MGM101H5 Study Guide - Midterm Guide: Shaw Festival, Wi-Fi, Mary Parker Follett

• School: UTM
• Department: Management
• Course: MGM101H5
• Professor: Dave Swanston

Document Summary

Test #1 short answer questions: business managers must balance three fundamental business objectives. In class we discussed the recent accounting error at tesco that led to a substantial overstatement of their profits. Describe how a greater focus on each of the other two objectives (discuss each) may have helped to prevent this problem from occurring. Identify and explain which basic management function was not being properly executed. (4 marks) One mark for properly identifying which fundamental objective of business managers was being prioritized that led to the crises and explaining why. Two marks for each proper explanation of how pursuing the other fundamental objectives may have helped avoid the issue. One mark for reasonable description of which basic management function was not being properly executed. The fundamental objective likely being prioritized was short-term profit. Facing slowing sales and deteriorating market share, senior management probably felt pressure to maintain past levels of profitability.