Subject Index
Entries in bold refer to key terms, which are listed at the end of each chapter.
“80/20” principle, 171
401(k) plans, 121
2009 Recovery Act, 72
A
Absolute advantage, 54
Accounting, 228
computers and, 233
Accounting cycle, 232
Accounting equation, 233
Accounting identity, 233
Accounts receivable, 265
Accrual accounting, 238
Accrued wages, 232
Acid-test ratio, 238
Active listening, 140
Activity ratios, 239
Advertising
product life cyle and, 199
Affective conflict, 137
Affinity programs, 174
Affirmative action programs, 118
Age, 170
Age Discrimination in Employment Act (1967) (ADEA), 23, 24
Age diversity, 9
Agents, 188
Aging population, 9
Americans with Disabilities Act (1990), 23, 24, 118
Analytic production process, 149
Angel investors, 89
Antispyware, 221
Application service provider (ASP), 222
Application software, 217
Apprenticeship training, 119
Approaching customers, 202
Arbitration, 126
Assembly line layout, 152
Assembly line process, 150
Asset intensity, 264
Assets, 232
Audiences, 138
Autocratic leadership, 103
Automatic merchandising, 189
Automation, 156
B
Backups, 221
Balanced budget, 46
Balance of payments, 55
Balance-of-payments deficit, 55
Balance-of-payments surplus, 55
Balance of trade, 55
Balance sheet, 234
Banking Act of 1933, 254
Bank regulation, 256
Bar codes, 186
Benefits sought, 171
Benefits sought segmentation, 171
Billboards, 200
Bill of Materials (BOM), 155
Board of directors, 78
Bond ratings, 250
Botnet, 220
Bottom line, 234
Boycotts, 127
Brand equity, 185
Branding, 8
Brand insistence, 185
Brand loyalty segmentation, 171
Brand name, 185
Brand preference, 185
Brand recognition, 185
Breakeven analysis, 207
Breakeven point, 207
Brokerage firms, 253
Brokers, 188
Budget deficit, 46
Budget surplus, 46
Business, 3
Business incubators, 90
Business intelligence, 169
Business (B2B) product, 171, 181
Business services, 181
Buyer's market, 167
Buyouts, 271
C
Cafeteria benefit plans, 121
Capital, 4
Capital investment analysis, 266
Capital items, 181
Cash, 265
Cash budget, 241
Cash flow, 238
Cause advertising, 199
C corporations, 75
Central America-Dominican Republic Free Trade Agreement (CAFTA-DR), 60
Centralization, 104
Certificate of deposit (CD), 249
Certified fraud examiner, 230
Certified internal auditor, 230
Certified management accountant (CMA), 230
Certified public accountant (CPA), 230
Change, 11
Channels, 138
Checking accounts, 255
Chief executive officer (CEO), 4, 78, 101, 262–263
Chief financial officer (CFO), 78, 101, 262–263
Chief information officer (CIO), 78, 213
Chief operating officer (COO), 78, 262–263
Child labor, 63
Civil Rights Act (1964), 23–24, 25, 118
Civil Rights Act (1991), 23, 24, 118
Classroom training, 119
Clayton Act, 39
Closed corporations, 77
Closely held corporations, 77
Closing, 203
Cloud computing, 222
Codes of conduct, 21
Cognitive conflict, 137
Collaboration, 10
Collective bargaining, 125
Collective ownership, 76
Colonial period, 7
Commercial banks, 253
Committee organization, 110
Common markets, 60
Comparative advantage, 54
Comparative advertising, 199
Competitive differentiation, 5, 107
Competitive position, 107
Competitive pricing, 205
Compressed workweeks, 122
Computer-aided design (CAD), 156–157
Computer-aided manufacturing (CAM), 156–157
Computer-based information systems, 213
Computer-based training, 119
Computer hardware and software, 215–217
Computers, 233
Concept testing, 184
Conceptual skills, 102
Conflict, 137
Conglomerate mergers, 79
Consumer behavior process, 168
Consumer finance companies, 255
Consumerism, 27
Consumer orientation, 8
Consumer-oriented promotions, 203
Consumer Price Index (CPI), 43
Consumer (B2C) product, 171
Consumer services, 181
Context, 138
Contingency planning, 105
Continuous production process, 150
Contractual agreements, 63
Controllers, 263
Convenience products, 180
Conventional stage of ethical development, 20–21
Cooperative ownership, 76
Core inflation rate, 43
Corporate bonds, 250
Corporate culture, 103
Corporate philanthropy, 27
Corporations
charters of, 76
management of, 77
officers and managers, 78
types of, 76
Corruption, 57
Cost-based pricing, 206
Coupons, 203
Creative selling, 201
Creativity, 11
Critical path, 156
Critical thinking, 11
Cross-functional teams, 135
Crowd funding, 89
Currency traders, 56
Current ratio, 238
Customer departmentalization, 109
Customer-driven production, 151
Customer relationship management, 175
Customs unions, 60
“Cutthroat” competition, 6
Cyclical unemployment, 44
Cynical or defensive listening, 140
D
Data, 212
Databases, 214
Data mining, 169
Data resource management, 214
Debentures, 250
Debt capital, 266
Decentralization, 104
Decision-making authority, 133
Decision support system (DSS), 215
Deflation, 43
Delegation, 104
Demand curve, 35
Demand deposits, 255
Democratic leadership, 103
Demographic segmentation, 170
Demonstrations, 202
Depository institutions, 253
Depreciation, 238
Depression, 42
Desktop computers, 216
Devaluation, 56
Direct banks, 254
Direct distribution, 187
Direct distribution channels, 187
Direct exporting, 62
Directing function, 111
Direct mail, 200
Direct-response retailing, 189
Direct selling, 189
Direct transfers, 249
Disaster recovery, 221
Discount rate, 256
Discouraged workers, 43
Discrimination, 23
Dispatching, 156
Distributed workforce, 222
Distribution, 186
Distribution channels, 186, 187, 190–191
Distribution strategy, 172, 186–187
Diversity
generational, 9
workforce, 9
Divestiture, 271
Dodd-Frank Wall Street Reform and Consumer Protection Act, 256
Double-entry bookkeeping, 233
Downsizing, 122
Drop shippers, 188
Dumping, 58
E
Economic performance
depression, 42
federal budget, 45
fiscal policy, 45
gross domestic product (GDP), 42
monetary policy, 45
productivity, 42
Economics, 34
Economic trade barriers, 57
Education for entrepreneurs, 85
Electronic banking, 254
Electronic funds transfer (EFT), 254
E-mail spam, 220
Embargos, 58
Employee morale, 123
Employee ownership, 75
Employee stock ownership plans (ESOPs), 75, 133–134
Encryption software, 219
Enterprise zones, 90
Entrepreneurs
business ideas, 86
characteristics of, 92
education and, 85
environment for, 85
globalization and, 85
information technology and, 86
Entrepreneurship, 5
Environmental impact studies, 152
Environmental protections, 26–27
Equal Employment Opportunity Act (1972), 23
Equal Employment Opportunity Commission (EEOC), 23–24, 118
Equilibrium price, 37
Equity capital, 266
Equity financing, 89
Equity theory, 124
E-readers, 216
Esteem needs, 123
Ethical awareness, 21
Ethical challenges
honesty and integrity, 19
loyalty versus truth, 20
Ethical education, 21
Ethical leadership, 21
Ethical values, 18
Ethics, 221
Everyday low pricing (EDLP), 205
Executive support system (ESS), 215
Executive vice president, 101
Exit interviews, 122
Expansion, 266
Expansionary monetary policy, 45
Expense items, 181
Expert systems, 215
Exports, 52
External communication, 143
External data, 168
Extrinsic rewards, 123
F
Factoring, 269
Factors, 269
Fair competition, 6
Fair Labor Standards Act of 1938, 125
False Claims Act, 22
False or misleading advertising, 28
Family and Medical Leave Act of 1993, 23, 24, 120
Family leave, 23
Federal budget, 45
Federal Deposit Insurance Corporation (FDIC), 254
Federal funds rate, 256
Federal Reserve System (Fed), 255–256
Field selling, 201
Finance, 262
Finance companies, 255
Financial Accounting Standards Board (FASB), 231
Financial controls, 156
Financial institutions, 253–255
Financial instruments, 249–251
Financial managers
Financial markets, 251, 256–257
Financial ratio analysis, 238–240
Financial success, 91
Financing small businesses, 71
Fiscal policy, 45
Fixed costs, 207
Fixed-position layout, 152–153
Flash memory devices, 215
Flexibility, 10
Flexible benefits, 121
Floating exchange rates, 56
Follow-up, 203
Foreign Corrupt Practices Act, 57, 231
Foreign currency market, 56
Foreign stock markets, 252
Forensic accountants, 230
Formal communication, 141
Form utility, 166
Franchisee, 93
Franchising agreements, 93
Franchisor, 93
Freedom of choice, 6
Free-rein leadership, 103
Free-trade areas, 60
Freight railroads, 191
Frequency marketing, 174
Frictional unemployment, 43–44
Full-function merchant wholesalers, 188
Functional departmentalization, 109
G
Gainsharing, 120
Gantt charts, 155
Gender, 170
General Agreement on Tariffs and Trade (GATT), 59
Generally accepted accounting principles (GAAP), 230–231
General obligation bond, 250
Generation X, 9
Genetic Information Nondiscrimination Act (2008), 23, 24
Geographical departmentalization, 109
Geographic segmentation, 170
Gibe III dam (Ethiopia), 59
Global financial system, 257–258
Globalization, 85
contractual agreements, 63
importers and exporters, 62–63
international direct investment, 63
Goal-setting theory, 124
Gold Rush, 7
Government accountants, 230
Government financing, 90
Government regulations, 71
Gross domestic product (GDP), 42
H
Handheld devices, 216
Handling objections, 202
Hard currencies, 56
Hardware, 215
Hedge funds, 270
High-context cultures, 138
Hiring challenges, 9
Hiring managers, 117
Hiring process, 118
History of business
Colonial period, 7
industrial entrepreneurs, 7
Industrial Revolution, 7
marketing era, 8
relationship era, 8
six eras of, 68
Home-based work programs, 122
Honesty, 19
Horizontal mergers, 79
Hostile work environments, 25
Hosts, 220
Hot spots, 218
How It's Made, 150
Human resource management
labor-management relations, 125–127
orientation, training, and evaluation, 118–119
performance appraisals, 119
recruitment and selection, 116–118
Human resources, 4
Human skills, 102
Hyperinflation, 43
I
Imports, 52
Inbound telemarketing, 201
Incentive compensation, 120
Income statement, 234
Increasing sales, 197
Independent wholesaling intermediaries, 188
Indirect exporting, 62
Indirect transfers, 249
Industrial entrepreneurs, 7
Industrial Revolution, 7
Industry creation, 70
Inflation, 43
Informal communication, 141–142
Information, 212
Information management, 211–212
Information systems, 213
ethics and, 221
trends in, 222
Information technology, 86
Informative advertising, 199
Initial public offering (IPO), 251
Innovation, 70
Input devices, 215
Inputs, 149
Insider trading, 257
Institutional advertising, 198–199
Insurance companies, 255
Integrated marketing communications (IMC), 196–198
Integrity, 19
Interactive learning, 119
Intermittent production process, 150
Internal data, 168
Internatioal accounting, 241–242
International Accounting Standards Board (IASB), 242
International Accounting Standards Committee (IASC), 241–242
International direct investment, 63
International Financial Reporting Standards (IFRS), 242
International Monetary Fund (IMF), 59–60
International trade
absolute and comparative advantage, 53–54
economic communities, 60
factors of production, 53
organizations promoting, 59
size of marketplace, 53
International unions, 125
Internet advertising, 199
Internet-only banks (direct banks), 254
Internet retailing, 189
Interviewing, 118
Intimate communication zone, 142
Intrinsic rewards, 123
Inventory control, 153–154, 191
Inventory management, 265
Inventory turnover ratio, 239
Investment-grade bonds, 250
“Invisible hand” concept, 5
Involuntary turnover, 122
ISO Standards, 159
J
Job requirements, 117
Johnson & Johnson's credo, 21
Journals, 232
Junk bonds, 250
Just-in-time (JIT) systems, 154
K
Kohlberg's stages of ethical development, 20–21
L
Labeling, 186
Labor legislation, 125
Labor-management disputes, 125–126
Labor-management relations, 125–127
Labor-Management Relations Act, 125
Labor-Management Reporting and Disclosure Act, 125
Labor pool shrinkage, 9
Landrum-Griffin Act of 1959 (Labor-Management Reporting and Disclosure Act), 125
Language trade barriers, 57
Laptops, 216
Leadership styles, 103
Lead times, 155
Ledgers, 232
Legal trade barriers, 57
Leveraged buyout (LBO), 271
Leverage ratios, 240
Liabilities, 232
Lifestyle centers, 190
Lifetime value of a customer, 173–174
Limited-function merchant wholesaler, 188
Limited-liability company (LLC), 75
Limit orders, 253
Line-and-staff organization, 110
Line organization, 109
Liquidity ratios, 238
Local area network (LAN), 217–218
Local unions, 125
Lockouts, 127
Logistics, 190
Logistics managers, 191
Long-term funds, 267
Low-context cultures, 138
Loyalty, 20
Lump-sum bonuses, 120
Luxury items, 201
M
M1 and M2, 255
Magazine advertising, 200
Make, buy, or lease decisions, 151
Malware, 220
Management
of corporations, 77
definition of, 100
delegation and, 104
motivation and, 124
problems in small businesses, 71
skills needed for, 102
span of, 104
tactics used with unions, 127
Management accountants, 230
Management by objectives (MBO), 124
Management information systems (MIS), 215
Management support systems, 215
Manufacturer-owned wholesaling intermediaries, 188
Manufacturers’ agent, 188
Manufacturer's (national) brand, 185
Manufacturers’ rep, 188
Manufacturing, 149
Marketable securities, 265
Market-based pricing, 205
Marketing
Marketing concept, 167
Marketing intermediary, 187
Market interest rate, 250
Market orders, 253
Maslow's hierarchy of needs, 123
Mass production, 150
Master budget, 240
Materials handling, 191
Materials requirement planning (MRP), 154
Mechanization, 150
Mediation, 126
Medicare, 120
Merchant wholesalers, 188
Mercosur customs union, 60
Messages, 138
Microloans, 72
Middle management, 101
Millennial generation, 170–171
Missionary selling, 201
Mission statements, 106
Mixed market economies, 40–41, 41t3.4
Mobility, 10
Monetary policy, 45
Money market instruments, 249
Monopolistic competition, 38
Morale, 123
Motivational theories, 123–124
Multinational corporation (MNC), 63
Municipal bonds, 250
Mutual funds, 255
N
National debt, 46
National Labor Relations Act of 1935 (Wagner Act), 125
National Labor Relations Board (NLRB), 125
National unions, 125
Natural resources, 4
Nearshoring, 10
Net savers, 249
Net users, 249
New product development, 183–184
Newspaper advertising, 200
Noise, 139
Nondepository institutions, 253, 255
Non-store retailers, 189
Nontariff trade barriers, 58
Nonverbal communication, 142–143
North American Free Trade Agreement (NAFTA), 60
Not-for-profit corporations, 76
Not-for-profit organizations, 3, 230
O
Objection handling, 202
Objectives, 107
Offensive listening, 140
Offshoring, 10
Off-site backup, 221
Oligopoly, 38
On-demand computing, 222
One-on-one marketing, 174
Online backup, 221
Online banking, 254
Online data, 214
Online training, 119
Onshoring, 10
On-the-job training, 119
Open-book management, 133, 229
Open communication, 141
Open corporations, 77
Open market operations, 256
Operating budget, 240
Operational controls, 156
Operational planning, 105
Operational support system, 214
Opportunity cost, 54
Organizational change, 11
Organizational structures, 108–112
Organization charts, 108
Organizations, 108
Organizing, 108
Other People's Money (OPM), 88
Outbound telemarketing, 201
Outdoor advertising, 200
Output devices, 215
Outputs, 149
Over-the-counter selling, 201
Owners’ equity, 232
Ownership utility, 166
P
Paid time off (PTO), 121
Passwords, 219
Pay for knowledge, 120
Penetration pricing, 206
Performance appraisals, 119
Personal communication zone, 142
Personal computers, 216
Personal financial management tools (PFMs), 240
Personal space, 142
Persuasive advertising, 199
PERT (program, evaluation and review technique) charts, 155–156
Physical distribution, 190–191
Physical distribution, 186
Physiological needs, 123
Place utility, 166
Planned economies, 39
Planned shopping centers, 189–190
Planning
Point-of-purchase (POP) advertising, 204
Polite listening, 140
Political trade barriers, 57
Population aging, 9
Positioning, 197
Post-conventional stage of ethical development, 20–21
Practice of Management, The (Drucker), 124
Pre-conventional stage of ethical development, 20–21
Pregnancy Discrimination Act (1978), 23, 24
Presentations, 202
Prestige pricing, 205
Price, 196
Price setters, 204
Price takers, 204
Pricing strategy, 172, 204–207
Primary data, 169
Primary markets, 251
Private (store) brand, 185
Private corporations, 77
Private enterprise system, 5–6, 37–39, 41t3.4
Private equity funds, 270
Private placement, 270
Private property, 6
Privatization, 40
Problem-solving teams, 135
Process control systems, 214
Process departmentalization, 109
Process layout, 152
Product advertising, 198
Product departmentalization, 109
Product identification, 185–186
controls, 156
dispatching, 156
metrics and measures, 156
planning, 155
processes, 149
routing, 156
scheduling, 155
Production and operations management, 148, 151–154
Productivity, 42
Product layout, 152
Product liability, 28
Product life cycle, 181, 182–183, 199
Product lines, 182
Product mix, 182
Product placement, 198
Product-related segmentation, 171
Product strategy, 172
Product usage rate segmentation, 171
Profit-and-loss (P&L) statement, 234
Profits, 3
Profit sharing, 120
Promotion, 196
Promotional mix, 198
Promotional objectives, 196–197
Promotional strategy, 172
Prospecting, 202
Psychographic segmentation, 171
Public Accounting Oversight Board, 231
Public communication zone, 142
Publicity, 204
Publicly held corporations, 77
Public ownership, 76
Public relations, 204
Punishment, 123
Pure monopoly, 39
Pushing strategies, 197
Q
Qualifying, 202
Quality, 158
Quality-of-life issues, 23
Quick ratio, 238
Quick Response codes, 186
Quotas, 58
R
Rack jobber, 188
Radio advertising, 200
Radio-frequency identification (RFID) technology, 191
Railroads, 191
Rebates, 203
Receivables turnover, 239
Recruitment and selection, 116–118
Regular dividends, 268
Regulated monopolies, 39
Regulation FD (“Fair Disclosure”), 28–29
Relationship marketing, 173–175
Reminder-oriented advertising, 199
Replacement, 266
Research techniques, advanced, 169
Reserves, 255
Responsibilities to customers, 27
Responsibilities to general public, 25–28
Responsibilities to investors and financial community, 28–29
Responsible corporate actions for society
quality-of-life issues, 23
Restrictive monetary policy, 45
Retailer-owned buying offices, 188
Retailer-owned cooperatives, 188
Return on equity, 239
Revenue bonds, 250
Revolutionary War, 7
Right to be heard, 28
Right to be informed, 28
Right to be safe, 27
Right to choose, 28
Right to fair accounting, 28–29
Risk-return trade-off, 263
Robots, 156
Routing, 156
S
Safety needs, 123
Salary, 120
Sales branch, 188
Sales era, 166
Sales increases, 197
Sales office, 188
Sales process, 202
Sales stabilization, 197
Sales tasks, 201
Samples, 203
Sarbanes-Oxley Act of 2002 (SOX), 22, 29, 112, 231
Savers, 249
Savings and loan associations, 254–255
Scheduling, 155
S corporations, 75
SEC Office of Internet Enforcement, 28–29
Secondary markets, 251
Secured bonds, 250
Seed capital, 88
Self-actualization needs, 123
Self-financing, 88
Self-managed teams, 135
Seller's market, 167
Sell-off, 271
Serial entrepreneurs, 92
Servers, 216
Services, 181
Sexism, 25
Sexual harrassment, 25
Sherman Act, 39
Shopping products, 180
Short-term (current) assets, 265
Short-term funding options, 268–269
Short-term funds, 267
Short-term loans, 269
Silk production, 54
Six Sigma concept, 158
Skimming pricing, 206
Skunkworks, 95
Small Business Administration (SBA), 68, 72
assistance available for, 72–73
contributions to economy, 69–70
defined, 68
government regulations and, 71
inadequate financing of, 71
joining forces, 78
management shortcomings in, 71
opportunities for women and minorities, 72–73
public and collective ownership of, 76
Small Business Investment Company (SBIC), 72
Small Business Jobs Act, 69
Smart phones, 216
Social, cultural, and economic trade barriers, 56
Social communication zone, 142
Social entrepreneurs, 92
Social era, 167
Social media, 202
Social (belongingness) needs, 123
Social networking, 86
Social responsibility, 12, 25–28
Social Security, 120
Soft currencies, 56
Software as a service (SaaS) movement, 222
Sovereign wealth fund, 270
Span of management, 104
Speciality products, 181
Specialization of labor, 150
Speculative bonds, 250
Spin-off, 271
Sponsorship, 200
Spyware, 221
Stakeholders, 21
Standardization, 150
Statement of cash flows, 237
Statement of owners’ equity, 234–235
Statistical Process Control (SPC), 158
Stockholders, 77
Stock markets (exchanges), 252, 253
Store atmospherics, 190
Store retailers, 189
Strategic planning
assessing competitive position, 106–107
competitive differentiation and, 107
defined, 105
defining mission for, 106
implementation of, 107
monitoring and adapting, 107–108
setting objectives, 107
Strikebreakers, 127
Strikes, 126
Structural unemployment, 45
Subcontracting, 63
Supercomputers, 215
Supervisory management, 101
Supplier selection, 153
Supply chains, 190
Supply curve, 36
Sustainability, 11
SWOT analysis, 106
Synergy, 271
Synthetic production process, 150
T
Tablet computers, 216
Tactical planning, 105
Taft-Hartley Act of 1947 (Labor-Management Relations Act), 125
Tariffs, 58
Team conflict, 137
Team development stages, 136
Team norms, 137
Teams, 134
Technical skills, 102
Telemarketing, 201
Television advertizing, 199
Temporary and part-time employees, 10
Test marketing, 184
Theory X, 124
Theory Y, 124
Theory Z, 124
Thumb drives, 215
Time utility, 166
Title VII of Civil Rights Act of 1964, 23, 24
Top management, 101
Total asset turnover, 239
Total cost, 207
Total revenue, 207
Trade barriers, 56
Trade deficit, 55
Trademarks, 185
Trade shows, 204
Trade surplus, 55
Transaction management, 8
Transaction processing systems, 214
Transportation forms, 191
Treasurers, 263
Treasury bills, 46
Trojan horse, 221
Trucks, 191
Truth, 20
Turnover, 122
U
Underemployed workers, 43
Underwriting discounts, 269
Unemployment rate, 43
Uniformed Service Employment and Reemployment Rights Act of 1994, 24
Uniform Employee Selection Guidelines, 118
Uniform Partnership Act, 74
Universal Product Code (UPC), 186
Usage rates segmentation, 171
Users, 249
U.S. Green Building Council LEED process, 11
U.S. Sentencing Commission, 29
Utility computing, 222
V
Values trade barriers, 57
Variable costs, 207
Variances, 156
Vendor-managed inventory, 154, 191
Venture capitalists, 89
Vice president for financial management (or planning), 263
Vietnam Era Veterans Readjustment Act (1974), 23, 24
Virtual offices, 222
Virtual private network (VPN), 219
Virtual teams, 135
Viruses, 220
Vocational Rehabilitation Act of 1973, 24
VoIP (Voice over Internet Protocol), 219
Volume objective, 205
Voluntary turnover, 122
W
Wage, 120
Wages payable, 232
Wagner Act, 125
Warehousing, 191
Wealth of Nations, The (Smith), 5
Wheeler-Lea Act, 28
Whistle-blowing, 22
Wide area network (WAN), 218
Wi-Max, 218
Wireless fidelity (WiFi), 218
Wireless local networks, 218
World Bank, 59
World Factbook (CIA), 61
World's Most Admired Companies, 12
World Trade Organization (WTO), 59
World War II, 8
Worms, 220
Written communication, 140