CBSE Class 12 Business Studies 2015 Outside Delhi set 1

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Neeraj Gupta started a company 'YoYo Ltd.' with ten employees, to assemble economical computers for the Indian rural market. The company did very well in its initial years. As the product was good and marketed well, the demand went up. To increase production the company decided to recruit additional employees. Neeraj Gupta, who was earlier taking all decisions for the company, had to selectively disperse the authority. He believed that people are competent, capable and resourceful and can assume responsibility for effective implementation of their decisions. This paid off and the company was not only able to increase its production but also expanded its product range with different features.
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Question : 19
Total: 39
Identify the concept used by Neeraj Gupta through which he was able to steer his company to greater heights.
Solution:  
The concept of 'decentralisation' is used by Neeraj Gupta in the given case.
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