McGregor believed that managers holding either Theory X or Theory Y assumptions could create situations in which employees acted as expected. This phenomenon is known as:
A) self-actualisation.
B) expectancy theory.
C) a self-fulfilling prophecy.
D) the Hawthorne effect.
E) Theory Z.

Question

Quizplus · Accepted Answer

McGregor's concept that managers' beliefs about their employees can lead to those beliefs becoming true is known as a self-fulfilling prophecy. If a manager believes employees are inherently lazy (Theory X), they might treat them in a way that discourages initiative, leading employees to act in accordance with those low expectations. Conversely, if a manager believes employees are motivated and capable of self-direction (Theory Y), they might treat them in a way that encourages responsibility and creativity, leading employees to live up to those higher expectations.

McGregor Believed That Managers Holding Either Theory X or Theory