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Business Studies · 2026 · 6 marks
CBSE 2026 · Region 4 · Set 1 · Q32
Explain the following points of limitations of planning :(i)Planning reduces creativity(ii)Planning leads to rigidity(iii)Planning does not guarantee successExplain the following points of importance of organising :(i)Adaptation to change(ii)Effective administration(iii)Expansion and growth
Explain the following points of limitations of planning :
(i)
Planning reduces creativity
(ii)
Planning leads to rigidity
(iii)
Planning does not guarantee success
Explain the following points of importance of organising :
(i)
Adaptation to change
(ii)
Effective administration
(iii)
Expansion and growth
Marking-scheme solution
• (i) Planning reduces creativity:
Planning is mainly done by the top management, and the middle
management and other decision makers are neither allowed to
• deviate from plans nor are they permitted to act on their own.
Due to this, the initiative and creativity of employees gets lost or
reduced as they only carry out orders and tend to think along the
same lines as others, leaving little scope for new or innovative ideas.
• (ii) Planning leads to rigidity:
In an organisation, a well-defined plan is drawn up with specific
goals to be achieved within a specific time frame that decides the
future course of action and managers may not be in a position to
• change it.
This kind of rigidity in plans may create difficulty as following a
pre-decided plan, when circumstances have changed, may not turn
out to be in the organisation’s interest.
• (iii) Planning does not guarantee success:
Managers tend to rely on previously tried and tested successful plans,
but it is not always true that just because a plan has worked before it
• will work again.
This kind of complacency and false sense of security may actually
lead to failure instead of success.
Explain the following points of importance of organising :
(i)
Adaptation to change
(ii)
Effective administration
(iii)
Expansion and growth
• (i) Adaptation to change:
To accommodate changes in the business environment, the process of
organising allows the organisation structure to be suitably modified
and inter relationships amongst managerial levels be revised.
• This provides much needed stability to the enterprise as it can then
continue to survive and grow inspite of changes.
• (ii) Effective administration:
Organising provides a clear description of jobs and related duties,
• which helps to avoid confusion and duplication.
Clarity in working relationships enables proper execution of work
and brings effectiveness in administration.
• (iii) Expansion and growth:
Organising helps in the growth and diversification of an enterprise by
enabling it to deviate from existing norms and taking up new
• challenges.
It allows a business enterprise to add more job positions,
departments, new product lines and new geographical territories to
current areas of operation.
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CBSE Class 12 Business Studies past-paper question from the 2026board exam, with the answer as CBSE’s own marking scheme gives it. Where our answers come from.