Question : Statement 1: Strategy involves resource allocation for objectives.
Statement 2: Strategy formulation is solely a top-level management function.
Option 1: Statement 1 correct, Statement 2 incorrect.
Option 2: Statement 1 incorrect, Statement 2 correct.
Option 3: Both statements are correct.
Option 4: Both statements are incorrect.
Correct Answer: Statement 1 correct, Statement 2 incorrect.
Solution : The correct answer is (a) Statement 1 correct, Statement 2 incorrect.
Statement 1 is correct. Strategy involves the allocation of resources, including financial, human, and other assets, to achieve organizational objectives. Efficient resource allocation is a crucial aspect of strategic planning.
Statement 2 is incorrect. While top-level management plays a significant role in formulating overall organizational strategy, strategy formulation is not solely their function. It may involve collaboration and input from various levels within an organization, including middle and lower levels. Strategic planning often benefits from a more inclusive and collaborative approach.
Therefore, Statement 1 correct, Statement 2 incorrect.
Question : Statement 1: Planning is a backward-looking function of management.
Statement 2: Planning involves setting objectives and determining the best course of action to achieve them.
Option 1: Both statements are true
Option 2: Both are incorrect
Option 3: Statement 1 is true, and Statement 2 is false.
Option 4: Statement 1 is false, and Statement 2 is true.
Question : Statement 1: The management principles of planning, organizing, leading, and controlling are interrelated and interdependent.
Statement 2: Each function supports and complements the others to achieve organizational goals.
Question : Statement 1: The primary function of middle-level management is to develop long-term strategies and policies.
Statement 2: They are responsible for coordinating the activities of various departments.
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