People are consuming more and more fast food nowadays. Which dimension of the business environment is addressed here?
Answer & explanation
Correct answer: option 2
The correct answer is Option (2) → Social
Option (1) Economic — Incorrect. The economic environment covers interest rates, inflation, people’s income and similar money factors. A change in what people like to eat is not one of them.
Option (2) Social — Correct. The social environment is made up of customs, values, lifestyles and social trends. Eating more fast food is a change in lifestyle and food habits, so it is a social trend. Like any social trend, it opens chances for some businesses and threats for others.
Option (3) Technological — Incorrect. The technological environment is about new methods, machines and products that come from scientific progress.
Option (4) Political — Incorrect. The political environment is about the stability of the government and its attitude towards business.
NCERT (2026-27 Edition): “(ii) Social Environment: … Social trends present various opportunities and threats to business enterprises. For example, the health-and-fitness trend has become popular among large number of urban dwellers. This has created a demand for products like organic food, gyms, bottled (mineral) water and food supplements.” |