307: INTERNATIONAL BUSINESS ENVIRONMENT

1. In which of the following basic categories can business environment be divided?

A. Local and Regional

B. Regional and National.

C. Internal and External.

D. Financial and Nonfinancial.

ANSWER: C

2. is a statement Which derives the role that an organization plays in a society.

A. Goals.

B. Mission.

C. Objective.

D. Success.

ANSWER:

3. Economic environment refers to all forces which have a .

A. political.

B. natural

C. economic.

D. social.

ANSWER: C

4. environment is with in the control of the business.

A. Internal.
B. External.

C. Micro.

D. Macro.

ANSWER: A

5 environment is beyond the control of the business.

A. Internal.

B. External.

C. Micro.

D. Macro.

ANSWER:

6. Micro environment is also called as .

A. general environment.

B. operating environment.

C. economics environment.

D. political environment.

ANSWER: B

7. Macro environment is also called as .

A. general environment.

B. operating environment.

C. economic environment.

D. political environment.

ANSWER: A

The environment which is close to business and affect its capacity to work is known as
environment.

A. internal.
B. external.

C. micro.

D. macro.

ANSWER: C

9. Factors that create opportunities and threats to business units is known as .

A. internal environment.

B. external environment.

C. micro environment.

D. macro environment.

ANSWER: D

10. Internal factors affecting a business environment also are referred to factors.

A. controllable.

B. uncontrollable factors.

C. relevant.

D. global.

ANSWER: A

External factors affecting a business environment also be referred to factors.

A. controllable.

B. uncontrollable.

C. relevant.

D. global

ANSWER:

12. Study of human population is called as environment.

A. political.

B. social.
C. demographic.

D. economic

ANSWER:

13. IN which year the essential commodities act introduced .

A. 1954.

B. 1955.

C. 1956.

D. 1957.

ANSWER:

14. Which is the one not included in national culture?

A. Language.

B. Internet.

C. Belief.

D. Attitude.

ANSWER: B

15. Culture spreads from one place to anther and such transmission is called as .

A. difference.

B. reputation.

C. adoption.

D. heritage.

ANSWER: A

16. An attitude composed of effect .

A. flextime.
B. cognition.
C. relationship.

D. culture.

ANSWER:

17. What is the main occupation of Kshatriyas?

A. engage in cleaning.

B. engaged in trade.

C. engaged in army work.

D. none of the

above ANSWER: C

18. A systematic application of scientific knowledge to practical task is known as .

A. technology.

B. culture.

C. demograpic.

D. legal.

ANSWER: A

19. is defined as systematic assessment of the social impact of the activities of a

A. Social audit.

B. Social responsibility.

C. Social interaction.

D. Social benefit.

ANSWER: A

20. What are the elements of business ethics?

A. Values rights and duties.

B. attitudes pressure and environment.

D. Responsibilities

. ANSWER: A

21. Corporate values are the of the corporate sector.

A. shared values.

B. moral beliefs.

C. customer satisfaction.

D. goodwill.

ANSWER: B

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:

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

A. capitalism.

B. socialism.

C. democratic.

D. republic.

ANSWER: B

24. One Reserve Bank of India introduced certificates of deposit in .

B. 1989.

C. 1986.

D. 1990

ANSWER:

Fical policy refers to the policy of government regarding taxtation public expenditure and .

A. public debt.

B. budgets.

C. policies.

D. deposits.

ANSWER: B

26. The sixth plan mentions 17 criteria for determining the prevalence of .

A. poor.

B. academician.

C. backwardness.

D. business.

ANSWER: C

27. Fiscal policy is called as policy.

A. monetary.

B. budgetary.

C. industrial.

D. economic.

ANSWER: B

28. One concept of culture determines the of people.

A. experience.
B. ethics.

C. education.

D. wealth.

ANSWER: B

29. Self fulfillment and immediate gratification are cultural values.

A. decreases.

B. rises.

C. diminishes.

D. corporte.

ANSWER:

30. National stock exchange was set up a joint stock company by all indian financial
institution and banks on November 27 .

A. 1991.

B. 1992.

C. 1993.

D. 1994.

ANSWER:

31. Which can be a method of privation?

A. Denationalization.

B. Purchasing shares.

C. Takeover.

D. Merger.

ANSWER:

32. In India liberalization and privatization began from .

C. 1981.

D. 1947.

ANSWER:

33. Industrial policy of 1948 aimed at .

A. industrialization

B. growth of agriculture.

C. development of infrastructure .

D. development of service

sector. ANSWER: A

34. state can have an elected or hereditary head.

A. Democratic.

B. Autocratic.

C. Socialized.

D. Republic.

ANSWER: A

35. The era of deregulation / liberalization begin in .

A. 1950and51.

B. 1980.

C. 1991.

D. 1960.

ANSWER:

36. occupies the central place in business.

A. People.
B. Raw material.
C. Labour.

D. Finished

goods. ANSWER:

37. India is good example for economy.

A. socialist.

B. mixed .

C. capitalist.

D. communist.

ANSWER: B

38. Business includes .

A. non-economic activities.

B. economic activities.

C. social activities.

D. production activities.

ANSWER: B

39. What is the single word that can best describe today s business?

A. Technology.

B. Profit Making.

C. Change.

D. People.

ANSWER: C

40. Is the modern business dynamic?

A. mass production.

B. mass marketing.
C. mass sales.

D. mass

purchase.

ANSWER: A

41.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

42. Is todays business is not characterized by diversification?

A. Social relationship.

B. Profit.

C. Customers.

D. Assets.

ANSWER: B

43. Is interference of government in business is common in every country?

A. 1960.

B. 1970.

C. 1980.

D. 1990.

ANSWER:

44. refers to the system of moral principles and rules of conduct applied to business.

A. Business culture.
B. Business ethics.

C. Business.

D. Society.

ANSWER: B

45. Competition is beneficial to the competing firms besides benefiting the ?

A. producers.

B. intermediaries.

C. finances.

D. consumers.

ANSWER: D

46. What are the main concepts concerning about business goals or objectives?

A. Mission, objectives.

B. Mission , targets.

C. Mission, objectives, target.

D. Target, objectives.

ANSWER: C

47. Goals realization continuously will lead to .

A. mission fulfillment.

B. maximize customers.

C. high revenue.

D. maximize suppliers.

ANSWER: A

48. is the primary motive for a business enterprise.

A. Profit.

B. Maximize customers.
C. Human objective.

D. Maximize

suppliers. ANSWER:

49. 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

50. 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

51. what is the nature of business environment?

A. Aggression.

B. Relative.

C. Uncertain.

D. Aggression, Relative and Uncertain.

ANSWER: D

52. What is the significance of business environment?

A. First Mover Advantage.

B. Competition.
C. Information.

D. Globalization

. ANSWER: A

53. What are the elements of business environment?

A. Micro Environment.

B. Macro Environment.

C. Complex Environment.

D. Steeple factor

ANSWER: D

Macro environment is also known as ?

A. direct environment .

B. indirect environment.

C. competitive environment.

D. social environment.

ANSWER: B

55. Macro environment consist of ?

A. public.

B. political & legal.

C. suppliers.

D. customers.

ANSWER: B

56. The micro environment consists .

A. Technological Environment.

B. Political Environment.

C. Economic Environment.
D. Public, middlemen, consumers & competitors.

ANSWER: D

57. refers to all forces which have an economic impact.

A. Technological Environment.

B. Political Environment.

C. Economic Environment.

D. Legal

environment

ANSWER: C

58. decides on a particular course of action.

A. Legislature.

B. Executive.

C. Judiciary.

D. Public.

ANSWER:

59. The first MNC came to India in .

A. 1920.

B. 1921.

C. 1919.

D. 1923

ANSWER:

60. Economic growth can be measured by .

A. the CPI.

B. the CBI.
C. GDP.

D. MPC.
ANSWER: C

61. Porter s model represents the relationship between .

A. organizational and environment.

B. society and environment.

C. organization and society.

D. society and

industry. ANSWER: A

62. environment refers to all economic factors which have a bearing on the
functioning of a business.

A. Economic.

B. Technological.

C. Natural.

D. Social.

ANSWER:
A

63.Capitalism stresses the philosophy of individualism believing in private Ownership

A. legal planning.

B. soviet planning.

C. government planning.

D. agricultural planning.

ANSWER: A

64. In which year socialism the tools production are not managed by government?

A. 1952.

B. 1950.
C. 1951.

D. 1953.

ANSWER:

65. In capitalism losses assumed by the customers.

A. economics.

B. technological.

C. natural.

D. social.

ANSWER: B

66. Depreciation is permitted in communism .

A. legal planning.

B. soviet planning.

C. government planning

D. agricultural planning.

67.In communism the state determines one s employer and employment .

A. socialism.

B. economics.

C. communism.

D. capitalism.

ANSWER: A

68. The socialism seems to fall between capitalism and communism .

A. increased.

B. decreased.

C. lowlevel.

D. medium.
ANSWER: A

69. Has the per capita income increased or decreased from 1980 to 2009 _.

A. increased.

B. decreased.

C. medium.

D. narrow.

ANSWER: C

70. Population is a component of the total environment.

A. economic.

B. social.

C. natural.

D. technology.

ANSWER: A

71. Which plan gives priority for family planning?

A. State Policy.

B. Judicial Policy.

C. Industrial

D. Energy

ANSWER:

72. Governments policy towards industries is called as .

A. economic policy.

B. industrial policy.

C. monetary policy.

D. work policy.
73. Industrial policy was set up in the year _.

A. 1955.

B. 1956.

C. 1957.

D. 1958.

ANSWER:

74. One of the objectives of industrial policy is to accelerate the rate of economic Growth
and speed up industrialization .

A. 1955.

B. 1956.

C. 1957.

D. 1958.

ANSWER:

75. MRTP act was set up in the year .

A. 1950.

B. 1951.

C. 1952.

D. 1953.

ANSWER:

76. The liberalization of the rules relating to FDI permitting % equity in wide range
of Industries.

A. 50.

B. 51.

C. 52.
D. 53.

ANSWER:

B
77.In some circles, a multinational corporations is also referred to .

A. multinational collaboration .

B. multinational entity.

C. multinational enterprises.

D. multinational development.

ANSWER: C

78. Multinational corporations is also referred to .

A. multinational collaboration.

B. multinational entity.

C. transnational corporation.

D. multinational

development. ANSWER: C

79. FERA is foreign exchange regulation act for .

A. industries .

B. small scale .

C. labour.

D. owner.

ANSWER: A

80. GDP is .

A. Gross Domestic Product.

B. Gross Domestic Percentage.

C. Gross Domestic Personnel.

D. Gross Domestic Public.

81. GNP stands for

A. Gross National Product

B. Gross negative product

C. Gross negotiable product

D. None of the

above ANSWER: A

82. SAOIL is .

A. Steel authority of India ltd .

B. School authority of India ltd.

C. State authority of India ltd.

D. Span authority of India ltd.

ANSWER: A

83. NDP is .

A. Net Domestic Product.

B. Net Domestic Percentage.

C. Net Domestic Personnel.

D. Net Domestic

Public. ANSWER: A

84. Who gave a practical shape to privatization?

A. MARGARAT THATCHER.

B. LOUIS PETER.

C. WILLIAMS.

D. FAYOL.

ANSWER:

A
85. In privatization SIP refers to .

A. Share issue privatization.

B. Shares in privatization.

C. Share industry privatization.

86. The techniques of privatization are contract and concession.

A. building.

B. free .

C. leases .

D. hire

purchase.

ANSWER: C

87. There are sins of privatization.

A. 5.

B. 6.

C. 7.

D. 8.

ANSWER: C

88. The income level of residents in a country is indicated by .

A. gross national income.

B. gross domestic product.

C. per capita gross national income.

D. per capita gross domestic product.

ANSWER: C

89 -------- is the process of analyzing the environment for the identification of factors which
have
impact on or have implication for the business.
A. Assessment

B. Forecasting

C. Scanning

D. None of

these

ANSWER: C

90. PEST is an acronym which stands for .

A. Political, Environment, Societal, Technology. Share institution privatization.

B. Political, Economic, Societal, Technological.

C. Political, Economic, Social, Technological.

D. People, Economy, Standards, Transport.

ANSWER: C

91. The European Union is an example of .

A. monetary union.

B. free trade area.

C. common market.

D. economic union.

ANSWER: D

92. The major responsibility of RBI is _.

A. healthy regulation.

B. monetary regulation.

C. work regulation .

D. industrial regulation.

93. The legal system in India is based on .

A. Common law.

B. Civil law.
C. Theocratic law.

D. Hindu

law.

ANSWER: D

94. A mixed economy is necessarily a .

A. controlled.

B. planned.

C. organised.

D. planned, organised and controlled.

ANSWER: D

95. The origin of Common law is in .

A. America.

B. England.

C. Russia.

D. India.

ANSWER: A

96. The focus on increasing profitability and profit growth by reaping the cost reduction
that come from economies of scale is .

A. global standardization strategy.

B. localization strategy.

C. transnational strategy

D. international strategy.

ANSWER: A

97. The total accumulated value of foreign- owned assets at a given period of time is .

A. flow of FDI

B. stock of FDI
C. inflow of FDI

D. outflow of

FDI ANSWER:

98. The taking over of a private firm by the host country government to be run it as a
government unit is .

A. expropriation.

B. confiscation.

C. nationalisation.

D. domesticatio

n ANSWER: C

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

A. Prime Minister

B. Finance Minister

C. RBI Governor

D. none of the

above ANSWER: B

100. The goods and the services produced, priced and distributed by the government is .

A. Market economy.

B. Secular economy.

C. Command economy.

D. Mixed

economy.

ANSWER: C

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