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Core Domains
1. Foundations of Management and Organizational Behavior
2. Planning, Strategy, and Decision Making
3. Organizing, Organizational Structure, and Culture
4. Leading, Motivation, and Group Dynamics
5. Controlling, Performance Management, and Operations
6. Business Ethics, Social Responsibility, and Regulatory Compliance
7. Communication, Negotiation, and Conflict Resolution
8. Global Management, Diversity, and Change Management
Introduction
The MGMT2140 Practice Exam is designed to assess mastery of core management
principles and their application in contemporary organizational settings. It evaluates
knowledge of planning, organizing, leading, and controlling functions, alongside
critical skills in ethical reasoning, strategic decision-making, and effective
,communication. The exam employs multiple-choice and scenario-based questions to
test real-world application, professional judgment, and problem-solving abilities.
Emphasis is placed on regulatory compliance, ethical standards, and the practical
challenges managers face in dynamic, global business environments.
Section One: Questions 1–50
Question 1
A manager is analyzing the external environment to identify opportunities and
threats. Which framework categorizes these factors into political, economic, social,
technological, environmental, and legal components?
A. SWOT Analysis
B. PESTEL Analysis
C. Porter's Five Forces
D. VRIO Framework
🟢 Correct Answer: B. PESTEL Analysis
🔴 Rationale: PESTEL analysis is a strategic tool used to scan the external macro-
environment, specifically categorizing influences into political, economic, social,
technological, environmental, and legal factors.
Question 2
In the context of management, what is the primary focus of the "controlling"
function?
A. Inspiring employees to achieve goals
B. Assigning tasks to team members
C. Monitoring performance and taking corrective action
D. Setting the organization's long-term direction
🟢 Correct Answer: C. Monitoring performance and taking corrective action
🔴 Rationale: The controlling function involves measuring performance against
standards, comparing results, and implementing corrections to ensure
organizational goals are met.
,Question 3
Scenario: A marketing manager notices that a competitor has launched a new
product that is rapidly gaining market share. She decides to reallocate her team's
resources to accelerate the launch of a similar product. This is an example of what
type of decision?
A. Programmed decision
B. Non-programmed decision
C. Strategic decision
D. Operational decision
🟢 Correct Answer: B. Non-programmed decision
🔴 Rationale: Non-programmed decisions are unique, unstructured, and require
custom solutions, often in response to novel or unexpected situations like a new
competitive threat.
Question 4
Which of the following best describes the concept of "span of control" in
organizational structure?
A. The number of subordinates a manager can effectively supervise
B. The total number of employees in an organization
C. The level of authority a manager possesses
D. The degree to which tasks are divided into separate jobs
🟢 Correct Answer: A. The number of subordinates a manager can effectively
supervise
🔴 Rationale: Span of control refers to the number of direct reports a manager is
responsible for, which can be wide (many subordinates) or narrow (few
subordinates).
Question 5
According to Herzberg's Two-Factor Theory, which of the following is considered a
motivator?
A. Salary
B. Working conditions
, C. Recognition
D. Company policies
🟢 Correct Answer: C. Recognition
🔴 Rationale: Motivators are factors that lead to job satisfaction, such as
achievement, recognition, responsibility, and growth. Salary, working conditions,
and policies are hygiene factors.
Question 6
A manager who believes that employees inherently dislike work and will avoid it if
possible is operating under which theory of motivation?
A. Theory X
B. Theory Y
C. Maslow's Hierarchy
D. Expectancy Theory
🟢 Correct Answer: A. Theory X
🔴 Rationale: Theory X assumes a pessimistic view of workers, believing they are
lazy, dislike responsibility, and must be closely supervised and coerced.
Question 7
What is the primary purpose of a SWOT analysis in the strategic planning process?
A. To evaluate the internal and external environment of a firm
B. To determine the financial profitability of a project
C. To assess the efficiency of operational processes
D. To analyze the competitive structure of an industry
🟢 Correct Answer: A. To evaluate the internal and external environment of a firm
🔴 Rationale: SWOT stands for Strengths, Weaknesses, Opportunities, and Threats.
It helps a firm identify its internal strengths and weaknesses and external
opportunities and threats.
Question 8
Scenario: A team leader is trying to resolve a conflict between two team members.
She brings both individuals together and encourages them to openly discuss their