The correct answers are: A target is more motivating than no target at all and the problem with a target is setting an appropriate degree of difficulty
It is generally agreed that the existence of some form of target or expected outcome is a greater motivation than no target at all. Therefore a target is more motivating than no target at all is true.
The establishment of a target, however, raises the question of the degree of difficulty or challenge of the target. Therefore the problem with a target is setting an appropriate degree of difficulty is true.
If the performance standard is set too high or too low sub-optimal performance could be the result. The degree of budget difficulty is not easy to establish. It is influenced by the nature of the task, the organisational culture and personality factors. Some people respond positively to a difficult target. Others, if challenged, tend to withdraw their commitment. So employees who are challenged tend to withdraw their commitment is not true.