True & False

The power of a good or service to satisfy a human need is called utility.
True
2. The basic premise of reinforcement is that behavior that is rewarded is likely to be repeated and behavior

that is punished is less likely to recur.

True
3. The high level of morale at Southwest Airlines does not have a significant impact on productivity,

absenteeism, and employee turnover.

False
4. According to the hierarchy of needs concept, people satisfy their needs in order of importance.
True
5. Strikes usually occur after a labor contract expires because almost every contract contains a clause

prohibiting strikes during the life of the contract.

True
6. The personal force causing someone to behave in a particular way is called morale.
False
7. The need for esteem may be satisfied through personal accomplishments, promotion to more responsible

positions, and honors and awards. ________

True
8. The basic premise of reinforcement is that behavior that is rewarded is likely to be repeated and behavior

that is punished is less likely to recur.

True
9. Motivation, morale, and satisfaction of employees’ needs are interrelated.
True
10. The logical outcome of the assumptions underlying Theory X is a highly controlled work situation in which managers make all decisions and workers carry them out.
True
11. Employee stock ownership plans (ESOPs) provide considerable employee incentive and increase

employee involvement.

True
12. An organization of workers acting together to negotiate their wages and working conditions with employers is called a labor union.
True
13. Although labor contracts may vary according to the length of time they cover, all contracts have an

expiration date.

True
14. An injunction is a court order requiring a person or group either to perform some act or to refrain from

performing some act.

True
15. The most commonly cited reason for joining unions is to decrease feelings of alienation among workers.
True
16. An organization of workers acting together to negotiate their wages and working conditions with employers is called a labor union.
True
17. If at least 30 percent of the employees sign authorization cards, the organizers generally request that the

firm recognize the union.

True
18. A work schedule that allows employees to work ten hours a day for four days instead of eight hours a day

for five days is an example of a flextime system. ________

True
19. When new employees are required to join a union after a specified probationary period, the arrangement

is said to be a union shop. ________

True
20. The AMA defines marketing as “The activity, set of institutions, and process for creating,

communicating, delivering, and exchanging offerings that have value for customers, clients, partners, and

society at large.”

True
21. Marketing activities amount to about one-half of every dollar that consumers spend. ________
True
An analytic process combines raw materials or components to create a finished produce
False
Today, the American economy is characterized as a service economy
True
When labor-intensive technology is used, people must do most of the work
true