240+ Business Environment Solved MCQs

1.

A company is affected by two broad set of factors are _________________

A. Local and regional
B. Regional and national
C. Internal and external
D. Financial and non-financial
Answer» C. Internal and external
2.

________ is a statement which derives the role that an organization plays in a society

A. Goals
B. Mission
C. Objective
D. Success
Answer» B. Mission
3.

Economic environment refers to all forces which have a _______impact on business

A. Political
B. Natural
C. Economic
D. Social
Answer» C. Economic
4.

The ________ of the government covers all those principles ,policies,rules and procedures and control the industrial enterprise of the economy.

A. Industrial
B. Fiscal
C. Monetary
D. Macro
Answer» A. Industrial
5.

________ environment is beyond the control of the business

A. Internal
B. External
C. Micro
D. Macro
Answer» B. External
6.

Micro environment is also called as_______

A. General environment
B. Operating environment
C. Economic environment
D. Political environment
Answer» B. Operating environment
7.

________________ environment can be defined as that part of the environment that is concerned with the entire social system.

A. General environment
B. Operating environment
C. Social environment
D. Political environment
Answer» C. Social environment
8.

____________ economy is not owned or managed by the government but owned by private individuals.

A. Social
B. Capitalist
C. Mixed
D. Macro
Answer» B. Capitalist
9.

__________ environment sets the basis for developmental activity of the business system.

A. Financial environment
B. Technology environment
C. Global environment
D. Macro environment
Answer» A. Financial environment
10.

_____________ audit implies a report on the social performance of business unit.

A. Global
B. Local
C. Natural
D. Social
Answer» D. Social
11.

External factors affecting a business environment also be referred to ____factors

A. Controllable
B. Uncontrollable factors
C. Relevant
D. Global
Answer» B. Uncontrollable factors
12.

Study of human population is called as _______ environment

A. Political
B. Social
C. Demographic
D. Economic
Answer» C. Demographic
13.

Which is not the part of compositional characteristics of population?

A. Size and growth
B. Power
C. Density
D. Literacy rate
Answer» B. Power
14.

Which is the one not included in national culture

A. Language
B. Internet
C. Belief
D. Attitude
Answer» B. Internet
15.

Culture spreads from one place to another and such transmission is called as____

A. Difference
B. Reputation
C. Adoption
D. Heritage
Answer» A. Difference
16.

Which of the following migration of population does not change the size of the population?

A. External migration
B. Internal migration
C. International migration
D. National migration.
Answer» B. Internal migration
17.

What is the main occupation of kshatriyas

A. Engaged in cleaning
B. Engaged in trade
C. Engaged in army work
D. None of the above
Answer» C. Engaged in army work
18.

A systematic application of scientific knowledge to practical task is known as_

A. Technology
B. Culture
C. Demographic
D. Legal
Answer» A. Technology
19.

Characteristic of population: calculation of sex ratio (Gender) means

A. Number of females per thousand male
B. Number of males per hundred female
Answer» A. Number of females per thousand male
20.

As per Malthu’s theory growth of population is increase

A. Geometrically
B. Arithmetically
C. Progressively.
D. Drastically
Answer» A. Geometrically
21.

Corporate values are the _______ of the corporate sector

A. Shared values
B. Moral beliefs
C. Customer satisfaction
D. Goodwill
Answer» B. Moral beliefs
22.

The economic system in which business units or factors of production are privately owned and governed is called as _____

A. Capitalism
B. Socialism
C. Democratic
D. Republic
Answer» A. Capitalism
23.

Under ____ economic system, all the economic activities of the country are controlled and regulated by the government in the interest of the Public

A. Capitalism
B. Socialism
C. Democratic
D. Republic
Answer» B. Socialism
24.

The economic system in which both public and private sectors co-exist is known as ____ economy

A. Capitalism
B. Socialism
C. Democratic
D. Mixed
Answer» D. Mixed
25.

Policy regarding population is termed/called as

A. Indian Population policy
B. National population policy
C. Demographic population policy.
D. Population policy.
Answer» B. National population policy
26.

Fiscal policy refers to the policy of government regarding taxation, public expenditure and___

A. Public debt
B. Budgets
C. Policies
D. Deposits
Answer» B. Budgets
27.

--------- is the process of analyzing the environment for the identification of the factors which have implication for the business.

A. Scanning
B. Assessment
C. Evaluation
D. Information
Answer» A. Scanning
28.

Fiscal policy is called as ________policy

A. Monetary
B. Budgetary
C. Industrial
D. Economic
Answer» B. Budgetary
29.

One concept of culture determines the ____________ of people

A. Experience
B. Ethos
C. Education
D. Wealth
Answer» B. Ethos
30.

Self fulfillment and immediate gratification are ____________ cultural values

A. Decreases
B. Rises
C. Diminishes
D. Corporate
Answer» B. Rises
31.

Which condition population remain stable
I. High birthrate and high death rate
II. Low birthrate and high death rate
III. High birthrate and low death rate
IV. Low birthrate and low death rate

A. I & III
B. I & IV
C. II & III
D. All of the above
Answer» B. I & IV
32.

--------- is a very important factor that provides competitive advantage

A. Innovation
B. Modulation
C. Dimension
D. Variation
Answer» A. Innovation
33.

Which can be a method of privatization

A. Denationalization
B. Purchasing shares
C. Takeover
D. Merger
Answer» A. Denationalization
34.

In india liberalization and privatization began from__

A. 1991
B. 1971
C. 1981
D. 1947
Answer» A. 1991
35.

Industrial policy of 1948 aimed at ____

A. Industrialization
B. Growth of agriculture
C. Development of infrastructure
D. Development of service sector
Answer» A. Industrialization
36.

The aim of the private sector is to maximize __________

A. Loss
B. Profit
C. Import
D. Export
Answer» B. Profit
37.

Business are raising/generate fund through

A. Capital market
B. Money market
C. Both
D. None of the above
Answer» C. Both
38.

__________ means the proportion of a nation population living in urban areas.

A. Privatization
B. Globalization
C. Urbanization
D. Liberalization
Answer» C. Urbanization
39.

________ change is a potent fame the reconfiguration of industrial boundaries

A. Technological
B. Economical
C. Organizational
D. Environmental
Answer» A. Technological
40.

What was the period of the 12th five-year plan of India?

A. 2007 to 2012
B. 2012 to 2017
C. 2017 to 2022
D. 2010 to 2015
Answer» B. 2012 to 2017
41.

Corporate contribution to political parties are now been ____________ in our country

A. Legalized
B. Customized
C. Introduced
D. Authorized
Answer» B. Customized
42.

Currently ________ is implemented by government in place of Five year plan.

A. Make in India
B. NITI aayog
C. Skill India
D. PM aayog
Answer» B. NITI aayog
43.

The _____________ is an introduction to the constitution and contains its basic philosophy.

A. Preamble
B. Society
C. Process
D. Service
Answer» A. Preamble
44.

The term fraternity implies the spirit of _________________

A. Brotherhood
B. Judiciary
C. Justice
D. Value
Answer» A. Brotherhood
45.

________ signifies the absence of any arbitrary restraint on the freedom of individual action and creations for the development of personality of The individual.

A. Fraternity
B. Liberty
C. Secularism
D. Socialism
Answer» B. Liberty
46.

Secularism is understood to mean according equal encouragement to all ________

A. Country
B. Ethics
C. Values
D. Religion
Answer» D. Religion
47.

_______ state can have an elected or hereditary head

A. Democratic
B. Autocratic
C. Socialized
D. Republic
Answer» A. Democratic
48.

___________ is a systematic application of scientific or other organized knowledge to practical task.

A. Technology
B. Society
C. Demography
D. Responsibility
Answer» A. Technology
49.

The era of deregulation liberalization begin in _

A. 1950 - 51
B. 1980-81
C. 1991-92
D. 1960-61
Answer» A. 1950 - 51
50.

Identification of companies technological assets that may provide ___________ in new businesses

A. Opportunities
B. Development
C. Failure
D. Authority
Answer» A. Opportunities
51.

Which one of the following is a part of economic environment?

A. Public debt
B. Lifestyle of people
C. Technological changes
D. Level of education
Answer» A. Public debt
52.

Proper understanding of business environment is not a prerequisite for

A. Tapping of useful resources.
B. Identification of opportunities and threats.
C. Formulation of strategies.
D. Better coordination of employee efforts.
Answer» C. Formulation of strategies.
53.

Legal rules and regulations relevant to business are included in ____ environment of business.

A. Legal
B. Political
C. Economic
D. Technological
Answer» A. Legal
54.

India is good example for ________economy

A. Socialist
B. Mixed
C. Capitalist
D. Communist
Answer» B. Mixed
55.

_______ are a primary mechanism for motivating business activities

A. Social relationship
B. Profit
C. Customers
D. Assets
Answer» A. Social relationship
56.

According to whom, business environment is defined as total of all things external to firms and industries which effect their organization and Operations

A. Arthur.m.welmer
B. John wick
C. Bayo
D. o.wheeler
Answer» D. o.wheeler
57.

Business includes ___

A. Non-economic activities
B. Economic activities
C. Social activities
D. Production activities
Answer» B. Economic activities
58.

_______Is vast and fascinating subject for business

A. Technology
B. Profit making
C. Change
D. People
Answer» A. Technology
59.

What is the single word that can best describe todays business

A. Technology
B. Profit making
C. Change
D. People
Answer» C. Change
60.

______ involves freedom of doing business.

A. Globalization
B. Privatization
C. Liberalization
D. None of the Above
Answer» C. Liberalization
61.

Which of the following modern business is dynamic

A. Mass production
B. Mass marketing
C. Mass sales
D. Mass purchase
Answer» B. Mass marketing
62.

Which of the following is not an economic activity

A. A doctor practicing
B. A lawyer practicing law
C. A professional cricketer playing cricket
D. A student playing cricket
Answer» D. A student playing cricket
63.

A valid definition of a business purpose is to __

A. Create a customer
B. Maximize profits
C. Serve the society
D. Increase the wealth in the firm
Answer» A. Create a customer
64.

The Constitution declares India to be a sovereign, socialist, secular, democratic republic, assuring its citizens of justice, equality, and liberty, and endeavours to promote fraternity among them. The words "socialist" and "secular" were added to the definition in year:

A. 1956
B. 1976
C. 1970
D. 1952
Answer» B. 1976
65.

Which of the following is not a fundamental right in the Constitution of India?

A. Right to work
B. Right to Equality
C. Right to Education
D. Right against exploitation
Answer» A. Right to work
66.

____________ environment is very significantly influenced by the world trade organization principles and agreements.

A. Economic
B. Global
C. Legal
D. Political
Answer» B. Global
67.

Fundamental Rights have no value without….

A. Right to Freedom
B. Right to Freedom of Religion
C. Right to Constitutional Remedies
D. Right to Property
Answer» C. Right to Constitutional Remedies
68.

__________ feature of business environment states that various factors of business environment affect each other.

A. Pervasive
B. Continuous
C. Dynamic
D. Interrelatedness
Answer» D. Interrelatedness
69.

Competition is beneficial to the competing firms besides benefiting the ___

A. Producers
B. Intermediaries
C. Finances
D. Consumers
Answer» D. Consumers
70.

___________ is a short-term unsecured promissory note issued by reputed business organisations at a price lower than its face value and redeemable at par.

A. Treasury bill
B. Commercial paper
C. Certificate of deposit
D. Promissory note
Answer» B. Commercial paper
71.

________ is a source of financing to meet very short-term fund requirements of commercial banks with a provision of renewal.

A. Treasury Bill
B. Commercial Paper
C. Certificate of Deposit
D. Call Money
Answer» D. Call Money
72.

____________ is the market which helps existing investors to sell their securities.

A. Primary market
B. Secondary market
C. Capital market
D. Commodity market
Answer» B. Secondary market
73.

____________ is the institution which provides a platform for trading of existing securities having long-term maturity.

A. SEBI
B. WTO
C. Stock exchange
D. RBI
Answer» C. Stock exchange
74.

_______is the primary motive for a business enterprise

A. Profit
B. Maximize customers
C. Human objective
D. Maximize suppliers
Answer» A. Profit
75.

The following statement with respect to culture is false

A. Culture is enduring
B. Culture is changing
C. Culture is evolved among the members of a society
D. Culture is determined by national boundaries
Answer» D. Culture is determined by national boundaries
76.

________is the business through which new ideas and innovations are given a sharp and are converted into useful products and services

A. Market leadership
B. Challenge
C. Joy of creation
D. Growth
Answer» C. Joy of creation
77.

___________ is the integration of world economy into a single market through removal of trade barriers between countries.

A. Privatisation
B. Liberalisation
C. Globalisation
D. Both (a) and (b)
Answer» B. Liberalisation
78.

Liberalization means

A. Reducing number of reserved industries from 17 to 8
B. Liberating the industry, trade and economy from unwanted restrictions
C. Opening up of economy to the world by attaining international competitiveness
D. Free determination of interest rates
Answer» B. Liberating the industry, trade and economy from unwanted restrictions
79.

The short term financial instruments traded in money market is commonly called

A. Bonds
B. Shares
C. Notes
D. Commercial Papers
Answer» D. Commercial Papers
80.

Macro environment is also known as ____

A. Direct environment
B. Indirect environment
C. Competitive environment
D. Social environment
Answer» B. Indirect environment
81.

_____ micro environment is also known as direct environment

A. Economic
B. Political & legal
C. Competitors
D. Suppliers
Answer» A. Economic
82.

State directive principles are

A. Suggestion to direction
B. Instruments of instruction
C. Principles of instruction
D. Responsibility to state principles
Answer» B. Instruments of instruction
83.

The macro environment consists of ___

A. Economic political &legal
B. Consumer competitors
C. Public
D. Middlemen
Answer» A. Economic political &legal
84.

What does micro environment consists of ___

A. Economic
B. Political &legal
C. Consumers competitors
D. Demographic
Answer» C. Consumers competitors
85.

Who is responsible for presenting the Union Budget before the Parliament?

A. Prime Minister
B. RBI Governor
C. Finance Minister
D. None of the above
Answer» C. Finance Minister
86.

_______ refers to all forces which have an economic impact

A. Technological environment
B. Political environment
C. Economic environment
D. Social environment
Answer» C. Economic environment
87.

Political environments refers to the influence excreted by the ______political institutions

A. 2
B. 3
C. 4
D. 5
Answer» B. 3
88.

What are the bodies which political environment consists of

A. Middlemen
B. Suppliers
C. Customer
D. Legislature executive & judiciary
Answer» D. Legislature executive & judiciary
89.

_________ decides on a particular course of action

A. Legislature
B. Executive
C. Judiciary
D. Public
Answer» A. Legislature
90.

________is also called government which implements whatever is decided by the parliament

A. Legislature
B. Executive
C. Judiciary
D. Public
Answer» B. Executive
91.

_______plays the watch dog in order to ensure that both function in public interest and within the boundaries of constitution

A. Legislature
B. Executive
C. Judiciary
D. Public
Answer» C. Judiciary
92.

Headquarters of World Trade Organization at

A. Geneva
B. Japan
C. South Korea
D. Russia
Answer» A. Geneva
93.

Globalization does not involve.

A. Reduction of barrier
B. Free flow of goods and services.
C. Global mechanism for settlement of Economic disputes.
D. Free flow of Capital
Answer» A. Reduction of barrier
94.

________should facilitate & enhance strategies thinking in organization

A. Strategic management
B. Environmental analysis
C. Business environment
D. Business analysis
Answer» B. Environmental analysis
95.

The environment analysis that provides inputs for strategies decision making is _

A. Strategic management
B. Environmental analysis
C. Business environment
D. Business analysis
Answer» A. Strategic management
96.

The first MNC came to India in ___

A. 1920
B. 1921
C. 1919
D. 1923
Answer» B. 1921
97.

An effective crisis management plan will __

A. Minimize the seriousness of the problem
B. Exaggerate minor incident
C. Use the internet to convey the public affairs message
D. Immediately apologize to the public and accept any liability
Answer» A. Minimize the seriousness of the problem
98.

Economic growth can be measured by ___________

A. The cpi
B. The cbi
C. Gdp
D. Mpc
Answer» C. Gdp
99.

What was the predecessor of WTO?

A. GAAT
B. IMF
C. ADB
D. UNCTAD
Answer» D. UNCTAD
100.

A multi-national corporation (MNC) is defined by

A. Carrying out production in more than one country.
B. Having sales in more than one country.
C. Having a multi-ethnic workforce .
D. Having suppliers in more than one country.
Answer» A. Carrying out production in more than one country.
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