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Assertion states that growth does not mean only increase in size. Reason states that product variety and capacity improvement may also indicate growth. Choose the correct option.

Answer and explanation

Correct answer: Both the assertion and the reason are true, and the reason correctly explains the assertion.

The assertion is true because, in management, growth is not restricted to an increase in the size of the business, sales, or number of employees. Adding product variety and improving production capacity or efficiency can also reflect organisational growth. Hence, the reason is true and correctly explains the assertion. Option B is tempting but incorrect because the reason directly shows why growth cannot be limited to size alone. Exam tip: In assertion-reason questions, first test the truth of both statements and then check whether the reason actually explains the assertion.

Related tags

Assertion ReasonManagement ObjectivesBusiness GrowthProduct DiversificationProduction CapacityObjectives Of ManagementNature And Significance Of ManagementBusiness Studies

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