Page 269 - E2 Integrated Workbook STUDENT 2018

Supplementary objective test questions

13.2 Many local shops in E town are struggling due to the economic slowdown which
has hit E town hard due to the closure of the main employer in the town. The
shops realise that they have to make changes in order to survive.

Shop Y has decided to take drastic actions and has closed two of its four
outlets, made 20 staff redundant and have told remaining staff that their benefits
will be cut.

Shop Z has had a number of team meetings and invited suggestions from all
members of staff as to how they can tackle the current situation. They have
decided on a programme of staff training in an attempt to improve customer
service and as a result generate a larger customer base.

According to Beer and Nohria there are two approaches to managing
change:

 Theory E

 Theory O

Which approach is each of the shops taking?

Shop Y

Shop Z

13.3 Which three of the following statements regarding triggers for change are
correct?

A Takeovers and mergers are examples of direct external triggers.

B Indirect external triggers for change can be identified using the PESTLE
framework.

C Internal triggers for change will only come from the strategic level of the
organisation.

D The threat of new entrants to the market could be a direct external trigger
for change.

E A change in government or the introduction of new labour laws would be
examples of indirect external triggers.

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