Organizational Behavior, 16e (Robbins/Judge)Chapter 18 Organizational Change and Stress Management1) An example of change in the nature of the workforce is an increase in ________.A) college attendanceB) mergers and consolidationsC) capital investmentD) divorce ratesE) cultural diversityAnswer: EExplanation: E) Almost every organization must adjust to a multicultural environment, demographic changes, immigration, and outsourcing. This represents the changing nature of the workforce.LO: 1Difficulty: ModerateQuest. Category: ConceptLearning Outcome: Define diversity and describe the effects of diversity in the workforce2) Organizations are increasingly adjusting their processes and positioning their products as environment friendly and sustainable in order to increase their appeal to consumers. This is a response to changes in ________.A) demographic trendsB) social trendsC) cultural trendsD) legal requirementsE) nature of the workforceAnswer: BExplanation: B) Social trends don't remain static. Consumers now meet and share information inchat rooms and blogs. Companies must continually adjust product and marketing strategies to be sensitive to changing social trends. Consumers, employees, and organizational leaders are more sensitive to environmental concerns. "Green" practices are quickly becoming expected rather than optional.LO: 1Difficulty: ModerateQuest. Category: Concept1Copyright © 2015 Pearson Education, Inc.3) Tescra Education is an educational publishing company that provides textbooks in the area of higher education. The company has been in business for almost 20 years now and has earned substantial profits during this period. Which of the following trends, if true, would drive the company to change its business strategy?A) a rise in the cost of electronic products such as iPads and e-book readers and subscription charges for educational appsB) an upward trend in students' preference for face-to-face interaction with instructors using traditional classroom learning techniquesC) a need for learning environments where students feel safe to apply the knowledge they've acquired in the classroom to real-life situationsD) a decrease in the number of people going back to school to upgrade their skills, due to an economic boomE) an increase in the number of laws and regulations related to intellectual propertyAnswer: CExplanation: C) If students feel the need for learning environments where they feel safe to applythe knowledge they've acquired in the classroom to real-life situations, then online learning methods would be best suited to meet this need. This would require the company to change its business strategy from providing textbooks to focusing on online learning. A rise in the cost of technological tools and a preference for face-to-face interaction with instructors using traditional classroom learning techniques would increase the requirement for textbooks and would not have an impact on the company's business strategy. A decrease in the number of people going back to school to upgrade their skills would imply that there are a fewer number of students and hence the company would not need to change its strategy. Intellectual property laws apply to both online and traditional publishing and would not drive a company to change its business strategy.LO: 1AACSB: Reflective ThinkingDifficulty: HardQuest. Category: Critical ThinkingLearning Outcome: Explain how to manage resistance to change2Copyright © 2015 Pearson Education, Inc.Fony Corp., headquartered in China, is a leading manufacturer of electronic devices and solutions intended for professional markets. The company is considering upgrading the technology currently being used at Fony's manufacturing facility located in Guangdong that specializes in producing lithium-ion batteries, which are used to power laptops, cameras, cell phones, and other similar gadgets. The new technology is expected to increase efficiency levels and will also allow for greater adherence to quality standards.4) Which of the following, if true, would most strengthen the argument that Fony Corp. should upgrade its technology?A) The market for consumer electronics such as laptops, cameras, cell phones, and other similar gadgets is in the late maturity stage.B) Fony will be able to recover the cost of the new technology within eight years.C) Fony's main client account is at risk after the client had to recall nearly 2 million notebooks owing to defective batteries.D) The existing technology is currently functioning at the optimal level and the cost of maintenance is minimal.E) Fony last upgraded its technology six years ago and it has an adequate budget to fund the acquisition.Answer: CExplanation: C) If Fony's future as a supplier to a primary client is under threat due to its production of defective batteries, then this would most strengthen the argument to upgrade its technology. Given the new technology will ensure better quality, this option would be the most compelling argument. If the market for consumer electronics is in the late maturity stage, then this would weaken the argument. The fact that Fony will be able to recover the cost of the new technology within eight years neither strengthens nor weakens the argument. If the existing technology is functioning at the optimal level and the cost of maintenance is minimal, then this weakens the argument. The argument is not strengthened by the fact that Fony last upgraded its technology six years ago and has an adequate budget to fund the acquisition.LO: 1AACSB: Reflective ThinkingDifficulty: HardQuest. Category: Critical ThinkingLearning Outcome: Explain how to manage resistance to change3Copyright © 2015 Pearson Education, Inc.5) Which of the following, if true, would most weaken the argument that Fony Corp. should upgrade its technology?A) Employees fear that the new technology will render them obsolete.B) The company will be able to recover the cost of the technology within four years of implementation.C) The new technology is expected to reduce the company's overall cost of production.D) The company's main client is threatening legal action after it had to recall nearly 2 million notebooks owing to defective batteries.E) The technology which the company is considering adopting was recently developed and has not yet been successfully implemented in a real business context.Answer: EExplanation: E) If the technology which the company plans to adopt was newly