cOuntry's Government held a meeting in order to speed up the business
ne top officials of a wasa need for granting severalexemptions to
the
growth. In the meeting it was decided that there
that with a view to setting up new Business
Business Units already established. Similarly, they felt the
youngmen needed to be encouraged. Also it was emphasised in the meeting that
Unitsthe simplified. Besides, priority was given to relaxing
entry of Multi-national companies needed to be
like this
impOsed on Import Business. The main reason for the Government to think
restrictions
was to speed up the economic growth.
Government's policy on business described in the
ldentify and explain the likely impact of the
paragraph given above.
(3]
Oswal is a Senior Manager in Ajay Winners Limited'. For some time since past he has been
2. Mr Ajay
business policy quite fast, sometimes
observing that the Government is making changes in its
and at other times in the tax rates, changes
its import-export policy, sometimes in the interest rates
making necessary changes in
are being done. In order to overcome these changes, he too is
are not taking place, success is
his business plans. Also, he is observing that wherever changes
sensitivity towards
slipping out of the hands of those businessmen. In view of such a situation his
all the more.
the changes going on in the business environment has increased
business
Onthe basis of the paragraph given above identify and explain the impact taking place on
and industry because of the changes being made in the policy of the Government. [3)
required for itS
No country is capable enough to produce all the goods and services itself
use. Almost all the countries have certain goods and services in surplus and in certain otherS,
deficiency. In this way all of them feel the necessity for exporting the goods and services in surplus
and those of deficiency, to import. Inorder to solve this problem several countries have simplitied
the procedure for Import-Export business. Consequently, balance is getting established in the
demand and supply of goods and services.
Identify the concept of Business Environment described in the paragraph above and explaln
[3)
its meaning.
4. In india there is a very ancient tradition of sending greetings to each other on the festvalsnea.
Diwali, Eid, Christmas, Gurparb etc. For example, as soon as the festival of Diwali approaches
industry
a heavy sale of Greeting Cards begins in the market. On these occasions, the printing over by
earns a big profit. But for the last few yearsthe place of Greeting Cards has beentaken
internet and mobile. This instruction has had a negative impact on the printing industry.
given
ldentify and explain the dimensions of business environment described in the paragraph
above.
Mr Raj Sinhais working as the General Manager of Rajeshwari Kitchen King Limited'. He remains
5. alive to the changes taking place in the business environment. He is of the view that if plans are
made in accordance with the proper study of the different factors of business environment, one
can be free from care for Some time. But he finds his approach proving to be wrong. He realizes
at there is always a change taking place in some or the other factors of business environment.
Not only this, but one can find even one factor undergoing a change repeatedly, such a situation
business
creates a hurdle in the growth of
Which particular feature of business environment has been highlighted in the paragraph given
above? Also give the meaning of it. [3]
e Mrs Sadhna Kidwaiis the Divisional Manager of the Export Division of Swad Tea Limited' For some
time since past a restriction has been imposed on Export of tea. It is evident that the company's
ExDort business depends on the Government's Policy. Recently there has been a change of
Coverpment in the centre. As sOon as the new Government took over, it removed the restriction
imposed on the Export of tea. With the Coming of this news the Division under Mrs Kidwai heaved
a sigh of relief.
(a) The change of Government is having its impact on the two dimensions of Business
Environment. ldentify them.
(b) ldentify one of the characteristic of 'Business Environment described. [3]
7 The data collected by the different Governmernt departments showed that the speed of the
economic growth of the country was slow. The Government was worried over such a situation. On
investigation it was revealed that the people were disillusioned with industry. In order to attract the
attention of the people towards industry, the Government finished the compulsion of obtaining
license for several types of industry. The restriction imposed on transporting goods from one
place to another were removed. The producers were given freedom to fix prices of goods and
services. Similarly, the Government simplified the policy of Import and Export also. Within a few
days the positive results of such an approach became evident.
Identify the concept of Business Environment described here and explain its meaning.
[1+2]
8. The Government has been watching for some time that the performance of industry in the
Public Sector is not coming up tothe level of standardisation. Several efforts have been put in.
But because of no improvement in it, the Government decided to increase the role of Private
Sector in some of the industries of Public Sector. This would bring about imprOvement in the
level of performance. The reason for the Government to make this decision was that the different
departments of an industrial unit in the Public Sector do not work with coordination with one
another. The situation in the Private Sector is entirely opposite to it.
(a) Which concept of Business Environment has been described in the above case?
Identify it.
(0) ldentify the concept of Management which shows the failure of Public Sector. [2+1]
9. For the last few years Companies in India are looking at Organised Retailing as agood opportunity.
In accordance with this view several companies have planned to enter this environment. The
GOvernment too is fully supporting this approach. The main reason for the attraction of companies
tO TnIs approach is the increase in the income of people. Besides, there has taken place a big
Gnange in the Buying Attitude of the people for the last few years. Now people want better quality
Droducts, even if they have to paymore moneyfor them. The Organised Retailing is Competent to
fulfillthis desire of the people.
uentity the different Dimensions of business environment described in the paragraph given
above by quoting the relevant lines. [3]
10. The court issued the order that for vehicles to be smokeless was most essential and that any one
violating this order shall have to pay aheavy fine. Abiding by this order wasS necessary for tha
health of people. Making this strict order of the court as the base, Gyan Motors Limited' resolved
to manufacture such vehicles by using modern technology as should not produce any smoke at
such industrial units
all. The government also announced to provide help in several ways to set up
above hv
Identify the three Dimensions of Business Environment described in the paragraph
quoting the relevant lines. [3]
got the information
11. The ManagingDirector of CHD Construction Limited, Delhi Mr Praveen Kaushik
With this
from a Business Magazine that the Government was worried about Rural Development.
aim in mind, the Government has announced to give several exemptions for setting up industrial
units in the rural area. Mr Kaushik presented this matter in the meeting of the Board of Directors
In the meeting this proposal was granted approval. The Chairperson of the Board of Director said
that through such a decision the company will get alot of profit and the ruralarea employment.
After a few days, Mr Kaushik read another news in the Business Magazine that the construction
companies had been earning a lot of profit tor the last many years. Now attracted by the profit
in this business several Multi-national Companies were going to enter the market. Mr Kaushik,
once again, presented this information before the meeting of the Board of Directors. In the
meeting it was decided that in order to face this situation they should concentrate on quality and
advertisement. By doingso, on the one hand, they would be able to compete with full force and
onthe otherhand, the society willget better services.
Which points of the importance of Business Environment have been talked about in the
paragraphs given above? ldentify them by quoting the relevant lines. [3]
12. Mr Raju Sahu, the Managing Director of Shivam Motors Limited' pays more attention to the
Department of Research and Development than other Departments of his company. This was
the reason that the company made such engines which consumed half of the quantity of diesel
consumed by ordinary engines. The company launched its product with the new engine, a three
wheeler, in the market. The people bought it briskly. The company earned a huge profit from the
sale of this product. The new engine had its control not only on the consumption of less diesel but
on the emission of smoke also.
(1) ldentify and explain the Dimension of Business Environment described in the paragraph
given above.
(Gi) State the importance of Business Environment for business by quoting the relevant
lines. (3]
13. Beni, after completing her MBA, took up a job with a multinational company named Fortio'.
The company was paying good salary and perks to its employees. The wages were within the
paying capacity of the companythat provided the employees areasonable standard of living. The
Company also had agood work-culture and the behaviour of superiors was very good towards
their subordinates. Beniwas very happy in this organisation, but due to long working hours she did
not have time to cook her meal. She had to depend upon outside food, which was
her health.
deteriorating
She observed that this problem was faced by many of her colleagues, not only in
her company
but also in many other companies. This was because of increase in the number of working
women
and non-availability of hygienic home-cooked food. She identified this as a great opportunity and
decided to give up her job to supply packaged home-cooked food to office goers at a reasonable
price At the endof the day she wasalso distributing the left-over food in the nearby niaht-shelters.
(a) State the dimension of business environment being discussed above.
(b) State the principle of management being followed by 'Fortio'. [2+2)
11. Mr vikram Singh Churuwala is workingas the General Manager-GM of Jaipur Hotels Lirnited' (UHL).
Keeping a watch over the Business Environment is included in his routine. For the last few days
MrChuruvwala has been observing that the Government is taking a special interost in the Tourism
Industry. The receipt of Foreign Exchange and Employment Promotion are its two reasons. On
the basis of this news he decided to set up hotels at several tourist places. The JHL established
50 hotels before othercompanies considered this issue. Very soon, this Brand-JHL became well
known in the market. Behind the fame of this company another reason was that this cormpany
was giving its employees not only the responsibility but also the authorities of completion of
work.Consequently, the employees felt good. The environment being to their liking now they had
started meeting their immediate managers with the latest ideas. Their suggestions were being
taken respectfully by the company.
(a) ldentify the importance of Business Environment described here by quoting the relevant
lines.
(b) ldentify two more concepts of management being used in the company. [2+2]
15. Mahinder Agro Ltd. started a newventure for distribution of harmful and chemical free fertilizers
vegetables. They conducted a surveyto find out consumer preferences for such vegetables.
They found that most of the consumers were concerned about the harmful chemicals being
used in growing the vegetables. They found that 90% of the households were searching for its
alternatives. The company contacted a group of agriculture experts to lay down the procedure for
growing the vegetables by the farmers. They decided to train the farmers in new technology to
growchemical free vegetables accordingto new innovative methods. The experts also suggested
soil management techniques through which farmers would be able to create an abundant and
lasting harvest.
ldentify and explain the two dimensions of business environment highlighted in the above
para. [CBSE 2019] [4]
16. In an environment of rising petroleum prices and a large middle class population in India, KV
Motors Ltd. recognized the need for small cars in India. It created a product far superior than their
competitors not only in terms of quality but also in terms of Overall driving experience. It soon
became the leader in the small car market. As the Indian government was encouraging foreign
investment, MNCs having a bigname incar manufacturing entered the Indian market.
KV Motors further expanded its service network and quality creating an entry barrier for the
competitors. It depicted its strengths through various brand building activities. As a result, the
market share of KV Motors is refusing to go down in spite of all major auto makers as its competitors.
(a) ldentify the economic reforms highlighted in the above case.
(b) Quoting the lines, explain any two points of importance of Business Environment being
highlighted in the above case. [CBSE 2019] [4]
17. Arecent rate cut in the interest on loans announced by the BankS encouraged Amit, a science
student of Progressive School to take a loan from State Bank of India to experiment anddevelop
cars to be powered by fuel produced from garbage. He developed sucha car and exhibited it in
the Science Fair organised by Directorate of Education. He was awarded first prize for his invention.
Identify and explain the dimensions of business environment discussed in the above case.
[CBSE 2016] [4]
T8. With change in the consumption habits of people, Neelesh, who was running a sweets shop
shifted to chocolate business. On the eve of Diwali he offered chocolates in attractive packages at
reasonable prices. He anticipated huge demand and created a website chcolove.com for taking
orders online. He got lot of orders online and earned huge profit by selling chocolates.
ldentify and explain the dimensions of business environment discussed in the above case.
[CBSE 2016] [41
Act, 2013
19. It is heartening that the implementation of compliance requirements of the Cornpanies
increase in
has progressed substantially with NIFTY 500 companies. Data shows a significant
ago to 13%%
Women's participation in the top management of Indian Companies from 5% few years women's
undertaken drives to increase
now. Even companies which are not in NIFTY 500 have
also announced that it WOuld
participation across different areas of work. The government had
Support such companies.
discussed above which brought
ldentify andexplain the dimensions of business environment
[CBSE 2018] [4]
about the change.
amendment toSection 6 of the Payment
20. The Government of India has recently Come up with an
make payment thrOugh various
of Wages Act 1936, to allow employers of certain industries to the public sector
electronics modes of payments. The amendment will be applicable to all
milestone in the
undertakings for wages disbursement using e-payment options. This is another
direction to further push to cashless economy.
ldentify and explain any two dimensions of business environment which relate to the above
mentioned case. [CBSE Sample Paper 2019] [4]
21. The court passed an order to ban polythene bags as:
() these bags were creating many environmental problems which affected the life of people in
general.
(0) society in general is more concerned about quality of life.
The government decided to give subsidy to jute industry to promote this business.
Innovative techniques are being developed to manufacture jute bags at low rates.
Incomes are rising and people can afford to buy these bags.
ldentify the different dimensions of Business Environment by quoting the lines from the above
particulars. [4]
22. The court passed an order that all schools must have water purifier for the school children as:
() Society in general is more concerned aboutquality of life;
(0) Innovative techniques are being developed to manufacture water purifier at competitive
rates;
(ii) Incomes are rising and children at home are also drinking purified water. The Government is
also showing positive attitude towards the water purifier business.
ldentify the different dimensions of business environment by quoting from the above details.
[4]
23. Mr Ajay after completing his MBA from USA comes to India to start a new business under the
banner Ecom Creations Ltd. He launches anew product in e-learning for Senior Secondary School
students in Commerce stream, which already has an established market in UK and USA but not in
India. His business starts flourishing in India. Now more Indian companies entered into the markel
with other subjects also.
ldentify and quote the lines from above parawhich highlight the significance of understanding
business environment. [CBSE Sample Paper 2015] |4
24. Naman and Govind, after finishing their araduation under vOcational stream.
decided to Stal
their own travel agency which will book Rail Tickets and Air Tickets on
commission
also thought of providing tickets within ten minutes through the use of internet.
basIS.
They discussed
doa with their Protessor, Mr Mehta, who liked the idea
and suagested them to first analyse
.bo business environnment wnicn consists oT investors,
competitors and other forces like social,
alitical. etc. that may affect thneir busIness directly or indirectly. He further told them about the
boological improvements and shirts in consumer preferences that were taking place and
thev should be aware of the
environmental trends and changes which may hinder their
business performance. He empnasised on making plans keeping in
netitors. so that they can deal with the situation mind the threat posed by
oorations with the business environment will result in better effectively. This alignment of business
performance
() ldentify andstate thecomponent of
business environment highlighted in the above Para.
(i) State any two features of business
Naman and Govind.
environment as discussed by Professor Mehta with
(ii) Aso state two points of importance of
business environment as stated by Professor
Mehta in the above situation.
[CBSE Sample Paper 2017] [5]
O5 Metlapp Networks and Technologies Ltd. is a leader in
technology innovation in the United States,
creatingproducts and solutions tor connecting the world. It has a large
team which invented the first smart watch, named as W-7. The research and development
watch besides showing the time,
alsomonitors few health parameters like heart beat, blood pressure, etc.
While in search of markets abroad, the company found that in
India, the reform process was
underway with the aim of accelerating the pace of economic growth. The company
to take advantage of simplified export decided
procedure and renmoval of quantitative as well as tariff
restrictions in India.
It set up its office in Jamnagar with a view to capture the
Indian market. In a short span of time, the
Company emerged as amarket leader. Success of the company attracted many
enter the market.
other players to
Competition resulted in reduction in prices, thereby benefiting the customers.
(a) In the above paragraph, two major concepts related to
government policy have been
discussed. ldentify and explain these concepts.
(b) Also, explain briefly any three impacts of these
concepts on Indian business and
industry. [CBSE 2017] [5]
26. ldentify the Dimension of Business Environment
relating to the statements given beloW:
() The increasing interest of the urban people in health and
fitness.
(ii) With the increase in the income of the people the
increase in their demand of certain
commodities.
(iii) Discrimination in the remunerations of men and women
doing the similar type of work.
(IV) Opposition of certain political parties to the Foreign Direct
lnvestment in Crganised
Retailing.
(V) The Adverse impact on the Cotton Cloth Industry with the
of synthetic thread in the market.
coming up of the clothes made
(VI) Ban imposed by the Government on the sale of a product in
vogue on account of the
failure of its samples. [6]
alas craftt heritage is surviving because if its customs and traditions. Crafts products made
Oy Craftsmen of Raiasthan, Gujarat and Assam etc are not only used in the
country but are also
exported to USA, Germany, UK and France andother countries of the world. The volume of
exports
OT these products gives India an advantage in balance of
payments and the much neededforeign
exchange. The Prime Minister desires that the handicraft industry should be expanded
it with technology. Focus should be on changing the manufacturing process, ensuring
by linking
and adapting innovations. durability
Quoting the lines from the above para, explain four dimensions of the business environment
[CBSE 2019] [6]
28. 'Konark Ltd' is an electric goods manufacturing enterprises situated in Shivpuri, Madhya Pradesh
It is earning a very low revenue in comparison to acompeting electronic goods manufacturing
enterprise, 'Nova Ltd. situated in Mumbai. Both Konark's and Nova's operations are affected directly
by the investors, customers, competitors and suppliers, which are unique to their
respective
locations. In addition tothis, individual forms of this field are affected indirectly by the factors like
the money supply in the economy, composition of the families, the technological changes, etc.
(a) ldentify and state the feature of the concept discussed in the
above paragraph.
(b) Also, state any four points of
importance of this concept. [CBSE 2018]