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Discussion

Logical Reasoning Preparation for BBA/BBS/BCA Entrance exams
(5)

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Directions: In the question, a statement is followed by two courses of action numbered I and II. Assume everything in the statement to be true, and decide which of the suggested courses of action logically follow(s) for pursuing.

Statement: The board of directors of company 'K' has decided in principle to wind up or sell off its business in all but not in core competency areas.
Courses of action:
I. The top management will have to first identify core competency areas of its operation.
II. The top management will have to identify and shift its best people from core competency areas to non-core areas.

 
Only I follows.
Only II follows.
Neither I nor II follows.
Both I and II follow.
Either I or II follows.

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Sahil Mittal

Vhv

Sapan Koriya

2nd

Fpsesportsarena

The first one is useless as in question it is mentioned that BOD does not want to sell its business should not be sold in core competence area.
rn

Bhairavi

The first option here doesn't make sense. A core competency is something that a business identifies for itself when it is first established. You don't identify your core competency when you're downsizing.

Radhika Sridhar

In this question option 1 seems illogical. The core competence of a company is identified when it is first established. It does not need to review it at the time of winding up. The core competence defines the core objectives of the firm hence option C would be more apt.