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Management Theory and Practice
April 2025 Examination
- Bharat Industries, a traditional textile manufacturer in Surat, is facing declining profits due to rising competition and changing customer preferences. The CEO, Mr. Sharma, recognizes the need for organizational change to adapt to the dynamic market. He aims to introduce new product lines, expand into online retail, and implement a performance-based reward system.
Based on the factors influencing organizational structure, how should Mr. Sharma restructure Bharat Industries to achieve its goals? (10 Marks)
Ans 1.
Introduction
Longtime Surat textile maker Bharat Industries has relied on traditional business practices. Unfortunately, market competition, changing consumer preferences, and the rise of e-commerce platforms have led to falling revenues for the corporation. The Indian textile sector has changed as customers want new designs, sustainable textiles, and smooth internet purchasing. Digitalisation and technology-driven business models have disrupted retail structures, forcing organisations to embrace more agile and adaptable operating strategies.
Mr. Sharma, the CEO,
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- Deccan Delights, a renowned sweet shop in Hyderabad, is facing a sudden drop in sales due to changing consumer preferences towards healthier snacks. The owner, Ms. Reddy, needs to make quick decisions to revive the business. She is considering introducing sugar-free options, expanding the product range to include savory snacks, and launching online delivery services.
Based on the types of managerial decision-making, what types of decisions does Ms. Reddy need to make to address the challenges faced by Deccan Delights? (10 Marks)
Ans 2.
Introduction
Deccan Delights, a well-known sweet shop in Hyderabad, is facing a decline in sales due to changing consumer preferences toward healthier food options. The shift in market demand necessitates strategic decision-making by the owner, Ms. Reddy, to ensure the sustainability and profitability of her business. Consumer preferences are increasingly favoring sugar-free sweets, healthier alternatives, and convenient purchasing options such as online delivery. To address these challenges, Ms. Reddy must adopt a systematic approach to decision-making that aligns with
- A fast-growing Indian tech startup, “Innovision,” is struggling with leadership challenges. The CEO, Ms. Khushboo Sharma, is a brilliant coder but lacks leadership skills. She adopts an autocratic style, making all decisions without considering employee input. This has led to demotivation, low morale, and high employee turnover.
3a. What are the potential negative consequences of Ms. Sharma’s autocratic leadership style on Innovision? (5 Marks)
Ans 3a.
Introduction
Innovision, a fast-growing Indian tech startup, is facing significant leadership challenges under its CEO, Ms. Khushboo Sharma. While she is an exceptional coder, her autocratic leadership style—where she makes all decisions without consulting employees—has resulted in low morale, demotivation, and high employee turnover. This rigid leadership approach can have
3b. How can Ms. Sharma adapt her leadership style to improve employee morale and motivation at Innovision? (5 Marks)
Ans 3b.
Introduction
To overcome leadership challenges at Innovision, Ms. Sharma must transition from an autocratic approach to a more inclusive leadership style. Encouraging employee participation, fostering open communication, and promoting a collaborative culture can significantly boost morale and motivation. By adopting a transformational or democratic leadership
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