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.
How did the Tata Group's leadership style change under Ratan Tata?
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → It evolved into a vibrant and innovative organization.
The passage says that by 2012 the group had transformed into a symbol of vibrancy and innovation, and that under the younger leadership it evolved into a forward-thinking organization, pioneering bold strategies. Vibrant means full of energy and life, and innovative means bringing in new ideas, so this option repeats the passage.
Example: The small town grew into a vibrant centre of trade.
Why the Other Options are Incorrect?
Option 1: It emerged as a rigid and cautious enterprise. — Incorrect. Contradicted: rigid means unwilling to change; the passage says the group embraced daring ideas, the opposite of rigid and cautious.
Example: The school's rigid rules left no room for new ideas.
Option 2: It focused on preserving the traditions and culture. — Incorrect. Contradicted: Ratan Tata made tough changes; Rahul Bajaj says he changed the group's DNA.
Option 4: It avoided any major risks or transformations. — Incorrect. Contradicted: the group expanded overseas and went through a significant transition, which is the opposite of avoiding change.