Practicing Success

Target Exam

CUET

Subject

Entrepreneurship

Chapter

Entrepreneurial Planning

Question:
Assertion(A) - The design of the organisation as stated the organisational plan helps to decide the enterprise's formal organisation.
Reason(R) - The organisational plan specifies the types of skills needed and the rolls that must be filled by the members.
Options:
Both A and R are true. R is the correct explanation of A
Both A and R are true, but R is not the correct explanation of A
A is correct, but R is incorrect
A is incorrect, but R is correct.
Correct Answer:
Both A and R are true. R is the correct explanation of A
Explanation:
Both the entrepreneur and the potential investors stands to gain from the organizational plan as the design of the organization so opted helps even in:
i) Specifying the types of skills needed and the roles that must be filled by the members i.e. helps to decide the enterprise's formal organisation, and
ii) representing the attitudes, behaviours, dress, communication styles etc., thus chalking out informal organisation or culture.