This quiz works best with JavaScript enabled. Home > Class 12 > Class 12 Business Studies Chapter 3 Business Environment – Quiz 32 🏠 Homepage 📘 Download PDF Books 📕 Premium PDF Books Class 12 Business Studies Chapter 3 Business Environment Quiz 32 (25 MCQs) Quiz Instructions Select an option to see the correct answer instantly. 1. What is the significance of economic planning in India? A) It is crucial for resource allocation, balanced development, poverty alleviation, and sustainable growth in India. B) Economic planning is only important for urban areas. C) Economic planning is solely focused on foreign investments. D) Economic planning has no impact on poverty levels. Show Answer Correct Answer: A) It is crucial for resource allocation, balanced development, poverty alleviation, and sustainable growth in India. 2. Privatization was done by A) Selling stakes in loss making PSUs. B) Sale of partial interest in other PSUs. C) Strategic sale of PSUs. D) All of these. Show Answer Correct Answer: D) All of these. 3. Why is environmental analysis important for businesses? A) It helps to avoid competition completely. B) It enables better decision-making and strategic planning. C) It eliminates the need for risk management. D) It ensures a business never faces external threats. Show Answer Correct Answer: B) It enables better decision-making and strategic planning. 4. Which of the following makes up the external environment (macro)? A) Owners/managers, Employees, Organisational structure & Organisational culture. B) Customers, Competitors, Suppliers & Interest Groups. C) Socio-Cultural, Technological, Economic, Environmental, Political, Legal, Ethical. D) Operations, Finance, Marketing, Human Resources. Show Answer Correct Answer: C) Socio-Cultural, Technological, Economic, Environmental, Political, Legal, Ethical. 5. What is the primary interest of shareholders? A) Receiving fair wages. B) Profitability of the business and receiving dividends. C) Ensuring customer satisfaction. D) Complying with government regulations. Show Answer Correct Answer: B) Profitability of the business and receiving dividends. 6. Establishing a strong customer base, gaining loyalty, and building relationships are all examples of which External Operating factor? A) Customers. B) Competitors. C) Suppliers. D) Interest Groups. Show Answer Correct Answer: A) Customers. 7. What is a distinguishing feature of a not-for-profit organisation? A) It operates only in the private sector. B) It is always owned by the government. C) It distributes profits to its members. D) It focuses on achieving social objectives rather than profit. Show Answer Correct Answer: D) It focuses on achieving social objectives rather than profit. 8. Name the 5 economic sectors A) Primary Sector Secondary sector Tertiary sector Quaternary sector Quinary sector. B) Primary Sector Toy making sector Quinary sector Quaternary sector Secondary sector. C) Coffee Sector. D) Primary Sector Tertiary sector Quinary sector Quaternary sector Secondary sector. Show Answer Correct Answer: A) Primary Sector Secondary sector Tertiary sector Quaternary sector Quinary sector. 9. Konsep bisnis yang bertindak lebih jauh lagi dari bisnis domestik dan bukan sekedar pemasaran ekspor, tetapi lebih jauh terlibat dalam lingkungan pemasaran dalam negara tempat perusahaan tadi melakukan bisnis adalah ..... A) Bisnis internasional. B) Bisnis transnasional. C) Bisnis global. D) Bisnis multinasional. Show Answer Correct Answer: A) Bisnis internasional. 10. How do economic factors influence the business environment? A) They determine the organization's internal processes. B) They affect consumer purchasing power and demand for goods/services. C) They define the company's core values and mission. D) They regulate the organization's ethical standards. Show Answer Correct Answer: B) They affect consumer purchasing power and demand for goods/services. 11. Why might a charity organisation prioritise usability over advanced features? A) They do not use technology. B) They usually have limited funding and technical resources. C) They do not care about quality. D) They never use digital systems. Show Answer Correct Answer: B) They usually have limited funding and technical resources. 12. A feature of good communication is A) Ambiguity. B) Clear. C) Volume. D) Irrelevance. Show Answer Correct Answer: B) Clear. 13. The sale of gift items increases during the time of Diwali and Christmas. Popular firms dealing in gift items in major towns and cities make special plans of sale during this period.Which dimension of business environment comes into picture here? A) Social. B) Political. C) Economic. D) Legal. Show Answer Correct Answer: A) Social. 14. What is the impact of globalization on the Indian economy? A) Increased competition. B) Reduced unemployment. C) Stagnant growth. D) Isolation from global markets. Show Answer Correct Answer: A) Increased competition. 15. The last stage in Rostow's theory A) Drive to maturity. B) Age of mass consumption. C) Both. D) None of these. Show Answer Correct Answer: B) Age of mass consumption. 16. Jim recently merged his company's personnel and employee-training departments into a single human resources department. which management function has Jim performed? A) Organising. B) Quality control. C) Leading. D) Leadership. Show Answer Correct Answer: A) Organising. 17. Balance sheet consists of the following except: A) Costs. B) Assets. C) Liabilities. D) Owner's equity. Show Answer Correct Answer: A) Costs. 18. What is a 'customs union'? A) A protected free trade area which does not apply a common external tariff. B) A protected free trade area which does not use a common agricultural policy. C) It is a union which consits of the countries of European Economic Area (EEA) and the EU. D) A protected free trade area which involves the removal of tariff barriers between member states. Show Answer Correct Answer: D) A protected free trade area which involves the removal of tariff barriers between member states. 19. Which of the following is not an important objective of a business? A) Survival. B) Profitablity. C) Growth. D) Social status. E) Social responsibility. Show Answer Correct Answer: D) Social status. 20. A document detailing a company's rules and guidelines on staff behaviour that must be followed by all employees. A) Ethical code. B) Management by objectives. C) Corporate social responsibility. D) Mission Statement. Show Answer Correct Answer: A) Ethical code. 21. Which of the following is a feature of demonetization? A) Development of less-cash economy. B) All of the above. C) Channelizing savings into the formal financial system. D) Tax administration measure. Show Answer Correct Answer: B) All of the above. 22. Deciding to stay home and study, instead of going to a basketball game, is an example of a/an: A) A trade-off. B) B. capital good. C) C. economic want. D) D. economic service. Show Answer Correct Answer: A) A trade-off. 23. Which of the following is a feature of business environment? A) Predictability. B) Static nature. C) Inter-relatedness. D) Simplicity. Show Answer Correct Answer: C) Inter-relatedness. 24. Which of the following would be considered an advantage of debt as a source of finance? A) It allows the owner to withdraw the money for personal use. B) Australia's tax system provides businesses tax deductions for interest payments. C) It is safer for the owner as it gurantees personal wealth even if the business incurs losses. D) All of the above. Show Answer Correct Answer: B) Australia's tax system provides businesses tax deductions for interest payments. 25. Which of the following is not a problem solving technique? A) Brainstorming. B) Indigenous knowledge. C) Deep thinking and analysis. D) Force field. Show Answer Correct Answer: C) Deep thinking and analysis. ← PreviousNext →Related 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 8Class 12 Business Studies Chapter 3 Business Environment Quiz 9Class 12 Business Studies Chapter 3 Business Environment Quiz 10 🏠 Back to Homepage 📘 Download PDF Books 📕 Premium PDF Books