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Answer :
Pete's staff may resist changes due to fear of failure with new systems and loss of power and status within the organization.
A main reason why Pete's staff might be resistant to the changes he wants to implement could be due to a fear of failure under the new system. Another significant factor is the potential loss of power and influence within the organization. For example, if the company switched to a more team-based structure, some supervisors might resist losing their hiring and firing authority, now transferred to the team. They might feel their prestige, and status diminishes with such changes, despite the overall benefits to the organization.
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