Learning Path
Question & Answer1
Understand Question2
Review Options3
Learn Explanation4
Explore TopicChoose the Best Answer
A
They have no impact on employee motivation.
B
They primarily affect only the upper management decisions.
C
They can shift employee priorities and influence work culture.
D
They solely determine the organization's profitability.
Understanding the Answer
Let's break down why this is correct
Answer
Economic factors play a crucial role in shaping how organizations behave when there are significant changes in their environment. For example, if a recession occurs, companies may reduce their workforce or cut costs to stay afloat, which can lead to lower employee morale and changes in company culture. On the other hand, during times of economic growth, organizations might invest more in employee development and innovation, encouraging a positive and dynamic workplace. These economic conditions impact decision-making, communication, and overall strategies within the organization, as leaders must adapt to survive and thrive. Ultimately, understanding these factors helps organizations navigate challenges and seize opportunities effectively.
Detailed Explanation
Economic factors can change what employees care about. Other options are incorrect because Some might think money issues don't affect how motivated workers feel; It's a common belief that only top leaders are affected by economic changes.
Key Concepts
economic factors
organizational behavior
Topic
Organizational Environment Changes
Difficulty
medium level question
Cognitive Level
understand
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