CBSE Class 12 Business Studies 2026: question 32(b)
Set in the CBSE Class 12 board exam of 2026, paper 66/1/1, section D, question 32(b), for 6 marks. Try it first; the hints and our step-by-step solution are below.
Q32(b) · 6 marks · Long answerDirecting
Explain the following non-financial incentives :
(i) Status
(ii) Organisational climate
(iii) Job security
Source: official question paper from cbse.gov.in (PDF). See it in the full 2026 board paper, set 66/1/1.
Hints
Open one hint at a time and try again before the next.
Hint 1
Non-financial incentives meet psychological and social needs.
Hint 2
Which incentive matters most when jobs are scarce?
Step-by-step solution
Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.
- 2 marks
(i) Status: The ranking of positions in the organisation, shown by authority, responsibility and recognition; it satisfies psychological, social and esteem needs.
- 2 marks
(ii) Organisational climate: The characteristics that describe an organisation and distinguish it from others, such as autonomy, reward orientation, consideration for employees and risk-taking.
- 2 marks
(iii) Job security: Stability of future income and work, so employees work with zeal without worry; more important where jobs are scarce.
Answer: Status: rank of a position; organisational climate: distinguishing characteristics of the organisation; job security: stability of income and work.
Where the marks are
- Each incentive explained, 2 marks
Revise the chapter
- Chapter: Directing (notes, formulas, where marks are lost and every past question)
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