Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Business Environment

Question:

Why do smaller firms face tough challenges in the rapidly changing technological environment?

Options:

Lack of customer demand

Limited competition

Difficulty in adopting new technologies

Stable market forces

Correct Answer:

Difficulty in adopting new technologies

Explanation:

Increased competition forces the firms to develop new ways to survive and grow in the market. New technologies make it possible to improve machines, process, products and services. The rapidly changing technological environment creates tough challenges before smaller firms.