Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Planning

Question:

Zicon Ltd. has recently set a target of becoming market leader in sale of smart TV. Arrange the steps in the process of planning which will follow after setting of targets :

A. Identifying alternative courses of action

B. Implementing the plan

C. Evaluating alternatives courses

D. Selecting an alternatives

E. Developing premises

Choose the correct answer from the options given below :

Options:

E, A, C, D, B

E, C, D, B, A

B, C, E, A, D

E, A, B, D, C

Correct Answer:

E, A, C, D, B

Explanation:

The correct answer is option (1) : E, A, C, D, B

Planning is a process of decision-making. Planning includes following steps-

(E) Developing Premises: Planning is concerned with the future which is uncertain and every planner is using conjecture about what might happen in future. Therefore, the manager is required to make certain assumptions about the future. These assumptions are called premises. Premises are developed after setting objectives.

(A) Identifying alternative courses of action: Once objectives are set, assumptions are made. Then the next step would be to act upon them. There may be many ways to act and achieve objectives. All the alternative courses of action should be identified.

(C) Evaluating alternative courses: The next step is to weigh the pros and cons of each alternative. Each course will have many variables which have to be weighed against each other. The positive and negative aspects of each proposal need to be evaluated in the light of the objective to be achieved.

(D) Selecting an alternative: This is the real point of decision making. The best plan has to be adopted and implemented. The ideal plan, of course, would be the most feasible, profitable and with least negative consequences.

(B) Implementing the plan: This is the step where other managerial functions also come into the picture. The step is concerned with putting the plan into action, i.e., doing what is required.