Future Business Leaders of America (FBLA) Organizational Leadership Practice Test

What theory suggests that people are motivated through five levels of needs?

1. Equity Theory

2. Hierarchy of Needs Theory

3. Expectancy Theory

4. Two-Factor Theory

The correct answer is: Hierarchy of Needs Theory

The theory that suggests people are motivated through five levels of needs is the Hierarchy of Needs Theory. Developed by psychologist Abraham Maslow, this framework posits that human motivation is driven by a series of needs that progress in a hierarchical order. These levels include physiological needs, safety needs, social needs, esteem needs, and self-actualization needs. The essence of Maslow’s theory is that individuals must satisfy lower-level needs before they can focus on higher-level needs. For example, a person will prioritize basic survival needs like food and shelter before moving on to seek social connections or esteem from others. This model helps in understanding how motivation operates and plays a significant role in areas such as business leadership and management, as leaders can use this knowledge to create work environments that fulfill employees’ needs at various levels.