Tag: meaning and factors of business environment

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Questions Related to meaning and factors of business environment

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

Which of the following technique can be used in environment scanning?

  1. SWOT Analysis

  2. PEST/PESTEL Analysis

  3. Industry Analysis

  4. All of above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation
Environment Scanning is careful monitoring of an organization's internal and external environments for detecting early signs of opportunities and threats that may influence its current and future plans.Following technique can be used in environment scanning:
A) SWOT Analysis
B) PEST/PESTEL Analysis
C) Industry Analysis.
Multiple choice business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

Porter's Forces Analysis assumes that there are important forces that determine competitive power in a business situation. These are:
I. Supplier power, Threat of new entry
II. Supplier power, Buyer power, Competitive rivalry
III. Supplier power, Competitive rivalry, Threat of new entry
IV. Supplier power, Buyer power, Competitive rivalry, Threat of substitution, Threat of new entry
Select the correct answer from the options given below-

  1. IV

  2. III

  3. II

  4. I
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation
The Porter's five forces tool is a simple but powerful tool to evaluate the power of business.Porter's Forces Analysis assumes that there are important forces that determine competitive power in a business situation. These are: a) Supplier power,
b) Buyer power,
c) Competitive rivalry,
d) Threat of substitution,
e)  Threat of new entryAs per Porter's Forces Analysis, supplier power assesses how easily suppliers may drive up prices.As per Porter's Forces Analysis, buyer power evaluates how easy it is for buyers to drive prices down.
Multiple choice business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

As per Porter's Forces Analysis,_______ assesses how easily suppliers may drive up prices.

  1. buyer power

  2. supplier power

  3. threat of new entry

  4. threat of substitution
Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation
As per Porter's Forces Analysis, supplier power assesses how easily suppliers may drive up prices.The Porter's five forces tool is a simple but powerful tool to evaluate the power of business.Porter's Forces Analysis assumes that there are important forces that determine competitive power in a business situation. These are: a) Supplier power,
b) Buyer power,
c) Competitive rivalry,
d) Threat of substitution,
e)  Threat of new entry
Multiple choice business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

Which of the following are specific forces of business environment?  
(I)    Investors 
(II)   Social conditions  
(III)  Competitors 
(IV)  Technology 
(V)   Suppliers
(VI)  Political conditions 
   Select the correct answer from the options given below - 

  1. (I), (II), (III) & (V) only

  2. (II), (IV) & (VI) only

  3. (I), (III) & (V) only

  4. (II), (III) & (VI) only
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Specific forces of the business environment refers to those forces which does not affect every department of the business organization. For example: investors, social conditions, competitors and suppliers are the specific forces.

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

___________ affects the competitiveness of a firm.

  1. Technology

  2. Management

  3. Sub-standard goods

  4. Advertisements
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Technology affects the competitiveness of a firm. It affects greatly since improved technology helps to yield greater profit and reduce the cost.

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

As per Porter's Forces Analysis, _________ evaluates how easy it is for buyers to drive prices down.

  1. buyer power

  2. supplier power

  3. threat of new entry

  4. threat of substitution
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation
The Porter's five forces tool is a simple but powerful tool to evaluate the power of business.Porter's Forces Analysis assumes that there are important forces that determine competitive power in a business situation. These are: a) Supplier power,
b) Buyer power,
c) Competitive rivalry,
d) Threat of substitution,
e)  Threat of new entryAs per Porter's Forces Analysis, supplier power assesses how easily suppliers may drive up prices.As per Porter's Forces Analysis, buyer power evaluates how easy it is for buyers to drive prices down.
Multiple choice business organisation and correspondence meaning and factors of business environment dimensions of business environment business environment and its dimensions business environment

Financial factors consist of ___________.

  1. financial policies

  2. financial positions

  3. capital structure

  4. all of the above
Reveal answer Fill a bubble to check yourself
D Correct answer
Explanation

Financial factors consist of financial policies, financial positions and capital structure. It is an important internal factor which has a substantial impact on business functioning and performance. Financial facilities are required to start and operate the organization.

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

Management Structure and Nature is a part of _______.

  1. external environment

  2. internal environment

  3. both (a) & (b)

  4. none of the above
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

Management Structure and Nature is a part of external environment. This structure of the organization influences the business decisions. These needs to be appropriately managed for smooth functioning and operations.

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

Demand for packaged food is a ________.

  1. political factor

  2. technological factor

  3. social factor

  4. economic factor
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

Demand for packaged food is a social factor. It is one of the most important factors among other macro environmental factors. It leaves an impact directly or indirectly on the business environment.

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

PESTLE analysis is a useful tool for understanding the 'big picture' of the ________ in which an entrepreneur is planning to operate.

  1. environment

  2. strategy

  3. position

  4. marketing proposition.
Reveal answer Fill a bubble to check yourself
A Correct answer
Explanation

PESTLE analysis is a useful tool for understanding the big picture of the environment in which an entrepreneur is planning to operate.PESTLE stands for Political, Economic, Sociological, Technological, Legal, and Environmental.