What are the Areas of Corporate Social Responsibility?
1. Responsibility Towards Customer
2. Responsibility Towards Environment
3. Responsibility Towards Employees
4. Responsibility Towards Investors
What is "Consumerism
A form of Social activism dedicated to protecting the rights of consumers in their dealings with businesses
What are the 6 consumer rights?
1. Right to safe products
2. Right to be informed about all relevant aspects of a product
3. Right to be heard
4. Right to choose what they buy
5. Right to be educated about purchases
6. Right to courteous service
Define Cheque Kiting
Writing a cheque from one account, depositing it in a second account, and then immediately spending money from the second account while the money from the first account is still in transit
Define Collusion
An illegal agreement amount companies in an industry to "fix" prices for their products
What are the 4 basic steps to establishing/managing social responsibility programs:
Step 1: Top Management Support
Step 2: Strategic Planning
Step 3: Appoint a Director
Step 4: The Social Audit
What are the 4 approaches/stances to social responsibility. Name them and define them
1. Obstructionist: does as little as possible to solve social or environmental problems and denies or covers up their wrongdoings
2. Defensive: does only what is legally required and nothing more
3. Accommodative: meets all of its legal and ethical requir
What are the 4 functions of Management?
1. Planning
2. Leading
3. Organizing
4. Controlling
What are the 6 Steps in the rational decision-making process?
1. Recognize and define the decision situation
2. Identify Alternatives
3. Evaluate the alternatives
4. Select the best alternative
5. Implement the chosen alternative
6. Follow-up and evaluate the results
Name 5 Corporate Strategies.
1. Concentration Strategies
2. Growth Strategies
3. Integration Strategies
4. Diversification Strategy
5. Investment Reduction Strategy
Define what corporate Concentration Strategies are:
Concentration Strategies - focussing the company on one product or product line
Define/name the corporate Growth Strategies
MARKET PENETRATION- boosting sales of present products by more aggressive selling in the firm's current markets
PRODUCT DEVELOPMENT - developing improved products for current markets
GEOGRAPHIC EXPANSION - expanding operations in new geographic areas or c
Define/name the corporate Integration Strategies
HORIZONTAL INTEGRATION - acquiring control of competitors in the same or similar markets with the same or similar products
VERTICAL INTEGRATION - owning or controlling the inputs to the firm's processes and/or the channels through which products or servic
Define what Corporate Diversification strategies are
Diversification strategy - expanding into related or unrelated products or market segments
Define what corporate Investment reduction strategies are:
Investment reduction strategy - reducing the companies investment in one or more of its lines of business
Define Cost Leadership (competitive strategies)
Cost leadership - becoming the low-cost leader in industry
Define Differentiation Strategy (competitive strategies)
Differentiation Strategy - a firm seeks to be unique in its industry along some dimension that is valued by buyers
Define Focus strategy (competitive strategies)
Focus Strategy - Selecting a market segment and serving the customers in that market niche better than competitors
What are the bases of departmentalization for companies?
Departmentalization may occur along Functional, Customer, Product, Geographic and Process Lines
What are the characteristics of a firm in terms of distribution of authority?
Centralized - Top managers retain most decision-making rights for themselves
Decentralized - Lower and middle-level managers are allowed to make significant decisions
What is a Matrix Organization?
Matrix Organization: A variation of project structure in which the project manager and the regular line manager share authority.
Define Team Organization
This type of organization relies almost exclusively on project-type teams, with little or no underlying functional hierarchy. People move from project to project as dictated by their skills and the demands of those projects
Define Virtual Organization
Virtual Organization - A company with little or no formal structure, which exists only in response to its own needs
Define Learning Organization
Learning Organization - This type of organization works to integrate continuous improvement with continuous employee learning and development
Define Time Utility
Time Utility - when the product is available
Define place Utility
Place Utility - where the product is available
Define Ownership (Possession) Utility
Ownership (possession) utility - consumption or use of product
Define Form Utility
Form utility - product's form (the transformation of raw materials into a finished product)
Define the 2 Goods-Producing Processes.
Analytic process - any production process in which resources are broken down
Synthetic Process - any production process in which resources are combined
Define the 2 Service-Producing Processes are:
Low-Contact Process/System - customers do not need to be physically present to receive the service
High-Contact Process/System - customers need to be physically present
What are the 3 key qualities of Service Products characterized by
1. Intangibility
2. Customization
3. Unstorability
Name and Define the 4 types of layout for production
1. Process Layout-a way of organizing production activities such that equipment and people are grouped together according to their function
2. Cellular Layout- a layout used to produce goods when families of products can follow similar flow paths
3. Produ
What is the 4-stage process of supplier selection
1. Investigating possible suppliers
2. Evaluating and isolating the best candidates
3. Negotiating terms of service with a final choice
4. Maintaining a positive buyer-seller relationship
Define Total Quality Management TMQ
TMQ-All the activities necessary for getting high-quality goods and services into the marketplace.
?Sometimes called quality assurance.
Planning for quality
...
Organizing for quality
...
Leading for quality
...
Controlling for quality
...
How is TQM(QA) different from quality control?
...
Joseph Juran's Quality Trilogy
Quality Planning -
Quality Control -
Quality Improvement -
What is "cause-and-effect" diagram
Invented by Kaoru Ishikawa
Also called Ishikawa diagram or fishbone diagram
What is the 6 step Business Process Re-engineering
Step 1 - State a case for action
Step 2 - Identify the process for re-engineering
Step 3 - Evaluate information and human resource requirements for re-engineering
Step 4 - Understand the current process
Step 5 - Create a new process design
Step 6 - Implem
What are the Impacts of IT/IS on organizational processes and operations?
?Better service through coordination of remote deliveries
?Leaner and more efficient organizations
?Increased collaboration
?Improved global exchange
?Greater independence of company and workplace
?Improved management processes
?Improved flexibility for c
Define M-1
includes only the most liquid forms of money (currency and demand deposits)
Define M-2
includes everything that is in the M-1 category, and saving deposits, time deposits, and money market mutual funds.
Define Bank Rate
The rate at which chartered banks can borrow from the Bank of Canada (rediscount rate)
Define Letter of Credit
Letter of Credit- A promise by a bank to pay money to a business firm if certain conditions are met
Define Banker's Acceptance
Banker's Acceptance - A promise that the bank will pay a specified amount of money at a future date
Define Smart Cards
Smart cards - a credit-card-sized computer that can be programmed with "electronic money" -- also called "electronic purses" or "stored value cards
Define Ecash
Ecash - Money that moves along multiple channels of consumers and businesses via digital electronic transmissions
Define Reserve Requirement
The requirement that banks have to keep a portion of their checkable deposits in vault cash or as deposits with Bank of Canada
Define Factoring Company
A factoring company buys accounts receivable from a firm for less than their face value, and then collects the face value of the receivables
What are three ways to express the value of a common stock
1. Par Value: the arbitrary face value of a share of stock set by the board of directors of the issuing company
2. Market Value: The current price of a share in the (secondary) stock market
3. Book Value: it is the common stock expressed as total sharehol