DECA Business Management 2 — Questions and Answers
Question 1: A manager who involves employees in decision-making and delegates authority is using which leadership style?
- Autocratic
- Laissez-faire
- Democratic (Correct answer)
- Transactional
Correct answer: Democratic
Democratic (participative) leadership involves employees in decisions and shares authority with the team.
Question 2: Which organizational structure groups employees by the functions they perform, such as marketing, finance, and operations?
- Matrix structure
- Functional structure (Correct answer)
- Divisional structure
- Flat structure
Correct answer: Functional structure
A functional structure organizes departments around specialized business functions like marketing or finance.
Question 3: A business sets quarterly sales targets, tracks progress monthly, and adjusts tactics if behind schedule. This describes which management function?
- Organizing
- Staffing
- Controlling (Correct answer)
- Leading
Correct answer: Controlling
Controlling involves monitoring performance against goals and making corrective adjustments as needed.
Question 4: Which term describes the maximum number of subordinates a manager can effectively supervise?
- Chain of command
- Span of control (Correct answer)
- Unity of command
- Scalar principle
Correct answer: Span of control
Span of control refers to the number of employees a single manager can directly and effectively oversee.
Question 5: A company's mission statement primarily communicates:
- Quarterly financial targets
- The organization's core purpose and values (Correct answer)
- Competitive pricing strategies
- Employee compensation plans
Correct answer: The organization's core purpose and values
A mission statement defines why the organization exists, its core purpose, and guiding values.
Question 6: Which type of plan covers a specific short-term project or event with a defined end date?
- Strategic plan
- Standing plan
- Single-use plan (Correct answer)
- Contingency plan
Correct answer: Single-use plan
Single-use plans are designed for a specific, non-recurring situation and become obsolete once the goal is achieved.
Question 7: In a SWOT analysis, rising material costs due to supply chain disruptions would be categorized as a:
- Strength
- Weakness
- Opportunity
- Threat (Correct answer)
Correct answer: Threat
External negative factors that can harm the business, like supply chain disruptions, are classified as threats in a SWOT analysis.
DECA Business Management 2
A manager who involves employees in decision-making and delegates authority is using which leadership style?