Target Exam

CUET

Subject

Business Studies

Chapter

Business Environment

Question:

PNB took over 'Oriental Bank of Commerce' and 'United Bank of India' to become the Country's second largest lender.

_________ dimension of Business environment is exhibited by above.

Options:

Technological Environment

Political Environment

Legal Environment

Economic Environment

Correct Answer:

Economic Environment

Explanation:

The correct answer is Option (4)- Economic Environment.

The dimension of the business environment exhibited by the scenario is economic environment.

The takeover of 'Oriental Bank of Commerce' and 'United Bank of India' by PNB reflects a significant change in the economic landscape, particularly within the banking sector.

The economic environment refers to the conditions and factors that affect the functioning of businesses and organizations within an economy. It encompasses various aspects related to the economic system,  Some Components of Economic Environment are as follows-

* Existing structure of the economy in terms of relative role of private and public sectors.
* The rates of growth of GNP and per capita income at current and constant prices.
* Rates of saving and investment
* Volume of imports and exports of different items.
* Balance of payments and changes in foreign exchange reserves.
* Agricultural and industrial production trends.
* Expansion of transportation and communication facilities.
* Money supply in the economy.
* Public debt (internal and external).
* Planned outlay in private and public sector.