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business
understanding business ethics

Questions and Answers of Understanding Business Ethics

Whole Foods structures its organization in a decentralized manner. What does that mean for the company’s operations?
Organizations like Whole Foods need to follow the principles of Henri Fayol, such as the “unity of command.”What is unity of command?
Describe Xerox’s reasons for success.
Read through the history of the company and describe its current strengths, weaknesses, opportunities, and threats (a SWOT analysis; see Chapter 7).
Do an online search for “Xerox Corporation.”
A growing number of work groups, including management, are cross-functional and self-managed. To practice working in such an organization, break into groups of five or so students, preferably with
Divide the class into teams of five. Each team should imagine your firm, a producer of athletic shoes, has been asked to join a virtual network. How might you minimize the potential problems of
Imagine you are working for Kitchen Magic, an appliance manufacturer that produces dishwashers. A competitor introduces a new dishwasher that uses sound waves not only to clean even the worst
Describe some informal groups within an organization with which you are familiar at school or work. What have you noticed about how those groups help or hinder progress in the organization?
There is no better way to understand the effects of having many layers of management on communication accuracy than the game of Message Relay. Choose seven or more members of the class and have them
What organizational changes might you recommend to the auto companies? The airline industry?
What problems seem to emerge when an organization gets larger?
Were promotions based strictly on qualifications, as Weber suggested? What other factors may have been considered?
Were you assigned specific tasks or left on your own to decide what to do?
Did you find a division of labor necessary and helpful?
Why do organizations outsource functions?
What is an inverted organization?
What is the main difference between a matrix-style organization’s structure and the use of cross-functional teams?
What management principle does a matrix-style organization challenge?
What is the difference between line and staff personnel?
What are the various ways a firm can departmentalize?
What are the advantages and disadvantages of departmentalization?
What are some reasons for having a narrow span of control in an organization?
Why are organizations becoming flatter?
What did Weber add to the principles of Fayol?
What are the principles of management outlined by Fayol?
What do the terms division of labor and job specialization mean?
What is meant by Six Sigma?
The video mentions the loss of U.S. manufacturing jobs to overseas locations. What is this called?What is the opposite trend that has occurred in the United States with companies like Toyota and
Looking at the future of manufacturing in the United States, do you think U.S. companies like Ball are adapting to the challenges of foreign manufacturers? What is Ball doing to stay competitive?
What location factors might go into the selection of a manufacturing site for Hershey’s chocolate?
Does Hershey use process manufacturing or the assembly process? Is the production of Hershey’s chocolate an intermittent or continuous production process? Justify your answers.
Think about recent experiences you have had with service organizations and select one in which you had to wait for an unreasonable length of time to get what you wanted. Describe what happens when
Think of any production facility at your school, such as a sandwich shop, library, or copy center, and redesign the layout (make a pencil sketch) to more effectively serve customers and allow
Discuss some of the advantages and disadvantages of producing goods overseas using inexpensive labor. Summarize the moral and ethical dimensions of this practice.
In teams of four or five, discuss the need for better operations management in the airline industry. Have the team develop a report listing (a) problems team members have encountered in traveling by
Choosing the right location for a manufacturing plant or a service organization is often critical to its success. Form small groups and have each group member pick one manufacturing plant or one
One way to create new jobs in the United States is to increase innovation among new graduates from engineering and the sciences. How can the United States motivate more students to major in those
Computer-integrated manufacturing (CIM) has revolutionized the production process.What will such changes mean for the clothing industry, the shoe industry, and other fashion-related industries? What
Workers on the manufacturing floor are being replaced by robots and other machines. On the one hand, this lets companies compete with cheap labor from other countries. On the other hand, automation
How could you use a Gantt chart to keep track of production?
Draw a PERT chart for making a breakfast of three-minute eggs, buttered toast, and coffee. Define the critical path.
What are Six Sigma quality, the Baldrige Award, ISO 9000, and ISO 14000?
What is just-in-time inventory control?
What is the difference between MRP and ERP?
What are the major criteria for facility location?
What do you call the integration of CAD and CAM?
Define and differentiate the following: process manufacturing, assembly process, continuous process, and intermittent process.
What is form utility?
What led companies to focus on operations management rather than production?
What must U.S. companies do to continue to strengthen the country’s manufacturing base?
What have U.S. manufacturers done to regain a competitive edge?
What important questions should you ask before becoming a franchisee in a company like Sonic?
How is a franchise different from a partnership?
Like many entrepreneurs, Troy Smith started Sonic as a sole proprietorship, then took on a partner, and eventually offered franchises. What advantages did he enjoy at each stage of Sonic’s
Did your search give you enough information to answer most of the questions in Figure 5.9? If not, what other information do you need, and where can you obtain it?
Use the search tool to find a franchise that has the potential of fulfilling your entrepreneurial dreams. Navigate to the profile of the franchise you selected.Explore the franchise’s website if a
Find information online about a business cooperative (e.g., Welch’s, Land O’ Lakes, Sunkist). Research how it was formed, who can belong to it, and how it operates.
Successful businesses continually change hands. Methods of change discussed in this chapter include mergers, acquisitions, taking a firm private, and using leveraged buyouts. Search for an article
Let’s assume you want to open one of the following new businesses. What form of business ownership would you choose for each? Why? Explain your choices to the rest of the class.a. Video game rental
Have you thought about starting your own business? What opportunities seem attractive? Choose someone in the class whom you might want for a partner or partners in the business. List all the
Research businesses in your area and identify sole proprietorships, partnerships, corporations, and franchises. Arrange interviews with managers using each form of ownership and get their
What form of business ownership would you choose—sole proprietorship, partnership, C corporation, S corporation, or LLC? Why?
Do you have all the skills and resources to start the business, or will you need to find one or more partners? If so, what skills would your partners need to have?
What talents or skills do you need to run the business?
What kinds of products or services will you offer?
What is a cooperative?
What opportunities are available for starting a global franchise?
What are some of the factors to consider before buying a franchise?
Why are so many new businesses choosing a limited liability company(LLC) form of ownership?
If you buy stock in a corporation and someone gets injured by one of the corporation’s products, can you be sued? Why or why not?
What is the role of owners (stockholders) in the corporate hierarchy?
What are the major advantages and disadvantages of incorporating a business?
What are some of the advantages and disadvantages of partnerships?
What is the difference between a limited partner and a general partner?
Why would unlimited liability be considered a major drawback to sole proprietorships?
Most people who start businesses in the United States are sole proprietors.What are the advantages and disadvantages of sole proprietorships?
Why do you think team leaders at Zappos are required to spend 20 percent of their time with their teams outside the work environment?
How does the employee satisfaction and empowerment at Zappos help support the primary goals of the company?
What does the vision statement for a company like Zappos include?
Analyze Toys “R” Us’s opportunities and threats. What additional opportunities can you suggest? What additional threats can you identify?
Analyze Toys “R” Us’s weaknesses. How do you think the company’s strengths might be used to overcome some of its weaknesses?
What are Toys “R” Us’s strengths, weaknesses, opportunities, and threats?
Because of the illegal and unethical behavior of a few managers, managers in general are under suspicion for being greedy and dishonest. Discuss the fairness of such charges, and suggest what could
Review Figure 7.6 and discuss managers you have known, worked for, or read about who have practiced each management style. Students from other countries may have interesting experiences to add. Which
In class, discuss the advantages and disadvantages of becoming a manager. Does the size of the business make a difference? What are the advantages of a career in a profit-seeking business versus a
Bring several decks of cards to class and have the class break up into teams of four or so members. Each team should then elect a leader. Each leader should be assigned a leadership style and learn
Allocate time to do some career planning with a SWOT analysis of your present situation. Choose one career you are interested in and answer the following questions:What does the marketplace for your
Can someone who’s trained to give orders (like a military sergeant) be retrained to be a participative leader? How? What problems may emerge?
Do you see any problems with a participative (democratic) leadership style? Can you see a manager getting frustrated when he or she can’t control others?
What kind of leader would you be? Do you have evidence to show that?
Would you like to work for a large firm or a small business? Private or public? In an office or out in the field? Give your reasons for each answer.
What’s the difference between internal and external customers?
What are the five steps in the control process?
How does enabling help achieve empowerment?
What are the six Ds of decision making?
What are the differences among strategic, tactical, and operational planning?
What does a company analyze when it does a SWOT analysis?
What’s the difference between goals and objectives?
What’s the definition of management used in this chapter?

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