Class 11 Business Studies Important Chapter 3 Private, Public And Global Enterprises

Class 11 Business Studies Important Chapter 3 Private, Public And Global Enterprises Solutions English Medium As Per AHSEC New Syllabus to each chapter is provided in the list so that you can easily browse through different chapters ASSEB Class 11 Business Studies Important Solutions and select need one. AHSEC Class 11 Business Studies Additional Notes English Medium Download PDF. HS 1st Year Business Studies Important Solutions in English.

Class 11 Business Studies Important Chapter 3 Private, Public And Global Enterprises

Also, you can read the NCERT book online in these sections Solutions by Expert Teachers as per Central Board of Secondary Education (CBSE) Book guidelines. ASSEB Class 11 Business Studies Additional Question Answer are part of All Subject Solutions. Here we have given HS 1st Year Business Studies Important Notes in English for All Chapters, You can practice these here.

Private, Public And Global Enterprises

Chapter: 3

Part – I: Foundations of Business

IMPORTANT QUESTION AND ANSWER

Short Type Question and Answer:

1. Define departmental undertaking. List two merits and two limitations.

Ans: Departmental undertakings are public enterprises that are directly managed by a ministry or government department. They are not separate legal entities.

Merits:

(i) Ensures parliamentary control.

(ii) High public accountability.

Limitations:

(i) Lacks flexibility in operation.

(ii) Political interference and red-tapism.

2. What are the features of a government company?

Ans: (i) Formed under Companies Act, 2013

(ii) Government holds at least 51% shares.

(iii) Separate legal entity.

(iv) Can sue and be sued in its own name.

(v) Has own rules for recruitment and governance.

3. What is a statutory corporation? Mention two advantages.

Ans: A statutory corporation is a public enterprise formed by a special Act of Parliament. It is autonomous and financially independent.

Advantages:

(i) Greater operational flexibility.

(ii) Freedom from central budget constraints.

4. State any four features of global enterprises.

Ans: (i) Huge capital resource.

(ii) Advanced technology.

(iii) Product innovation.

(iv) Wide market area and international presence.

5. What is disinvestment? Give two objectives.

Ans: Disinvestment is the process of selling the government’s share in public enterprises.

Objectives:

(i) Raise resources for development.

(ii) Encourage private participation and competition.

6. Explain any four benefits of joint ventures.

Ans: (i) Access to new markets.

(ii) Access to new technology.

(iii) Pooling of resources.

(iv) Reduced production cost.

7. What are the limitations of government companies?

Ans: (i) Lack of constitutional responsibility.

(ii) Political interference.

(iii) Less accountability despite public funding.

(iv) Sometimes management remains bureaucratic.

8. List two types of joint ventures with examples.

Ans: (i) Contractual JV – No new entity is formed. 

Example: Licensing/franchise deals.

(ii) Equity-based JV – A new company is formed. 

Example: Maruti Suzuki (India-Japan).

9. Write any four merits of statutory corporations.

Ans: (i) Operational independence.

(ii) Freedom from government rules.

(iii) Better decision-making.

(iv) Suitable for large-scale services (e.g., transport, finance).

10. Differentiate between private and public sector enterprises.

Ans: Private: Owned by individuals; motive is profit.

Public: Owned by government; motive is public welfare.

Private uses personal funds; Public is funded by the government.

Private is accountable to owners; Public is accountable to Parliament.

11. What are the objectives of public enterprises in post-independence India?

Ans: (i) Infrastructure development.

(ii) Regional balance.

(iii) Avoiding concentration of wealth.

(iv) Import substitution and self-reliance.

12. Mention four key features of PPP (Public Private Partnership).

Ans: (i) Collaboration between public and private sectors.

(ii) Shared investment and risk.

(iii) Focus on infrastructure projects.

(iv) Efficient delivery of public services.

13. Give four reasons for the growth of global enterprises.

Ans: (i) High capital and funding access.

(ii) Better global brand recognition.

(iii) Technological superiority.

(iv) Wide marketing strategies.

14. What are the benefits of MNCs in India?

Ans: (i) Foreign investment inflow.

(ii) Creation of jobs.

(iii) Exposure to global technologies.

(iv) Boosts export and trade.

15. State any four differences between statutory corporations and government companies.

Ans: Formation: Statutory by Act of Parliament; Company under Companies Act.

Autonomy: More in statutory corporations.

Audit: Statutory is independent; Company by CAG.

Examples: LIC (Statutory), BHEL (Govt. company)