Tag: business environment

Questions Related to business environment

Inflation is defined as __________.

business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

  1. persistent rise in general price level

  2. fall in general price level

  3. fall in the value of money

  4. purchasing power of consumer

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Correct Option: A

The MRTP act was introduced in _____________.

business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

  1. 1968

  2. 1969

  3. 1970

  4. 1971

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Correct Option: B

The Wildlife (Protection) Act was adopted in ____________.

business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

  1. 1972

  2. 1973

  3. 1934

  4. 1935

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Correct Option: A
Explanation:

The Wildlife (Protection) Act was adopted in 1972. Prohibition on Hunting of Specified wild animals, birds and plants, setting up and management of national parks and wildlife sanctuaries, control of Trade and Commerce in wildlife and wildlife products are some objectives of Wildlife Protection Act.

The use of advanced technology in industrial production causes ______.

business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

  1. fall in the unit cost of production and prices

  2. increase in the demand for goods

  3. increase in the demand for labour

  4. all the above

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Correct Option: D
Explanation:
Use of advanced technology helps to fasten the industrial productivity which in turn helps to uplift the economy. The use of advanced technology in industrial production causes:
a) fall in the unit cost of production and prices
b) increase in the demand for goods
c) increase in the demand for labour.

Which one is not an element of internal environment?

business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

  1. Marketing capability

  2. Operational capability

  3. Money and Capital market

  4. Personal capability

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Correct Option: C
Explanation:

Forces or conditions or surroundings within the boundary of the organization are the elements of the internal environment of the organization. The internal environment consists mainly of the organization’s owners, the board of directors, employees and culture.

Marketing capability, operational capability, and personal capability are part of internal environment. Money and capital market are part of external environment.

Relaxing the restrictions and control imposed on business and industry means ______.

business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

  1. liberalization

  2. privatisation

  3. globalisation

  4. none of these

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Correct Option: A
Explanation:
Liberalization refers to relaxation of government restrictions usually in areas of social and economic policies. It refers to the process of eliminating unnecessary controls and restrictions on the smooth functioning of business enterprises.

General forces that affect business environment do not include _________.

business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

  1. investor

  2. social conditions

  3. customers

  4. suppliers

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Correct Option: A
Explanation:

The general forces that affect the business environment are the internal and external factors that are the social conditions in which the business operates, the customers that the business targets and the suppliers that supply the resources for the business to function.

Internal factors of business environment include __________.

business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

  1. vision of the organization

  2. mission of the organization

  3. vision and mission of the organization

  4. vision and mission of the organization and other internal mechanism of the organization

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Correct Option: D
Explanation:

The internal environment consists of all the things that makes the business function within the organization. Some of the internal factors of business environment are vision and mission, employees, technology etc.

Increase in the number of working women and the rise in no family households are examples of _______.

business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

  1. the geographic shifts in population

  2. the changing family

  3. the changing age structure of the population

  4. a better-educated and more white-collar population

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Correct Option: B
Explanation:

The changing social environment has led to increase in the number of working women and the rise in number of family household of changes in family.

Internal strategy of a business invariably takes care of ______.

business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

  1. political environment

  2. media

  3. employees

  4. Both B and C

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Correct Option: D
Explanation:

Internal strategy of a business consists of all the internal factors necessary for the success of the business. It consists of factors such as media, employees, management etc. Hence, internal strategy of a business invariably takes care of media and employees. 

Political environment is an factor external to the environment.