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MNG2601 EXAM 250 EXAM QUESTIONS LATEST VERSION
QUESTIONS AND ANSWERS 2026 EDITION
MNG2601 EXAM 250-QUESTIONS - COMPLETE PRACTICE EXAMINATION
EXAMINATION QUESTIONS (1-250)
SECTION 1: THE NATURE OF MANAGEMENT (Questions 1-40)
1. According to the traditional view, what is the definition of management?
A) The process of maximising shareholder wealth through financial strategies
B) The process of working with and through others to achieve business objectives,
balancing effectiveness and efficiency, using scarce resources in a changing
environment
C) The process of supervising employees and ensuring they follow rules
D) The process of creating products and services for customers
Correct Answer: B
Rationale: The traditional view defines management as "the process of working with
and through others to achieve business objectives, by balancing effectiveness and
efficiency, using scarce resources in a changing environment" . This definition captures
the essence of what managers do - working through people to achieve goals while being
mindful of resource constraints.
2. What is the difference between effectiveness and efficiency in management?
A) Effectiveness is about doing things right; efficiency is about doing the right things
B) Effectiveness is achieved when a business sets, pursues and achieves stated goals;
efficiency is achieved by using the fewest inputs to get the maximum output
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C) Effectiveness is about short-term results; efficiency is about long-term results
D) Effectiveness and efficiency are the same concept
Correct Answer: B
Rationale: Effectiveness is achieved when a business sets, pursues and achieves
stated goals. Efficiency is achieved by using the fewest inputs to get the maximum
output . A manager must balance both - it is possible to be efficient but ineffective
(doing the wrong things well) or effective but inefficient (achieving goals at too high a
cost).
3. Which of the following best describes the essence of management?
A) Performing managerial functions: planning, organising, coordinating, commanding,
and controlling
B) Maximising profits for shareholders
C) Ensuring employees follow rules
D) Creating innovative products
Correct Answer: A
Rationale: The essence of management is performing managerial functions: planning,
organising, coordinating, commanding, and controlling . This classical view, articulated
by Fayol, emphasises that management is fundamentally about executing these
interrelated activities to achieve organisational goals.
4. According to Clark L Wilson, what are the three categories of skills needed by
managers?
A) Technical, Human, and Conceptual skills
B) Technical, Teambuilding, and Drive skills
C) Planning, Organising, and Controlling skills
D) Analytical, Creative, and Administrative skills
Correct Answer: B
Rationale: Clark L Wilson identified three categories of management skills: Technical
Skills, Teambuilding Skills, and Drive Skills . This differs from the more commonly cited
Katz framework of Technical, Human, and Conceptual skills.
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5. Technical skills, as defined by Clark L Wilson, involve:
A) The ability to listen carefully to others and communicate effectively
B) The application of training and experience to organising a task, job or project
C) Setting goals, maintaining standards and evaluating performance
D) Understanding financial statements
Correct Answer: B
Rationale: Technical skills involve "the application of training and experience to
organising a task, job or project" . According to Wilson, technical skills include
clarification of goals and objectives, problem-solving, and imagination and creativity.
6. Team-building skills, according to Clark L Wilson, include:
A) Setting performance standards and controlling details
B) The ability to listen carefully to others, communicate effectively, and to develop and
coordinate a team
C) Clarification of goals and objectives
D) Exerting pressure on employees
Correct Answer: B
Rationale: Team-building skills are defined as "the ability to listen carefully to others,
communicate effectively with others and to develop and coordinate a team" . Wilson
identified six branches of team-building skills: listening for insights, directing, coaching,
solving problems as teams, coordinating, and cooperating.
7. Drive skills, according to Clark L Wilson, involve:
A) Clarification of goals and objectives
B) The ability to listen carefully to others
C) Setting goals, maintaining standards and evaluating performance to achieve
effective outcomes
D) Technical expertise
Correct Answer: C
Rationale: Drive skills involve "Setting goals, maintaining standards and evaluating
performance to achieve effective outcomes" . Wilson identified four branches of drive
skills: setting performance standards, controlling details, energy, and exerting pressure.
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8. Which of the following is NOT a branch of technical skills according to Clark L
Wilson?
A) Clarification of Goals and Objectives
B) Problem-Solving
C) Imagination and Creativity
D) Coordinating
Correct Answer: D
Rationale: According to Clark L Wilson, the three branches of technical skills are:
Clarification of Goals and Objectives, Problem-Solving, and Imagination and Creativity .
Coordinating is a branch of team-building skills, not technical skills.
9. According to Clark L Wilson, which of the following is a branch of Drive Skills?
A) Listening for insights
B) Energy
C) Coaching
D) Coordinating
Correct Answer: B
Rationale: The four branches of drive skills according to Wilson are: Setting
Performance Standards, Controlling Details, Energy, and Exerting Pressure . Listening
for insights, coaching, and coordinating are branches of team-building skills.
10. Which of the following is NOT a branch of Team-building Skills according to
Clark L Wilson?
A) Listening for insights
B) Directing
C) Setting Performance Standards
D) Coaching
Correct Answer: C
Rationale: Setting Performance Standards is a branch of Drive Skills, not Team-building
Skills . The six branches of team-building skills are: Listening for insights, Directing,
Coaching, Solving problems as teams, Coordinating, and Cooperating.
MNG2601 EXAM 250 EXAM QUESTIONS LATEST VERSION
QUESTIONS AND ANSWERS 2026 EDITION
MNG2601 EXAM 250-QUESTIONS - COMPLETE PRACTICE EXAMINATION
EXAMINATION QUESTIONS (1-250)
SECTION 1: THE NATURE OF MANAGEMENT (Questions 1-40)
1. According to the traditional view, what is the definition of management?
A) The process of maximising shareholder wealth through financial strategies
B) The process of working with and through others to achieve business objectives,
balancing effectiveness and efficiency, using scarce resources in a changing
environment
C) The process of supervising employees and ensuring they follow rules
D) The process of creating products and services for customers
Correct Answer: B
Rationale: The traditional view defines management as "the process of working with
and through others to achieve business objectives, by balancing effectiveness and
efficiency, using scarce resources in a changing environment" . This definition captures
the essence of what managers do - working through people to achieve goals while being
mindful of resource constraints.
2. What is the difference between effectiveness and efficiency in management?
A) Effectiveness is about doing things right; efficiency is about doing the right things
B) Effectiveness is achieved when a business sets, pursues and achieves stated goals;
efficiency is achieved by using the fewest inputs to get the maximum output
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C) Effectiveness is about short-term results; efficiency is about long-term results
D) Effectiveness and efficiency are the same concept
Correct Answer: B
Rationale: Effectiveness is achieved when a business sets, pursues and achieves
stated goals. Efficiency is achieved by using the fewest inputs to get the maximum
output . A manager must balance both - it is possible to be efficient but ineffective
(doing the wrong things well) or effective but inefficient (achieving goals at too high a
cost).
3. Which of the following best describes the essence of management?
A) Performing managerial functions: planning, organising, coordinating, commanding,
and controlling
B) Maximising profits for shareholders
C) Ensuring employees follow rules
D) Creating innovative products
Correct Answer: A
Rationale: The essence of management is performing managerial functions: planning,
organising, coordinating, commanding, and controlling . This classical view, articulated
by Fayol, emphasises that management is fundamentally about executing these
interrelated activities to achieve organisational goals.
4. According to Clark L Wilson, what are the three categories of skills needed by
managers?
A) Technical, Human, and Conceptual skills
B) Technical, Teambuilding, and Drive skills
C) Planning, Organising, and Controlling skills
D) Analytical, Creative, and Administrative skills
Correct Answer: B
Rationale: Clark L Wilson identified three categories of management skills: Technical
Skills, Teambuilding Skills, and Drive Skills . This differs from the more commonly cited
Katz framework of Technical, Human, and Conceptual skills.
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5. Technical skills, as defined by Clark L Wilson, involve:
A) The ability to listen carefully to others and communicate effectively
B) The application of training and experience to organising a task, job or project
C) Setting goals, maintaining standards and evaluating performance
D) Understanding financial statements
Correct Answer: B
Rationale: Technical skills involve "the application of training and experience to
organising a task, job or project" . According to Wilson, technical skills include
clarification of goals and objectives, problem-solving, and imagination and creativity.
6. Team-building skills, according to Clark L Wilson, include:
A) Setting performance standards and controlling details
B) The ability to listen carefully to others, communicate effectively, and to develop and
coordinate a team
C) Clarification of goals and objectives
D) Exerting pressure on employees
Correct Answer: B
Rationale: Team-building skills are defined as "the ability to listen carefully to others,
communicate effectively with others and to develop and coordinate a team" . Wilson
identified six branches of team-building skills: listening for insights, directing, coaching,
solving problems as teams, coordinating, and cooperating.
7. Drive skills, according to Clark L Wilson, involve:
A) Clarification of goals and objectives
B) The ability to listen carefully to others
C) Setting goals, maintaining standards and evaluating performance to achieve
effective outcomes
D) Technical expertise
Correct Answer: C
Rationale: Drive skills involve "Setting goals, maintaining standards and evaluating
performance to achieve effective outcomes" . Wilson identified four branches of drive
skills: setting performance standards, controlling details, energy, and exerting pressure.
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8. Which of the following is NOT a branch of technical skills according to Clark L
Wilson?
A) Clarification of Goals and Objectives
B) Problem-Solving
C) Imagination and Creativity
D) Coordinating
Correct Answer: D
Rationale: According to Clark L Wilson, the three branches of technical skills are:
Clarification of Goals and Objectives, Problem-Solving, and Imagination and Creativity .
Coordinating is a branch of team-building skills, not technical skills.
9. According to Clark L Wilson, which of the following is a branch of Drive Skills?
A) Listening for insights
B) Energy
C) Coaching
D) Coordinating
Correct Answer: B
Rationale: The four branches of drive skills according to Wilson are: Setting
Performance Standards, Controlling Details, Energy, and Exerting Pressure . Listening
for insights, coaching, and coordinating are branches of team-building skills.
10. Which of the following is NOT a branch of Team-building Skills according to
Clark L Wilson?
A) Listening for insights
B) Directing
C) Setting Performance Standards
D) Coaching
Correct Answer: C
Rationale: Setting Performance Standards is a branch of Drive Skills, not Team-building
Skills . The six branches of team-building skills are: Listening for insights, Directing,
Coaching, Solving problems as teams, Coordinating, and Cooperating.
