D) nonsubstitutability
Which of the following statements about authority is true?
A) When authority is centralized, there is generally more scope for people to engage in
behaviors aimed at gaining power.
B) Once the authority is decentralized to a subordinate by a manager, then the manager
does not bear the consequences of the subordinate’s failure.
C) When authority is centralized in an organization, employees take more
responsibilities and are more likely to initiate new actions.
D) Decentralizing authority to a subordinate does not necessarily reduce a manager’s
authority.
According to the force-field theory, when the two sets of opposing forces, force for
change and resistance to change, are evenly balanced in an organization, the
organization ________.
A) attempts to grow by diversifying its business in unrelated areas
B) is operating at the optimum production level that maximizes economies of scale
C) is in a state of inertia
D) attempts to grow by engaging in vertical integration