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Business Environment

1.

Business environment consists of factors which are certain by nature.

Answer: B

 False; there is uncertainty in business environment.

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2.

Political environment consists of political system and its working.

Answer: A

True; political environment includes political conditions, working and political system.

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3.

Privatisation involves freedom of doing business.

Answer: B

False; liberalisation involves freedom of doing business.

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4.

Dynamic nature of business environment suggests that it is pervasive.

Answer: B

False; dynamic nature of business environment suggests that it keeps on changing.

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5.

 Investors and customers are the two components of specific forces of business environment.

Answer: A

True; investors and customers are the two components.

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