Match List-I (Term) with List-II (Meaning).List-IList-II(A) Disinvest…

Match List-I (Term) with List-II (Meaning).

List-I	List-II
(A) Disinvestment	(I) Indian companies, small and large, being bought over by foreign firms
(B) Liberalisation	(II) The government selling its share in public sector companies
(C) Outsourcing	(III) Companies passing their work to smaller companies or even to homes
(D) Multinational takeover	(IV) Private companies investing in sectors earlier reserved for the government

Choose the correct answer from the options given below:

Answer & explanation

Correct answer: option 2

The correct answer is Option (2) → A-II, B-IV, C-III, D-I

List-I	List-II	Reason
(A) Disinvestment	(II) The government selling its share in public sector companies	Disinvestment is the name for the government selling its share in public sector companies. Many government workers fear losing their jobs after it.
(B) Liberalisation	(IV) Private companies investing in sectors earlier reserved for the government	Since the 1990s, liberalisation has encouraged private companies, especially foreign firms, to invest in sectors earlier reserved for the government, such as telecom, civil aviation and power.
(C) Outsourcing	(III) Companies passing their work to smaller companies or even to homes	Outsourcing means companies pass their work to smaller companies or even to homes. Multinationals do this across the globe, using cheap labour in countries like India.
(D) Multinational takeover	(I) Indian companies, small and large, being bought over by foreign firms	As a result of liberalisation, many Indian companies, small and large, have been bought over by multinationals. Parle drinks being bought by Coca Cola is one instance.

NCERT (2026-27): “Globalisation, Liberalisation and Changes in Indian Industry
Since the 1990s, the government has followed a policy of liberalisation. Private companies, especially foreign firms, are encouraged to invest in sectors earlier reserved for the government, including telecom, civil aviation, power, etc. Licenses are no longer required to open industries. Foreign products are now easily available in Indian shops. As a result of liberalisation, many Indian companies— small and large, have been bought over by multinationals. …”

“The government is trying to sell its share in several public sector companies, a process which is known as disinvestment. Many government workers are scared that after disinvestment, they will lose their jobs. In ‘Modern Foods’, which was set up by the government to make healthy bread available at cheap prices, and which was the first company to be privatised, 60% of the workers were forced to retire in the first five years.”

“More and more companies are reducing the number of permanent employees and outsourcing their work to smaller companies or even to homes. …”