1. Internal analysis is a part of strategy formulation. (True/False)
2. Business failure happens only when it becomes bankrupt. ( True/False)
3. Staff authority is an advisory authority. (True/False)
4. An organizational structure determines the chain of command. ( True/ false)
1. Internal analysis is a part of strategy formulation.
Answer: TRUE.
Explanation: Internal Analysis includes Strength and weakness analysis which form the basis of making strategy to achieve the vision of the organization. Hence Internal analysis can be a part of strategy formulation.
2. Business failure happens only when it becomes bankrupt.
Answer: False
Explanation: There could be many reasons for a business to fail. Associating failure just to one cause like bankruptcy is not justified. Some of the reseason are too many debts or legal notices etc.
3. Staff authority is an advisory authority.
Answer: True
Explanation: The work of Staff authority is to provide authority in which superior exercises direct supervision over a subordinate. Hence Staff authority can be termed as an advisory authority.
4. An organizational structure determines the chain of command.
Answer: True
Explanation: Organization structure is a hierarchy wherein there is a flow of information both ways from top-level to bottom (orders to execute a task) and bottom to top (Feedback). A chain of command refers to this hierarchy of reporting relationships. Hence it is correctly said An organizational structure determines the chain of command.
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1. Internal analysis is a part of strategy formulation. (True/False) 2. Business failure happens only when...
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