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A company stops quality checks in the name of cost saving. Later, sales fall and legal notices increase. Which relationship is clear?

Answer and explanation

Correct answer: Ignoring the social objective affected organisational objectives

The governing concept is that management objectives are interrelated rather than isolated. Quality checks help protect customers from unsafe or defective products, so they support the social objective. When a company removes them merely to reduce cost, it may save money immediately but increases the likelihood of defects, complaints, legal action, and loss of customer confidence. Falling sales and rising legal notices show that neglect of the social objective has damaged organisational objectives such as sales, reputation, and survival. Option A is therefore correct. Option B is unsupported because employee welfare is not described. Option C is false because cost reduction is not automatically growth, and option D confuses a legal consequence with employee training. Responsible management must evaluate both short-term savings and wider effects.

Related tags

Quality ControlSocial ObjectiveOrganisational ObjectivesObjectives Of ManagementNature And Significance Of ManagementBusiness StudiesClass 12 Mcq

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