InvestorPro,an investment consulting firm plans to flatten its traditional hierarchy structure.The intent is to eliminate authoritarian positions in its structure and create new ones that are operationally logical.The top management agrees that none of the employees would be laid-off but only transferred from their positions to the new ones.This plan,when announced to its employees,is not taken well by lower- and middle- level management who did not want the structure to be changed.When asked for a reason,they were not able to put a strong argument.Which of the following best describes this effect?
A) Hawthorne effect
B) Paradigm effect
C) Audience effect
D) External validity

Question

Quizplus · Accepted Answer

The paradigm effect occurs when individuals have difficulty seeing beyond their current way of thinking and therefore fail to provide strong arguments for their resistance to change. In this case, the lower- and middle- level management were resistant to the change in structure but were unable to provide a strong argument, indicating that they may have been affected by the paradigm effect. The other options (Hawthorne effect, Audience effect, External validity) do not accurately describe the situation.

InvestorPro,an Investment Consulting Firm Plans to Flatten Its Traditional Hierarchy