Class 12 Business Studies MCQ Chapter 3 Business Environment Question Answer English Medium to each chapter is provided in the list so that you can easily browse through different chapters Class 12 Business Studies MCQ Chapter 3 Business Environment and select need one. AHSEC Class 12 Business Studies Objective Type Solutions As Per AHSEC New Book Syllabus Download PDF. AHSEC Business Studies MCQ Class 12.
Class 12 Business Studies MCQ Chapter 3 Business Environment
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. AHSEC Class 12 Business Study Multiple Choice Solutions are part of All Subject Solutions. Here we have given AHSEC Class 12 Business Studies MCQ in English for All Chapters, You can practice these here.
Business Environment
Chapter: 3
| PART – A: Principles and Function of Management |
Choose The Correct Option:
1. What is the business environment?
(i) A group of internal factors.
(ii) The sum of external forces.
(iii) A type of market.
(iv) Only economic conditions.
Ans: (ii) The sum of external forces.
2. Which of the following is not a part of the business environment?
(i) Technological conditions.
(ii) Social trends.
(iii) Government rules and regulations.
(iv) Personal preferences of employees.
Ans: (iv) Personal preferences of employees.
3. What is the dynamic nature of business environment?
(i) Business environment remains static.
(ii) Business environment changes constantly.
(iii) Only economic environment changes.
(iv) None of the above.
Ans: (ii) Business environment changes constantly.
4. Which force affects all businesses indirectly?
(i) Specific forces.
(ii) General forces.
(iii) Legal forces.
(iv) Political forces.
Ans: (ii) General forces.
5. What is the role of government policies in business?
(i) Control internal business functions.
(ii) Provide legal protection for businesses.
(iii) Influence business strategies through regulations.
(iv) None of the above.
Ans: (iii) Influence business strategies through regulations.
6. The increase in disposable income of people results in:
(i) Decreased demand for goods.
(ii) Increased demand for goods.
(iii) No change in demand.
(iv) Decreased supply.
Ans: (ii) Increased demand for goods.
7. Which factor is part of the technological environment?
(i) Product life cycle.
(ii) Availability of labor.
(iii) Technological advancements.
(iv) Economic conditions.
Ans: (iii) Technological advancements.
8. What is the effect of political instability on business?
(i) Increases investment confidence.
(ii) Creates uncertainty in operations.
(iii) Reduces competition.
(iv) None of the above.
Ans: (ii) Creates uncertainty in operations.
9. Which is the best example of a social trend influencing business?
(i) Increased inflation rates.
(ii) Rising demand for organic food.
(iii) Changes in government tax policies.
(iv) Declining technological growth.
Ans: (ii) Rising demand for organic food.
10. What does liberalisation of the economy involve?
(i) Increased government control.
(ii) Reduced restrictions on industries.
(iii) Nationalization of industries.
(iv) Restrictions on foreign investment.
Ans: (ii) Reduced restrictions on industries.
11. Which of the following is part of the social environment?
(i) Consumer preferences.
(ii) Inflation rates.
(iii) Interest rates.
(iv) Exchange rates.
Ans: (i) Consumer preferences.
12. Which element of the business environment affects all businesses at the same time?
(i) Specific forces.
(ii) General forces.
(iii) Internal forces.
(iv) Marketing forces.
Ans: (ii) General forces.
13. Which of the following is an example of economic environmental factors?
(i) Political stability.
(ii) Technological advancements.
(iii) Inflation and interest rates.
(iv) Social values.
Ans: (iii) Inflation and interest rates.
14. Which of these factors would most likely affect the legal environment?
(i) Consumer behavior.
(ii) Laws passed by government.
(iii) Innovations in technology.
(iv) Political conditions.
Ans: (ii) Laws passed by government.
15. What does the term ‘globalisation’ refer to?
(i) Integration of global economies.
(ii) Isolation of domestic businesses.
(iii) Expansion of local economies.
(iv) Government-controlled trade.
Ans: (i) Integration of global economies.
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