Brainscape's Knowledge GenomeTM

Browse over 1 million classes created by top students, professors, publishers, and experts.


See full index

Business Studies > Book 1 Chapter 3: Business Environment > Flashcards

Book 1 Chapter 3: Business Environment Flashcards

1
Q

Business Environment

A

Sum total of all individuals, institutions and other forces that are outside the control of the business but may affect its performance

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
2
Q

Features of Business Environment

A

CID RUST

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
3
Q

The C in CID RUST

A

Complexity

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
4
Q

The I in CID RUST

A

Inter-relatedness

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
5
Q

The D in CID RUST

A

Dynamic Nature

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
6
Q

The R in CID RUST

A

Relativity

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
7
Q

The U in CID RUST

A

Uncertainty

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
8
Q

The S in CID RUST

A

Specific & General Forces

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
9
Q

The T in CID RUST

A

Totality of External Forces

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
10
Q

Specific Forces

A

Specific Forces affect individual enterprises directly and immediately in their day to day working

For Example, Investors, Customers, Competitors, Suppliers etc.

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
11
Q

General Forces

A

General Forces have impact on all business enterprises and thus may affect an individual firm only indirectly

For Example, Social, Legal, Political and Technological conditions

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
12
Q

Business Environment differs from country to country and even region to region

A

Relativity

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
13
Q

It is very difficult to predict future happenings in the Business Environment

A

Uncertainty

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
14
Q

The Business environment is a complex phenomenon that is relatively easier to understand in parts but difficult to grasp in totality

A

Complexity

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
15
Q

The Business Environment keeps on changing

A

Dynamic in Nature

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
16
Q

Business Environment is aggregative in nature

A

Totality of External Forces

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
17
Q

Different elements or parts of business environment are closely inter-related

A

Inter-relatedness

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
18
Q

Importance of Business Environment

A

IIT CAP

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
19
Q

The I in IIT CAP

A

Identify Opportunities and getting First mover Advantage

Identify Threats and early warning signals

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
20
Q

The I in IIT CAP

A

Identify Threats and early warning signals

Identify Opportunities and getting First mover Advantage

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
21
Q

The T in IIT CAP

A

Tapping Useful Resources

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
22
Q

The C in IIT CAP

A

Coping with Rapid Changes

How well did you know this?
1
Not at all
2
3
4
5
Perfectly
23
Q

The A in IIT CAP

A

Assists in Planning and Policy formulation

24
Q

The P in IIT CAP

A

improves Performance

25
Q

Opportunities

A

They refer to the positive external trends or changes that will help a firm to improve its performance

26
Q

Environment provides numerous opportunities for Business Success

A

Identify Opportunities and getting first mover advantage

27
Q

Early identification of opportunities helps an enterprise to be the first to exploit them instead of losing them competitors

A

First mover Advantage

28
Q

Threats

A

They refer to the external environment trends and changes that will hinder a firm’s performance

29
Q

Environment is a source of various resources for running a business

A

Tapping Useful Resources

30
Q

Inputs

A

They refer to the various resources required by a business enterprise to engage in any type of activity

For example, finance, raw materials, labour etc.

31
Q

Outputs

A

They refer to the end products that the business enterprise supplies (such as goods and services) after applying the necessary inputs

32
Q

The business enterprise depends on the environment as a source of inputs or resources and as an outlet for outpus

A

Tapping Useful Resources

33
Q

The future of an enterprise is closely bound up with what is happening in the environment

A

improves Performance

34
Q

Managers must understand and examine the environment and develop suitable courses of action

A

Coping with Rapid Changes

35
Q

Dimensions of Business Environment

A

SLEPT

36
Q

The S in SLEPT

A

Social

37
Q

The L in SLEPT

A

Legal

38
Q

The E in SLEPT

A

Economic

39
Q

The P in SLEPT

A

Political

40
Q

The T in SLEPT

A

Technological

41
Q

Examples of Economic Environment

A

Interest rates and Inflation Rates

Value of Currency

Changes in Disposable Income of the People

42
Q

Examples of Social Environment

A

Consumer Tastes and Preferences

Consumer Expectations

Literacy Rates

Life Expectancy

43
Q

Examples of Technological Environment

A

Scientific Improvements

New Inventions and Innovations

New ways of Production

44
Q

Examples of Political Environment

A

Constitution of the Country

Prevailing Political System

Political Unrests

Foreign Political Relationships

45
Q

Examples of Legal Environment

A

New Legislations passed by the Government

Court Judgements

Administrative Orders by Government Authorities

46
Q

NIP

A

New Industrial Policy, 1991

47
Q

FIPB

A

Foreign Investment Promotion Board

Was set up to promote and channelise Foreign Investment

48
Q

When was NIP announced?

A

July 1991

49
Q

Disinvestment

A

It refers to dilution of stake of the Government in the Public Sector Enterprises and giving greater control to the Private sectors

50
Q

FDI

A

Foreign Direct Investment

Enabled Foreign Companies to directly invest in the Country

51
Q

Liberalisation

A

Freeing industries from the shackles of the licensing system and removing unnecessary controls and restrictions

52
Q

End of Licence-Permit-Quota Raj

A

Liberalisation

53
Q

Privatisation

A

Giving greater role to the Private sector enterprises as opposed to the public sector enterprises

Diluting industries who were regularly incurring losses

54
Q

BIFR

A

Board of Industrial and Financial Reconstruction

Aimed at assisting viable industries and shutting down other industries who were regularly incurring losses

55
Q

Globalisation

A

Increasing the level of interaction and interdependence among various nations to remove physical geographical boundaries and gaps

Business Studies (2 decks)

Brainscape helps you reach your goals faster, through stronger study habits.
© 2024 Bold Learning Solutions. Terms and Conditions