[Business Studies MCQs, Business Environment, AHSEC, CBSE, Class 12, Objective Questions and Answers]
Business Studies Class 12 MCQs
Chapter 3: Business Environment
Multiple Choice Questions and Answers
VERY SHORT QUESTIONS (1 Mark)
1. What is business
environment? 2010
Ans: It refers to
the sum total of all individuals, institution & other forces that are
outside the control of business enterprise but that may affect its performance.
2. Give one importance of business
environment.
Ans. It enables the firm to identify opportunities & getting
the first movers advantages.
3. Why it is said that
“Business Environment is a Relative Concept”.
Ans: Business environment is a relative concept since it differs from country to country and
even region to region.
4. Which sector of the Indian economy
was given greater importance after independence?
Ans: Public Sector
5. Mention two element of political
environment?
Ans: (a)
Political ideology & practices of the ruling party. (b). Nature of
relationship of our country with foreign countries.
6. What is the main objective of FEMA?
Ans: To facilitate external trade and payments
7. Mention any two elements of social
environment?
Ans: (a) Birth
& death rates. (b) Concern with quality of life.
8. Give two changes introduced in
industrial policy of July 1991?
Ans: (a.)
Abolition of industrial licensing. (b) Dereservation of industries for public
sector.
9. Give two changes introduced in
industrial policy of July 1991?
Ans. (a.) Abolition of industrial licensing. (b.) De-reservation
of industries for public sector.
10. Give one impact of govt. policy
changes on business industries?
Ans. Increasing competition from multinational.
11. It is the process by which govt.
control over the industry is being loosened. Give the term to which the
statement is trying to indicate.
Ans. Liberalization.
12. What is privatization?
Ans:
Privatization may be defined as the transfer of ownership & control from
the public sector to Private sector.
13. What is Globalisation?
Ans:
Globalisation means integrating our economy with world economy.
14. Name two elements of technological
environment?
Ans: 1.Recent
technological developments. 2. Advances in computers & electronics.
15. Which environment prohibits the
advertisement of alcoholic
beverages? 2014
Ans: legal
Environment
16. Which economic policy of the
Indian Government initiated globalisation? 2011,
2012, 2019, 2020
Ans: Industrial
Policy 1991. This policy opened up the Indian economy.
17. What is Social Environment? Give
an example of social environment.
And: Social environment describes characteristics of the society
in which the organization exists. For example, reservation in jobs for
minorities, Characteristics of the society.
18. Name the Act that protects the
interest of consumers in India.
Ans: Consumer Protection Act, 1986
19. In which year the World Trade
Organisation came into being?
Ans: 1-1-1995
20. The Information Technology Act.
2002 comes under what type of environment?
Ans: Legal Environment
21. Give two examples of marketing
intermediaries.
Ans: Wholesalers and Retailers
22. What is the name of the economy
where both public and private sectors co-exist?
Ans: Mixed Economy
23. Which act aims at controlling
production, supply and distribution of essential commodities?
Ans: Essential Commodities Act, 1955.
24. Under which environmental factor
does fiscal policy fall?
Ans: Economic Environment
25. What does legal environment
prescribe?
Ans: It prescribes rules or laws that all members of business
community must follow.
26. Name two component of economic
environment?
Ans: 1.Volume of imports
& exports of different items. 2. Rates of saving & investment.
27. Which element / dimension of
business environment involve improvement and innovations which provide new ways
of producing goods and services and new methods and techniques of operating a business?
Ans.: Technological Environment
28. Banking sector reforms have led to
easier credit terms and better services. This is an example of a key component
of the “Business Environment “name this component?
Ans: Economic Environment
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ALSO READ (AHSEC ASSAM BOARD CLASS 12)
1. AHSEC CLASS 12 BUSINESS STUDIES CHAPTERWISE NOTES
2. AHSEC CLASS 12 BUSINESS STUDIES QUESTION PAPERS (FROM 2012 TILL DATE)
3. AHSEC CLASS 12 BUSINESS STUDIES SOLVED QUESTION PAPERS (FROM 2012 TILL DATE)
4. AHSEC CLASS 12 BUSINESS STUDIES IMPORTANT QUESTIONS
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29. ‘Demand for reservation in jobs
for minorities refers to an example of key component of general environment of
business. Name this component.
Ans: Social Environment
30.
What
is meant by environment scanning?
Ans: Environment scanning is a process by which organizations monitor
their relevant environment so that they can consider the impact of different
events, trends, issues, expectation on its strategic management process.