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Subjects

Business Studies

Limitations of planning

In Class 12 Business Studies, this topic explains why planning, although essential for setting objectives and guiding business activities, cannot guarantee success. Students learn how planning may create rigidity, involve significant time and cost, delay action, and become ineffective when circumstances change rapidly. The topic also highlights that plans are based on assumptions about the future and may not work as expected in a dynamic business environment. Understanding these limitations helps students evaluate planning realistically while studying the broader chapter on Planning.

Expert · Level 6 · 7 questions

Practice questions

01If a plan assumes normal weather but a heat wave affects both demand and production, which limitation is it?

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02If a company sees only its product strength in planning and ignores changing customer problems, what risk will arise?

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03If a plan has no arrangement for a low-probability event like a pandemic, which risk is shown?

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04If positive investor response is assumed certain in a plan but investors stop funding, what will be affected?

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05If a plan fixed the use of customer data in promotion but new data rules restricted it, which limitation is it?

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06If a plan has pre-decided answers for every problem and employees cannot think in an unusual situation, which limitation is it?

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07Which is the most appropriate expert-level conclusion on limitations of planning?

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