Concept

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55) A review that examined the effects of the four sets of behaviors across multiple studies found
that openness and collaborating were both associated with superior group performance.
Answer: TRUE
Explanation: A review that examined the effects of the four sets of behaviors across multiple
studies found that openness and collaborating were both associated with superior group
performance, whereas avoiding and competing strategies were associated with significantly
worse group performance. These effects were nearly as large as the effects of relationship
conflict. This further demonstrates that it is not just the existence of conflict or even the type of
conflict that creates problems, but rather, the ways people respond to conflict and manage the
process once conflicts arise.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Concept

56) What are the various causes of conflict?

Answer: The three general categories of conditions that may be the sources of conflict are
communication, structure, and personal variables.
a) Communication represents those opposing forces that arise from semantic difficulties,
misunderstandings, and "noise" in the communication channels. Differing word connotations,
jargon, insufficient exchange of information, and noise in the communication channel are all
barriers to communication and potential antecedent conditions to conflict. The potential for
conflict increases when either too little or too much communication takes place.
b) Structure includes variables such as size, degree of specialization in the tasks assigned to
group members, jurisdictional clarity, member-goal compatibility, leadership styles, reward
systems, and the degree of dependence between groups.
c) Personal variables include individual value systems that each person has and the personality
characteristics that account for individual idiosyncrasies and differences.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Concept

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57) Describe the five conflict-handling intentions that are based on the dimensions of
cooperativeness and assertiveness.
Answer: The five conflict-handling intentions that are based on the dimensions of
cooperativeness and assertiveness are:
a) Competing: When one person seeks to satisfy his or her own interests, regardless of the impact
on the other parties to the conflict, that person is competing.
b) Collaborating: In collaborating, the intention of the parties is to solve the problem by
clarifying differences rather than by accommodating various points of view.
c) Avoiding: In avoiding, a person may recognize that a conflict exists and want to withdraw
from it or suppress it.
d) Accommodating: A party who seeks to appease an opponent may be willing to place the
opponent's interests above his or her own, sacrificing to maintain the relationship. We refer to
this conflict-handling intention as accommodating.
e) Compromising: In compromising, there is no clear winner or loser. Rather, there is a
willingness to ration the object of the conflict and accept a solution that provides incomplete
satisfaction of both parties' concerns.
LO: 14.2: Outline the conflict process.
Difficulty: Moderate
Quest. Category: Concept

58) Outline and discuss the conflict process.

Answer: The conflict process can be seen as comprising five stages: potential opposition or
incompatibility, cognition and personalization, intentions, behavior, and outcomes.
a) The first step in the conflict process is the presence of conditions that create opportunities for
conflict to arise. They need not lead directly to conflict, but one of these conditions is necessary
if conflict is to surface. These conditions are communication, structure, and personal variables. If
the conditions related to these variables negatively affect something that one party cares about,
then the potential for opposition or incompatibility becomes actualized in the second stage. The
antecedent conditions can only lead to conflict when one or more of the parties are affected by,
and aware of, the conflict.
b) "Stage II" is cognition and personalization. This is where conflict issues tend to be defined.
c) In "Stage III," intentions intervene between people's perceptions and emotions and their overt
behavior. These intentions are decisions to act in a certain way. This is "Stage III" of the conflict
process.
d) When most people think of conflict situations, they tend to focus on "behavior" because this is
where conflicts become visible. The behavior stage includes statements, actions, and reactions
made by the conflicting parties. This is "Stage IV" of the conflict process.
e) The action-reaction interplay between the conflicting parties results in consequences. These
outcomes in "Stage V" may be functional in that the conflict results in an improvement in the
group's performance, or dysfunctional in that it hinders group performance.
LO: 14.2: Outline the conflict process.
Difficulty: Hard
Quest. Category: Concept

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59) Explain the conflict resolution strategies used by collectivist cultures.
Answer: Collectivist cultures see people as deeply embedded in social situations. As a result,
collectivists are more likely to seek to preserve relationships and promote the good of the group
as a whole than individualists. To preserve peaceful relationships, collectivists will avoid direct
expression of conflicts, preferring to use more indirect methods for resolving differences of
opinion. Compromising and avoiding are the most preferred methods of conflict management in
China. Smoothing, or playing down differences while emphasizing common interests between
the conflicting parties, is also a good technique to maintain relationships. Collectivists such as
the Chinese may also be more interested in demonstrations of concern and working through third
parties to resolve disputes.
LO: 14.2: Outline the conflict process.
AACSB: Diverse and multicultural work environments
Difficulty: Moderate
Quest. Category: Concept

60) Which of the following terms best describes the process that occurs when two or more
parties decide how to allocate scarce resources?
A) integration
B) association
C) negotiation
D) unionization
E) differentiation
Answer: C
Explanation: We can define negotiation as a process that occurs when two or more parties
decide how to allocate scarce resources.
LO: 14.3: Contrast distributive and integrative bargaining.
Difficulty: Easy
Quest. Category: Concept

61) The terms negotiation and ________ are used interchangeably.

A) win-lose
B) bargaining
C) collaboration
D) accommodation
E) compromise
Answer: B
Explanation: Negotiation can be defined as a process that occurs when two or more parties
decide how to allocate scarce resources and agree on an exchange rate for the resources. The
terms negotiation and bargaining can be used interchangeably.
LO: 14.3: Contrast distributive and integrative bargaining.
Difficulty: Easy
Quest. Category: Concept

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62) Which of the following is not a necessary condition for integrative bargaining to succeed in
organizations?
A) Opposing parties have a zero-sum outlook.
B) Opposing parties are open with information.
C) Opposing parties are candid about concerns.
D) Opposing parties are sensitive to the other's needs and trust.
E) Opposing parties maintain flexibility.
Answer: A
Explanation: For integrative bargaining to succeed in an organization, opposing parties must be
open with information, candid about concerns, sensitive to the other's needs and trust, and
flexible.
LO: 14.3: Contrast distributive and integrative bargaining.
Difficulty: Moderate
Quest. Category: Analytical

63) Negotiation is a process that begins when one party perceives that another party has
negatively affected, or is about to negatively affect, something that the first party cares about.
Answer: FALSE
Explanation: We can define negotiation as a process that occurs when two or more parties
decide how to allocate scarce resources.
LO: 14.3: Contrast distributive and integrative bargaining.
Difficulty: Easy
Quest. Category: Concept

64) Discuss the effectiveness of teams versus individuals in negotiations in collectivist cultures.
Answer: In general, the literature has suggested that teams negotiate more effectively than
individuals negotiating alone. Some evidence indicates that team negotiations create more
ambitious goals, and that teams communicate more with each other than individual negotiators
do. Common sense suggests that if this is indeed the case, it is especially true in collectivistic
cultures, where individuals are more likely to think of collective goals and be more comfortable
working in teams. A study of the negotiation of teams in the United States and in Taiwan,
however, suggests that this common sense is wrong. In both countries, solo individuals proved to
be more effective than teams. Why? The researchers determined that in Taiwan, norms
respecting harmony already exist, and negotiating in teams only amplifies that tendency
prompting teams to satisfice to avoid conflict. Overall, these finding suggest that negotiating
individually works best in collectivist cultures, and negotiating in teams works best in
individualistic cultures.
LO: 14.3: Contrast distributive and integrative bargaining.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

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65) The two general approaches to negotiation are ________ bargaining and ________
bargaining.
A) emotional; rational
B) affective; reflective
C) distributive; integrative
D) formal; informal
E) legal; restrictive
Answer: C
Explanation: There are two general approaches to negotiation: distributive bargaining and
integrative bargaining. In distributive bargaining, negotiation seeks to divide up a fixed amount
of resources into a win-lose situation. With integrative bargaining, negotiation seeks one or more
settlements that can create a win-win solution.
LO: 14.4: Apply the five steps of the negotiation process.
Difficulty: Easy
Quest. Category: Concept

66) ________ bargaining is negotiation that seeks to divide a fixed amount of goods or services.
A) Distributive
B) Integrative
C) Reflective
D) Affective
E) Conjunctive
Answer: A
Explanation: The essence of distributive bargaining is negotiating over who gets what share of a
fixed pie. Fixed pie refers to a set amount of goods or services to be divided up. When the pie is
fixed, or parties believe it is, they tend to engage in distributive bargaining.
LO: 14.4: Apply the five steps of the negotiation process.
Difficulty: Easy
Quest. Category: Concept

67) Karl is the labor union negotiator. Today, he is meeting with the top management to discuss
the new five-year contract, including wages and benefits. This labor-management negotiation
over wages is most likely to use ________ bargaining.
A) integrative
B) reflective
C) distributive
D) evaluative
E) associative
Answer: C
Explanation: The most widely cited example of distributive bargaining is labor-management
negotiations over wages.
LO: 14.4: Apply the five steps of the negotiation process.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

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68) In the case of a distributive bargaining, the ________ point indicates what a person would
like to achieve out of the negotiation.
A) resistance
B) distribution
C) target
D) bargaining
E) focus
Answer: C
Explanation: Each party in a negotiation has a target point that defines what he or she would like
to achieve. Each also has a resistance point, which marks the lowest outcome that is acceptable,
or the point below which the party would break off negotiations rather than accept a less
favorable settlement.
LO: 14.4: Apply the five steps of the negotiation process.
Difficulty: Easy
Quest. Category: Concept

69) In the case of distributive bargaining, the ________ point marks the lowest outcome that is
acceptable–the point below which the party would break off negotiations rather than accept a less
favorable settlement.
A) resistance
B) tolerance
C) target
D) focal
E) distribution
Answer: A
Explanation: Each party in a negotiation has a target point that defines what he or she would like
to achieve. Each also has a resistance point, which marks the lowest outcome that is acceptable,
or the point below which the party would break off negotiations rather than accept a less
favorable settlement.
LO: 14.4: Apply the five steps of the negotiation process.
Difficulty: Easy
Quest. Category: Concept

70) Which of the following statements is true regarding distributive bargaining?

A) It operates under zero-sum conditions.
B) It focuses on long-term relationships.
C) It involves high information sharing.
D) It attempts to create a win-win solution.
E) It is rarely used in labor-management negotiations.
Answer: A
Explanation: Distributive bargaining operates under zero-sum conditions. The essence of
distributive bargaining is negotiating over who gets what share of a fixed pie.
LO: 14.4: Apply the five steps of the negotiation process.
Difficulty: Moderate
Quest. Category: Concept

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71) During a negotiation, making an initial offer leads to the ________ bias.
A) self-serving
B) framing
C) attributional
D) anchoring
E) belief
Answer: D
Explanation: During a negotiation, making an initial offer leads to the anchoring bias. People
tend to fixate on initial information. Once that anchoring point is set, they fail to adequately
adjust it based on subsequent information.
LO: 14.4: Apply the five steps of the negotiation process.
Difficulty: Easy
Quest. Category: Concept

72) Which of the following statements is true regarding integrative bargaining?

A) Integrative bargaining leaves one party a loser.
B) Integrative bargaining is used in labor-management negotiations most of the time.
C) Integrative bargaining focuses on long-term relationships.
D) Integrative bargaining operates under zero-sum conditions.
E) Integrative bargaining involves low information sharing.
Answer: C
Explanation: Integrative bargaining involves high information sharing and attempts to create a
win-win solution. In terms of intraorganizational behavior, all things being equal, integrative
bargaining is preferable to distributive bargaining because the former builds long-term
relationships.
LO: 14.4: Apply the five steps of the negotiation process.
Difficulty: Moderate
Quest. Category: Concept

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Labor and management at Leo Trucking cannot seem to agree upon a contract for the truck
drivers. As each side contends that they are bargaining fairly, no agreement seems to be possible.
The drivers are threatening to go on strike, and management knows that such a strike would
prove to be costly.

73) As both sides agree that they are competing over a fixed amount of resources, each side feels
that what one side wins, the other loses. Based on this information, we can say that the two sides
are engaged in ________.
A) conciliation
B) distributive bargaining
C) mediation
D) integrative bargaining
E) arbitration
Answer: B
Explanation: The essence of distributive bargaining is negotiating over who gets what share of a
fixed pie. When the pie is fixed, or parties believe it is, they tend to engage in distributive
bargaining. Probably the most widely cited example of distributive bargaining is labor
management negotiations over wages.
LO: 14.4: Apply the five steps of the negotiation process.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

74) None of the parties involved in the dispute wants to reach a win-win agreement. They are
each highly focused on their demands, which they would like to achieve, otherwise known as
their ________ points.
A) focal
B) distribution
C) resistance
D) tolerance
E) target
Answer: E
Explanation: With distributive bargaining, each party has a target point that defines what he or
she would like to achieve. Each also has a resistance point, which marks the lowest outcome that
is acceptable, or the point below which the party would break off negotiations rather than accept
a less favorable settlement.
LO: 14.4: Apply the five steps of the negotiation process.
AACSB: Analytical thinking
Difficulty: Easy
Quest. Category: Application

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75) The management has decided to try to find a win-win solution to help both parties resolve
their differences. Management is attempting to engage in ________ bargaining.
A) integrative
B) reflective
C) surface
D) distributive
E) reformatory
Answer: A
Explanation: In integrative bargaining, the parties try to expand the pie so that both parties are
satisfied and reach a win-win agreement.
LO: 14.4: Apply the five steps of the negotiation process.
AACSB: Analytical thinking
Difficulty: Easy
Quest. Category: Application

76) Distributive bargaining attempts to create a win-win solution for both the parties.
Answer: FALSE
Explanation: Distributive bargaining operates under zero-sum conditions. The essence of
distributive bargaining is negotiating over who gets what share of a fixed pie. Distributive
bargaining involves a win-lose situation.
LO: 14.4: Apply the five steps of the negotiation process.
Difficulty: Easy
Quest. Category: Concept

77) In terms of intraorganizational behavior, all things being equal, integrative bargaining is
preferable to distributive bargaining.
Answer: TRUE
Explanation: In terms of intraorganizational behavior, all things being equal, integrative
bargaining is preferable to distributive bargaining because the former builds long-term
relationships.
LO: 14.4: Apply the five steps of the negotiation process.
Difficulty: Moderate
Quest. Category: Concept

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78) In terms of intraorganizational behavior, all things being equal, why is integrative bargaining
preferable to distributive bargaining?
Answer: In terms of intraorganizational behavior, all things being equal, integrative bargaining
is preferable to distributive bargaining because the former builds long-term relationships.
Integrative bargaining bonds negotiators and allows them to leave the bargaining table feeling
they have achieved a victory. Distributive bargaining, however, leaves one party a loser. It tends
to build animosities and deepen divisions when people have to work together on an ongoing
basis. Research shows that over repeated bargaining episodes, when the "losing" party feels
positive about the negotiation outcome, he or she is much more likely to bargain cooperatively in
subsequent negotiations. This points to an important advantage of integrative negotiations, even
when you "win," you want your opponent to feel good about the negotiation.
LO: 14.4: Apply the five steps of the negotiation process.
Difficulty: Moderate
Quest. Category: Concept

79) Describe the first step of the negotiation process. How does this step affect negotiating
parties' relationship? How does the negotiating parties' relationship help determine the kind of
bargaining that will be done (integrative or distributive)?
Answer: The first step of the negotiating process is planning and preparation. Before negotiating
it's important to prepare by considering the nature of the conflict, the history leading up to the
negotiation, who's involved and what their perceptions of the conflict are, what is desired from
the negotiation, and what you hope to achieve.
Relationships can change as a result of a negotiation, so that's another outcome to take into
consideration in the planning and preparation phase. If one side completely "wins" a negotiation,
it can push the other side into resentment or animosity. It might be wiser to pursue a more
compromising style. If preserving the relationship will make you seem weak and easily
exploited, you may want to consider a more aggressive style.
In terms of intraorganizational behavior, all things being equal, integrative bargaining is
preferable to distributive bargaining because the former builds long-term relationships.
Integrative bargaining bonds negotiators and allows them to leave the bargaining table feeling
they have achieved a victory. Distributive bargaining, however, leaves one party a loser.
LO: 14.4: Apply the five steps of the negotiation process.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

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80) What is BATNA? Discuss the significance of BATNA.
Answer: BATNA stands for best alternative to a negotiated agreement. During a negotiation
process, each of the parties involved should develop their BATNA during the first stage of
preparation and planning. Your BATNA determines the lowest value acceptable to you for a
negotiated agreement. Any offer you receive that is higher than your BATNA is better than an
impasse. Conversely, you shouldn't expect success in your negotiation effort unless you're able to
make the other side an offer it finds more attractive than its BATNA. If you go into your
negotiation having a good idea of what the other party's BATNA is, even if you're not able to
meet it, you might be able to elicit a change.
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Moderate
Quest. Category: Concept

81) In a negotiation between a man and a woman, we would expect the woman to ________ than
the man.
A) act more assertively
B) show higher self-interest
C) be more accommodating
D) place a higher value on the economic outcome
E) be more proactive in getting negotiations underway
Answer: C
Explanation: Compared to men, women tend to behave in a less assertive, less self-interested,
and more accommodating manner. In addition, men tend to value economic outcomes more than
women.
LO: 14.5: Show how individual differences influence negotiations.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

82) Which of the following is not true regarding gender differences in negotiations?
A) Men and women negotiate differently.
B) Men value status more than women.
C) Women value compassion and altruism more than men.
D) Men place a lower value on economic outcomes than women.
E) Women place a higher value on relationship outcomes than men.
Answer: E
Explanation: Women tend to value relationship outcomes more than men.
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Moderate
Quest. Category: Concept

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83) Which of the following is the first step in the negotiation process?
A) definition of ground rules
B) clarification and justification
C) preparation and planning
D) bargaining and problem solving
E) closure and implementation
Answer: C
Explanation: The negotiation process is made up of five steps: (1) preparation and planning, (2)
definition of ground rules, (3) clarification and justification, (4) bargaining and problem solving,
and (5) closure and implementation.
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Easy
Quest. Category: Concept

84) Your ________ determines the lowest value acceptable to you for a negotiated agreement.
A) BATNA
B) margin of error
C) bid price
D) asking price
E) hidden value
Answer: A
Explanation: As part of your strategy, you should determine your and the other side's best
alternative to a negotiated agreement (BATNA). Your BATNA determines the lowest value
acceptable to you for a negotiated agreement.
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Easy
Quest. Category: Concept

85) In a negotiation process, which of the following activities is most likely to be included in the
preparation and planning step?
A) justifying your original demands
B) determining your best alternative to a negotiated agreement
C) determining where the negotiation will take place
D) designing procedures for implementing the agreement that has been worked out
E) exchange of the initial proposals or demands
Answer: B
Explanation: In a negotiation process, your best alternative to a negotiated agreement (BATNA)
is determined during the preparation and planning step.
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Moderate
Quest. Category: Concept

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86) During which phase of the negotiation process do the parties exchange their initial proposals
or demands?
A) preparation and planning
B) definition of ground rules
C) clarification and justification
D) bargaining and problem solving
E) integration of preferences
Answer: B
Explanation: After planning and developing a strategy, it is important to begin defining with the
other party the ground rules and procedures of the negotiation itself. During this phase, the
parties will also exchange their initial proposals or demands.
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Moderate
Quest. Category: Concept

87) In a negotiation process, which of the following activities is most likely to be included in the
definition of ground rules step?
A) determining your best alternative to a negotiated agreement
B) determining time constraints, if any, applicable to negotiation
C) justifying your original demands
D) formalizing the agreement that has been worked out
E) determining the history leading up to the negotiation
Answer: B
Explanation: Once you've done your planning and developed a strategy, you're ready to begin
defining with the other party the ground rules and procedures of the negotiation itself. Points,
such as who will do the negotiating, where it will take place, and what time constraints, if any,
will apply, are discussed during the definition of ground rules step.
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Moderate
Quest. Category: Concept

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88) Bill is negotiating for the labor union. Today, he is presenting the evidence and papers that
demonstrate the average wages in the area, the cost of healthcare for the average worker, and a
pie graph demonstrating how these costs affect the new salary request. Which phase of the
negotiation process is Bill currently in?
A) preparation and planning
B) definition of ground rules
C) clarification and justification
D) bargaining and problem solving
E) closure and implementation
Answer: C
Explanation: The clarification and justification phase is the opportunity for both parties to
explain, amplify, clarify, bolster, and justify their original demands. It's an opportunity for
educating and informing each other on the issues, why they are important, and how the initial
demands were determined. At this point, documentation that helps support each position is
presented.
LO: 14.5: Show how individual differences influence negotiations.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

89) During which phase of the negotiation process do the parties have the actual discussion to
hash out an agreement?
A) preparation and planning
B) definition of ground rules
C) closure and implementation
D) bargaining and problem-solving
E) integration of preferences
Answer: D
Explanation: The essence of the negotiation process is the actual give-and-take in trying to hash
out an agreement. This is where both parties will undoubtedly need to make concessions.
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Moderate
Quest. Category: Concept

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90) In a negotiation process, which of the following activities is included in the closure and
implementation step?
A) determining your best alternative to a negotiated agreement
B) justifying your original demands
C) formalizing the agreement that has been worked out
D) determining time constraints, if any, applicable to negotiation
E) exchange of the initial proposals or demands
Answer: C
Explanation: The closure and implementation step is the final step in the negotiation process. It
involves formalizing the agreement that has been worked out and developing any procedures
necessary for implementation and monitoring.
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Moderate
Quest. Category: Concept

91) In cross-cultural negotiations, it is especially important that the negotiations be high in

openness.
Answer: TRUE
Explanation: In cross-cultural negotiations, it is especially important that the negotiations be
high in openness. This suggests that a good strategy is to choose cross-cultural negotiators who
are high on openness to experience, and to avoid factors such as time pressure that tend to inhibit
learning about the other party.
LO: 14.5: Show how individual differences influence negotiations.
AACSB: Diverse and multicultural work environments
Difficulty: Easy
Quest. Category: Concept

92) Making sure negotiations are designed to focus on well-defined and work-related terms also
has promise for reducing gender differences by minimizing the ambiguous space for stereotypes
to operate.
Answer: TRUE
Explanation: Making sure negotiations are designed to focus on well-defined and work-related
terms also has promise for reducing gender differences by minimizing the ambiguous space for
stereotypes to operate. This focus on structure and work relevance also obviously helps focus
negotiations on factors that will improve the organization's performance.
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Moderate
Quest. Category: Concept

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93) Jeff has a reputation for shouting angrily while negotiating. In contrast, Anita is known for
her soft-spoken agreeable approach to negotiations. Jeff is more likely to get the concessions he
wants than Anita.
Answer: TRUE
Explanation: Showing anger during negotiations can be effective. Having a history of showing
anger actually induces more concessions because the other party perceives the negotiator as
"tough."
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Moderate
Quest. Category: Concept

94) Explain how self-efficacy impacts negotiation outcomes.

Answer: Self-efficacy is one individual-difference variable that does seem consistently to relate
to negotiation outcomes. This is a fairly intuitive finding–it isn't too surprising to hear that those
who believe they will be more successful in negotiation situations tend to perform more
effectively. It may be that individuals who are more confident stake out stronger claims, are less
likely to back down from their positions, and exhibit confidence that intimidates others.
LO: 14.5: Show how individual differences influence negotiations.
Difficulty: Hard
Quest. Category: Concept

95) Explain how gender affects negotiating, and describe what this means to the outcomes of the
negotiation process.
Answer: Men and women negotiate differently, and these differences affect outcomes. Men tend
to place a higher value on status, power, and recognition, whereas women tend to place a higher
value on compassion and altruism. Men tend to value economic outcomes more than women,
while women value relationship outcomes more than men. In negotiations, women tend to
behave in a less assertive, less self-interested, and more accommodating manner. Because of this,
other negotiators seek to exploit female negotiators, often leaving women with poorer outcomes.
However, when women behave assertively, their behavior is viewed more negatively than if the
same behavior were demonstrated by men.
LO: 14.5: Show how individual differences influence negotiations.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

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96) Stratford Inc. is a company that hires culturally diverse people to perform Shakespearean
plays for high school students. The company employs actors and actresses from all over the
world. The actors and actresses have joined together to ask the company for higher salaries. The
employees are struggling over deciding who will negotiate for them. Which of the following
statements is true pertaining to the effect of individual differences on negotiations?
A) Women tend to negotiate better outcomes than men.
B) Extraverts tend to be very successful in distributive bargaining.
C) People who are highly interested in having positive relationships with other people are poor
negotiators.
D) Individuals who score high on agreeableness dimension tend to be very successful in
distributive bargaining.
E) Positive moods and emotions negatively affect integrative bargaining.
Answer: C
Explanation: Negotiators who are agreeable or extroverted are not very successful in distributive
bargaining. People who are highly interested in having positive relationships with other people
are poor negotiators. Men tend to negotiate better outcomes than women. Positive moods and
emotions appear to lead to more integrative agreements.
LO: 14.6: Assess the roles and functions of third-party negotiations.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

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97) Xanadu Industries manufactures and sells the same calipers as Utopia Industries. Employee
wages account for 35 percent of the cost of manufacturing calipers at both Xanadu Industries and
Utopia Industries. Xanadu Industries is seeking a competitive advantage over Utopia Industries.
Richard, the manager put in charge of devising a strategy to meet this end, suggests lowering
employee wages. This leads to a grave conflict between Richard and the labor union. Which of
the following, if true, would suggest that the labor union will accept Richard's suggestion to
lower the wages?
A) As they make a large number of precision instruments, caliper manufacturers receive huge
volume discounts on raw materials.
B) Utopia Industries recently set up a new manufacturing facility in the vicinity.
C) Xanadu Industries has taken away 20 percent of Utopia Industries' business over the last year.
D) Utopia Industries pays its employees, on average, 10 percent more than does Xanadu
Industries.
E) Many people who work for manufacturing plants live in areas in which the manufacturing
plant is the only source of employment.
Answer: E
Explanation: Xanadu Industries would not lose many workers if it did reduce wages as the
people live in areas in which the manufacturing plant they work for is the only industry.
Reducing the cost of raw materials is a suitable way to reduce manufacturing costs. The
employees of Xanadu Industries will look for employment at the new manufacturing facility of
Utopia Industries if wages are lowered, hence weakening the argument. If Xanadu Industries has
taken away a part of Utopia Industries' business, they already have the upper hand. And as
Xanadu Industries' wages are relatively low, lowering it further would not be advised.
LO: 14.6: Assess the roles and functions of third-party negotiations.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

98) A(n) ________ is a neutral third party who facilitates a negotiated solution by using
reasoning, persuasion, and suggestions for alternatives.
A) plaintiff
B) mediator
C) agent
D) consultant
E) executor
Answer: B
Explanation: A mediator is a neutral third party who facilitates a negotiated solution by using
reasoning and persuasion, suggesting alternatives, and the like. Mediators are widely used in
labor-management negotiations and in civil court disputes.
LO: 14.6: Assess the roles and functions of third-party negotiations.
Difficulty: Easy
Quest. Category: Concept

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99) In which of the following situations is mediation most likely to be effective?
A) The conflict between the parties involved in mediation is at a moderate level.
B) One of the parties involved in the negotiation perceives the mediator as biased.
C) There is a large gap between the target points of both the parties.
D) One of the parties involved in the negotiation perceives the mediator as coercive.
E) None of the parties is willing to disclose its BATNA.
Answer: A
Explanation: Mediation is most effective under moderate levels of conflict. Also, perceptions of
the mediator are important; to be effective, the mediator must be perceived as neutral and
noncoercive.
LO: 14.6: Assess the roles and functions of third-party negotiations.
Difficulty: Moderate
Quest. Category: Concept

100) Which of the following methods of third-party negotiation always results in a settlement?
A) mediation
B) consultancy
C) arbitration
D) conciliation
E) execution
Answer: C
Explanation: An arbitrator is a third party with the authority to dictate an agreement. Arbitration
can be voluntary or compulsory. The big plus of arbitration over mediation is that it always
results in a settlement.
LO: 14.6: Assess the roles and functions of third-party negotiations.
Difficulty: Easy
Quest. Category: Concept

101) What factor would most likely increase the negative impact of an arbitration session?
A) limited options of the arbitrator
B) heavy-handedness of the arbitrator
C) compulsory nature of the arbitration
D) voluntary nature of the arbitration
E) establishment of an agreement that is nonbinding
Answer: B
Explanation: Whether or not there is a negative side depends on how heavy-handed the
arbitrator appears. If one party is left feeling overwhelmingly defeated, that party is certain to be
dissatisfied and unlikely to graciously accept the arbitrator's decision.
LO: 14.6: Assess the roles and functions of third-party negotiations.
Difficulty: Moderate
Quest. Category: Concept

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102) In third-party negotiations, a third party who provides an informal communication link
between the negotiator and the opponent is known as a(n) ________.
A) plaintiff
B) arbitrator
C) consultant
D) conciliator
E) executor
Answer: D
Explanation: A conciliator is a trusted third party who provides an informal communication link
between the negotiator and the opponent. In practice, conciliators typically act as more than mere
communication conduits. They also engage in fact finding, interpret messages, and persuade
disputants to develop agreements.
LO: 14.6: Assess the roles and functions of third-party negotiations.
Difficulty: Easy
Quest. Category: Concept

103) Megatron wants to bring in a neutral third party who will facilitate a negotiated solution by
using reasoning, persuasion, suggesting alternatives, and the like. This person is known as a(n)
________.
A) mediator
B) arbitrator
C) plaintiff
D) consultant
E) bailor
Answer: A
Explanation: A mediator is a neutral third party who facilitates a negotiated solution by using
reasoning and persuasion, suggesting alternatives, and the like. Mediators are widely used in
labor-management negotiations and in civil court disputes.
LO: 14.6: Assess the roles and functions of third-party negotiations.
AACSB: Analytical thinking
Difficulty: Easy
Quest. Category: Application

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104) The home buyer wants to bring in a third party who will have the authority to dictate an
agreement. This person will be a(n) ________.
A) mediator
B) arbitrator
C) conciliator
D) consultant
E) plaintiff
Answer: B
Explanation: An arbitrator is a third party with the authority to dictate an agreement. Arbitration
can be voluntary or compulsory. The big plus of arbitration over mediation is that it always
results in a settlement.
LO: 14.6: Assess the roles and functions of third-party negotiations.
AACSB: Analytical thinking
Difficulty: Easy
Quest. Category: Application

105) The two parties eventually agree to ask Sam Spade, an attorney and trusted friend, to help
them informally to solve their problem. Sam's role is that of a(n) ________.
A) mediator
B) arbitrator
C) conciliator
D) consultant
E) plaintiff
Answer: C
Explanation: A conciliator is a trusted third party who provides an informal communication link
between the negotiator and the opponent. In practice, conciliators typically act as more than mere
communication conduits. They also engage in fact finding, interpret messages, and persuade
disputants to develop agreements.
LO: 14.6: Assess the roles and functions of third-party negotiations.
AACSB: Analytical thinking
Difficulty: Easy
Quest. Category: Application

106) Negotiators who consistently act in a way that demonstrates competence, honesty, and
integrity will usually have better outcomes in the long run.
Answer: TRUE
Explanation: Negotiators who consistently act in a way that demonstrates competence, honesty,
and integrity will usually have better outcomes in the long run. Individuals who have higher
reputations are better liked and have more friends and allies–in other words, they have more
social resources, which may give them more understood power in negotiations.
LO: 14.6: Assess the roles and functions of third-party negotiations.
Difficulty: Easy
Quest. Category: Concept

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107) When it comes to negotiation, having a reputation for being trustworthy doesn't matter.
Answer: FALSE
Explanation: When it comes to negotiation, having a reputation for being trustworthy matters. In
short, trust in a negotiation process opens the door to many forms of integrative negotiation
strategies that benefit both parties.
LO: 14.6: Assess the roles and functions of third-party negotiations.
Difficulty: Easy
Quest. Category: Concept

108) A popular stereotype is that men are more cooperative and pleasant in negotiations than
women.
Answer: FALSE
Explanation: A popular stereotype is that women are more cooperative and pleasant in
negotiations than men.
LO: 14.6: Assess the roles and functions of third-party negotiations.
Difficulty: Easy
Quest. Category: Concept

109) In third-party negotiations, a conciliator is a trusted third party who provides an informal
communication link between the negotiator and the opponent.
Answer: TRUE
Explanation: A conciliator is a trusted third party who provides an informal communication link
between the negotiator and the opponent.
LO: 14.6: Assess the roles and functions of third-party negotiations.
Difficulty: Easy
Quest. Category: Concept

110) Discuss the effects of moods and emotions on effectiveness of negotiations.

Answer: In distributive negotiations, it appears that negotiators in a position of power or equal
status who show anger negotiate better outcomes because their anger induces concessions from
their opponents. Angry negotiators also feel more focused and assertive in striking a bargain.
This appears to hold true even when the negotiators are instructed to show anger despite not
being truly angry. On the other hand, for those in a less powerful position, displaying anger leads
to worse outcomes. Anxiety also appears to have an impact on negotiation. In integrative
negotiations, in contrast, positive moods and emotions appear to lead to more integrative
agreements (higher levels of joint gain).
LO: 14.6: Assess the roles and functions of third-party negotiations.
Difficulty: Moderate
Quest. Category: Concept

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111) Describe the preferred negotiating techniques that would be implemented by a manager
from China. What conflict management techniques would he use? What role would a third-party
negotiator be likely to have if no agreement could be reached?
Answer: Collectivist cultures see people as deeply embedded in social situations. As a result,
collectivists are more likely to seek to preserve relationships and promote the good of the group
as a whole than individualists. To preserve peaceful relationships, collectivists will avoid direct
expression of conflicts, preferring to use more indirect methods for resolving differences of
opinion. Compromising and avoiding are the most preferred methods of conflict management in
China. Smoothing, or playing down differences while emphasizing common interests between
the conflicting parties, is also a good technique to maintain relationships.
Collectivists such as the Chinese may also be more interested in demonstrations of concern and
working through third parties to resolve disputes. A Chinese manager would most likely call in a
mediator, a neutral third party who facilitates a negotiated solution by using reasoning and
persuasion, earlier in the negotiation process in order to avoid conflict and maintain a
relationship with all parties.
LO: 14.6: Assess the roles and functions of third-party negotiations.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

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Organizational Behavior, 18e (Robbins)
Chapter 16 Organizational Culture

1) Manuel is a manager for a manufacturing company in which managers are expected to fully
document all decisions and in which it is important to provide detailed data to support any
recommendations. Also, out-of-the-box thinking is dissuaded. Which characteristic of
organizational culture describes this aspect of Manuel's job?
A) low team orientation
B) high aggressiveness
C) low adaptability
D) low outcome orientation
E) high people orientation
Answer: C
Explanation: Adaptability describes the degree to which employees are encouraged to be
innovative and take risks. Manuel's company wants full research documentation, seems reluctant
to take risks, and is a low risk-taking culture.
LO: 16.1: Describe the common characteristics of organizational culture.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

2) Danny's boss is apathetic as to whether Danny works at home, at the office, or from his beach
house. All he cares about is that the project is completed on time, on budget, and with exemplary
quality. Which characteristic of organizational culture describes this aspect of Danny's job?
A) low risk taking
B) high outcome orientation
C) high attention to detail
D) low aggressiveness
E) high stability
Answer: B
Explanation: Outcome orientation is the organizational culture characteristic that describes the
degree to which management focuses on results or outcomes rather than on the techniques and
processes used to achieve them. Danny's boss has a high focus on outcome.
LO: 16.1: Describe the common characteristics of organizational culture.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

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3) Which of the following characteristics of an organization's culture indicates the degree to
which management decisions take into consideration the effect of outcomes on employees within
the organization?
A) attention to detail
B) outcome orientation
C) team orientation
D) people/customer orientation
E) stability
Answer: D
Explanation: People/customer orientation indicates the degree to which management decisions
take into consideration the effect of outcomes on people within the organization.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

4) Detail orientation is one of the six primary characteristics that capture the essence of an
organization's culture. It indicates the degree to which ________.
A) employees are encouraged to be innovative and take risks
B) management focuses on results or outcomes rather than on the techniques and processes used
to achieve them
C) management decisions take into consideration the effect of outcomes on people within the
organization
D) work activities are organized around teams rather than individuals
E) employees are expected to exhibit precision, analysis, and attention to detail
Answer: E
Explanation: Detail orientation indicates the degree to which employees are expected to
employees are expected to exhibit precision, analysis, and attention to detail.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Moderate
Quest. Category: Concept

5) The key characteristic of organizational culture that addresses the degree to which people
exhibit integrity and high ethical standards in their work is termed ________.
A) assertiveness
B) team orientation
C) averseness
D) risk taking
E) integrity
Answer: E
Explanation: Integrity describes the degree to which people exhibit integrity and high ethical
standards in their work.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

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6) Which of the following statements best describes the difference between organizational
culture and job satisfaction?
A) Job satisfaction depends upon the level of "power distance" in the country, but organizational
culture does not.
B) Organizational culture is static, whereas job satisfaction is dynamic.
C) Job satisfaction is immeasurable, whereas organizational culture is measurable.
D) Organizational culture is descriptive, whereas job satisfaction is evaluative.
E) Job satisfaction depends on the structure of the organization, but organizational culture does
not.
Answer: D
Explanation: The concept of organizational culture is concerned with how employees perceive
the characteristics of an organization's culture, not whether they like them, and is therefore a
descriptive term. On the other hand, the concept of job satisfaction seeks to measure how
employees feel about the organization's expectations and reward practices and therefore is an
evaluative term.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Moderate
Quest. Category: Concept

7) An aircraft manufacturer with a strong presence in the United States, is looking to expand its
market overseas. The firm currently sells its aircraft to several airlines in the United Kingdom
but now wants to establish manufacturing units there as well in order to acquire a bigger share in
the European market. Hence, it plans to merge with QueenAir, a British aircraft manufacturer.
Which of the following, if true, would weaken the company's decision to merge with QueenAir?
A) Merging with QueenAir would increase its profits considerably.
B) There is increasing economic uncertainty in its U.S. market.
C) The preferences of airline customers in Europe and the U.S. are similar.
D) There is a striking difference in the organizational cultures of the two firms.
E) A competitor in the U.S. market recently went out of business.
Answer: D
Explanation: As merging with QueenAir would increase the firm's profits, it strengthens the
firm's decision. So does the economic uncertainty in the U.S. market and the customers'
preferences. The fact that a competitor in the U.S. market recently went out of business is
irrelevant. As the two merging firms have different organizational cultures, it may lead to various
problems in the future. Hence, it weakens the firm's decision.
LO: 16.1: Describe the common characteristics of organizational culture.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

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8) Which of the following statements is true regarding an organization's culture?
A) Organizational culture is evaluative rather than descriptive.
B) Large organizations rarely have subcultures.
C) A dominant culture expresses the core values shared by a majority of the organization's
members.
D) A strong culture reduces employee satisfaction and increases employee turnover.
E) Subcultures and dominant cultures do not share any common values.
Answer: C
Explanation: Organizational culture is descriptive. Most large organizations have a dominant
culture and numerous subcultures. A dominant culture expresses the core values shared by a
majority of the organization's members. A strong culture should reduce employee turnover,
because it demonstrates high agreement about what the organization represents.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Moderate
Quest. Category: Concept

9) Minicultures that tend to develop in large organizations to reflect common problems or

experiences faced by the members in the same department or location are often called ________.
A) micro-cultures
B) subcultures
C) divisional cultures
D) microcosms
E) countercultures
Answer: B
Explanation: Subcultures tend to develop in large organizations to reflect common problems,
situations, or experiences faced by groups of members in the same department or location. The
purchasing department can have a subculture that includes the core values of the dominant
culture plus additional values unique to members of the purchasing department.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

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10) Jean works for Fahrenheit Publishing, which is a publisher of scientific journals. The
company is dominated by low risk taking and high attention to detail. Jean's department is
committed to high team orientation and provides many team-building activities in which Jean
and other department members work together and socialize. Which of the following statements
best describes Jean's department?
A) Jean's department is an example of a primary microcosm.
B) Jean's department's culture is stronger than the dominant culture in the organization.
C) Jean's department has developed a subculture.
D) Jean's department's culture is undefined.
E) Jean's department's culture has low stability.
Answer: C
Explanation: Jean's department has developed a subculture that reflects the common situations
or experiences faced by group members in the same department or location. It includes the core
values of the dominant culture plus additional team values unique to members of the department.
LO: 16.1: Describe the common characteristics of organizational culture.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

11) ________ are indicators of a strong organizational culture.

A) High levels of dissension
B) High rates of employee turnover
C) Completely horizontal organizational charts
D) Narrowly defined roles
E) Widely shared values
Answer: E
Explanation: In a strong culture, the organization's core values are both intensely held and
widely shared. The more members who accept the core values and the greater their commitment,
the stronger the culture and the greater its influence on member behavior.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

12) In the ________ employees value growth, variety, attention to detail, stimulation, and
autonomy.
A) market
B) adhocracy
C) clan
D) bureaucracy
E) hierarchy
Answer: B
Explanation: In the adhocracy employees value growth, variety, attention to detail, stimulation,
and autonomy.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

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13) Which of the following is most likely to result from a strong organizational culture?
A) high organizational commitment
B) low employee satisfaction
C) low loyalty
D) high absenteeism
E) low behavioral control resulting from the climate within the organization
Answer: A
Explanation: A strong culture should reduce employee turnover because it demonstrates high
agreement about what the organization represents. Such unanimity of purpose builds
cohesiveness, loyalty, and organizational commitment.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Moderate
Quest. Category: Concept

14) A strong culture should increase employee loyalty because it results in ________.
A) a highly centralized organization
B) narrow spans of control
C) cohesiveness and organizational commitment
D) a highly formalized organization
E) an outcome-oriented organization
Answer: C
Explanation: A strong culture should increase employee loyalty because it demonstrates high
agreement about what the organization represents. Such unanimity of purpose builds
cohesiveness, loyalty, and organizational commitment.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Moderate
Quest. Category: Concept

15) A strong culture can act as a substitute for which of the following?
A) institutionalization
B) formalization
C) socialization
D) centralization
E) social support
Answer: B
Explanation: Formalization and culture can be viewed as two different roads to a common
destination.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

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16) A culture that expresses the core values that are shared by a majority of the organization's
members is known as a(n) ________ culture.
A) dominant
B) primary
C) fundamental
D) unique
E) essential
Answer: A
Explanation: A dominant culture is a culture that expresses the core values that are shared by a
majority of the organization's members.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

Rogue Vogue Corp. is an apparel company. To keep up with the latest changes in the fashion
industry, the company has to come up with innovative designs and follow strict timelines. The
culture of the company values integrity, high ethical standards, and risk taking. The members of
the organization accept these cultural values. They know exactly what is expected of them, and
these expectations go a long way in shaping their behavior. In addition to this, the culture of the
marketing department is outcome oriented and the finance department emphasizes attention to
detail.

17) The organizational culture of Rogue Vogue Corp. is an example of a(n) ________.
A) autocratic culture
B) subculture
C) lowly formalized culture
D) reflective culture
E) dominant culture
Answer: E
Explanation: A dominant culture expresses the core values shared by a majority of the
organization's members.
LO: 16.1: Describe the common characteristics of organizational culture.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

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18) Integrity and high ethical standards are called the ________ of the culture at the Rogue
Vogue Corp.
A) foundational values
B) institutional traits
C) core values
D) significant traits
E) unique values
Answer: C
Explanation: The dominant culture includes the core values, the primary or dominant values that
are accepted throughout the organization. In this example, integrity and high ethical standards
are the core values of the organizational culture.
LO: 16.1: Describe the common characteristics of organizational culture.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

19) In addition to the organizational culture at Rogue Vogue Corp., the finance department
emphasizes attention to detail. In this example, attention to detail is a part of the ________ of the
organization.
A) core values
B) significant traits
C) dominant culture
D) foundational values
E) subculture
Answer: E
Explanation: Subcultures tend to develop in large organizations to reflect common problems,
situations, or experiences faced by groups of members in the same department or location.
Subculture includes the core values of the dominant culture plus additional values unique to
members of the respective department.
LO: 16.1: Describe the common characteristics of organizational culture.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

138
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20) Based on the information in the scenario, we can say that Rogue Vogue Corp. ________.
A) is a highly decentralized organization
B) is a virtual organization
C) has a strong culture
D) is a boundary-laden organization
E) is a matrix organization
Answer: C
Explanation: Based on the information in the scenario, we can say that Rogue Vogue Corp. has
a strong culture. In a strong culture, the organization's core values are both intensely held and
widely shared. The more members who accept the core values and the greater their commitment,
the stronger the culture and the greater its influence on member behavior. If an organization has
a strong culture, then the members of the organization know exactly what is expected of them,
and these expectations go a long way in shaping their behavior.
LO: 16.1: Describe the common characteristics of organizational culture.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

21) The degree to which management decisions consider the effect of outcomes on people within
and outside the organization demonstrates collaboration/team orientation.
Answer: FALSE
Explanation: Collaboration/team orientation is the degree to which work activities are organized
around teams rather than individuals. People/customer orientation is the degree to which
management decisions consider the effect of outcomes on people within and outside the
organization.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

22) Detail orientation is a primary characteristic of an organization's culture that indicates the
degree to which management focuses on results or outcomes rather than on the techniques and
processes used to achieve them.
Answer: FALSE
Explanation: Detail orientation indicates the degree to which employees are expected to exhibit
precision, analysis, and attention to detail. Outcome orientation indicates the degree to which
management focuses on results or outcomes rather than on the techniques and processes used to
achieve them.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

139
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23) Organizational culture represents a perception that the organization's members share.
Answer: TRUE
Explanation: Organizational culture represents a perception that the organization's members
share.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Moderate
Quest. Category: Concept

24) Subcultures act to undermine the dominant culture.

Answer: FALSE
Explanation: Subcultures tend to develop in large organizations to reflect common problems,
situations, or experiences faced by groups of members in the same department or location.
Subcultures include the core values of the dominant culture plus additional values unique to the
respective departments.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Moderate
Quest. Category: Concept

25) A dominant culture expresses the core values a majority of members share and that give the
organization its distinct personality.
Answer: TRUE
Explanation: A dominant culture expresses the core values a majority of members share and that
give the organization its distinct personality.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

26) The "shared meaning" aspect of culture makes it a potent device for guiding and shaping
behavior.
Answer: TRUE
Explanation: The "shared meaning" aspect of culture makes it a potent device for guiding and
shaping behavior.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

27) The market is a culture based on change.

Answer: FALSE
Explanation: The market is a culture based on achievement. The adhocracy is a culture based on
change. The market is a culture based on achievement.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Easy
Quest. Category: Concept

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28) What are the six primary characteristics that capture the essence of an organization's culture?
Answer: The six primary characteristics that capture the essence of an organization's culture are:
1. Adaptability. The degree to which employees are encouraged to be innovative and flexible as
well as to take risks and experiment.
2. Detail orientation. The degree to which employees are expected to exhibit precision, analysis,
and attention to detail.
3. Results/outcome orientation. The degree to which management focuses on results or outcomes
rather than on the techniques and processes used to achieve them.
4. People/customer orientation. The degree to which management decisions consider the effect of
outcomes on people within and outside the organization.
5. Collaboration/team orientation. The degree to which work activities are organized around
teams rather than individuals.
6. Integrity. The degree to which people exhibit integrity and high ethical standards in their
work.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Moderate
Quest. Category: Concept

29) Compare and contrast dominant culture and subculture.

Answer: Organizational culture represents a common perception the organization's members
hold. A dominant culture expresses the core values shared by a majority of the organization's
members. Subcultures tend to develop in large organizations to reflect common problems,
situations, or experiences faced by groups of members in the same department or location.
Subcultures include the core values of the dominant culture plus additional values unique to
members of the respective department. If organizations were composed only of numerous
subcultures, organizational culture as an independent variable would be significantly less
powerful. It is the "shared meaning" aspect of culture that makes it such a potent device for
guiding and shaping behavior.
LO: 16.1: Describe the common characteristics of organizational culture.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

30) Describe the characteristics of a strong culture.

Answer: A strong culture should more directly affect organizational outcomes because it
demonstrates high agreement about what the organization represents. Such unanimity of purpose
builds cohesiveness, loyalty, meaning, and organizational commitment. For example, with high
cultural consensus and intensity surrounding the adaptability dimension of culture, organizations
in one study experienced gains in net income, revenue, and operating cash flow. A study of
nearly 90,000 employees from 137 organizations found that culture strength or consistency was
related to numerous financial outcomes when there was a strong sense of mission and high
employee involvement.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Moderate
Quest. Category: Concept

141
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31) "Formalization and culture are two different roads to a common destination." Explain the
statement.
Answer: High formalization creates predictability, orderliness, and consistency. A strong culture
achieves the same end without the need for written documentation. Therefore, we should view
formalization and culture as two different roads to a common destination. The stronger an
organization's culture, the less management need be concerned with developing formal rules and
regulations to guide employee behavior. Those guides will be internalized in employees when
they accept the organization's culture.
LO: 16.1: Describe the common characteristics of organizational culture.
Difficulty: Moderate
Quest. Category: Concept

32) Discuss the difference between the clan, the adhocracy, the market, and the hierarchy.
Answer: A common culture framework groups organizations into one of four types, each with
has its own assumptions, beliefs, values, artifacts, and even criteria for effectiveness:
1. "The Clan." A culture based on human affiliation. Employees value attachment, collaboration,
trust, and support.
2. "The Adhocracy." A culture based on change. Employees value growth, variety, attention to
detail, stimulation, and autonomy.
3. "The Market." A culture based on achievement. Employees value communication,
competence, and competition.
4. "The Hierarchy." A culture based on stability. Employees value communication,
formalization, and routine.
LO: 16.1: Describe the common characteristics of organizational culture.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

33) Which of the following statements is true regarding the functions of culture in an
organization?
A) It hinders the generation of commitment to something larger than individual self-interest
among employees.
B) It conveys a sense of identity for organization members.
C) It reduces the stability of the organizational system.
D) It reduces distinctions between one organization and others.
E) It does not affect employees' attitudes and behavior.
Answer: B
Explanation: Culture facilitates the generation of commitment to something larger than
individual self-interest. It conveys a sense of identity for organization members. Culture has a
boundary-defining role: it creates distinctions between one organization and others. It is a sense-
making and control mechanism that guides and shapes employees' attitudes and behavior.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Moderate
Quest. Category: Concept

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34) When formal authority and control systems are reduced, the ________ provided by a strong
culture ensure(s) that everyone is pointed in the same direction.
A) rules and regulations
B) shared meaning
C) rituals
D) socialization
E) rigid hierarchy
Answer: B
Explanation: Today's trend toward decentralized organizations makes culture more important
than ever. When formal authority and control systems are reduced, culture's shared meaning
points everyone in the same direction.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Easy
Quest. Category: Concept

35) A(n) ________ climate requires managers and employees to use an external, standardized
moral compass such as a professional code of conduct for norms.
A) independence
B) rules
C) law and code
D) caring
E) instrumental
Answer: C
Explanation: A law and code climate requires managers and employees to use an external,
standardized moral compass such as a professional code of conduct for norms.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Easy
Quest. Category: Concept

143
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36) Which of the following statements is true regarding the establishment of the organizational
culture and its effects on the organization?
A) Today's trend toward decentralized organizations makes it is easier to establish a strong
culture.
B) In a virtual organization, a strong culture can be established quickly and easily.
C) Employees organized in teams always show greater allegiance to the values of the
organization as a whole than to their team and its values.
D) Culture acts as a control mechanism and guides the behavior of employees.
E) Cultures reduce the stability of the social system in an organization.
Answer: D
Explanation: Today's trend toward decentralized organization makes establishing a strong
culture more difficult. In virtual organizations, the lack of frequent face-to-face contact makes
establishing a common set of norms very difficult. When formal authority and control systems
are reduced, culture's shared meaning points everyone in the same direction. However,
employees organized in teams may show greater allegiance to their team and its values than to
the values of the organization as a whole. Culture enhances the stability of the social system and
acts as a control mechanism that guides and shapes employees' attitudes and behavior.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Hard
Quest. Category: Concept

37) ________ refers to the shared perceptions organizational members have about their
organization and work environment.
A) Organizational climate
B) Institutionalization
C) Microcosm
D) Groupthink
E) Organizational apprehension
Answer: A
Explanation: Organizational climate refers to the shared perceptions organizational members
have about their organization and work environment. This aspect of culture is like team spirit at
the organizational level.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Easy
Quest. Category: Concept

144
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38) Grace works for a pet store where everyone is committed to the happiness of the animals.
Often employees, bosses, and hourly workers alike come into the store "off the clock" and spend
time training the animals. Everyone loves the store, the animals, and their jobs. This attitude of
her co-workers inspires Grace to do her best. Based on this information, we can say that Grace is
experiencing the effects of ________.
A) decentralization
B) organizational climate
C) high departmentalization
D) low formalization
E) high work specialization
Answer: B
Explanation: Organizational climate refers to the shared perceptions organizational members
have about their organization and work environment. This aspect of culture is like team spirit at
the organizational level.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

39) ________ organizations often don't go out of business even if the original goals are no longer
relevant.
A) Virtual
B) Matrix
C) Independent
D) Institutionalized
E) Centralized
Answer: D
Explanation: Institutionalized organizations often don't go out of business even if the original
goals are no longer relevant.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Easy
Quest. Category: Concept

145
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40) Culture is most likely to be a liability when ________.
A) the employees of the organization are highly skilled
B) the organization's environment is dynamic
C) the organization's management is highly efficient
D) the organization is highly centralized
E) the organization scores low on the degree of formalization
Answer: B
Explanation: Culture is a liability when the shared values are not in agreement with those that
further the organization's effectiveness. This is most likely when an organization's environment
is dynamic and is undergoing rapid change. In this case, its entrenched culture may no longer be
appropriate.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Moderate
Quest. Category: Concept

41) Rainbow Corp. hires a new secretary, Polonova, who differs from the vast majority of the
company's employees in terms of her ethnicity. The company has a collectivist culture with a
culturally diverse workforce and several policies to support the minorities. Yet, after a few
weeks, she quits the company. Which of the following, if true, helps explain why she quit?
A) Rainbow Corp. recently had a huge turnover and plans to expand its market.
B) All secretaries, regardless of their gender, are paid equal salaries at Rainbow Corp.
C) Polonova is gregarious and comfortable in changing contexts and ambiguous situations.
D) Polonova has a strong sense of personal ambition and independence.
E) Polonova is more likely to conform to others' ideas and opinions rather than come up with her
own.
Answer: D
Explanation: Hiring new employees who differ from the majority in race, age, gender, disability,
or other characteristics creates a paradox: management wants to demonstrate support for the
differences these employees bring to the workplace, but newcomers who wish to fit in must
accept the organization's core cultural values. In this case, Polonova couldn't accept the
organization's collectivist culture due to her individualistic nature and hence quit. All other
options are either irrelevant or add to the seeming paradox. If all secretaries were paid equal
salaries, then it offers no grounds for Polonova to quit.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
AACSB: Reflective thinking
Difficulty: Hard
Quest. Category: Critical Thinking

146
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42) Which of the following is not one of the five most prevalent climate categories making up
the ethical dimensions of organization culture?
A) instrumental
B) caring
C) dependence
D) law and code
E) rules
Answer: C
Explanation: Researchers have developed the ethical climate theory and the ethical climate
index to categorize and measure the ethical dimensions of organizational cultures. Of the nine
identified climate categories, five are found to be most prevalent in organizations: instrumental,
caring, independence, law and code, and rules. Each explains the general mindset, expectations,
and values of the managers and employees in relationship to their organization.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Easy
Quest. Category: Concept

43) In which of the following climates do managers operate under the expectation that their
decisions will positively affect the greatest number of stakeholders?
A) caring
B) instrumental
C) law and code
D) rules
E) independence
Answer: A
Explanation: In a caring climate, managers may operate under the expectation that their
decisions will positively affect the greatest number of stakeholders (employees, customers,
suppliers) possible.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Moderate
Quest. Category: Concept

44) Sustainability refers to practices that can be maintained over very long periods of time
because the tools or structure that support the practices is not damaged in the process.
Answer: TRUE
Explanation: Sustainability refers to practices that can be maintained over very long periods of
time because the tools or structure that support the practices is not damaged in the process.
Social sustainability practices address the ways social systems are affected by an organization's
actions over time, and in turn, how changing social systems may affect the organization.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Easy
Quest. Category: Concept

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45) Instrumental climates are positively associated with employee job satisfaction and
organizational commitment.
Answer: FALSE
Explanation: Instrumental climates are negatively associated with employee job satisfaction and
organizational commitment.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Easy
Quest. Category: Concept

46) Systematic reviews of the research literature show a generally positive relationship between
sustainability and financial performance.
Answer: TRUE
Explanation: Systematic reviews of the research literature show a generally positive relationship
between sustainability and financial performance. However, there is often a strong moral and
ethical component that shapes organizational culture and must be a genuine value.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Easy
Quest. Category: Concept

47) To create a truly sustainable business, an organization must develop a long-term culture and
put its values into practice.
Answer: TRUE
Explanation: To create a truly sustainable business, an organization must develop a long-term
culture and put its values into practice. In other words, there needs to be a sustainable system for
creating sustainability! In one workplace study, a company seeking to reduce energy
consumption found that soliciting group feedback reduced energy use significantly more than
simply issuing materials about the importance of conservation.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Moderate
Quest. Category: Concept

48) Explain the concept of organizational climate.

Answer: Organizational climate refers to the shared perceptions organizational members have
about their organization and work environment. This aspect of culture is like team spirit at the
organizational level. When everyone has the same general feelings about what's important or
how well things are working, the effect of these attitudes will be more than the sum of the
individual parts. One meta-analysis found that across dozens of different samples, psychological
climate was strongly related to individuals' level of job satisfaction, involvement, commitment,
and motivation. A positive overall workplace climate has been linked to higher customer
satisfaction and financial performance as well.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Moderate
Quest. Category: Concept
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49) Describe the various situations under which culture acts as a liability.
Answer: The various situations under which culture acts as a liability are:
a) Institutionalization: When an organization undergoes institutionalization and becomes
institutionalized–that is, it is valued for itself and not for the goods or services it produces–it
takes on a life of its own, apart from its founders or members. It doesn't go out of business even
if its original goals are no longer relevant. Acceptable modes of behavior become largely self-
evident to members, and although this isn't entirely negative, it does mean behaviors and habits
that should be questioned and analyzed become taken for granted, which can stifle innovation
and make maintaining the organization's culture an end in itself.
b) Barriers to change: Culture is a liability when the shared values are not in agreement with
those that further the organization's effectiveness. This is most likely when an organization's
environment is undergoing rapid change and its entrenched culture may no longer be appropriate.
c) Barriers to diversity: By limiting the range of acceptable values and styles, strong cultures put
considerable pressure on employees to conform.
d) Barriers to acquisitions and mergers: Historically, when management looked at acquisition or
merger decisions, the key factors were financial advantage and product synergy. In recent years,
cultural compatibility has become the primary concern.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
Difficulty: Moderate
Quest. Category: Concept

50) Describe and explain the five most prevalent climate categories that comprise the ethical
dimensions of organization cultures.
Answer: The five most prevalent climate categories are instrumental, caring, independence, law
and code, and rules. Each explains the mindset, expectations, and values of the managers and
employees in relationship to their organization. In an instrumental ethical climate, managers may
frame their decision making around the assumption that employees are egoistic. In a caring
climate, managers may operate under the expectation that their decisions will positively affect
the greatest number of stakeholders possible. In a climate of independence, personal moral ideas
dictate an individual's workplace behavior. Law and code climates require managers and
employees to use an external standardized moral compass, while rules climates tend to operate
by internal standardized expectations.
LO: 16.2: Compare the functional and dysfunctional effects of organizational culture on people
and the organization.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

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51) The ultimate source of an organization's culture is ________.
A) its top management
B) its environment
C) the country in which the organization operates
D) its founders
E) the sociocultural backgrounds of its employees
Answer: D
Explanation: An organization's customs, traditions, and general way of doing things are largely
due to what it has done before and how successful it was in doing it. Because of this, the ultimate
source of an organization's culture tends to be its founders.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

52) The ________ process helps candidates learn about the organization, and if employees
perceive a conflict between their values and those of the organization, they can remove
themselves from the applicant pool.
A) orientation
B) training
C) performance evaluation
D) selection
E) institutionalization
Answer: D
Explanation: Selection is a two-way street, allowing employer or applicant to avoid a mismatch
and sustaining an organization's culture by selecting out those who might attack or undermine its
core values.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

53) The selection process helps sustain the organization's culture by ________.
A) establishing and enforcing norms
B) hiring candidates who fit well within the organization
C) socializing the new employees
D) developing performance evaluation criteria
E) rewarding conformity
Answer: B
Explanation: The selection process helps sustain the organization's culture by hiring candidates
who fit well within the organization. Selection also provides information to applicants. Those
who perceive a conflict between their values and those of the organization can remove
themselves from the applicant pool.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Moderate
Quest. Category: Concept

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54) Top management has a major impact on the organization's culture by ________.
A) establishing norms that filter down through the organization
B) ensuring a proper match of personal and organizational values
C) socializing new applicants in the pre-hiring phase
D) providing a framework for metamorphosis of new hires
E) properly rewarding employees' initiatives
Answer: A
Explanation: The actions of top management also have a major impact on the organization's
culture. Through words and behavior, senior executives establish norms that filter through the
organization about, for instance, whether risk taking is desirable, how much freedom managers
should give employees, what is appropriate dress, and what actions pay off in terms of pay
raises, promotions, and other rewards.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Moderate
Quest. Category: Concept

55) ________ is a process that helps new employees adapt to the prevailing organizational
culture.
A) Satisficing
B) Reciprocal interdependence
C) Socialization
D) Formalization
E) Social loafing
Answer: C
Explanation: No matter how good a job the organization does in recruiting and selection, new
employees are not fully indoctrinated in the organization's culture and can disrupt beliefs and
customs already in place. The process that helps new employees adapt to the prevailing culture is
socialization.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

56) The process of socialization consists of three stages. Which of the following is one of these
three stages?
A) metamorphosis
B) pre-encounter
C) evaluation
D) post-arrival
E) post-encounter
Answer: A
Explanation: We can think of socialization as a process with three stages: prearrival, encounter,
and metamorphosis. This process has an impact on the new employee's work productivity,
commitment to the organization's objectives, and eventual decision to stay with the organization.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

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57) Identify the correct order of stages in the socialization process.
A) encounter, metamorphosis, post-encounter
B) prearrival, arrival, evaluation
C) prearrival, arrival, post-arrival
D) prearrival, encounter, metamorphosis
E) metamorphosis, pre-encounter, arrival
Answer: D
Explanation: We can think of socialization as a process with three stages: prearrival, encounter,
and metamorphosis.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

58) The ________ stage of the socialization process explicitly recognizes that each individual the
organization comes across during the selection process has a set of values, attitudes, and
expectations about both the work to be done and the organization.
A) post-encounter
B) prearrival
C) metamorphosis
D) pre-encounter
E) post-arrival
Answer: B
Explanation: The prearrival stage explicitly recognizes that each individual arrives with a set of
values, attitudes, and expectations about both the work to be done and the organization.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

59) During the ________ stage, a new employee compares his or her expectations with the
realities in the organization.
A) prearrival
B) encounter
C) metamorphosis
D) post-arrival
E) post-encounter
Answer: B
Explanation: On entry into the organization, the new member enters the encounter stage and
confronts the possibility that expectations, about the job, co-workers, the boss, and the
organization in general, may differ from reality.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

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60) If there is a basic conflict between the individual's expectations and the reality of working in
an organization, the employee is most likely to be disillusioned and quit during the ________
stage of socialization.
A) prearrival
B) post-arrival
C) encounter
D) metamorphosis
E) post-encounter
Answer: C
Explanation: On entry into the organization, the new member enters the encounter stage and
confronts the possibility that expectations about the job, co-workers, the boss, and the
organization in general may differ from reality. If there occurs a mismatch between the
expectations of the new member and the reality, then the new member may become disillusioned
enough with the reality to resign.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Moderate
Quest. Category: Concept

61) Higgins has recently joined a new law firm expecting to participate in exciting environmental
law cases and cutting-edge research. After one month at the firm, he still hasn't been assigned a
case and spends most of his time filing standardized appeals for title disputes with insurance
companies. In which stage of the socialization process is Higgins?
A) prearrival
B) encounter
C) metamorphosis
D) post-encounter
E) post-arrival
Answer: B
Explanation: On entry into the organization, the new member enters the encounter stage and
confronts the possibility that expectations about the job, co-workers, the boss, and the
organization in general may differ from reality. Higgins is in the encounter stage.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

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62) During the socialization process, to work out any problems discovered during the encounter
stage, the new member changes or goes through the ________ stage.
A) post-arrival
B) metamorphosis
C) post-encounter
D) analysis
E) evaluation
Answer: B
Explanation: During the socialization process, to work out any problems discovered during the
encounter stage, the new member changes or goes through the metamorphosis stage.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

63) Which of the following statements is true regarding random socialization?

A) Random socialization tries to strip away certain characteristics of the recruit.
B) Random socialization is carried out per a fixed time schedule.
C) In random socialization, new employees are left on their own to figure things out.
D) Random socialization involves socializing the newcomers in groups.
E) Specific orientation and classroom training programs are examples of random socialization.
Answer: C
Explanation: In random socialization, role models are deliberately withheld. New employees are
left on their own to figure things out.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Moderate
Quest. Category: Concept

64) Which of the following types of socialization involves putting the new employee directly
into the job, with little or no special attention?
A) investiture socialization
B) serial socialization
C) collective socialization
D) fixed socialization
E) informal socialization
Answer: E
Explanation: Informal socialization involves putting the new employee directly into the job,
with little or no special attention.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

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65) ________ socialization assumes that the newcomer's qualities and qualifications are the
necessary ingredients for job success, so these qualities and qualifications are confirmed and
supported.
A) Variable
B) Collective
C) Serial
D) Investiture
E) Formal
Answer: D
Explanation: Investiture socialization assumes that the newcomer's qualities and qualifications
are the necessary ingredients for job success, so these qualities and qualifications are confirmed
and supported.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

66) Which of the following statements is true about formal socialization?

A) Formal socialization involves socializing the new members individually.
B) Specific orientation and training programs are examples of formal socialization.
C) Apprenticeship and mentoring programs are examples of formal socialization.
D) Formal socialization lacks a fixed time schedule.
E) In formal socialization, new employees are left on their own to figure things out.
Answer: B
Explanation: The more a new employee is segregated from the ongoing work setting and
differentiated in some way to make explicit his or her newcomer's role, the more formal
socialization is. Specific orientation and training programs are examples of formal socialization.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Moderate
Quest. Category: Concept

67) ________ socialization tries to strip away certain characteristics of the recruit.
A) Random
B) Fixed
C) Collective
D) Divestiture
E) Formal
Answer: D
Explanation: Divestiture socialization tries to strip away certain characteristics of the recruit.
Fraternity and sorority pledges go through divestiture socialization to shape them into the proper
role.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

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68) Apprenticeship is an example of ________ socialization.
A) divestiture
B) variable
C) serial
D) informal
E) investiture
Answer: C
Explanation: Serial socialization is characterized by the use of role models who train and
encourage the newcomer. Apprenticeship and mentoring programs are examples.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Moderate
Quest. Category: Concept

69) By the end of the ________ stage of socialization, the new members internalize and accept
the norms of the organization and their work group, are confident in their competence, and feel
trusted and valued by their peers.
A) encounter
B) post-arrival
C) establishment
D) metamorphosis
E) adaptation
Answer: D
Explanation: To work out any problems discovered during the encounter stage, the new member
changes, or goes through the metamorphosis stage. It is the last stage in the three-stage
socialization process. At the end of this stage, the new members internalize and accept the norms
of the organization and their work group, are confident in their competence, and feel trusted and
valued by their peers.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

You are new to an organization and do not really know what to expect about the socialization
process. You recently received your MBA and have an undergraduate degree in computer
science. Your new firm is a software development company with an emphasis in the healthcare
industry. Your hiring process included campus interviews, a daylong trip for an interview at the
company, an offer phone call and letter, and some promotional material sent via the mail. When
you arrive for your first day at work, you spend half a day in an orientation session that is
conducted by the human resources department, where you complete paperwork and receive a
company handbook. Then you spend the rest of the day with your supervisor, who gives you a
tour, introduces you to your co-workers, and explains your first project. After that, you begin
working and getting to know the others in the company. You find that in most respects, your
experience fits your expectations, but in some ways you are surprised by realities that you hadn't
expected. None of these surprises is too difficult to accept, so you eventually begin to feel at
home and happy with your new job.

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70) The information that you receive during the interviewing and hiring process is a part of the
________ stage of employee socialization.
A) pre-encounter
B) prearrival
C) encounter
D) metamorphosis
E) post-encounter
Answer: B
Explanation: The prearrival stage explicitly recognizes that each individual arrives with a set of
values, attitudes, and expectations about both the work to be done and the organization. One way
to capitalize on the importance of pre-hire characteristics in socialization is to use the selection
process to inform prospective employees about the organization as a whole.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

71) Your first day at work is a part of the ________ stage of socialization.
A) orientation
B) prearrival
C) encounter
D) metamorphosis
E) post-encounter
Answer: C
Explanation: On entry into the organization, the new member enters the encounter stage and
confronts the possibility that expectations about the job, co-workers, the boss, and the
organization in general may differ from reality. If expectations were fairly accurate, the
encounter stage merely cements earlier perceptions.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

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72) When you begin to notice things that are not as you expected, you are in the ________ stage
of socialization.
A) orientation
B) prearrival
C) encounter
D) metamorphosis
E) post-arrival
Answer: C
Explanation: On entry into the organization, the new member enters the encounter stage and
confronts the possibility that expectations, about the job, co-workers, the boss, and the
organization in general may differ from reality.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

73) Which of the following steps could your supervisor take to best help you develop a
commitment to your new company?
A) encourage you to work independently at first to learn the ropes
B) explain the rules and policies of the organization to you
C) discourage you from putting too much emphasis on your perception of the organization
D) encourage you to look carefully at your own assumptions, which may be biased
E) encourage you to develop friendship ties within the organization
Answer: E
Explanation: It is important to encourage the newcomer to develop friendship ties in the
organization because newcomers are more committed when friends and co-workers help them
"learn the ropes."
LO: 16.3: Identify the factors that create and sustain an organization's culture.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

74) When you start to accept the differences between your expectations and the reality of the
organization, you move into the ________ stage of socialization.
A) prearrival
B) post-arrival
C) acceptance
D) metamorphosis
E) post-encounter
Answer: D
Explanation: To work out any problems discovered during the encounter stage, the new member
changes, or goes through the metamorphosis stage.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
AACSB: Analytical thinking
Difficulty: Easy
Quest. Category: Application

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75) Your supervisor provides you a mentor to help you with your work and guide you. This
shows that your supervisor is using a(n) ________ socialization technique.
A) divestiture
B) random
C) informal
D) serial
E) variable
Answer: D
Explanation: Serial socialization is characterized by the use of role models who train and
encourage the newcomer. Apprenticeship and mentoring programs are examples.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

76) A study conducted by Bain and Company found that 70 percent of mergers failed to increase
shareholder values, and Hay Group found that more than 90 percent of mergers in Europe failed
to reach financial goals.
Answer: TRUE
Explanation: A study conducted by Bain and Company found that 70 percent of mergers failed
to increase shareholder values, and Hay Group found that more than 90 percent of mergers in
Europe failed to reach financial goals.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

77) The encounter stage of the socialization process consists of the period of learning that occurs
before a new employee joins an organization.
Answer: FALSE
Explanation: On entry into the organization, the new member enters the encounter stage and
confronts the possibility that expectations–about the job, co-workers, the boss, and the
organization in general–may differ from reality. The socialization process consists of the period
of learning that occurs before a new employee joins an organization is the prearrival stage.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

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78) During the metamorphosis stage of the socialization process, a new employee compares his
or her expectations–about the job, co-workers, the boss, and the organization in general–with the
reality in the organization.
Answer: FALSE
Explanation: During the encounter stage of the socialization process, a new employee compares
his or her expectations–about the job, co-workers, the boss, and the organization in general–with
the reality in the organization. To work out any problems discovered during the encounter stage,
the new member changes, or goes through the metamorphosis stage. During the metamorphosis
stage, new employee changes an adjusts to the job, work group, and organization.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

79) Serial socialization is characterized by the use of role models who train and encourage a
newcomer.
Answer: TRUE
Explanation: Serial socialization is characterized by the use of role models who train and
encourage a newcomer. Apprenticeship and mentoring programs are examples.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

80) Apprenticeship and mentoring programs are examples of random socialization.

Answer: FALSE
Explanation: Apprenticeship and mentoring programs are examples of serial socialization. Serial
socialization is characterized by the use of role models who train and encourage the newcomer.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

81) Formal socialization involves putting the new employee directly into the job, with little or no
special attention.
Answer: FALSE
Explanation: The more a new employee is segregated from the ongoing work setting and
differentiated in some way to make explicit his or her newcomer's role, the more formal
socialization is. Specific orientation and training programs are examples. Informal socialization
puts the new employee directly into the job, with little or no special attention.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Easy
Quest. Category: Concept

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82) Top managers' actions set the general climate in an organization, including what is
acceptable behavior and what is not, and employees sustain and perpetuate the culture.
Answer: TRUE
Explanation: Top managers' actions set the general climate in an organization, including what is
acceptable behavior and what is not, and employees sustain and perpetuate the culture.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Moderate
Quest. Category: Concept

83) How does organizational culture develop?

Answer: An organization's current customs, traditions, and general way of doing things are
largely due to what it has done before and the degree of success it has had with those endeavors.
The founders of an organization traditionally have a major impact on that organization's early
culture. They have a vision of what the organization should be. The small size that typically
characterizes new organizations further facilitates the founders' imposition of their vision on all
organizational members. The process of culture-creation occurs in three ways.
a) First, founders only hire and keep employees who think and feel the way they do.
b) Second, they indoctrinate and socialize these employees to their way of thinking and feeling.
c) And finally, the founders' own behavior acts as a role model that encourages employees to
identify with them and thereby internalize their beliefs, values, and assumptions.
When the organization succeeds, the founders' vision becomes seen as a primary determinant of
that success. At this point, the founders' entire personalities become embedded in the culture of
the organization.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Moderate
Quest. Category: Concept

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84) Explain the primary methods of maintaining an organization's culture.
Answer: Once a culture is in place, there are practices within the organization that act to
maintain it by giving employees a set of similar experiences. Three forces play a particularly
important part in sustaining a culture: selection practices, the actions of top management, and
socialization methods.
a) Selection: Selection can ensure the hiring of people who have values essentially consistent
with those of the organization, or at least a good portion of those values. In addition, the
selection process provides information to applicants about the organization. Candidates learn
about the organization and, if they perceive a conflict between their values and those of the
organization, they can self-select themselves out of the applicant pool.
b) Top management: In addition to selection, the actions of top management also have a major
impact on the organization's culture. Through what they say and how they behave, senior
executives establish norms that filter down through the organization as to whether risk taking is
desirable; how much freedom managers should give their employees; what is appropriate dress;
what actions will pay off in terms of pay raises, promotions, and other rewards; and the like.
c) Socialization: Finally, no matter how good a job the organization does in recruiting and
selection, new employees are not fully indoctrinated in the organization's culture. Because they
are unfamiliar with the organization's culture, new employees are potentially likely to disturb the
beliefs and customs that are in place. The organization will, therefore, want to help new
employees adapt to its culture. This is done through the process of socialization.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Moderate
Quest. Category: Concept

85) Describe the three stages involved in the process of socialization.

Answer: The process that helps new employees adapt to the prevailing culture is socialization.
The three stages of socialization are prearrival, encounter, and metamorphosis.
a) The prearrival stage recognizes that each individual arrives with a set of values, attitudes, and
expectations. These cover both the work to be done and the organization.
b) Upon entry into the organization, the new member enters the encounter stage. Here, the
individual confronts the possible dichotomy between his or her expectations and reality.
c) Finally, the new member must work out any problems discovered during the encounter stage.
This may mean going through changes–hence, this is called the metamorphosis stage.
LO: 16.3: Identify the factors that create and sustain an organization's culture.
Difficulty: Moderate
Quest. Category: Concept

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86) ________ typically contain narratives about the organization's founders, rule breaking, and
reactions to past mistakes.
A) Stories
B) Material symbols
C) Rituals
D) Organizational charts
E) Corporate chants
Answer: A
Explanation: Stories circulate through organizations. They typically contain narratives about the
organization's founders, rule breaking, rags-to-riches successes, reductions in the workforce,
relocation of employees, reactions to past mistakes, and organizational coping.
LO: 16.4: Show how culture is transmitted to employees.
Difficulty: Easy
Quest. Category: Concept

87) Bruce is new at Wayne Corp., but after a week he already knows that the founder of the
corporation started the business in his garage with only $4,000 and one client. This information
was most likely transmitted to Bruce by way of ________.
A) stories
B) material symbols
C) rituals
D) organizational charts
E) corporate chants
Answer: A
Explanation: Bruce most likely knows this legend through the passing of stories. Stories
circulate through organizations. They typically contain a narrative of events about the
organization's founders, rule breaking, rags-to-riches successes, reductions in the workforce,
relocation of employees, and organizational coping.
LO: 16.4: Show how culture is transmitted to employees.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

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88) Nike is using ________ to perpetuate its organizational culture when employees reminisce
about the days when Oregon track star Steve Prefontaine worked to make running a professional
sport.
A) rituals
B) material symbols
C) stories
D) company policies
E) business strategies
Answer: C
Explanation: Today, a number of senior Nike executives spend much of their time serving as
corporate storytellers. When new hires hear tales of Oregon running star Steve Prefontaine's
battles to make running a professional sport and attain better performance equipment, they learn
of Nike's commitment to helping athletes. Stories such as these circulate through many
organizations, anchoring the present in the past and legitimizing current practices.
LO: 16.4: Show how culture is transmitted to employees.
Difficulty: Moderate
Quest. Category: Concept

89) Repetitive sequences of activities that express and reinforce the key values of the
organization, which goals are most important, which people are important, and which are
expendable are called ________.
A) symbols
B) rituals
C) stories
D) communication strategies
E) spans of control
Answer: B
Explanation: Repetitive sequences of activities that express and reinforce the key values of the
organization, which goals are most important, which people are important, and which are
expendable are called rituals.
LO: 16.4: Show how culture is transmitted to employees.
Difficulty: Moderate
Quest. Category: Concept

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90) Which of the following can act as a common denominator to unite members of a given
culture or subculture?
A) mechanistic organizational structure
B) 360-degree appraisals
C) jargons and acronyms that are specific to the organization
D) bureaucratic organizational structure
E) narrow span of control
Answer: C
Explanation: Many organizations and subunits within them use language to help members
identify with the culture, attest to their acceptance of it, and help preserve it. New employees
may at first be overwhelmed by acronyms and jargon, that, once assimilated, act as a common
denominator to unite members of a given culture or subculture.
LO: 16.4: Show how culture is transmitted to employees.
Difficulty: Moderate
Quest. Category: Concept

91) Alcoa headquarters has few individual offices, even for senior executives. The space is
essentially made up of cubicles, common areas, and meeting rooms. This informality conveys to
employees that Alcoa values ________.
A) autocracy
B) competitiveness
C) rigidity
D) equality
E) formalization
Answer: D
Explanation: The informality at the Alcoa headquarters conveys to employees that Alcoa values
openness, equality, creativity, and flexibility.
LO: 16.4: Show how culture is transmitted to employees.
Difficulty: Moderate
Quest. Category: Concept

Ask Socrates Inc. is a computer software company that employs highly intelligent, but somewhat
unusual people. Every Friday, free lollipops, toys, or other treats are given out to encourage
employees to remember how creative they were when they were children. All the new members
of the organization are told about the founders who were three young people who "got lucky"
and sold a video game that they invented. The employees are allowed to dress informally and can
set their own working hours.

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92) Which of the following is most likely to be used by Ask Socrates Inc. to inform its new
employees about its founders?
A) stories
B) material symbols
C) organizational charts
D) rituals
E) corporate chants
Answer: A
Explanation: Stories circulate through organizations. They typically contain a narrative of events
about the organization's founders, rule breaking, rags-to-riches successes, reductions in the
workforce, relocation of employees, reactions to past mistakes, and organizational coping. These
stories anchor the present in the past and explain and legitimize current practices.
LO: 16.4: Show how culture is transmitted to employees.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

93) The regular distribution of lollipops, toys, or treats every Friday is an example of a ________
that helps reinforce Ask Socrates' culture.
A) dominant mechanism
B) ritual
C) primary process
D) protective mechanism
E) fundamental procedure
Answer: B
Explanation: Rituals are repetitive sequences of activities that express and reinforce the key
values of the organization, what goals are most important, which people are important, and
which people are expendable.
LO: 16.4: Show how culture is transmitted to employees.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

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94) Ask Socrates Inc. employees are allowed to dress informally. This is an example of a
________ through which organizational culture is transmitted.
A) primary procedure
B) ritual
C) material symbol
D) symbolic act
E) fundamental mechanism
Answer: C
Explanation: Material symbols convey to employees who is important, the degree of
egalitarianism top management desires, and the kinds of behavior that are appropriate. A few
examples of material symbols include the size of offices, the elegance of furnishings, executive
perks, and attire.
LO: 16.4: Show how culture is transmitted to employees.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

95) What are the various ways in which the organizational culture can be transmitted to the
employees?
Answer: Culture is transmitted to employees in a number of forms, the most potent being
stories, rituals, material symbols, and language.
a) Stories: Stories contain a narrative of events about the organization's founders, rule breaking,
rags-to-riches successes, reductions in the workforce, relocation of employees, reactions to past
mistakes, and organizational coping. These stories anchor the present in the past and provide
explanations and legitimacy for current practices.
b) Rituals: Rituals are repetitive sequences of activities that express and reinforce the key values
of the organization, what goals are most important, which people are important and which are
expendable.
c) Material symbols: The layout of corporate headquarters, the types of automobiles top
executives are given, and the presence or absence of corporate aircraft are a few examples of
material symbols. These material symbols convey to employees who is important, the degree of
egalitarianism desired by top management, and the kinds of behavior that are appropriate.
d) Language: Many organizations and units within organizations use language as a way to
identify members of a culture or subculture. By learning this language, members attest to their
acceptance of the culture and, in doing so, help to preserve it. Organizations, over time, often
develop unique terms to describe equipment, offices, key personnel, suppliers, customers, or
products that relate to its business. New employees are frequently overwhelmed with acronyms
and jargon, that, once assimilated, act as a common denominator that unites members of a given
culture or subculture.
LO: 16.4: Show how culture is transmitted to employees.
Difficulty: Moderate
Quest. Category: Concept

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96) Provide an example of how a company can use material symbols.
Answer: One example of the intentional use of material symbols is Texas electric company
Dynegy. Dynegy's headquarters doesn't look like a typical operation. There are few individual
offices, even for senior executives. The space is essentially made up of cubicles, common areas,
and meeting rooms. This informality conveys to employees that Dynegy values openness,
equality, creativity, and flexibility. While some organizations provide their top executives with
chauffeur-driven limousines and a corporate jet, other CEOs drive the company car themselves
and travel in airlines' economy section. At some firms, like Chicago shirtmaker Threadless, an
"anything goes" atmosphere helps emphasize a creative culture. At Threadless, meetings are held
in an Airstream camper parked inside the company's converted FedEx warehouse, while
employees in shorts and flip-flops work in bullpens featuring disco balls and garish decorations
chosen by each team.
LO: 16.4: Show how culture is transmitted to employees.
AACSB: Analytical thinking
Difficulty: Easy
Quest. Category: Synthesis

97) One reason for the growing interest in spirituality is ________.

A) the formalization of religion in most people's lives
B) the importance of material acquisitions
C) the introduction of formalized religious practices in the workplace
D) the slower pace of life of life facilitated by technology
E) the desire to integrate personal life values with professional life
Answer: E
Explanation: One reason for the growing interest in spirituality is the desire to integrate personal
life values with professional life.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Moderate
Quest. Category: Concept

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98) Pam works for a corporation that recently fired three top managers who were caught using
the company credit cards to lavishly furnish their offices and even purchase "office" furniture
that was found in their personal homes. Which method of maintaining an ethical culture is Pam's
company pursuing?
A) serve as a visible role model
B) communicate ethical expectations
C) provide ethical training
D) visibly punish unethical acts
E) provide protective mechanisms
Answer: D
Explanation: Research suggests managers can have an effect on the ethical behavior of
employees by adhering to the following principles: be a visible role model, communicate ethical
expectations, provide ethical training, visibly reward ethical acts and punish unethical ones, and
provide protective mechanisms. In this example, the company is visibly punishing unethical acts.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

99) A positive organizational culture emphasizes ________.

A) the use of negative reinforcement and punishment
B) the use of rituals in transmitting organizational culture
C) individual vitality and growth
D) the significance of highly centralized management
E) organizational standardization and institutionalization
Answer: C
Explanation: A positive organizational culture emphasizes building on employee strengths,
rewards more than it punishes, and emphasizes individual vitality and growth.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Easy
Quest. Category: Concept

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100) Larry has an employee who is amazing at clearly seeing rules and enforcing them. He has
recently promoted her to the lead position in quality assurance. Which method of creating a
positive organizational culture is Larry utilizing?
A) rewarding more than punishing
B) building on organization strengths
C) using standardized practices
D) building on employee strengths
E) transmitting organizational culture through rituals
Answer: D
Explanation: Larry is building on employee strengths. Because his employee is good at
enforcing rules, he is showing her how she can put that strength to use. Although a positive
organizational culture does not ignore problems, it does emphasize showing workers how they
can capitalize on their strengths.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

101) Patricia is a team leader. When looking at an e-mail from one of her team members, Patricia
noticed that the e-mail was sent at nine-thirty in the evening. The next day she personally went to
the employee's cubicle and told him how much she appreciated him staying late to get the project
to the client on time. Which aspect of creating a positive organizational culture is Patricia
utilizing?
A) rewarding more than punishing
B) building on organization strengths
C) emphasizing individual growth
D) building on employee strengths
E) providing extrinsic rewards
Answer: A
Explanation: Patricia is utilizing rewards, rather than punishment. Most organizations are
focused on extrinsic rewards such as pay and promotions and often forget about the power of
smaller rewards such as the praise that Patricia is giving.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
AACSB: Analytical thinking
Difficulty: Hard
Quest. Category: Application

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102) Liz is the lead editor for a small, city newspaper. One of her advertising sales
representatives is pulling in a lot of restaurant clients. Liz realizes that the representative is quite
knowledgeable about food and speaks quite elegantly when describing different dishes. She has
begun discussing with the representative the possibility of collaborating with a writer to include a
weekly restaurant review that includes the representative on the byline. After the first couple of
reviews, the representative is able to increase ad sizes and sales. He is very happy with his new
job diversification. Which aspect of creating a positive organizational culture is Liz utilizing?
A) rewarding more than punishing
B) building on organization strengths
C) emphasizing individual vitality and growth
D) creating loose management oversight
E) using narrow spans of control
Answer: C
Explanation: A positive organizational culture emphasizes not only organizational effectiveness
but also individuals' growth. No organization will get the best from employees who see
themselves as mere cogs in the machine. Liz is helping her employee discover new aspects of his
abilities and giving him new career opportunities.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Application

103) Organizations that promote a spiritual culture ________.

A) use stories for transmitting the organizational culture to the employees
B) use wide spans of control
C) recognize that people seek to find meaning and purpose in their work
D) de-emphasize community differences within the organization
E) tend to downplay the importance of employee satisfaction
Answer: C
Explanation: Workplace spirituality is not about organized religious practices. It's not about God
or theology. Workplace spirituality recognizes that people have an inner life that nourishes and is
nourished by meaningful work in the context of community. Organizations that promote a
spiritual culture recognize that people seek to find meaning and purpose in their work and desire
to connect with other human beings as part of a community.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Moderate
Quest. Category: Concept

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104) Which of the following terms refers to the recognition that people have an inner life that
nourishes and is nourished by meaningful work that takes place in the context of community?
A) dominant culture
B) fundamental mechanism
C) workplace spirituality
D) outcome orientation
E) subculture
Answer: C
Explanation: Workplace spirituality refers to the recognition that people have an inner life that
nourishes and is nourished by meaningful work that takes place in the context of community.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Easy
Quest. Category: Concept

105) Art-Is-Us claims to be a spiritual organization. Company employees are encouraged to

show kindness toward others. Employees are treated with esteem and value and supported for
their creativity and flexibility. While the organization values profits, its purpose is to spread the
pleasure of art to as many people as possible. Which of the following is not one of the cultural
characteristics commonly found in spiritual organizations?
A) benevolence
B) competitiveness
C) open-mindedness
D) trust and respect
E) strong sense of purpose
Answer: B
Explanation: Several cultural characteristics differentiate spiritual organizations from their
nonspiritual counterparts, including benevolence, a strong sense of purpose, trust and respect,
and open-mindedness.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
AACSB: Reflective thinking
Difficulty: Moderate
Quest. Category: Critical Thinking

106) Employees whose ethical values are similar to those of their department are more likely to
be promoted, so we can think of ethical culture as flowing from the top down.
Answer: FALSE
Explanation: Employees whose ethical values are similar to those of their department are more
likely to be promoted, so we can think of ethical culture as flowing from the bottom up.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Moderate
Quest. Category: Concept

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107) A positive organizational culture emphasizes building on employee strengths, rewards more
than it punishes, and emphasizes individual vitality and growth.
Answer: TRUE
Explanation: A positive organizational culture emphasizes building on employee strengths,
rewards more than it punishes, and emphasizes individual vitality and growth.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Easy
Quest. Category: Concept

108) Workplace spirituality recognizes that people have an inner life that nourishes and is
nourished by meaningful work in the context of community.
Answer: TRUE
Explanation: Workplace spirituality recognizes that people have an inner life that nourishes and
is nourished by meaningful work in the context of community. Organizations that promote a
spiritual culture recognize that people seek to find meaning and purpose in their work and desire
to connect with other human beings as part of a community.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Easy
Quest. Category: Concept

109) Encouraging employees to consider how their work provides a sense of purpose can help
achieve a spiritual workplace.
Answer: TRUE
Explanation: Encouraging employees to consider how their work provides a sense of purpose
can help achieve a spiritual work place.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Easy
Quest. Category: Concept

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110) What can management do to create a more ethical culture within an organization?
Answer: To create a more ethical culture, management can take a number of steps.
a) Management can be a visible role model. Employees will look to top management behavior as
a benchmark for defining appropriate behavior.
b) Management can communicate ethical expectations. Ethical ambiguities can be minimized by
creating and disseminating an organizational code of ethics. It should state the organization's
primary values and the ethical rules that employees are expected to follow.
c) Management can provide ethical training. Training sessions can be used to reinforce the
organization's standards of conduct, to clarify what practices are and are not permissible, and to
address possible ethical dilemmas.
d) Management can visibly reward ethical acts and punish unethical ones. Performance
appraisals of managers should include a point-by-point evaluation of how his or her decisions
measured against the organization's code of ethics. Appraisals must include the means taken to
achieve goals as well as the ends themselves.
e) Finally, the organization needs to provide formal mechanisms so that employees can discuss
ethical dilemmas and report unethical behavior without fear of reprimand. This might include
creation of ethical counselors, ombudsmen, or ethical officers.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Moderate
Quest. Category: Concept

111) Explain the characteristics of a positive organizational culture.

Answer: A positive organizational culture emphasizes building on employee strengths, rewards
more than it punishes, and emphasizes individual vitality and growth.
a) Building on employee strengths: Although a positive organizational culture does not ignore
problems, it does emphasize showing workers how they can capitalize on their strengths.
b) Rewarding more than punishing: Although most organizations are sufficiently focused on
extrinsic rewards such as pay and promotions, they often forget about the power of smaller (and
cheaper) rewards such as praise.
c) Emphasizing vitality and growth: No organization will get the best from employees who see
themselves as mere cogs in the machine. A positive culture recognizes the difference between a
job and a career. It supports not only what the employee contributes to organizational
effectiveness but also how the organization can make the employee more effective–personally
and professionally.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Moderate
Quest. Category: Concept

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112) Compare and contrast an ethical organizational culture and a positive organizational
culture. How are they similar and different?
Answer: The organizational culture most likely to shape high ethical standards among its
members is one that's high in risk tolerance, low to moderate in aggressiveness, and focused on
means as well as outcomes. This type of culture also takes a long-term perspective and balances
the rights of multiple stakeholders, including the communities in which the business operates, its
employees, and its stockholders. Managers are supported for taking risks and innovating,
discouraged from engaging in unbridled competition, and guided to pay attention not just to what
goals are achieved but also to how. If the culture is strong and supports high ethical standards, it
should have a very powerful and positive influence on employee behavior.
Research suggests managers can have an effect on the ethical behavior of employees by adhering
to the following principles: be a visible role model, communicate ethical expectations, provide
ethical training, visibly reward ethical acts and punish unethical ones, and provide protective
mechanisms.
A positive organizational culture emphasizes building on employee strengths, rewards more than
it punishes, and emphasizes individual vitality and growth. The steps to create a positive work
culture are more focused on the behavior of the employee, whereas the steps to creating an
ethical work culture focus more on the behavior and responsibilities of management. They both
take a long-term perspective and are concerned with balancing the rights and happiness of the
employees and the investors.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

113) What is workplace spirituality?

Answer: Workplace spirituality recognizes that people have an inner life that nourishes and is
nourished by meaningful work in the context of community. Organizations that promote a
spiritual culture recognize that people seek to find meaning and purpose in their work and desire
to connect with other human beings as part of a community.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Moderate
Quest. Category: Concept

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114) What are the characteristics of a spiritual organization?
Answer: Several cultural characteristics tend to be evident in spiritual organizations:
a) Benevolence. Spiritual organizations value showing kindness toward others and promoting the
happiness of employees and other organizational stakeholders.
b) Strong sense of purpose. Spiritual organizations build their cultures around a meaningful
purpose. Although profits may be important, they're not the primary value of the organization.
c) Trust and respect. Spiritual organizations are characterized by mutual trust, honesty, and
openness. Employees are treated with esteem and value, consistent with the dignity of each
individual.
d) Open-mindedness. Spiritual organizations value flexible thinking and creativity among
employees.
LO: 16.5: Describe the similarities and differences in creating an ethical culture, a positive
culture, and a spiritual culture.
Difficulty: Moderate
Quest. Category: Concept

115) How can U.S. managers be culturally sensitive?

A) by indulging in frequent discussions about religion
B) by discussing politics frequently
C) by listening more
D) by speaking quickly
E) by talking in a high tone of voice
Answer: C
Explanation: Some ways in which U.S. managers can be culturally sensitive include talking in a
low tone of voice, speaking slowly, listening more, and avoiding discussions of religion and
politics.
LO: 16.6: Show how national culture can affect the way organizational culture is transported to
another country.
Difficulty: Moderate
Quest. Category: Concept

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116) Which of the following statements is true regarding effects of national culture on
organizational culture and ethical behavior within an organization?
A) As compared to managers in the United States, managers in developing economies are less
likely to see ethical decisions as embedded in a social environment.
B) Organizations can safely ignore local culture while establishing its operation in another
country.
C) Generally, U.S. managers see bribery, nepotism, and favoring personal contacts as highly
unethical.
D) Organizational cultures rarely reflect national culture.
E) Most U.S. managers do not view profit maximization as a moral obligation.
Answer: C
Explanation: Organizational cultures often reflect national culture, and organizations cannot
ignore local culture while establishing its operation in another country. As compared to managers
in the United States, managers in developing economies are more likely to see ethical decisions
as embedded in a social environment. U.S. managers endorse the supremacy of anonymous
market forces and implicitly or explicitly view profit maximization as a moral obligation for
business organizations. This worldview sees bribery, nepotism, and favoring personal contacts as
highly unethical.
LO: 16.6: Show how national culture can affect the way organizational culture is transported to
another country.
Difficulty: Moderate
Quest. Category: Concept

117) Explain the difference between a typical U.S. manager's point of view of ethical behavior
and that of a manager in a developing economy and the implications of the difference.
Answer: U.S. managers endorse the supremacy of anonymous market forces and implicitly or
explicitly view profit maximization as a moral obligation for business organizations.
Accordingly, U.S. managers see bribery, nepotism, and favoring personal contacts as being
highly unethical. Any action that deviates from profit maximization may indicate that
inappropriate or corrupt behavior may be occurring. In contrast, managers in developing
economies are more likely to see ethical decisions as embedded in a social environment.
Consequently, these managers see doing special favors for friends and family as not only being
appropriate, but possibly even an ethical responsibility. Managers in these nations also view
capitalism with skepticism and believe the interests of workers should be put on par with the
interests of shareholders.
LO: 16.6: Show how national culture can affect the way organizational culture is transported to
another country.
AACSB: Analytical thinking
Difficulty: Moderate
Quest. Category: Synthesis

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