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Authority in an organization is best described as what?
AThe influence a popular employee holds over peers
BLegitimate power granted by the organization
CThe technical skill a specialist brings to a job
DThe ownership stake a manager holds in the firm
Answer & Solution
Correct answer: B. Legitimate power granted by the organization
1. Authority is legitimate power, granted by the organization and acknowledged by employees.
2. It allows an individual to request action and expect compliance.
3. Exercising authority means making decisions and seeing that they are carried out.
4. Personal influence, technical skill, and ownership stakes are not granted by the organization in this way.
_Source: OpenStax Introduction to Business (CC BY 4.0), Ch 7 "Designing Organizational Structures", section 7.4 Managerial Hierarchy_
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