A local bakery, Sweet Delights, is planning to introduce a new line of vegan pastries. Which of the following scenarios exemplifies ‘organisational inertia’ acting as a restraining force in this situation?
The bakery’s marketing team immediately creates a vibrant social media campaign to promote the new vegan pastries.
The long-serving bakers at Sweet Delights are hesitant to learn new recipes and techniques required for vegan baking, preferring to stick to their traditional methods.
The owner of Sweet Delights secures a significant loan from the bank to purchase new equipment for the vegan pastry line.
The local council approves Sweet Delights’ application to extend their operating hours to accommodate the expected increase in demand for vegan pastries.
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Create Free Account Log inThis is a free VCE Units 3 & 4 Business Management practice question worth 1 mark, testing your understanding of Restraining forces in business. It falls under Reviewing performance – the need for change in Unit 4: Transforming a business. Submit your answer above to receive instant AI-powered marking and personalised feedback.
Businesses are under constant pressure to adapt and change to meet their objectives. In this unit students consider the importance of reviewing key performance indicators to determine current performance and the strategic management necessary to position a business for the future. Students study a theoretical model to undertake change and consider a variety of strategies to manage change in the most efficient and effective way to improve business performance. They investigate the importance of effective management and leadership in change management. Using one or more contemporary business case studies from the past four years, students evaluate business practice against theory.
In this area of study students develop their understanding of the need for change. Managers regularly review and evaluate business performance through use of key performance indicators and use the results to make decisions affecting the future of a business. Managers can take both a proactive and reactive approach to change. Students investigate the ways a business can search for new business opportunities as a source of future business growth and consider current forces for change on a business. They apply Lewin’s Force Field Analysis theory to contemporary case studies from the past four years and consider approaches to strategic management using Porter’s Generic Strategies.
restraining forces in businesses including managers, employees, time, organisational inertia, legislation and financial considerations
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