Skip to content

CMA Foundation · Fundamentals of Business Laws and Business Communication · Types of Business Communication

At Sundaram Textiles, employees learn about a rumoured plant relocation from colleagues at the canteen well before the management issues any circular. Which feature of informal communication does this best illustrate?

The situation shows that informal communication spreads rapidly and is not bound by official channels. Employees shared the rumour through personal contacts before management issued any circular. Informal communication is fast but often unverified, undocumented and prone to distortion, unlike formal communication that follows prescribed routes.

  1. AIt is slow because it must pass through every level of authority
  2. BIt spreads rapidly and is not bound by official channelsCorrect
  3. CIt is always accurate because it comes from peers
  4. DIt leaves a permanent written record for legal use

Explanation

Informal communication or grapevine moves quickly through social contact and bypasses official channels. It is not slow, not reliably accurate, and rarely documented, so the other options describe formal communication or are false.

Did you get it right without looking?

One question tells you little. A timed set on Types of Business Communication shows your real accuracy, how long you take and where you lose marks.

Practise Types of Business CommunicationFree diagnostic mock

More Types of Business Communication questions