Principles of Business for CSEC®

2nd edition

Chapter 2: Internal organisational environment

The following test paper contains four multiple-choice questions, to help you prepare for
Paper 1, and one essay question, to help you prepare for Paper 2. If you decide to complete the
paper under exam conditions, you should give yourself no longer than 30 minutes to complete all
questions.

1. A “control system” serves to make sure that:

(A) The leader’s instructions are understood
(B) Decisions and plans are kept on track
(C) There is no scope for individual decision-making
(D) The use of resources is carefully planned
(1 mark)

2. Tasks should be delegated when:

(A) A manager would like to micro-manage the task to make sure it is done well
(B) It is difficult to monitor how effectively they are being performed
(C) They can be carried out by a responsible person and monitored for effective
performance
(D) The leader has little control over how effectively the delegated tasks will be conducted
(1 mark)

3. Job enrichment is designed to secure:

(A) More work for employees
(B) Greater variety and complexity of work tasks
(C) Longer working hours
(D) Greater repetition of work routines
(1 mark)

4. Which of the following is most likely to be considered a staff worker associated with
the production department?
(A) The production manager
(B) A production supervisor
(C) An R&D specialist advising on production methods
(D) A production operative
(1 mark)

1 Principles of Business for CSEC®, 2nd edition © Oxford University Press 2019
Chapter 2: Internal organisational environment
5. Catina runs a small pizza business and her laissez-faire leadership style is causing conflict
between her employees.
(a) Define the term “leadership”.


 (2 marks)

(b) List two (2) characteristics of a good leader.


 (2 marks)

(c) Discuss the differences between “democratic” and “laissez-faire” leadership styles.


 (4 marks)

2 Principles of Business for CSEC®, 2nd edition © Oxford University Press 2019
Chapter 2: Internal organisational environment
(d) In addition to Catina’s poor management style, describe two (2) factors that could be
causing conflict in Catina’s business.


 (4 marks)

(e) Explain two (2) ways that Catina can resolve the conflict within the pizza business.


 (6 marks)

 (22 marks)

3 Principles of Business for CSEC®, 2nd edition © Oxford University Press 2019