Consulting, Training and Event Management Previous Year Questions (PYQs) for XAT: 3+ Solved Questions with Step-by-Step Solutions

    Solve 3+ Consulting, Training and Event Management previous year questions for XAT with answers and detailed solutions. Free sample questions below.

    Chapter Roadmap: Consulting, Training and Event Management

    Chapter roadmap

    1
    Event Management and Marketing Agencies
    Intermediary role, fee structures, channel control, vendor decisions.
    Weightage hint: moderate-to-high
    2
    Corporate Training and Trainer Allocation
    Matching trainer expertise to project requirements, allocation constraints.
    Weightage hint: moderate
    Learning path
    1. Build intuition for why event agencies exist and where risk sits.
    2. Learn the main fee and channel models.
    3. Apply a decision framework to vendor and outsourcing problems.
    4. Avoid common profit traps and revise with a final checklist.
    This card belongs to the selected topic. It only previews the second topic to show the chapter route.

    Why Event Agencies Exist: The Intermediary Model

    Why event management companies exist

    Event management firms usually do not own the artist, the venue, or the audience. They create value by coordinating three separate sides.

    Talent or artist
    Role: Provides the performance or content.
    Risk: Usually wants assured payment.
    Audience
    Role: Buys tickets and creates revenue.
    Risk: Demand is uncertain.
    Distribution and media partners
    Role: Sell, promote, or deliver the event.
    Risk: May control customer access.
    First principle
    Before choosing an action, identify who owns each cost and who owns each revenue.
    In decision cases, the first question is: who loses money if attendance falls?

    Consulting, Training and Event Management: Solved Questions with Step-by-Step Explanations (3 Problems)

    Question 1 · Decision Making (DM) MCQ

    Common Description:

    TrueColor, an event management company in eastern India, had been in a business of inviting Tollywood singers to a city called Tivanna, and made money out of selling tickets of their concerts. The stars were paid a fixed fee regardless of the number of tickets sold. The company had a specialized team that negotiated the singers’ fee with their managers. However, for selling the tickets of such events, they were reliant on an external media agency called Zedius. Zedius had a long-standing relationship with TrueColor, and had been instrumental in achieving a target of 50,000 tickets for each of the flagship events.

    Mr. Sukanta Rao joined TrueColor as an inhouse sales and marketing manager, a position exclusively created for him. The CEO, Mr. Adil Banerjee, had assigned a task of increasing the sales of tickets to 100,000. In Sukanta’s earlier stint, he had seen that similar cities sell more than 75,000 tickets for such events. He felt that, over time, reaching 100,000 was plausible for TrueColor.

    The following year, Sukanta discussed with Adil that unless they got into the ticket selling process, they might not be able to improve the ticket numbers. However, this would mean moving away from Zedius, and the transition could cause short-term pains since TrueColor would be entering into unchartered territory.

    Further, Sukanta added that TrueColor would achieve self-sufficiency over couple of years. Adil was concerned about the risk of taking over an activity that the organization was not competent at, but understood Sukanta’s point. In the interest of building long-term competencies, he authorized Sukanta to take it forward. Sukanta did not renew Zedius’s contract in the following year; instead, he recruited a skeletal team of three freshers from a premier business school as his support staff.

    As the event approached, the team dedicated themselves to executing their plan. However, by the time the ticket sales window closed, they managed to sell only 40,000 tickets. This shift in strategy provoked considerable dissent within the company, challenging Sukanta's decision.

    Disturbed by the situation, witnessing the internal turmoil, Adil must now navigate the company's immediate reaction.

    Which of the following should now be Adil’s BEST course of action?

    1. A.

      He should make Sukanta and his team to go back to Zedius immediately.

    2. B.

      He should wait and watch as the investment in Sukanta may need more time to bear result.

    3. C.

      He should engage a different media agency which is working for TrueColor’s main competitor.

    4. D.

      He should dismiss Sukanta’s team and let the earlier media agency to take over.

    5. E.

      He should threaten Sukanta that if sales do not improve by next year, he and his team will be fired.

    Correct Answer:

    B

    Step-by-Step Solution

    Key idea: This is a "post-implementation review and strategic patience" question, recognizable because a previously approved strategic shift has failed in its first iteration, causing internal dissent.

    Step 1: Identify the context. Adil explicitly authorized this shift knowing it would cause "short-term pains" to build "long-term competencies".

    Step 2: Evaluate the failure. Selling 40,000 tickets with a team of freshers in their first year is a predictable learning curve outcome, not necessarily a fatal strategic flaw.

    Step 3: Analyze the options. Option B (wait and watch) aligns with the original strategic agreement and gives the new team time to adapt. Option A and D are knee-jerk reversals that waste the investment and destroy morale. Option E creates a hostile environment. Option C introduces a new, unvetted vendor, repeating the dependency problem.

    Answer: B

    Question 2 · Decision Making (DM) MCQ

    Common Description:

    Humane Dynamix is a leadership training organization based in Mumbai. Established in 2015, the organization is gradually becoming a leader in behavioral training. In the organization, trainers are assigned to training projects based on their expertise. Corporates seek behavioral training services on a regular basis, from Humane Dynamix, for upskilling their executives. Humane Dynamix is headed by the Chief Executive Officer(CEO), to whom the Training Assignment Officer(TAO) reports. The TAO position rotates among the senior trainers for a fixed tenure; the CEO assigns this position to a senior trainer.

    Companies, desirous of hiring Humane Dynamix, share their training needs with the organization. The TAO assigns a trainer to the client. Typically, the satisfied client requests for a particular trainer that the client is satisfied, giving repeat business to Humane Dynamix from the same client company. However, the TAO takes the final call. Years of training experience plays a big role in client satisfaction, and hence, senior trainers conduct most training programs while the newly recruited trainers apprentice with them. However, the senior trainers have the autonomy to decide on who they want to accept as an apprentice.

    Further, during a training program, the senior trainer takes most of the sessions, if not all, while the apprentice helps the senior trainers to organize their sessions, and occasionally take a few sessions. As the apprentices gain experience, they start getting their own independent projects, but that typically takes quite some time.

    Dheeraj, a senior trainer, takes over as the TAO. As soon as he assumes the office, the CEO shares a concern with him: “We have a lot of young trainers who we have recently recruited. Since they are not known to the outside world, they do not get enough opportunities. Many of them are impatient to prove their mettle. Unless they are assigned more programs, we risk losing them rapidly.”

    Dheeraj decided to assign some of the repeat clients, at random, to their young trainers, to address the concerns of the CEO. Many young trainers appreciated him for giving them more opportunities.

    Sudha Iyer, a senior trainer, popular for her training programs in “Deceptive Communication Methods,” was surprised to see that some of her long-standing clients were assigned to a young person. She was concerned that the clients would feel shortchanged. Moreover, she was chagrined that she was not even consulted. This led to the reduction in her number of training hours.

    Since, Humane Dynamix incentivizes trainers who cross a mandated number of training hours every year, Sudha was also concerned about her possible revenue loss. Sudha wanted Dheeraj to stop assigning established clients to the young trainers. Which of the following actions would BEST help Sudha to stop Dheeraj from assigning her programs to the young trainers?

    1. A.

      She should approach the CEO and request that Dheeraj be removed from his role as the TAO.

    2. B.

      She should contact the client companies and ask them to reject Dheeraj's assigned trainers.

    3. C.

      She should confront the CEO and share that his concerns should not be addressed at the cost of her revenues.

    4. D.

      She should propose training the young trainers in her innovative methods so that they become independent in future.

    5. E.

      She should share with Dheeraj that assigning her client companies to novice trainers will lead to loss of those clients.

    Correct Answer:

    E

    Step-by-Step Solution

    Key idea: This is a "stakeholder alignment and risk communication" question, recognizable because a senior employee must object to a managerial decision that threatens their interests, but must do so by aligning with organizational goals rather than personal grievances.

    Step 1: Identify the core conflict. Dheeraj (the TAO) is assigning Sudha's repeat clients to novice trainers to meet the CEO's goal of developing young trainers. Sudha is losing revenue and fears client dissatisfaction.

    Step 2: Determine the most effective lever for change. Dheeraj's primary responsibility as TAO is to ensure successful training delivery and client satisfaction. The biggest risk to this is losing established clients due to poor training by novices.

    Step 3: Evaluate the options. Option E directly communicates this business risk to Dheeraj in a professional, constructive manner. It aligns Sudha's personal concern (keeping her clients) with the organization's goal (retaining clients and revenue).

    Step 4: Rule out others. Option A is an overreaction. Option B is unethical. Option C is self-centered and confrontational. Option D does not solve the immediate problem of lost hours and revenue.

    Answer: E

    Question 3 · Decision Making (DM) MCQ

    Common Description:

    TrueColor, an event management company in eastern India, had been in a business of inviting Tollywood singers to a city called Tivanna, and made money out of selling tickets of their concerts. The stars were paid a fixed fee regardless of the number of tickets sold. The company had a specialized team that negotiated the singers’ fee with their managers. However, for selling the tickets of such events, they were reliant on an external media agency called Zedius. Zedius had a long-standing relationship with TrueColor, and had been instrumental in achieving a target of 50,000 tickets for each of the flagship events.

    Mr. Sukanta Rao joined TrueColor as an inhouse sales and marketing manager, a position exclusively created for him. The CEO, Mr. Adil Banerjee, had assigned a task of increasing the sales of tickets to 100,000. In Sukanta’s earlier stint, he had seen that similar cities sell more than 75,000 tickets for such events. He felt that, over time, reaching 100,000 was plausible for TrueColor.

    Just two weeks before the flagship event, Adil received a few emails from competing media agencies that accused Zedius of selling phony tickets in the “black” market. When Adil enquired with the security agency in charge of gatekeeping the events, they told him that they had no mechanism to check the authenticity of tickets.

    Which of the following options will BEST help Adil to ignore the accusations from the competing media agencies, and maintain status quo?

    1. A.

      In Tivanna, the competing media agencies keep defaming each other out of fierce competition.

    2. B.

      Zedius promises a particular threshold of ticket sales as decided by TrueColor.

    3. C.

      Zedius is the largest media agency in Tivanna.

    4. D.

      Some attendees admitted to paying cash to gate keepers to get in.

    5. E.

      Tivanna being a small city, a few prominent personalities have to be allowed in without tickets.

    Correct Answer:

    A

    Step-by-Step Solution

    Key idea: This is a "crisis management and status quo" question, recognizable because the decision-maker receives unverified negative information about a key partner close to an event and must decide whether to act or ignore it.

    Step 1: Identify the goal. Adil needs a reason to ignore the accusations and maintain the status quo just two weeks before the flagship event.

    Step 2: Evaluate the credibility of the threat. The accusations come from competing media agencies. In fierce markets, competitors often defame each other to gain an advantage.

    Step 3: Analyze the options. Option A provides a logical, business-centric reason to dismiss the claims as competitive sabotage, protecting the status quo. Option B (promises) doesn't disprove fraud. Option D (cash to gatekeepers) actually validates the concern and would force an investigation. Option E is irrelevant to the agency's actions.

    Answer: A

    More previous year questions (pyqs) in this unit

    chapter
    Consulting, Training and Event Management Previous Year Questions (PYQs) for XAT: 3+ Solved Questions with Step-by-Step Solutions

    Solve 3+ Consulting, Training and Event Management previous year questions for XAT with answers and detailed solutions. Free sample questions below.

    A question from this chapter

    Question 1

    Common Description:

    TrueColor, an event management company in eastern India, had been in a business of inviting Tollywood singers to a city called Tivanna, and made money out of selling tickets of their concerts. The stars were paid a fixed fee regardless of the number of tickets sold. The company had a specialized team that negotiated the singers’ fee with their managers. However, for selling the tickets of such events, they were reliant on an external media agency called Zedius. Zedius had a long-standing relationship with TrueColor, and had been instrumental in achieving a target of 50,000 tickets for each of the flagship events.

    Mr. Sukanta Rao joined TrueColor as an inhouse sales and marketing manager, a position exclusively created for him. The CEO, Mr. Adil Banerjee, had assigned a task of increasing the sales of tickets to 100,000. In Sukanta’s earlier stint, he had seen that similar cities sell more than 75,000 tickets for such events. He felt that, over time, reaching 100,000 was plausible for TrueColor.

    The following year, Sukanta discussed with Adil that unless they got into the ticket selling process, they might not be able to improve the ticket numbers. However, this would mean moving away from Zedius, and the transition could cause short-term pains since TrueColor would be entering into unchartered territory.

    Further, Sukanta added that TrueColor would achieve self-sufficiency over couple of years. Adil was concerned about the risk of taking over an activity that the organization was not competent at, but understood Sukanta’s point. In the interest of building long-term competencies, he authorized Sukanta to take it forward. Sukanta did not renew Zedius’s contract in the following year; instead, he recruited a skeletal team of three freshers from a premier business school as his support staff.

    As the event approached, the team dedicated themselves to executing their plan. However, by the time the ticket sales window closed, they managed to sell only 40,000 tickets. This shift in strategy provoked considerable dissent within the company, challenging Sukanta's decision.

    Disturbed by the situation, witnessing the internal turmoil, Adil must now navigate the company's immediate reaction.

    Which of the following should now be Adil’s BEST course of action?

    Question 2

    Common Description:

    Humane Dynamix is a leadership training organization based in Mumbai. Established in 2015, the organization is gradually becoming a leader in behavioral training. In the organization, trainers are assigned to training projects based on their expertise. Corporates seek behavioral training services on a regular basis, from Humane Dynamix, for upskilling their executives. Humane Dynamix is headed by the Chief Executive Officer(CEO), to whom the Training Assignment Officer(TAO) reports. The TAO position rotates among the senior trainers for a fixed tenure; the CEO assigns this position to a senior trainer.

    Companies, desirous of hiring Humane Dynamix, share their training needs with the organization. The TAO assigns a trainer to the client. Typically, the satisfied client requests for a particular trainer that the client is satisfied, giving repeat business to Humane Dynamix from the same client company. However, the TAO takes the final call. Years of training experience plays a big role in client satisfaction, and hence, senior trainers conduct most training programs while the newly recruited trainers apprentice with them. However, the senior trainers have the autonomy to decide on who they want to accept as an apprentice.

    Further, during a training program, the senior trainer takes most of the sessions, if not all, while the apprentice helps the senior trainers to organize their sessions, and occasionally take a few sessions. As the apprentices gain experience, they start getting their own independent projects, but that typically takes quite some time.

    Dheeraj, a senior trainer, takes over as the TAO. As soon as he assumes the office, the CEO shares a concern with him: “We have a lot of young trainers who we have recently recruited. Since they are not known to the outside world, they do not get enough opportunities. Many of them are impatient to prove their mettle. Unless they are assigned more programs, we risk losing them rapidly.”

    Dheeraj decided to assign some of the repeat clients, at random, to their young trainers, to address the concerns of the CEO. Many young trainers appreciated him for giving them more opportunities.

    Sudha Iyer, a senior trainer, popular for her training programs in “Deceptive Communication Methods,” was surprised to see that some of her long-standing clients were assigned to a young person. She was concerned that the clients would feel shortchanged. Moreover, she was chagrined that she was not even consulted. This led to the reduction in her number of training hours.

    Since, Humane Dynamix incentivizes trainers who cross a mandated number of training hours every year, Sudha was also concerned about her possible revenue loss. Sudha wanted Dheeraj to stop assigning established clients to the young trainers. Which of the following actions would BEST help Sudha to stop Dheeraj from assigning her programs to the young trainers?

    Question 3

    Common Description:

    TrueColor, an event management company in eastern India, had been in a business of inviting Tollywood singers to a city called Tivanna, and made money out of selling tickets of their concerts. The stars were paid a fixed fee regardless of the number of tickets sold. The company had a specialized team that negotiated the singers’ fee with their managers. However, for selling the tickets of such events, they were reliant on an external media agency called Zedius. Zedius had a long-standing relationship with TrueColor, and had been instrumental in achieving a target of 50,000 tickets for each of the flagship events.

    Mr. Sukanta Rao joined TrueColor as an inhouse sales and marketing manager, a position exclusively created for him. The CEO, Mr. Adil Banerjee, had assigned a task of increasing the sales of tickets to 100,000. In Sukanta’s earlier stint, he had seen that similar cities sell more than 75,000 tickets for such events. He felt that, over time, reaching 100,000 was plausible for TrueColor.

    Just two weeks before the flagship event, Adil received a few emails from competing media agencies that accused Zedius of selling phony tickets in the “black” market. When Adil enquired with the security agency in charge of gatekeeping the events, they told him that they had no mechanism to check the authenticity of tickets.

    Which of the following options will BEST help Adil to ignore the accusations from the competing media agencies, and maintain status quo?

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