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ETS MFT MBA LATEST EXAM 2024.2025 100%
ACCURATE FALL-SPRING (COMPLETE 200
QUESTIONS)
major segmentation variables (4) (1) geographic, (2) demographic, (3) psychographic, (4) behavioral penetrated market set of customers who are buying the company's product target market qualified available market the company decides to pursue available market set of consumers who have interest, income, and access to a particular offer potential market set of consumer with a sufficient level of interest in a market offer corporate culture shared experiences, stories, beliefs, & norms that characterize an organization strategic marketing plan
lays out the target market and the firm's value proposition, based on an analysis of the best market opportunities 5 stages of consumer buying process decision process (1) need recognition, (2) information search, (3) evaluation of alternatives, (4) purchase decision, (5) post-purchase behavior 8 steps of business purchasing process (1) identify need, (2) select specific product, (3) appoint purchase team, (4) specify technicalities, (5) budget for purchase, (6) research potential suppliers, (7) solicit bids, (8) award contracts 4 factors influencing consumer behavior (1) cultural, (2) social, (3) personal, (4) psychological 4 factors that influence business purchasing behavior (1) environmental, (2) organizational, (3) interpersonal, (4) individual competitive intelligence defining, gathering, analyzing, & distributing intelligence about products, customers, competitors, and any aspects of the environment needed to support executives & managers making strategic decisions for an organization managerial decision making process steps (6) (1) establish the objective, (2) define the problem, (3) identify possible solutions, (4) evaluate alternative courses of action, (5) implement the decision, (6) acquire feedback
supersegment set of segments sharing some exploitable similarity 5 key criteria market segments must rate favorably on to be useful (1) measurable, (2) sustainable, (3) accessible, (4) differentiable, (5) actionable pyschographic the science of using psychology & demographics to better understand consumers variables of demographic segmentation (6) (1) age and life-cycle stage, (2) life stage, (3) gender, (4) income, (5) generation, (6) race & culture investment banking a specific division of banking related to the creation of capital for other companies, governments, and entities weak form assumes that all info contained in past price movements is reflected in the current market price. info about recent trends in a stock price is no use in selecting a stock semi-strong form states the current market price reflects all publicly available information. to gain abnormal returns insider info is needed
information efficiency all relevant information about a stock is reflected in its price (this is in a perfect world) strong form efficient all info -- public and insider -- is reflected in the market price. no abnormal returns market efficiency the degree to which stock prices reflect all available relevant information money market a segment of the financial market in which financial instruments with high liquidity and very short maturities are traded capital markets markets for buying and selling equity and debt instruments security a financial instrument that represents an ownership in a publicly-traded corporation (stock), a creditor relationship with governmental body or corporation (bond) or rights to an ownership as represented by an option most common underlying assets of derivatives
AVERAGE COLLECTION PERIOD =
DAYS (ACCOUNTS RECEIVABLE)/CREDIT SALES
WORKING CAPITAL RATIO=
CURRENT ASSETS/CURRENT LIABILITIES
working capital managment a company's managerial accounting strategy designed to monitor and utilize the 2 component of working capital -- current assets and current liabilities 3 main dividend policies (1) residual dividend policy, (2) dividend stability policy, (3) hybrid dividend policy dividend policy a set of guidelines a company uses to decide how much of its earnings it will pay out to shareholders WACC = WdRd(1=T) + WpsRps + WsRs cost of capital the opportunity cost of making a certain investment
capital budgeting the whole process of analyzing projects and deciding whether they should be included in the planned expenditures on fixed assets what are some types of real options? (1) investment timing options, (2) growth options, (3) abandonment options, (4) flexibility options real options exist when managers can influence the size and risk of a project's cash flows by taking different actions during the project's life in response to changing market conditions what 3 types of risk are relevant in capital budgeting? (1) stand alone risk, (2) corporate risk, (3) market [beta] risk steps in capital budgeting (1) estimate cash flows, (2) assess risk of cash flows, (3) determine r [WACC], (4) evaluate cash flows THE DUPONT EQUATION (1) ROA = [NY/SALES] [SALES/TA] = NY/TA (2) ROE = [NY/TA] [TA/EQUITY] = NY/EQUITY components of risk
- job costing is more likely to be used for billing to customers activity based costing (ABC) firm assigns costs to the activities that are the real cause of the overhead, then assigns the costs of those activities only to the products that are actually demanding the activities absorption vs. variable costing absorption includes all costs, including fixed costs, in figuring the cost of production, while variable costing only includes the variable costs related to production UNITS FOR TARGET PROFIT = X = (TFC/[UP-UVC]) + TP cost behavior the change in total costs in response to the change in some activity
- costs that vary proportionately with the changes in the level of activity are variable costs, unaffected are fixed costs options for transfer pricing (4) (1) market based, (2) variable-cost, (3) full-cost, (4) negotiated TOTAL COST TC = UVC(UNITS) + TFC
BREAK EVEN POINT =
BEP = TFC/(UP - UVC) or... TFC/UCM variance analysis the quantitative investigation of the difference between actual and planned behavior cash budget financial budget prepared to calculate the budgeted cash inflows and outflows during a period and the budgeted cash balance at the end of the period 3 ways to analyze sell-or-process further (1) incremental (or differential), (2) opportunity cost, (3) total project approach sell-or-process further whether to sell a joint product at split-off point or to process it further and sell it in a more refined form special orders a one-time customer order, often involving a large quality and a low price theory of constraints (TOC) a management paradigm that views any manageable system as being limited in achieving more of its goals by a very small number of constraints
dysfunctional conflict vs. functional conflict
- dysfunctional conflict is when conflict prevents the achievement of organizational objectives
- functional conflict is when disagreement and opposition supports the achievement of organizational behaviors 4 types of conflict management styles (1) Accommodating conflict style: High Concern for Others' Needs (2) Avoiding conflict style: Low Concern for Others' and Own Needs (3) Forcing Conflict Style: High concern for own needs (4) Collaborating Conflict Style: high concern for others' and own needs negotiation
- Is a process in which two or more parties are in conflict working to reach an agreement
- Is a core competency
- Is often a zero-sum game--> one party's gain is the other party's loss the negotiation process (1) Plan (2) Negotiations—can result in an agreement or no agreement (3) Postponement quantitative decision making models (3) (1) decision tree (2) payback analysis (3) simulations
decision tree shows a complete picture of a potential decision and allows a manager to graph alternative decision paths payback analysis the time required for the amount invested in an asset to be repaid by the net cash outflow generated by the asset simulation a broad term indicated any type of activity that attempts to imitate an existing system or situation in a simplified manner employee development the combination of formal education, job experiences, relationships, and assessment of personality and abilities to help employees prepare for the future of their careers development and training prepares employees for other jobs/positions and increases their ability to move into jobs that may not exist yet, prepares employees for changes in responsibilities and requirements approaches to employee development Formal education assessment
Myers Briggs identifies individuals preferences for source of energy, information gather, decision making, lifestyle integrated logistics steps (5) (1) customer service, (2) purchasing, (3) production planning, (4) warehouse, (5) transport what does generic supply chain consist of? (4) (1) supplier, (2) manufacturer, (3) wholesale, (4) retailer DiSC Identifies behavioral patters in terms of dominance influence steadiness and conscientiousness assessment centers multiple raters evaluate employees performance on a number of exercises at an off site location as they work in a group leaderless group discussion a team of 5-7 employees is assigned a problem and must work together to solve it with a certain time period appraisals
formal process for measuring employee performance Must tell employees specifically about their performance problems and ways to improve 360 degree feedback performance measurement by the employee's supervisor, peers, employees, and customers
- multiple perspectives and formal communication
- demands a lot of time, facilitator needed to interpret results job experiences the combination of relationships, problems, demands, tasks, and other features of an employee's job job enlargement adding challenges or new respobilities to employees current job. makes a job more interesting and creates an opportunity for employees to develop new skills job rotation moving employees through a series of job assignments in one or more functional areas transfers organization assigns employee to position in different area of the company, lateral move downward move employee is given less responsibility and authority, demoted due to poor performance
protean career career that frequently changes based on changes in a persons interests abilities and values in the work environment career management helps employees select development activities that prepare them to meet their career goals operations management planning the development of plans and strategies that will allow your business to effectively seize opportunities and meet challenges head on systems for career management Data gathering feedback goal setting action planning glass ceiling Circumstances that resemble an invisible barrier that keep most women and minorities from attaining the top jobs in organizations. caused by a lack of access to training programs, approbate developmental job experiences, and developmental relationships quality control
a process that evaluates output relative to a standard and takes corrective action when output doesn't meet these predetermined standards operational control includes control over how normal business processes are executed but does not include over the strategic business targets or high level business priorities matching principle After revenues have been recorded in the appropriate period they are earned, then all the costs related to that revenue should be reported as an expense in the same period. (costs should be matched with revenues in the period in which they occur) ACCOUNTING EQUATION ASSETS = LIABILITIES + EQUITY EQUITY = COMMON STOCK + RETAINED EARNINGS human resource management it takes the theories and principles studied in OB and explores the "nuts-and-bolts" applications of those principles in organizations. strategic management It focuses on the product choices and industry
