Hi Candidate,

Business Environment encompasses the -climate' or set of conditions, economic, social, political or institutional in which business operations are Conducted.

Indian business environment is characterized by the co-existence of both public and private sector in respect of its participation in various economic activities in the country. Accordingly, the various economic policies of the country can promote the development of both the sectors in different spheres of activities.

Environment contains the external factors that create opportunities and threats to the business.

Hope that this answer helps you.

Hello,

Here are some mcq on Indian Business Environment and for more just Google the same and you will get pdfs links directly.

1. Liberalization means

A. Free determination of interest rates

B. Liberating the industry, trade and economy from unwanted restrictions

C. Opening up of economy to the world by attaining international competitiveness

D. Reducing number of reserved industries from 17 to 8

Answer: B

2. When a company taken over another one and clearly becomes the new owner, the action is called

A. Acquisition

B. Merger

C. Strategic Alliance

D. None of the above

Answer: A

3. By which act does the government check restrictive trade?

A. MRTP Act

B. FEMA act

C. Industrial Policy Act 1991

D. None of these

Answer: A

4. Which among the following is not opened for private sector participation

A. Railways

B. Telecommunication sector

C. Education sector

D. Power sector

Answer: A

5. Which among these can be the condition for the success of privatisation?

A. Measurability of performance

B. Alternative institutional arrangements

C. Barriers to enter the market

D. All of the above

Answer: C

6. Which among these is monopolistic trade practice?

A. Manufacturing only one product

B. Selling only one product

C. Limiting technical Development

D. Unreasonably limiting competition

Answer: A

7. The Industrial policy resolution was passed first in

A. 1947

B. 1956

C. 1931

D.1999

Answer: B

8. Globalisation is the term used to describe process of removal of restriction on

A. Investment

B. Foreign Trade

C. Both (A) and (B)

D. None of the above

Answer: C

9. Laissez Faire policy is adopted in

A. Socialist Economic system

B. Capitalist Economic system

C. Communist Economic System

D. Mixed Economic System

Answer: B

10. Which one is not the main objective of Fiscal Policy in India?

A. To promote employment opportunities

B. To minimize the inequalities of income and wealth

C. To promote price stability

D. To increase liquidity in economy

Answer: D