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CMA Foundation · Fundamentals of Business Economics and Management · Leadership and Motivation - Concepts and Theories

A firm's HR head argues: 'Theory X and Theory Y are two fixed personality types of workers, so we should hire only Theory Y people.' Which statement correctly corrects this view of McGregor's theory?

The theories describe managers' assumptions about workers, not fixed worker types. These assumptions influence how managers supervise and treat staff, often shaping behaviour in return. They are not tied to job level and are unrelated to Herzberg's hygiene and motivator factors, so hiring only 'Theory Y people' misreads them.

  1. AThe theories describe managers' assumptions about workers, and these assumptions shape how managers treat them, not types of workersCorrect
  2. BThe theories classify employees by the hygiene and motivator factors they prefer
  3. CTheory Y applies only to senior managers and Theory X only to labourers
  4. DMcGregor stated that Theory X is always wrong and Theory Y is always right in every situation

Explanation

McGregor presented the two theories as sets of assumptions managers hold about human nature, which influence their style and may become self-fulfilling. He did not classify workers permanently, nor link them to hierarchy levels. Hygiene and motivators come from Herzberg. The claim of universal correctness is also not part of his framework, which is about assumptions rather than fixed types.

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