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1 |  |  For the typical manager, opportunities and threats which result from changes in the task environment are more difficult to identify than events in the general environment. |
|  | A) | TRUE |
|  | B) | FALSE |
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2 |  |  An organizational environment is the set of forces and conditions that operate inside an organization's boundaries that affect a manager's ability to acquire resources. |
|  | A) | TRUE |
|  | B) | FALSE |
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3 |  |  A task environment is the set of forces and conditions that originate with suppliers, distributors, customers, and competitors. |
|  | A) | TRUE |
|  | B) | FALSE |
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4 |  |  The general environment considers factors such as demographic, political, and legal forces on the organization. |
|  | A) | TRUE |
|  | B) | FALSE |
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5 |  |  When new competitors enter an industry, prices in the industry typically increase. |
|  | A) | TRUE |
|  | B) | FALSE |
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6 |  |  The higher the barriers to entry in an industry, the greater is the threat of competition. |
|  | A) | TRUE |
|  | B) | FALSE |
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7 |  |  Rivalry between companies is potentially the most threatening force with which managers must deal. |
|  | A) | TRUE |
|  | B) | FALSE |
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8 |  |  Poor economic conditions make environments more complex, and managers' jobs more difficult and demanding. |
|  | A) | TRUE |
|  | B) | FALSE |
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9 |  |  Barriers to entry are illegal. |
|  | A) | TRUE |
|  | B) | FALSE |
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10 |  |  Economies of scale are factors that make it difficult and costly for a business to enter an environment. |
|  | A) | TRUE |
|  | B) | FALSE |
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11 |  |  Falling trade barriers create opportunities but not threats for organizations. |
|  | A) | TRUE |
|  | B) | FALSE |
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12 |  |  A good way for the organization to respond to its changing environment is for the organization to change its structure. |
|  | A) | TRUE |
|  | B) | FALSE |
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13 |  |  Forces in an organization's general environment affect the task environment. |
|  | A) | TRUE |
|  | B) | FALSE |
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14 |  |  The complexity of the external environment is a function of the age of the organization. |
|  | A) | TRUE |
|  | B) | FALSE |
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15 |  |  In general, the larger an organization is, the greater is the number of forces that managers must respond to. |
|  | A) | TRUE |
|  | B) | FALSE |
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