BTE2601 Assignment 3 (Business Management)
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1. Which of the following is a primary function of management?
A) Marketing
B) Planning
C) Production
D) Innovation
Answer: B) Planning
Explanation: Planning is a primary function of management that involves setting objectives and
determining the best course of action to achieve them. It ensures resources are allocated
efficiently and future challenges are anticipated.
2. The process of influencing people to achieve organizational goals is called:
A) Organizing
B) Controlling
C) Leading
D) Staffing
Answer: C) Leading
Explanation: Leading involves motivating, directing, and influencing employees to work towards
achieving organizational goals. It focuses on communication, motivation, and leadership skills.
3. Which management theory emphasizes efficiency through standardization of tasks?
A) Human Relations Theory
B) Scientific Management
C) Systems Theory
D) Contingency Theory
,Answer: B) Scientific Management
Explanation: Scientific Management, introduced by Frederick Taylor, focuses on improving
efficiency by analyzing workflows, standardizing tasks, and optimizing labor productivity.
4. SWOT analysis is used to:
A) Evaluate financial performance
B) Identify internal and external factors affecting business
C) Forecast market demand
D) Create organizational structure
Answer: B) Identify internal and external factors affecting business
Explanation: SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. It helps
organizations identify internal capabilities and external opportunities or risks.
5. Which of the following is an example of a tactical plan?
A) Expanding to a new country in five years
B) Launching a marketing campaign next quarter
C) Defining the company’s mission statement
D) Setting long-term investment strategies
Answer: B) Launching a marketing campaign next quarter
Explanation: Tactical plans are short-term, actionable steps designed to implement strategic
objectives. They are more specific than long-term strategic plans.
6. Delegation in management refers to:
A) Assigning tasks to others while retaining responsibility
B) Supervising employees directly
C) Reducing workforce
D) Planning organizational goals
Answer: A) Assigning tasks to others while retaining responsibility
Explanation: Delegation is the process of assigning authority to subordinates for specific tasks
while the manager remains accountable for the outcome.
,7. Which leadership style is characterized by high control and strict rules?
A) Democratic
B) Autocratic
C) Laissez-faire
D) Transformational
Answer: B) Autocratic
Explanation: Autocratic leadership involves centralized decision-making, strict supervision, and
minimal input from employees. It is effective in crises but may reduce employee motivation.
8. The purpose of organizational structure is to:
A) Improve employee benefits
B) Establish roles, responsibilities, and authority relationships
C) Increase production costs
D) Create informal networks
Answer: B) Establish roles, responsibilities, and authority relationships
Explanation: Organizational structure defines how tasks are divided, coordinated, and
supervised to achieve organizational goals efficiently.
9. Which type of planning is primarily focused on achieving long-term objectives?
A) Operational Planning
B) Strategic Planning
C) Tactical Planning
D) Contingency Planning
Answer: B) Strategic Planning
Explanation: Strategic planning focuses on long-term goals, setting directions for the
organization, and deciding resource allocation to achieve those goals.
10. A manager monitoring performance and correcting deviations is performing:
A) Planning
B) Organizing
C) Controlling
D) Leading
, Answer: C) Controlling
Explanation: Controlling ensures that organizational activities are on track with planned
objectives by measuring performance and implementing corrective actions.
11. Which of the following is a characteristic of effective teams?
A) High competition among members
B) Clear goals and roles
C) Minimal communication
D) Individual accountability only
Answer: B) Clear goals and roles
Explanation: Effective teams have clear objectives, defined roles, mutual trust, and open
communication, which facilitate collaboration and performance.
12. Maslow’s hierarchy of needs theory is used in management to:
A) Improve production efficiency
B) Understand employee motivation
C) Analyze financial statements
D) Control organizational costs
Answer: B) Understand employee motivation
Explanation: Maslow’s theory categorizes human needs from basic (physiological) to higher-
level (self-actualization) to help managers understand and motivate employees effectively.
13. A centralized organizational structure means:
A) Decision-making is spread across all levels
B) Decision-making is concentrated at top management
C) Employees make all decisions independently
D) Teams work without supervision
Answer: B) Decision-making is concentrated at top management
Explanation: In centralized structures, key decisions are made by top-level managers, which can
ensure consistency but may slow down responsiveness.
STUDY GUIDE 2025/2026 QUESTIONS BANK
WITH DETAILED QUALITY ANSWERS ||
PASS GUARANTEED <NEW>
1. Which of the following is a primary function of management?
A) Marketing
B) Planning
C) Production
D) Innovation
Answer: B) Planning
Explanation: Planning is a primary function of management that involves setting objectives and
determining the best course of action to achieve them. It ensures resources are allocated
efficiently and future challenges are anticipated.
2. The process of influencing people to achieve organizational goals is called:
A) Organizing
B) Controlling
C) Leading
D) Staffing
Answer: C) Leading
Explanation: Leading involves motivating, directing, and influencing employees to work towards
achieving organizational goals. It focuses on communication, motivation, and leadership skills.
3. Which management theory emphasizes efficiency through standardization of tasks?
A) Human Relations Theory
B) Scientific Management
C) Systems Theory
D) Contingency Theory
,Answer: B) Scientific Management
Explanation: Scientific Management, introduced by Frederick Taylor, focuses on improving
efficiency by analyzing workflows, standardizing tasks, and optimizing labor productivity.
4. SWOT analysis is used to:
A) Evaluate financial performance
B) Identify internal and external factors affecting business
C) Forecast market demand
D) Create organizational structure
Answer: B) Identify internal and external factors affecting business
Explanation: SWOT stands for Strengths, Weaknesses, Opportunities, and Threats. It helps
organizations identify internal capabilities and external opportunities or risks.
5. Which of the following is an example of a tactical plan?
A) Expanding to a new country in five years
B) Launching a marketing campaign next quarter
C) Defining the company’s mission statement
D) Setting long-term investment strategies
Answer: B) Launching a marketing campaign next quarter
Explanation: Tactical plans are short-term, actionable steps designed to implement strategic
objectives. They are more specific than long-term strategic plans.
6. Delegation in management refers to:
A) Assigning tasks to others while retaining responsibility
B) Supervising employees directly
C) Reducing workforce
D) Planning organizational goals
Answer: A) Assigning tasks to others while retaining responsibility
Explanation: Delegation is the process of assigning authority to subordinates for specific tasks
while the manager remains accountable for the outcome.
,7. Which leadership style is characterized by high control and strict rules?
A) Democratic
B) Autocratic
C) Laissez-faire
D) Transformational
Answer: B) Autocratic
Explanation: Autocratic leadership involves centralized decision-making, strict supervision, and
minimal input from employees. It is effective in crises but may reduce employee motivation.
8. The purpose of organizational structure is to:
A) Improve employee benefits
B) Establish roles, responsibilities, and authority relationships
C) Increase production costs
D) Create informal networks
Answer: B) Establish roles, responsibilities, and authority relationships
Explanation: Organizational structure defines how tasks are divided, coordinated, and
supervised to achieve organizational goals efficiently.
9. Which type of planning is primarily focused on achieving long-term objectives?
A) Operational Planning
B) Strategic Planning
C) Tactical Planning
D) Contingency Planning
Answer: B) Strategic Planning
Explanation: Strategic planning focuses on long-term goals, setting directions for the
organization, and deciding resource allocation to achieve those goals.
10. A manager monitoring performance and correcting deviations is performing:
A) Planning
B) Organizing
C) Controlling
D) Leading
, Answer: C) Controlling
Explanation: Controlling ensures that organizational activities are on track with planned
objectives by measuring performance and implementing corrective actions.
11. Which of the following is a characteristic of effective teams?
A) High competition among members
B) Clear goals and roles
C) Minimal communication
D) Individual accountability only
Answer: B) Clear goals and roles
Explanation: Effective teams have clear objectives, defined roles, mutual trust, and open
communication, which facilitate collaboration and performance.
12. Maslow’s hierarchy of needs theory is used in management to:
A) Improve production efficiency
B) Understand employee motivation
C) Analyze financial statements
D) Control organizational costs
Answer: B) Understand employee motivation
Explanation: Maslow’s theory categorizes human needs from basic (physiological) to higher-
level (self-actualization) to help managers understand and motivate employees effectively.
13. A centralized organizational structure means:
A) Decision-making is spread across all levels
B) Decision-making is concentrated at top management
C) Employees make all decisions independently
D) Teams work without supervision
Answer: B) Decision-making is concentrated at top management
Explanation: In centralized structures, key decisions are made by top-level managers, which can
ensure consistency but may slow down responsiveness.
