XAT Decision Making Questions – Set 1

Thursday, November 15th, 2018


XAT Decision Making Questions Set 1

XAT Decision Making Practice Questions – Set 1

XAT Decision Making Question 1. Maninder was an operations manager in a social development organization and observed deep-set caste discrimination all around him. Observing that caste based discrimination was endemic in his organization, he decided to quit and start his own NGO. In his organization, he employed people from all castes and tried to eliminate caste-bias. Over the years, his NGO expanded and started working with various sections of society and started supplying material to organizations dominated by those of supposedly higher castes. As part of his team, he built a squad of sales representatives consisting of people from diverse backgrounds and all castes. As his representatives were from diverse backgrounds, including the lower castes, he soon started experiencing resistance from his clients as they objected to the presence of representatives from the lower castes.

Maninder is stuck in an ethical dilemma now. With more than half his employees from the lower castes, he can no longer send them to his clients. He is under pressure to change the demography of his organization. On the other hand, if he does so, he defeats the very purpose of building his organization in the first place.

What should he do as a socially aware entrepreneur who knows his social responsibilities?

A. Shift to businesses and areas of work which face no such stigma.
B. Reduce the number of lower-caste employees.
C. Let the current situation continue and hope for the social climate to improve.
D. In future, hire only people from castes that pose no such problems.
E. Try to juggle his assignments in such a manner that he does not send people from the lower castes to those clients who object.

XAT Decision Making Question 2. You are the HR manager of a newly established-BPO and are on the lookout for talented and hard-working people who can serve on the team. One of the applicants is Udit, an engineering graduate from a mid-level institute but comes from an impoverished background. Because of this, his communication skills are not quite up to the mark and you are in two minds whether to hire him or not. As far as his school records are concerned, they are up to the mark in all subjects, barring one, that is English. Because of the above, you are uncertain about hiring Udit and are not sure whether he would fit in the young crowd at your BPO.
If you are the HR manager in concern, what would you do in the given situation?

A. Explain the situation to Udit, and help him understand why you could not hire him.
B. I would hire him without even it giving it a second thought case and the job itself would help him learn the art of effective communication.
C. I would identify the specific role that is suitable for his skill-set and make sure his shortcomings are overcome with the right assistance and training.
D. Provide him with resources that can help him improve his communication so that he can apply for other jobs at a suitable time.
E. I would help him find a job in another industry that does not require any communication skill at all.

XAT Decision Making Question 3. The premium fountain pen and diary combo industry in India generally sells around 1 million fountain pens and diary combos every year. This industry generally caters to the richest sections of society, and the price range for these combos starts from at least Rs. 6000 for a single set. In the last 10 years, the world has seen a massive change in terms of technology and we are increasingly seeing that digital products are replacing traditional items. With the coming of smart-phones, tablets and devices such as Kindle, high-end consumers have started using these devices for organizational tasks, and this has meant that the market for the premium pen and diary combos has gone not grown in the last 10 years, and in fact, is beginning to see its first signs of recession.
What should be strategy adopted by the premium fountain pen and diary combo industry in order to be profitable in the long term?
A. Merge with other companies in the sector and try to reduce the competition, thus reducing the price wars.
B. Try to get back their lost clientele with the help of new designer pen and diary combos.
C. Increase the appeal of their products by introducing a new line of cost-effective combos for middle and lower classes of society.
D. Use technology-enhancement features in their products and convert them into digital diaries and pens.
E. Reduce the prices of their combos to attract some of the lost clientele.

XAT Decision Making Question 4. Being in the middle of a recession has meant that a number of areas of the economy have suffered. One area to be particularly hit is the car industry and the industry leader Suruti Muzuki has seen a drop of 15% in its sales. In order to cope up with the situation, Suruti Muzuki has to come up with a plan to beat this downswing in the whole sector itself. Suruti Muzuki has been traditionally a brand that has catered to the middle segment of the market by providing cars with great fuel efficiency and ones that generally low on frills. Being a part of the company board, which out of the following would you recommend as a course of action to recover some of the lost revenue of the company in the current fiscal year?
A. Reduce the operating costs of the company by reducing the staff.
B. Increasing the advertising expenditure of the company so as to increase brand awareness.
C. Using an enhanced loyalty and exchange bonus schemes that help drive up the sales.
D. Downgrading the current variants so that their price reduces.
E. Innovate and create a new car that becomes the cheapest car available in the market.

XAT Decision Making Question 5. You are part of the government infrastructure committee that came up with a plan to remove slums from the heart of the city and provide with slum-dwellers with low-cost housing in peripheral areas of the town. The scheme received due approval from the slum-dwellers at the time and was welcomed as it provided them with a better homes than their existing accommodations. The initial draft of the scheme as floated in the year 2005, and on the basis of the census of the slums in the year 2009, the construction of the low-cost housing began in the year 2010 and was completed in 2013. Now the stage has arrived where people need to be removed from the slums and re-located to the new areas. Because the scheme, from the time of the census to that of occupation of the houses, took 5 years, there has been an influx of new individuals in these slum areas and they are not willing to vacate these areas.

Which, out of the following, is a solution that you should put up in front of the committee?

A. The slums need to be vacated at all costs and the individuals not co-operating should be forcibly removed.
B. New houses need to be created for the new migrants and they should be allowed to stay in the slum areas till the time the new houses come-up.
C. Since the scheme had a cut-off date, individuals who occupied the slums after the given date should be given provisional shelter so that they can find alternates for survival.
D. The slums should not be emptied and can acts as future source of accommodation for all those arrive in the society.
E. The slums itself should be converted into low-cost housing, thus providing the city with enhanced facilities to house all those who arrive in the city.

XAT Decision Making Practice Questions – Answers Set 1

XAT Decision Making Answer 1. Try to juggle his assignments in such a manner that he does not send people from the lower castes to those clients who object.
XAT Decision Making Answer 2. I would identify the specific role that is suitable for his skill-set and make sure his shortcomings are overcome with the right assistance and training.
XAT Decision Making Answer 3. Increase the appeal of their products by introducing a new line of cost-effective combos for middle and lower classes of society.
XAT Decision Making Answer 4. Using an enhanced loyalty and exchange bonus schemes that help drive up the sales.
XAT Decision Making Answer 5. Since the scheme had a cut-off date, individuals who occupied the slums after the given date should be given provisional shelter so that they can find alternates for survival.

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XAT Decision Making Questions – Set 1

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