Business Environment quiz

Which of the following is a specific force of the business environment?

The New Economic Policy was announced in India in:

Reducing the role of the public sector and increasing that of the private sector is called:

Demonetisation in India was announced on:

GST came into effect in India on:

The feature of business environment which means that it keeps changing is:

Rising awareness about women's health leading to demand for sanitary products is an example of:

Early warning signals help a business to:

Integration of the Indian economy with the world economy is called:

A ban on advertising of alcoholic beverages on television is an example of:

Explain first mover advantage with an example. (2 marks)

State any two elements of the economic environment. (2 marks)

Explain how business environment helps in tapping useful resources. (2 marks)

What is disinvestment? Why is it undertaken? (2 marks)

Explain the interrelatedness feature of business environment with an example. (2 marks)

State two objectives of demonetisation. (2 marks)

How has the technological environment changed the way banks operate? (2 marks)

Why is political stability important for business? (2 marks)

What is meant by market orientation as an impact of policy changes? (2 marks)

State two ways in which businesses responded to increasing competition after 1991. (2 marks)

A manufacturer sells machinery worth Rs 2,00,000 to a buyer in another state at a GST rate of 12%. Calculate the IGST. If the sale were within the state, calculate CGST and SGST. (3 marks)

The share of the public sector in a country's industrial output fell from 45% in 1990 to 25% in 2020, while total industrial output rose from Rs 10 lakh crore to Rs 60 lakh crore. Calculate the public sector output in both years and comment on the impact of privatisation. (3 marks)

A firm's export sales rose from Rs 80 crore to Rs 200 crore after import duties were reduced and foreign markets opened. Calculate the percentage increase and identify the policy measure. (3 marks)

Digital payments made by a retail chain rose from 20% of transactions before demonetisation to 65% a year later, with 10,000 transactions a month. Calculate the increase in the number of digital transactions per month and state one benefit to the business. (3 marks)

An electric vehicle maker's sales grew from 5,000 units to 12,000 units after the government reduced GST on EVs from 12% to 5%. Calculate the percentage growth in sales and the tax saved on a vehicle priced at Rs 1,00,000 before tax. Identify the dimension of business environment. (3 marks)

Read the passage and answer the questions. A leading tea company noticed that young urban consumers were moving to green tea and herbal blends. It quickly launched new variants, while a competitor continued with its traditional product and lost market share. (i) Identify the dimension of business environment. (ii) Identify the importance of business environment shown by the first company. (iii) Suggest one step the competitor should take. (5 marks)

Read the passage and answer the questions. After 1991, the government abolished industrial licensing for most industries, reduced import duties and allowed foreign companies to hold majority stakes in many sectors. As a result, Indian firms faced severe competition from global brands. (i) Identify the policies referred to. (ii) State two impacts on Indian business. (iii) Explain how Indian firms could survive the competition. (5 marks)

Read the passage and answer the questions. On 8 November 2016, the government withdrew the legal tender status of Rs 500 and Rs 1,000 notes. The aim was to curb black money and fake currency and to move towards a less-cash economy. (i) Name this move. (ii) State two features of it. (iii) State two impacts on business. (5 marks)

Read the passage and answer the questions. A textile company could not predict changes in fashion, government policies and raw material prices, and several of its new designs failed. Its managers realised that the environment is affected by many interlinked factors. (i) Identify two features of business environment in the passage. (ii) Explain each feature. (iii) How can the company reduce the effect of these features? (5 marks)

Read the passage and answer the questions. A public sector airline that depended on government funds was told to generate its own resources. It was later sold to a private group, which modernised its fleet and services. (i) Identify the policy measure. (ii) Which impact of policy change is shown by the instruction to generate its own funds? (iii) State two benefits of this measure. (5 marks)

Explain the importance of business environment with five points. Draw a chart linking each point to an example. (6 marks)

Explain the five dimensions of business environment with examples. Draw a labelled diagram placing the business at the centre and the dimensions around it. (6 marks)

Explain the features of business environment. Draw a chart summarising them. (6 marks)

Explain the New Economic Policy of 1991 with reference to liberalisation, privatisation and globalisation. Draw a flowchart showing the measures and their impact on business. (6 marks)

Explain the impact of government policy changes on business and industry under six heads. Draw a chart showing each impact with one managerial response. (6 marks)