This quiz works best with JavaScript enabled. Home > Cbse > Class 12 > Commerce > Business Studies > Class 12 Business Studies Chapter 3 Business Environment – Quiz 9 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 12 Business Studies Chapter 3 Business Environment Quiz 9 (60 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. Apa yang bukan merupakan faktor dari lingkungan umum? A) Faktor teknologi. B) Faktor ekonomi. C) Persaingan pesaing. D) Faktor politik dan hukum. Show Answer Correct Answer: C) Persaingan pesaing. 2. Which of the following is considered a leading global economy? A) United States. B) Brazil. C) China. D) Germany. Show Answer Correct Answer: A) United States. 3. How did William Wrigley Jr. attempt to make his product more attractive to buyers? A) Offering a free product with each sale. B) Donating a portion of each sale to charity. C) Testing his product to make it of better quality. D) Reducing the price of his product. Show Answer Correct Answer: A) Offering a free product with each sale. 4. 10) Identify the following in order:i. On account of increase in export duty made by the government, the foreign demand has gone down.ii. The government permitted cent percent foreign Direct Investment in some sectors of retailing. A) Economic, Economic. B) Economic, Political. C) Political, Economic. D) Political, Political. Show Answer Correct Answer: B) Economic, Political. 5. Can an organization with strong financial resources use them to invest in expanding into new markets? A) Yes. B) No. C) All the above. D) None of the above. Show Answer Correct Answer: A) Yes. 6. A company decides to implement a "triple bottom line" approach. This means they are focusing on: A) Profit only. B) Profit and market share. C) Profit, People and Planet. D) Profit, Product and Promotion. Show Answer Correct Answer: C) Profit, People and Planet. 7. Can resource limitations be ignored when analyzing a company's weaknesses? A) Yes. B) No. C) All the above. D) None of the above. Show Answer Correct Answer: B) No. 8. The components of the business environment keeps on changing due to changes in the various circumstances. That shows business environment as ..... A) Uncertain. B) Dynamic. C) Complex. D) Relative. Show Answer Correct Answer: B) Dynamic. 9. What does the 'P' in PESTLE analysis represent? A) Productivity. B) Profit. C) People. D) Political. Show Answer Correct Answer: D) Political. 10. Business zoning refers to: A) The proximity of a business to suppliers. B) The proximity of a business to competitors. C) Which suburb the business is located in. D) A means by which local councils allocate land for different uses. Show Answer Correct Answer: D) A means by which local councils allocate land for different uses. 11. Which principle is being defined? You must comply with relevant laws and regulations, and avoid any action that may bring disrepute to the profession A) Integrity. B) Professional behaviour. C) Professional competency and due care. D) Confidentiality. Show Answer Correct Answer: B) Professional behaviour. 12. What is meant by the technological environment in business? A) The technological environment in business includes external technological factors that affect operations and strategy. B) The technological environment includes only the hardware used by employees. C) The technological environment is solely about software used in business operations. D) The technological environment refers to internal company policies and procedures. Show Answer Correct Answer: A) The technological environment in business includes external technological factors that affect operations and strategy. 13. How do environmental factors affect tourism development? A) Environmental factors only affect local businesses, not tourism. B) Environmental factors affect tourism development by influencing climate, natural attractions, and sustainability. C) Environmental factors have no impact on tourism development. D) Tourism development is solely determined by economic factors. Show Answer Correct Answer: B) Environmental factors affect tourism development by influencing climate, natural attractions, and sustainability. 14. What does the term "business environment" encompass? A) Only the internal factors affecting a business. B) Only the external factors affecting a business. C) Both internal and external factors affecting a business. D) Neither internal nor external factors affecting a business. Show Answer Correct Answer: C) Both internal and external factors affecting a business. 15. If your proprietary know-how of "green" processes is difficult to transfer to other firm, the most effective strategy would be A) Foreign Direct Investment. B) Licensing. C) Exporting. D) None of the above. Show Answer Correct Answer: A) Foreign Direct Investment. 16. Which environment includes customers and competitors? A) Macro environment. B) Micro environment. C) Legal environment. D) Natural environment. Show Answer Correct Answer: B) Micro environment. 17. Introduction of the 10p carrier bag charge would be a ..... A) Political change. B) Technological change. C) Environmental change. D) Economic change. Show Answer Correct Answer: C) Environmental change. 18. There is no need of consideration of the business environment factors in business. A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 19. What is a key characteristic of the macro-environment? A) Immediate feedback from consumers. B) Limited influence by the business. C) Full control by the business. D) Direct management by the owners. Show Answer Correct Answer: B) Limited influence by the business. 20. It includes government policy in respect of public expenditure, taxation and public debt. A) Foreign investment policy. B) Fiscal policy. C) Don't know. D) Monetary policy. Show Answer Correct Answer: B) Fiscal policy. 21. When parastatals are sold to individuals because they are not profitable as state owned businesses A) Spending power. B) Privatisation. C) Nationalisation. D) Eskom. Show Answer Correct Answer: B) Privatisation. 22. Should a company avoid investing in training programs if it lacks skilled employees? A) Yes. B) No. C) All the above. D) None of the above. Show Answer Correct Answer: B) No. 23. Culture has strong influence in A) Eastern countries. B) Western countries. C) Developed countries. D) None of these. Show Answer Correct Answer: A) Eastern countries. 24. Which one is not a type of contract A) Future Contract. B) Valid contract. C) Executory contract. D) Void contract. Show Answer Correct Answer: A) Future Contract. 25. 'Twinkle Stars' is a well-known resort for organising parties, especially for children. However, in past 6 months its popularity has reduced considerably as a new resort with better ambience and facilities has opened within its vicinity. Name the related feature of business environment which has influenced the business of 'Twinkle Stars' adversely. A) Dynamic nature. B) Interrelatedness. C) Uncertainty. D) Totality of external forces. Show Answer Correct Answer: A) Dynamic nature. 26. A ..... exists when private enterprise reserves the right to own property and monitor the production and distribution of goods and services while the state simply supports competition and efficient practices: A) Command Economy. B) Market Economy. C) Mixed Economy. D) None of the above. Show Answer Correct Answer: B) Market Economy. 27. Which of the following best describes market trends? A) They are only relevant to product pricing. B) They reflect the evolving preferences and behaviors of consumers. C) They are determined solely by government regulations. D) They are static and do not change over time. Show Answer Correct Answer: B) They reflect the evolving preferences and behaviors of consumers. 28. Too much regulation of business will cause A) Loss of investments. B) Loss of employment. C) Regional imbalances. D) All of these. Show Answer Correct Answer: D) All of these. 29. ITC Hotels made a study of the business environment and planned to open ..... in India and abroad. A) Shops. B) Offices. C) Hotels. D) Factories. Show Answer Correct Answer: C) Hotels. 30. AAT's code of professinal ethics is based on a set of rules A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: B) False. 31. Technology availability helps countries by: A) Technology availability increases environmental pollution. B) Technology availability limits access to education. C) Increasing production efficiency. D) Technology availability reduces employment opportunities. Show Answer Correct Answer: C) Increasing production efficiency. 32. Which of the following is NOT a component of the market environment? A) Suppliers. B) Consumers. C) Organizational culture. D) Competitors. Show Answer Correct Answer: C) Organizational culture. 33. What is important in the relationship that a business develops with its suppliers? A) Reliability. B) Cost Effectiveness. C) Positivity. D) All of the above. Show Answer Correct Answer: D) All of the above. 34. Find out the environment which describes the characters of society A) Technological environment. B) Social environment. C) Legal environment. D) Political environment. Show Answer Correct Answer: A) Technological environment. 35. Which of the following is considered a part of the primary sector in India? A) Software development. B) Banking and insurance. C) Agriculture and fishing. D) Manufacturing of automobiles. Show Answer Correct Answer: C) Agriculture and fishing. 36. What is the role of Market Intermediaries in the business environment? A) Link the producer or other intermediaries to the end consumer. B) Provide training and knowledge to workers. C) Supply raw materials and components to the company. D) Conduct market surveys about consumer needs. Show Answer Correct Answer: A) Link the producer or other intermediaries to the end consumer. 37. Which policy is related to government's taxation and expenditure? A) Monetary policy. B) Fiscal policy. C) EXIM policy. D) Industrial policy. Show Answer Correct Answer: B) Fiscal policy. 38. What is a sociocultural factor? A) Technological advancements. B) Cultural trends. C) Economic growth. D) Legal regulations. Show Answer Correct Answer: B) Cultural trends. 39. Which is not part of specific forces? A) Investors. B) Employees. C) Technological conditions. D) Customers. Show Answer Correct Answer: C) Technological conditions. 40. Under the Reserve Bank keeps control on the money supply in order to achieve theobjectives of the general economic policy. A) Trade Policy. B) Industrial Policy. C) Fiscal Policy. D) Monetary Policy. Show Answer Correct Answer: D) Monetary Policy. 41. Creating a website and selling online is realted to A) Economic Environment. B) Social Environment. C) Technological. D) Political Environment. Show Answer Correct Answer: C) Technological. 42. A rise in the level of unemployment would be a ..... A) Economic change. B) Legal change. C) Environmental change. D) Political change. Show Answer Correct Answer: A) Economic change. 43. The government introducing a new tax on fast food restaurants affects which PESTEL factor? A) Political. B) Social. C) Technological. D) Environmental. Show Answer Correct Answer: A) Political. 44. Consistently monitoring similar businesses is an appropriate action to remain competitive. True or False? A) True. B) False. C) All the above. D) None of the above. Show Answer Correct Answer: A) True. 45. From which year Service Tax was imposed by Indian Government? A) 2018-19. B) 2000-01. C) 1994-95. D) 1991-92. Show Answer Correct Answer: C) 1994-95. 46. In the organizational environment, what refers to the beliefs, values, and norms that shape company behavior? A) External stakeholders. B) Task environment. C) Economic climate. D) Corporate culture. Show Answer Correct Answer: D) Corporate culture. 47. In which part of the SWOT analysis are new competitors found? A) Opportunities. B) Weaknesses. C) Threats. D) Strengths. Show Answer Correct Answer: C) Threats. 48. Name the two main types of business environments. A) Digital environment and physical environment. B) Financial environment and operational environment. C) Internal environment and external environment. D) Market environment and social environment. Show Answer Correct Answer: C) Internal environment and external environment. 49. How might socio-cultural factors influence a business's marketing strategy? A) By shaping government policies. B) By determining interest rates. C) By influencing consumer attitudes and behaviors. D) By affecting exchange rates. Show Answer Correct Answer: C) By influencing consumer attitudes and behaviors. 50. It is a form of business organizations wherein two or more people share ownership of a single business. A) C Corporation. B) Partnership. C) Sole Proprietorship. D) Corporation. Show Answer Correct Answer: B) Partnership. 51. Which of the following is NOT a source of pressure from the external environment? A) Government. B) Management. C) Legal (Regulations). D) Economy. Show Answer Correct Answer: B) Management. 52. Which of these is NOT part of the task environment? A) Regulators. B) Strategic partners. C) Suppliers. D) Natural disasters. Show Answer Correct Answer: D) Natural disasters. 53. Which is an example of a financial objective? A) Fulfil a market or social need. B) Increase share price. C) Maximise shareholder returns. D) Increase profits. Show Answer Correct Answer: D) Increase profits. 54. Which of the following best describes the economic environment? A) Technological advancements. B) Cultural values and traditions. C) Political stability and policies. D) Interest rates and inflation rates. Show Answer Correct Answer: D) Interest rates and inflation rates. 55. Are press/media coverage of your company always considered a threat instead of an opportunity? A) Yes. B) No. C) All the above. D) None of the above. Show Answer Correct Answer: B) No. 56. Tax administration measure is a feature of: A) Demonetisation. B) Liberalisation. C) Globalisation. D) Privatisation. Show Answer Correct Answer: A) Demonetisation. 57. Technological environment is A) Static. B) Dynamic. C) Rigid. D) None of these. Show Answer Correct Answer: B) Dynamic. 58. Identify the environment factor which requires that advertisement of baby food must inform the potential buyers that mother's milk is best. A) Legal. B) Social. C) Economic. D) Technological. Show Answer Correct Answer: A) Legal. 59. Which factor most strongly connects national economies worldwide? A) Foreign investments. B) Currency fluctuations. C) Technology and transportation. D) Global tourism. Show Answer Correct Answer: C) Technology and transportation. 60. The business environment includes: A) Only internal factors. B) Only external factors. C) Both internal and external factors. D) Only competitors. Show Answer Correct Answer: C) Both internal and external factors. ← PreviousNext →Related QuizzesCommerce QuizzesClass 12 QuizzesClass 12 Business Studies Chapter 3 Business Environment Quiz 1Class 12 Business Studies Chapter 3 Business Environment Quiz 2Class 12 Business Studies Chapter 3 Business Environment Quiz 3Class 12 Business Studies Chapter 3 Business Environment Quiz 4Class 12 Business Studies Chapter 3 Business Environment Quiz 5Class 12 Business Studies Chapter 3 Business Environment Quiz 6Class 12 Business Studies Chapter 3 Business Environment Quiz 7Class 12 Business Studies Chapter 3 Business Environment Quiz 8 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books