Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Business Environment

Question:

Match the following:

Column -I Column- II
A) Suppliers and creditors 1) Opportunities
B) Social and political environment 2) Specific forces
C) Gaining the profits for being a pioneer 3) General forces
D) Positive external trends 4) First mover advantage
Options:

A-1, B-2,C-3, D-4

A-2, B-3,C-4, D-1

A-3, B-4,C-1, D-2

A-4, B-1,C-2, D-3

Correct Answer:

A-2, B-3,C-4, D-1

Explanation:

* Suppliers and creditors- Specific forces such as investors, customers, competitors, suppliers, etc.

* Social and political environment- General forces such as economic, social, political, legal, natural and technological conditions influence all business enterprises.

* Gaining the profits for being a pioneer-  first-mover advantage can be simply defined as a firm's ability to be better off than its competitors as a result of being first to market in a new product category.

* Positive external trends- Opportunities in the business environment are those factors that provide possibilities for a business to expand so as to make more sales and profits. Constraints are those factors that limit the ability to grow, and reduce sales and profit potential.