Business Management MCQs

✅ The correct answer is option B.
When an individual or a group agrees to work under the direction of an informal leader is called informal delegation. Informal delegation does not arise due to position but according to circumstances.

✅ The correct answer is option C.
The leader makes decisions in consultation with his followers is democratic leader. A democratic leader is one who takes decisions in consultation with his subordinates. He emphasises consultation with and participation of his subordinates and encourages initiative from them. He also seeks their advice and opinions on matters which affect them and their jobs.

✅ The correct answer is option D.
Complete installation of computer within 3 months is an example of schedule. Schedule management is the process of developing, maintaining and communicating schedules for time and resource. A schedule is the timetable for a project, programme or portfolio.

✅ The correct answer is option A.
All decision-making power is centralized in the leader is under autocratic style. The autocratic leader typically follows certain characteristics including: Retains all power, authority, and control, and reserves the right to make all decisions. Distrust of their subordinate’s ability, and closely supervise and control people under them.

✅ The correct answer is option B.
Fw Taylor is the father of scientific management. Taylor’s principal concern was that of increasing efficiency in production, not only to lower costs and raise profits but also to make possible increased pay for workers through their higher productivity.

✅ The correct answer is option C.
Self-confidence, independence, achievements, knowledge, status, recognition and appreciation examples of ego needs. The term ego has shifted over time. It is the conscious awareness of self and what needs to happen in order for the self (Identity) to survive.

✅ The correct answer is option D.
Example of motivational factors Herzbers is recognition. Motivating factors include achievement, advancement, autonomy, personal growth, recognition, responsibility, and the work itself.

✅ The correct answer is option C.
Management By Objectives was introduced by Peter Drucker. The essence of Peter Drucker ‘s basic principle: Management By Objectives is to determine joint objectives and to provide feedback on the results. Setting challenging but attainable objectives promotes motivation and empowerment of employees.

✅ The correct answer is option B.
The formal authority theory is also called traditional authority theory. Traditional authority (also known as traditional domination) is a form of leadership in which the authority of an organization or a ruling regime is largely tied to tradition or custom. The main reason for the given state of affairs is that it ‘has always been that way’.

✅ The correct answer is option D.
Informal communication is commonly known as grapevine. Grapevine communication is informal workplace dialogue in its purest form: it is characterized by conversations between employees and superiors that do not follow any prescribed structure or rule-based system. Grapevine communication spreads rapidly and likely touches each person throughout the organization.