9.

The concept of business ecosystems implies that organizations are more interdependent than ever
before. From personal experience, do you agree? Explain.

It is true that organizations are interdependent on one another in order to operate the business effectively.
Organizations are dependent on suppliers and other vendors for the supply of material to run the business.

In order to run the business effectively it is essential that organizations build strong and good relationship
with suppliers, manufacturers and other material providers.

It is not possible for any business to be self-sufficient in each and every component of the business. Thus, in
order to run and operate the business depends on one another.

How do you feel about the prospect of becoming a manager and having to manage a set of relationships
with other companies rather than just managing your own company? Discuss.

It is essential for any business to have healthy relationship with other companies supporting the business.
Being a manager, it’s not easy to manage relationships with other companies. Thus, the managers of the
organizations need to cooperate with other organizations so that everyone gets stronger.

For example, company ‘A’ is a successful company but company ‘B’ is struggling to earn profits. If Company
‘A’ collaborates with company ‘B’, it might happen that both the companies would capture the market.

12. What is the difference between power and authority? Is it possible for a person to have formal
authority but no real power, Discuss.

BASIS FOR
POWER AUTHORITY
COMPARISON

Meaning Power means the ability
or potential of an
individual to influence
others and control their
actions.
The legal and formal right to
give orders and commands,
and take decisions is known
as an Authority.

What is it? It is a personal trait. It is a formal right, given to

the high officials.

Source Knowledge and Position & office

expertise.

Hierarchy Power does not follow Authority follows the

any hierarchy. hierarchy.

Resides with Person Designation

 BASIS FOR
POWER AUTHORITY
COMPARISON

Legitimate No Yes

Q.14