2.5.4a Importance of motivation: attracting, retaining and productivity Quiz: Pearson Edexcel Business, Unit 10

The 20 questions

1. What is meant by motivation in the workplace?

   • The price a business charges for its products in the local market each season
   • The amount of money a business spends on advertising its products each year in the press
   • The willingness of employees to put effort into their work to achieve goals
   • The number of hours each employee is contracted to work at the start of the week

2. Why do businesses care about motivating employees?

   • Motivation has no impact on the success of a business in any way at all in the market
   • Motivated staff are more productive, stay longer and are easier to attract
   • Motivated staff are never paid a wage because they work for the business for free
   • Motivated staff reduce the number of customers that the business is able to serve each day

3. How does motivation help a business attract employees?

   • Good reputations for treating staff well attract candidates to apply
   • Motivation makes candidates less interested in the wages on offer
   • Businesses that motivate staff never need to advertise any vacancy
   • Motivation only affects candidates who are already working for the business

4. How does motivation help a business retain employees?

   • Motivated staff are less likely to leave for other jobs
   • Motivation means that staff never need any reason to stay in their job
   • Motivated staff are more likely to leave because they expect better rewards elsewhere
   • Motivation only retains staff who are close to retirement age

5. Which is the best link between motivation and productivity?

   • Motivated staff tend to work harder and more efficiently, raising output
   • Motivated staff produce less because they spend more time socialising
   • Productivity is unaffected by how motivated employees feel in their jobs
   • Motivation only increases productivity for staff who are paid the lowest wages

6. A business has high staff turnover and low productivity. Which is the most likely cause?

   • Low motivation among staff
   • High motivation among staff
   • Excess training for all employees
   • Too many customers who are satisfied with the service

7. Which is an example of how poor motivation affects a business?

   • Staff become absent more often and the business loses output
   • Staff suggest ideas that reduce costs and improve products
   • Staff volunteer for extra shifts without being asked to do so
   • Staff stay with the business for many years with high levels of effort

8. Why might a business with motivated employees be able to attract better candidates?

   • Candidates are not affected by the reputation of the business
   • Candidates hear positive reports from current staff and want to work there
   • Candidates prefer businesses with the least support for their staff
   • Candidates are attracted only by a lower salary than other businesses offer

9. What is a non-financial method of motivation?

   • Paying a bonus at the end of the year for meeting a sales target
   • Offering a commission for each sale made by a salesperson
   • Giving employees more autonomy over how they carry out their work
   • Providing a company car as a fringe benefit for the manager

10. What is a financial method of motivation?

    • Allowing an employee to rotate between different roles in the business
    • Giving an employee more responsibility for a team's planning
    • Paying a commission on each sale that an employee makes
    • Giving employees a chance to design their own job roles

11. What is job enrichment?

    • Giving employees more meaningful tasks and responsibility within their role
    • Paying employees a higher wage without changing their tasks or responsibilities at all
    • Removing all tasks from an employee so they can rest between shifts at work
    • Reducing the level of responsibility that an employee has in their job over time

12. A business gives a team of staff the freedom to choose how they complete a project. Which method is this?

    • Bonus
    • Commission
    • Fringe benefit
    • Autonomy

13. Why might a business use job rotation to motivate staff?

    • It reduces boredom by giving variety and helps staff develop new skills
    • It removes the need for staff to receive any training at all during their time
    • It lowers the wages that staff are paid for each task they complete each week
    • It makes staff repeat the same task so that they become faster at it over time

14. A business gives promotion to a high-performing employee. Which type of motivation is this?

    • Neither financial nor non-financial, because promotion is not a reward
    • Non-financial only, because promotion never includes any pay
    • Financial, because promotion usually brings higher pay and responsibility
    • Financial only, because promotion involves no change to responsibility

15. A business offers fringe benefits such as a pension and private health insurance. Which type of motivation is this?

    • Financial
    • Non-financial
    • Job rotation
    • Autonomy

16. A salesperson earns a commission of 4% on sales of £75,000. What is the commission?

    • £3,000
    • £300
    • £750
    • £30,000

17. Which is a disadvantage of relying only on financial methods of motivation?

    • Staff may leave if a rival offers a higher wage, even if they were unhappy in their work
    • Financial methods increase staff turnover in every business that uses them for any reason
    • Financial methods remove the need for any feedback from managers to their own staff
    • Staff are never motivated by money, so the financial methods always fail to have any effect

18. Why might a business use both financial and non-financial methods to motivate staff?

    • Non-financial methods are only needed for staff who are not paid at all
    • Using both methods means the business never needs to review staff performance
    • Financial methods are illegal, so non-financial methods are always required
    • Different employees value different rewards, so a mix is more effective

19. Explain why a business might find that a bonus scheme does not motivate all staff equally.

    • Staff value rewards differently, and some may feel the target is unattainable
    • Bonus schemes are illegal for staff who work in shops or offices
    • Bonus schemes are always the most motivating reward for every person in every job
    • Bonus schemes only motivate senior managers and never reach other staff

20. Explain how non-financial motivation can help a business when it cannot afford to raise wages.

    • Staff stop caring about their jobs when wages are not increased in any year
    • Staff are motivated only by money, so non-financial methods have no effect at all
    • Staff can still feel valued through autonomy, variety and responsibility
    • Staff can only be motivated through a higher wage, so the business must not try other options

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