Management 1010Exam # 1 Study Guide Chapters: 1-3Creating Value For Stakeholders1. 1. What is the basic idea of “creating value for stakeholders” and what is the job of the manager?2. 2. Who are the primary and secondary stakeholder groups?3. 3. What is the mindset suggested for managing stakeholder relationships?Chapter 1 Employee and Management Development Why is employee-development important in today’s organization? Why is it so important to employees? (p. 8-9)1. 1. What are the three approaches to traditional employee development? (p. 9-14)2. 2. Who has responsibility for employee development? What are things that an employee can do to take the initiative for their own development? (p.14-15)3. 3. What are the reasons why management development is so important? What are the two, long-lasting benefits of understanding the match required between managers and their organizational context? (p. 16-17)4. 4. What are the qualities required for a President/CEO? What are the challenges of trainingexecutives? What are the different methods of executive training? (p. 33-37)NOTE: DUE TO THE LACK OF STUDY TIME, MATERIAL FROM P. 18-32 WILL NOT BE ON THE TESTChapter 2 Marketing; Creating and Capturing Customer Value1. 1. What do Zappos (p.48-49) and in-N-Out (p.60-61) have in common?2. 2. What is Marketing? (p. 50-51)3. 3. What are the steps in the marketing process? (p.51) Also, review the expanded version at the end of the chapter so you know where activities occur in the process. (p.75-76)4. 4. What are market offerings, marketing myopia and the main elements in the marketing system? (p.52-54)5. 5. What are the steps involved in designing a marketing strategy? What are the different marketing management orientations? (p. 54-57)6. 6. What is customer relationship management, customer-perceived value and customer satisfaction? (p. 58-59)7. 7. What are the changes/trends occurring in the ways companies are relating to customers? (p. 62-65)8. 8. Why is maintaining customer loyalty so important? What is customer lifetime value and customer equity? What is the classification scheme for customers based on potential profitability and loyalty? (p. 66-68)9. 9. How have Target, P&G, Lexus and De Beers responded to the recession and trend towards frugality? What firms have benefitted from the troubled economy? (p. 69-71)Chapter 3 Getting Started; Principles of Finance1. 1. What is Finance? What are the three basic questions that are addressed in finance? What are the benefits of studying finance? (p. 88-89)2. 2. What are the different types of business organizations? What are the advantages/disadvantages of each type? (p. 89-91)3. 3. How does the principle of maximizing shareholder wealth relate to Coca Cola and Google visions? What is the assumption that allows shareholder interests to align with those of other stakeholder groups? (p. 93-94)4. 4. What is the agency problem? What are potential ways to limit the problem? (p. 94-95)5. 5. What are the four principles of finance? Know this area thoroughly including examples.