Title: Theory X vs Theory Y
Course: Demo 1

Q: ________ assumes that the manager’s role is to organize resources, including people, to best benefit the company.
- Reinforcement theory
- Equity theory
- Theory X and Theory Y
A: Theory X and Theory Y

Q: ________ assumes that the primary source of most employee motivation is monetary, with security as a strong second.
- Theory Y
- Equity theory
- Theory X
A: Theory X

Q: Theory X creates a command-and-control environment, which McGregor says is ineffective because of its reliance on lower needs for motivation. He argues that because modern society mostly satisfies lower-level needs, they are no longer strong factors in employee motivation. If this is the case, you would expect employees in a command-and-control environment to:
- be uninterested in organizational goals
- dislike the workplace because it doesn’t address their need for self-fulfillment
- seek higher levels of engagement and more responsibility
A: be uninterested in organizational goals; dislike the workplace because it doesn’t address their need for self-fulfillment

Q: Theory Y leadership assumes:
- creative capacity can spread throughout organizations
- under favorable conditions, work can be as natural as play
- employees will be more productive if rewards address higher needs such as self-fulfillment
A: creative capacity can spread throughout organizations; under favorable conditions, work can be as natural as play; employees will be more productive if rewards address higher needs such as self-fulfillment

Q: The manager of a clothing store in the mall has hired five new employees for the summer. All of them have just graduated from high school and will only work the three summer months before leaving for college. After the initial week of training, the manager continues to scrutinize and direct them in every detail of their job. Each time they make a mistake they are reprimanded, told their pay may be docked, and reminded that there are always other people who will gladly take their place. This manager is using the approach to management known as ________.
- Theory Y
- needs-based theory
- Theory X
A: Theory X

Q: Upper management of a clothing store in the mall has decided that a good way to motivate employees is to consult with them about ways to bring in more customers. A memo is sent to store managers asking them to encourage participation from all employees. One store manager has hired five new employees who just graduated from high school and are working the three summer months before leaving for college. The manager scrutinizes and directs them in every detail of their job. Each time they make a mistake they are reprimanded, told their pay may be docked, and reminded that there are always other people who will gladly take their place. This manager decides he will forward his suggestions to management but not ask his workers for suggestions. What approach is upper management using, as opposed to the store manager?
- Upper management uses Theory X : store manager uses Theory Y
- Upper management uses equity theory : store manager uses Theory X
- Upper management uses Theory Y : store manager uses Theory X
A: Upper management uses Theory Y : store manager uses Theory X

Q: Using Theory Y, leadership can apply principles of management to improve employee motivation by:
- having employees participate in goal-setting and the performance appraisal process
- increasing the scope of employee responsibility in his or her job
- centralizing control and reducing the amount of delegation within the organization
A: having employees participate in goal-setting and the performance appraisal process; increasing the scope of employee responsibility in his or her job