Question : Statement 1: The primary objective of management is to maximize profits.
Statement 2: The primary objective of management is to achieve organizational goals efficiently.
Option 1: Both statements are true
Option 2: Both are incorrect
Option 3: Statement 1 is true, and Statement 2 is false.
Option 4: Statement 1 is false, and Statement 2 is true.
Correct Answer: Statement 1 is false, and Statement 2 is true.
Solution : The correct answer is (d) Statement 1 is false, and Statement 2 is true.
Statement 1 is false because the primary objective of management is not always to maximize profits. The objective of management can vary depending on the organization and its goals. While profit maximization is an important goal for many businesses, it's not the only objective, and some organizations prioritize other goals such as sustainability, social responsibility, or customer satisfaction.
Statement 2 is true because the primary objective of management is generally to achieve organizational goals efficiently. Efficiently achieving organizational goals involves not only maximizing profits but also considering other factors like customer satisfaction, employee well-being, and long-term sustainability, depending on the specific objectives and values of the organization.
