CBSE Class 12 Business Studies Business Environment MCQs Set C

Question: What are the economics reforms since 1991 or new Economics policy
(a) Liberalization
(b) Privatization
(c) Globalization
(d) All the options 

Answer : D

Question: __________The new set of economic reforms that aim at giving greater role to the private sector in the nation building process and a reduced role to the public sector.
(a) Privatisation 
(b) Globalisation
(c) Liberalisation
(d) None of the options

Answer : A

Question: Which of the following does not explain the impact of Government policy changes on business and industry?
(a) Increasing competition
(b) More demanding customers
(c) Market orientation
(d) Change in agricultural prices 

Answer : D

Question: ________reduces the control of government and encourages private participation
(a) Privatization
(b) Liberalization 
(c) Globalization
(d) All the options

Answer : B

Question: Liberalisation means
(a) Policy of planned disinvestments
(b) Integration among economies
(c) Reduced government controls and restrictions 
(d) None of the options

Answer : C

Question: Which is not included in Specific Environment
(a) Investors
(b) Competitors
(c) Customers
(d) Social 

Answer : D

Question: The positive effects of liberalization and globalization on business and industry
(a) Export became matter of survival
(b) World class technology
(c) All round competition
(d) All the options 

Answer : D

Question: Technological improvements and innovations result in__
(a) Render existing products obsolete 
(b) Increase in tax
(c) Reduction in profit margins
(d) None of the options

Answer : A

Question: The negative effects of liberalization and globalization on business and industry in India are
(a) Threat from MNCs
(b) Destabilization of protected environment
(c) Acquisitions and mergers
(d) All the options 

Answer : D

Question: What are the Components of Business Environment
(a) External Environment
(b) Micro Environment
(c) Internal Environment
(d) All the options 

Answer : D

Question: Technological environment includes changes relating to
(a) Scientific improvement
(b) Use of new equipment
(c) All the options 
(d) Method of production

Answer : C

Question: What is the importance of business
(a) First mover advantage
(b) Taping useful resources
(c) Improving in performance.
(d) All the options 

Answer : D

Question: The complete awareness and understanding of business environment is called _________
(a) Privatisation
(b) Technological advancement
(c) Environmental Scanning 
(d) Liberalisation

Answer : C

Question: For the protection of a consumers right, there is
(a) Consumer Protection Act, 1932
(b) Consumer protection Act 1984
(c) Consumer Protection Act, 1956
(d) Consumer Protection Act, 1986 

Answer : D

Question: Advertisements of cigarettes carry the statutory warning. This is because of
(a) None of the options
(b) Legal Environment 
(c) Political Environment
(d) Social Environment

Answer : B

Question: Increased competition in the market will _______
(a) Reduce the profit margin 
(b) Increase the cost of production
(c) Increase the tax
(d) Increase the profit

Answer : A

Question: What will be the affect of increase in tax by the government
(a) Creates fear in the minds of investors
(b) Increase in profit margin
(c) Increase in cost of production 
(d) None of the options

Answer : C

Question: What creates fear in the minds of investors to invest in long term projects?
(a) All the options
(b) Privatisation
(c) Globalisation
(d) Political Uncertainty 

Answer : D

Question: The Impact of changes in govt. policy on business are
(a) Rapidly changing technology environment
(b) Increasing competition
(c) More demanding
(d) All the options 

Answer : D

Question: Reduction in the role of public sector is due to _________
(a) Globalisation
(b) Privatisation 
(c) Political Environment
(d) Liberalisation

Answer : B

Question: Giving freedom to Indian business and industries from all unnecessary government controls and restrictions is an example of ____________
(a) All the options
(b) Liberalisation 
(c) Privatisation
(d) Globalisation

Answer : B

Question: Since more number of people have become more beauty and health conscious, our economy has witnessed an unprecedented surge in the number of health and beauty spas and wellness clinics. Related feature of business environment being described in the above lines is
(a) Totality of external forces
(b) Relativity
(c) Interrelatedness 
(d) Dynamic nature

Answer : C

Question: The Uttarakhand government has developed surveillance network using latest satellite technology. Under this system, the state's mining department would be in a position to check illegal mining activities across the state. The state government is also considering the use of drones in its proposed campaign against illegal mining. Identify the related dimensions of business environment.
(a) Technological dimension and Political dimension 
(b) Social dimension and Economic dimension
(c) Political dimension and Economic dimension
(d) Economic dimension and Legal dimension

Answer : A

Question: In today's world, the flow of goods and services is not only cheap and fast, but reliable and secure. You can order anything you wish from any part of the world. Internet has been connecting people without any limitations or boundaries in the way of doing business. Identify the concept being described in the above lines.
(a) Liberalisation
(b) Privatisation
(c) Globalisation 
(d) Demonetisation

Answer : C

Question: On 8th November 2016, with the announcement from Government of India, all the ?500 and ?1,000 banknotes of the Mahatma Gandhi series have ceased to be a legal tender. The givemment also announced the issuance of new ?500 and ?2,000 banknotes in exchange for the demonetised banknotes. Identify the concept being described in the above lines.
(a) Liberalisation
(b) Demonetisation 
(c) Privatisation
(d) Globalisation

Answer : B

Question: Which of the following is the component of the Economic Environment ?
(a) Agricultural and Industrial production trends
(b) Balance of payments and changes in foreign exchange reserves
(c) Volume of imports and exports of different itesm 
(d) All of the options

Answer : C

Question: The Government of India launched 'Make in India' initiative in September, 2014 to increase foreign direct investment (FDI) in 25 sectors. As of April, 2015, FDI inflow in Identify the concept being described in the above lines, with regard to inflow of FDI. India increased by 48% since the launch of 'Make in India' initiative.
(a) Demonetisation
(b) Globalisation
(c) Liberalisation 
(d) Privatisation

Answer : C

Question: Who was Diwakar Kamboj?
(a) Street Vendor
(b) Beggar
(c) Tailor
(d) Rickshaw Pullar 

Answer : D

Question: What was given by the Government of India on lease in 1991 to State Bank Of India
(a) Gold 
(b) Govt. Bonds
(c) Govt. Securities
(d) Govt. Institutions

Answer : A

Question: Globalization does not involve:
(a) Free flow of capital
(b) Free flow of goods and services
(c) Reduction of barrier 
(d) Global mechanism for settlement of economic disputes

Answer : C

Question: Which of the following is the Major Element of Social Environment?
(a) Public debt (internal and external)
(b) Educational system and literacy rates 
(c) Planned outlay in private and public sectors
(d) All of the options

Answer : B

Question: Which of the following is not a feature of demonetisation?
(a) Tax administration measure
(b) Development of less cash economy
(c) Channelising savings into the formal financial system
(d) Totality of external forces 

Answer : D

Question: Which nature of the business environment suggests that the environment keeps on changing?
(a) Dynamic 
(b) Continuous
(c) Multidimensional
(d) Pervasive

Answer : A

Question: Which one of the following is a part of economic environment?
(a) Level of education
(b) Lifestyle of people
(c) Technological changes
(d) Public debt 

Answer : D

Question: ___ feature of business environment states that various factors of business environment affect each other.
(a) Continuous
(b) Dynamic
(c) Interrelatedness 
(d) Pervasive

Answer : C