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1 |  |  _______ decisions are those that occur under non-routine, unfamiliar circumstances. |
|  | A) | Programmed |
|  | B) | Nonprogrammed |
|  | C) | Incremental |
|  | D) | Circumstantial |
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2 |  |  Value orientation reflects the extent to which a person focuses on either task and technical concerns or people and social concerns when making decisions. |
|  | A) | True |
|  | B) | False |
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3 |  |  Which of the following is NOT a decision-making style? |
|  | A) | Directive |
|  | B) | Analytical |
|  | C) | Persuasive |
|  | D) | Behavioral |
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4 |  |  People with a(n) _______ style have a high tolerance for ambiguity and tend to focus on the people or social aspects of a work situation. |
|  | A) | analytical |
|  | B) | behavioral |
|  | C) | directive |
|  | D) | conceptual |
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5 |  |  The third stage of practical decision-making involves evaluating alternatives and selecting solutions. This is accomplished by determining all of the following EXCEPT |
|  | A) | implementation tactics. |
|  | B) | ethical implications. |
|  | C) | feasibility. |
|  | D) | effectiveness. |
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6 |  |  The main disadvantage of the rational model is that it is prescriptive, describing how managers ought to make decisions, but not showing how they actually make decisions. |
|  | A) | True |
|  | B) | False |
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7 |  |  According to the _______ model, managers seek alternatives until they find one that is satisfactory, not optimal. |
|  | A) | behavioral |
|  | B) | incremental |
|  | C) | satisficing |
|  | D) | bounded rationality |
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8 |  |  What kind of knowledge is individual-based, intuitive, acquired through considerable experience, and hard to express and to share? |
|  | A) | Reactive knowledge |
|  | B) | Objective knowledge |
|  | C) | Explicit knowledge |
|  | D) | Tacit knowledge |
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9 |  |  Which of the following is a disadvantage of group decision making? |
|  | A) | Satisficing |
|  | B) | Greater pool of knowledge |
|  | C) | Different perspectives |
|  | D) | Intellectual stimulation |
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10 |  |  Groupthink occurs when group members combine perspectives to find an optimal solution to a problem. |
|  | A) | True |
|  | B) | False |
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11 |  |  Which of the following is NOT a characteristic of groups? |
|  | A) | The larger the group, the lower the quality of the decision |
|  | B) | Decisions are reached more quickly and efficiently than for individuals |
|  | C) | They may be too confident |
|  | D) | Decision-making accuracy is higher when group members are knowledgeable |
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12 |  |  Participative management is the process of involving employees in all of the following EXCEPT |
|  | A) | setting goals. |
|  | B) | making decisions. |
|  | C) | making changes in the organization. |
|  | D) | determining pay levels. |
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13 |  |  The purpose of a(n) _______ group is to generate ideas and evaluate solutions, which members do by writing down as many ideas as possible. The ideas are then listed on a blackboard, discussed, and voted on. |
|  | A) | nominal |
|  | B) | Delphi |
|  | C) | interacting |
|  | D) | computer-aided |
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14 |  |  A Delphi group uses physically dispersed experts who fill out questionnaires to anonymously generate ideas; the judgements are combined and averaged to achieve a consensus. |
|  | A) | True |
|  | B) | False |
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15 |  |  _______ is an ineffective reaction to a situation, in which a manager decides to take no action in the belief that there will be no great negative consequences. |
|  | A) | Defensive avoidance |
|  | B) | Relaxed avoidance |
|  | C) | Relaxed change |
|  | D) | Panic |
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16 |  |  Heuristics are strategies that simplify the process of making decisions. |
|  | A) | True |
|  | B) | False |
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17 |  |  Availability bias is the tendency to generalize from a small sample or a single event. |
|  | A) | True |
|  | B) | False |
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18 |  |  _______ bias is the tendency to make decisions based on an initial figure. |
|  | A) | Availability |
|  | B) | Representativeness |
|  | C) | Anchoring and adjustment |
|  | D) | Escalation of commitment |
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