Read the given passage and answer the questions that follow:-
In 1991, the 87-year-old J.R.D. Tata had been the chairman of the Tata Group for over 50 years. The group was known for its stability but lacked energy and dynamism. That year, a relatively young Ratan Tata, aged 53, was chosen as the new chairman. His selection raised doubts about his capabilities and acceptability, especially among the older leadership. However, these questions were answered over time, and Ratan Tata gradually earned acceptance, often by making tough changes.
Two decades later, as Ratan Tata planned his retirement in 2012, the Tata Group had transformed into a symbol of vibrancy and innovation. Under his leadership, the group embraced daring ideas, expanded overseas, and maintained a tight brand discipline. As Rahul Bajaj remarked, "Ratan Tata has changed the DNA-almost entirely for the better."
When India began its journey of liberalization, globalization, and privatization in 1991, the Tata Group underwent a significant transition with Ratan Tata taking over from J.R.D. Tata. The older leadership, loyal to J.R.D., initially resisted the change, as Ratan Tata had no major achievements to inspire confidence. Still, J.R.D.'s decision went unquestioned, and Ratan Tata's era began.
With the introduction of a younger leadership, the Tata Group evolved into a forward-thinking organization, pioneering bold strategies and maintaining its status as a leader in Indian industry.
Select the characteristic that best describes the Tata Group before Ratan Tata's leadership:-
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → Stable but lacking energy
Describing the group in 1991, under J.R.D. Tata, the passage says it was known for its stability but lacked energy and dynamism. The option is almost the same words.
Why the Other Options are Incorrect?
Option 1: Dynamic and forward-thinking — Incorrect. Wrong time: dynamic means energetic and full of new ideas; the passage says the group lacked dynamism before Ratan Tata, and became forward-thinking only under him.
Example: The company hired a dynamic young manager to boost sales.
Option 3: Innovative and risk-taking — Incorrect. Wrong time: innovation and daring ideas came after 1991, under Ratan Tata.
Option 4: Global and expansion-focused — Incorrect. Wrong time: the group expanded overseas only under Ratan Tata's leadership.