BSP

BUSINESS AND TECHNOLOGY

TEST 1 – 20.02.21

INSTRUCTIONS:

 ATTEMPT ALL QUESTIONS.

 EACH QUESTION CARRY TWO (2) MARKS
 TOTAL MARKS: 100
 DURATION: 1 HOUR

NAME OF STUDENT:

BATCH & TIME:

Question 1.

An organisation can be defined as a …………………………………………………………………………………

a. A logical environment which pursues collective goals, which owns its performance,
and which has a boundary separating it from its environment.
b. A perfect environment which pursues collective aims and objectives, which controls
its own performance, and which has a boundary separating it from its environment.
c. A social arrangement which pursues collective goals, which controls its own
performance, and which has a boundary separating it from its environment.
d. A social arrangement which pursues group goals, which controls its own
performance, and which has a boundary separating it from its environment.

1
 BSP

Question 2.

An organisation will have ………………………………………………….. in place to ensure that group

goals are achieved.

a. Policies
b. Systems and procedures
c. Laws and bylaws
d. All of the above

Question 3.

Commercial organisations are defined as which type of organisation?

a. Profit seeking
b. Charity
c. Limited liability
d. Private Sector
e. All of the above

Question 4.

Organisation structure is concerned with the way work is ………………………………………………….

a. Performed
b. Allocated and performed
c. Divided up and allocated
d. Split and allocated
e. None of the above

2
 BSP

Question 5.

Examples of public sector organisations are ……………………………………………………………………..

a. Banks, police and hospitals

b. Charity clubs, insurance and military
c. Primary education, hospitals and insurance
d. Public transport, primary education and military
e. Military, police and insurance

Question 6.

Mintzberg’s structures are divided into how many parts?

a. Six
b. Five
c. Four
d. Three
e. None of the above

Question 7.

Economies of scale and standardisation are the benefits of which organisational structure?

a. Entrepreneurial structure
b. Divisional Structure
c. Functional Structure
d. Matrix Structure
e. None of the above

3
 BSP

Question 8.

Tall/narrow, wide/flat have ………………………………………. of two or more.

a. Organisational structures
b. Level of hierarchy
c. Span of control
d. Deliberate moves

Question 9.

The chain of command from the top of the company down to the button is called the
……………………………………..

a. Modular chain
b. Scalar chain
c. Strategic apex
d. Tactical level

Question 10.

The formal organisation is …………………………………………………………………. by management.

a. Created
b. Formed
c. Deliberately designed
d. Activated
e. Formed and executed

4
 BSP

Question 11.

The hierarchy that passes information down to the organisation is the

………………………………………..

a. Operating core
b. Support staff
c. Strategic apex
d. Tactical level

Question 12.

The health and safety manual, employee handbook, quality control manual and finance
manuals form part of the ……………………………………………………………………………………………………..

a. Aims and objectives

b. Technostructure
c. Support staff
d. ISO quality control
e. Standards and procedures

Question 13.

The strategic apex, middle line and operating core form part of
………………………………………………….. structures.

a. Henry Fayol
b. Buchanan & Huczynski
c. Blake and Mouton
d. Michael Porter
e. None of the above

5
 BSP

Question 14.

PEST (EL) E are the ………………………………………………………………………………… influences

a. Economical
b. Environmental
c. Social
d. All of the above

Question 15.

What does the latest addition in PEST (EL) E signify?

a. Ethical
b. Ecological
c. Environmental
d. Economical
e. None of the above

Question 16.

………………………………………………………………….. is a popular and useful framework which is used

to analyse industry sectors and industry attractiveness.

a. SWOT Analysis
b. PEST (EL) E
c. Porter’s competitive model
d. Porter’s five forces model
e. None of the above.

6
 BSP

Question 17.

…………………………………………………………….. is used to examine how a business makes profits or

margins.

a. Porter’s competitive model

b. Maslow hierarchical level
c. Porter’s Value Chain
d. None of the above

Question 18

Each organisation should be contributing to the value of the final product and the whole set
of organisations is called a ……………………………………………………………….

a. Value Chain
b. Value network
c. Both

Question 19.

The following factors are the components of a SWOT analysis,

1. Strengths
2. Weaknesses
3. Opportunities
4. Threats

Which factors are classified as internal factors?

a. 1 & 4
b. 2 & 1

7
 BSP

c. 4 & 1
d. 2 & 3
e. 1, 2 & 3 only
f. 3 & 4

Question 20.

Shared beliefs and attitudes of population are known as ……………………………………………

a. Norms.
b. Socio-cultural factors.
c. All of the above
d. None of the above

Question 21.

The term “stakeholder” refers to any …………………………………….. or

………………………………………… in any way affected by organisation. (Fill in the blanks)

Question 22.
The result of PEST (EL) E is used to identify …………………………………….. and
………………………………. which are used in a SWOT Analysis

a. Strengths and threats

b. Strengths and weaknesses
c. Weaknesses and threats
d. Opportunities and threats

8
 BSP

Question 23.

The agency relationship exists between two major categories, which are
………………………………….?

a. Stakeholders and management

b. Shareholders and directors
c. Directors and management
d. Stakeholders and directors

Question 24.

Connected stakeholders are outside the organisation while internal stakeholders are inside
the organisation. Is the statement …………………… ?

a. True
b. False

Question 25.

Directors/ management are considered to be the principals of an organisation. To what

extent to you agree with this statement?

a. Strongly agree
b. Agree
c. Strongly Disagree
d. Disagree

Question 26.

The analysis of stakeholders is a model called the …………………………………. Matrix. (Fill in the
blank)

9
 BSP

Question 27.

High level of power and low level of interest is which type of player?

a. Keep Satisfied
b. Keep informed
c. Key player
d. None of the above

Question 28.

Charles Handy defined culture as ……………………………………………………………………………..............

a. How we do things around here

b. How we learn and do things around here
c. The way we do things around here
d. The process of doing things around here

Question 29.

Who identified the levels of culture?

a. Charles Handy
b. Zeus
c. Athena
d. Schein
e. None of the above

10
 BSP

Question 30.

There are different types of culture such as role culture and power culture. Which of the
followings form part culture?

a. Task culture
b. Organisational assumptions
c. Power relations
d. Organisational structure
e. Process culture

Question 31.

Stated goals, strategies and philosophies are ……………………………………………………………………..

a. Underlying assumptions
b. Artifacts
c. Espoused values

Question 32.

Which marketing tool is used to analyse and monitor the impact of macro-economic factors
of an organisation?

a. SWOT analysis
b. PEST (EL) E
c. Porter’s Value Chain
d. Scalar Chain

11
 BSP

Question 33.

The influences of culture can be represented by ………………………………………….. ?

a. Role culture
b. Organisational structure
c. Cultural web
d. Rituals and routines

Question 34.

Stakeholders who have high power and high level of interest are known as the
………………………………………….. (Fill in the blank)

Question 35.

Competitive forces comprise of new entrants, customers, suppliers, rivals/competitors and

…………………………………….?

a. Owners
b. Agents
c. Substitutes
d. Complements
e. Price

Question 36.

The public sector is normally concerned with:

a. Making profit from the sale of goods
b. Providing services to specific goods funded from charitable donations
c. The provision of basic government services
d. Raising funds by subscriptions from members to provide common services

12
 BSP

Question 37.

Which of the following organisations is normally found in the public sector?

a. Schools
b. Charities
c. Businesses

Question 38.

Which of the following is NOT a key feature of an organisation?

a. Controlled performance
b. Collective goals
c. Social arrangements
d. Creation of a product or service

Question 39.

Which of the following statements regarding the entrepreneurial structure is correct?

a. It usually allows for defined career paths for employees

b. It often enjoys strong goal congruence throughout the organisation
c. It can normally cope with significant diversification and growth
d. None of the above

Question 40.

Which of the following is a disadvantage of a functional structure?

a. Lack of economies of scale
b. Absence of standardisation

13
 BSP

c. Specialists feel isolated

d. Empire building

Question 41.

‘An organisation that is owned and democratically controlled by its members’ is which type
of organisation?

a. Charities
b. Non-governmental organisations
c. Co-operatives
d. Private limited companies

Question 42.

which of the following statements regarding limited companies is correct?

a. Public limited companies have access to a wider pool of finance than partnerships or
sole traders
b. Both public and private limited companies are allowed to sell shares to the public
c. Companies are always owned by many different investors
d. Shareholders are liable for any debts the company may incur

Question 43.

Which of the following structures results in a potential loss of control over key operating
decisions and a reduction in goal congruence?
a. Matrix
b. Entrepreneurial
c. Functional
d. Geographic

14
 BSP

Question 44.

Offshoring refers to the transfer of existing staff members to other countries with lower
wage rates.

Is this statement true or false?

a. True
b. False

Question 45.

The first leaders of the organisation tend to define its later culture.
Which major writer came to this conclusion?

a. Handy
b. Schein
c. Maslow
d. Porter

Question 46.

The informal organisation can either enhance or hold the business back

a. True
b. False

Question 47.

Which of the four cultural types popularised by Handy is often found in organisations with
an entrepreneurial structure?
a. Task
b. Person

15
 BSP

c. Power
d. Role

Question 48.

The primary objective of government- funded organisations is to reduce costs of their

operations and thus minimise the burden on tax payers.

Is this statement true or false?

a. True
b. False

Question 49.

According to the Antony Triangle, there are three levels of planning within an organisation.
Which level of planning is usually undertaken by the organisation’s junior management?

a. Operational
b. Tactical
c. Strategic
d. Applied

Question 50.

According to Handy’s theory, in the person culture which of the following would be correct?

a. Contributions made by each employee is recognised and appreciated

b. Status symbols are there to remind staff of their place
c. People believe that if they meet their job requirement, they will slowly progress to
the senior management
d. Rules are put in place and must be strictly followed by all

16