Corporate culture seeks to:
(A) increase productivity.
(B) decrease productivity.
(C) increase competitiveness.
(D) decrease competitiveness.
Choose the correct answer from the options given below:
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → (A) and (C) only
(A) increase productivity. Correct. Corporate culture is a branch of management theory that seeks to increase productivity by creating a unique organisational culture involving all members of a firm. Company events, rituals and traditions build employee loyalty and group solidarity, so people work better.
(B) decrease productivity. Incorrect. No management theory aims to lower output; the purpose of building loyalty and solidarity is more work from the same employees, not less.
(C) increase competitiveness Correct. Corporate culture also seeks to increase competitiveness: a loyal, united workforce and a distinct way of doing things, of promotion and packaging products, help the firm compete with other firms.
(D) decrease competitiveness Incorrect. A firm builds its own culture to stand out against its rivals, so a fall in competitiveness is the very opposite of its aim.
NCERT (2025-26): “Corporate Culture … Corporate culture is a branch of management theory that seeks to increase productivity and competitiveness though the creation of a unique organisational culture involving all members of a firm. A dynamic corporate culture - involving company events, rituals and traditions - is thought to enhance employee loyalty and promote group solidarity. It also refers to the way of doing things, of promotion and packaging products.” |