Answer question based on following case study.
Mr. Rajan wants to start a new business. Before starting new business he made an analysis and found various external and uncontrollable forces which affect individual enterprise directly and indirectly. Because these forces keep on changing, it is difficult to predict future happenings. Some examples of these forces are growth rate of GDP, consumption habits, expansion of communication facilities etc.
Identify the feature of the concept indicated in the phrase 'Difficult to predict future happenings'.
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) → Uncertainty
Option (1) Relativity — Incorrect. Relativity means the environment is different from country to country and region to region. The phrase does not compare places.
Option (2) Dynamic Nature — Incorrect. Dynamic nature means the environment keeps on changing. Change is the reason the future is hard to guess, but the feature that means “difficult to predict” is uncertainty.
Option (3) Continuity — Incorrect. Continuity is not a feature of business environment. It is a feature of planning and management.
Option (4) Uncertainty — Correct. Business environment is largely uncertain because it is very difficult to predict future happenings. When we cannot tell what will happen in future, the situation is uncertain. The passage uses almost the same words: “it is difficult to predict future happenings”.
NCERT (2026-27 Edition): “Uncertainty: Business environment is largely uncertain as it is very difficult to predict future happenings, especially when environment changes are taking place too frequently as in the case of information technology or fashion industries.” “Dynamic nature: Business environment is dynamic in that it keeps on changing whether in terms of technological improvement, shifts in consumer preferences or entry of new competition in the market.” “Relativity: Business environment is a relative concept since it differs from country to country and even region to region. …” |