Practicing Success

Target Exam

CUET

Subject

Entrepreneurship

Chapter

Entrepreneurial Opportunity

Question:

Bingo airline is planning to expand over the next five years. Some of the board of directors are resistant to airport expansion citing impact of carbon emission from jet engines. Identify from the following the MACRO environmental factor highlighted in the above case.

Options:

Legal factor

Economic factor

Ecological factor

Social factor

Correct Answer:

Ecological factor

Explanation:

Ecological factors are those that relate to the environment and its impact on business. In this case, the concern about carbon emissions from jet engines is an example of an ecological factor.

The other options are not as appropriate:

  • Legal factors are those that relate to laws and regulations. For example, a business may be concerned about changes in environmental regulations that could affect its operations.
  • Economic factors are those that relate to the economy. For example, a business may be concerned about a recession that could reduce consumer spending.
  • Social factors are those that relate to society. For example, a business may be concerned about public opinion or consumer attitudes towards its products or services.

Therefore, the most appropriate description of the factor highlighted in the case is an ecological factor.