SUBJECT : Business Environment

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SUBJECT : Business Environment
Total Marks: 80


N. B.: 1)Attempt any Four Questions
2)All questions carries equal marks.




Question. 1.Give a block diagram in establishing the design and quality standards of technology recipient site?

Answer:The Data Encryption Standard (DES) and the Advanced Encryption Standard (AES) are block cipher designs that have been designated cryptography standards by the US government (though DES's designation was finally withdrawn after the AES was adopted). Despite its deprecation as an official standard, DES (especially its still-approved and much more secure triple-DES variant) remains quite popular; it is used across a wide range of applications, from ATM encryption to e-mail privacy and secure remote access. Many other block ciphers have been designed and released, with considerable variation in quality. Many have



Question. 2. Business decision making and the impact of the macro-environment, Discuss?

Answer:There are two kinds of external marketing environments; micro and macro. These environments’ factors are beyond the control of marketers but they still influence the decisions made when creating a strategic marketing strategy.

micro and macro environments
Micro Environment Factors




Question. 3. Give the constitution of SEBI Board and explain SEBI functions?

Answer:Securities Exchange Board of India (SEBI) was set up in 1988 to regulate the functions of securities market. SEBI promotes orderly and healthy development in the stock market but initially SEBI was not able to exercise complete control over the stock market transactions.

It was left as a watch dog to observe the activities but was found ineffective in regulating and controlling them. As a result in May 1992, SEBI was granted legal status. SEBI is a body corporate having a separate legal existence and perpetual



Question. 4. Write a note on socio-cultural environment of Business Write a note on socio-cultural environment of Business?

Answer:The social environment consists of the sum total of a society's beliefs, customs, practices and behaviors. It is, to a large extent, an artificial construct that can be contrasted with the natural environment in which we live.

Every society constructs its own social environment. Some of the customs, beliefs, practices and behaviors are similar across cultures, and some are not. For example, an American traveling to Britain will find many familiar practices but not so much if traveling to China.

This social environment created by a society-at-large in which a business functions can be referred to as its external social environment. If a business operates in a multicultural society, then the social external social environment is even more complicated





Question. 5. Discuss how the environment acts does as a stimulant to business. Analyze why business often does little for the preservation of physical environment despite the fact that it is significant for business activity?

Answer:A good environment is a constitutional right of the Indian Citizens. Environmental Protection has been given the constitutional status. Directive Principles of State Policy states that, it is the duty of the state to 'protect and improve the environment and to safeguard the forests and wildlife of the country'. It imposes Fundamental duty on every citizen 'to protect and improve the natural environment including forests, lakes, rivers and wildlife'.

In India, the Ministry of Environment and Forests (MoEF) is the apex  administrative body for :-
(i) regulating and ensuring environmental protection;
(ii) formulating the environmental policy framework in the country;
(iii) undertaking conservation & survey of flora, fauna, forests and wildlife; and
(iv) planning, promotion, co-ordination and





Question. 6. Evaluate the advantages and disadvantages of FDI. What is your opinion on the role of FDI in the Retail Sector? Justify your views with India's experience in this sector?

Answer:FDI stands for Foreign Direct Investment. When a foreign investor wants to incorporate a company in India or wants to invest in an existing company then such a transaction is known as a Foreign Direct Investment.

What is the principle of the law governing FDI in India?

One of the first questions which needs to be answered is what is the principle underlying the law of FDI in India. In other words, is the approach towards FDI an 'exclusive' one wherein the law prescribes the sectors/industries in which FDI is allowed and the ones in which it is not allowed?

Or is it an 'inclusive' one wherein FDI is allowed in general but only certain specified sectors/industries/types of entities are not allowed to have FDI? As FEMA is an enabling Act, it is the latter scheme of legislation which it follows i.e. there is a general permission for all types of entities to invest in most sectors in India and if the Government wants to put some restrictions / conditions on such investments, then the onus is on




Question. 7.Discuss the Third plan (1961-66)?

Answer:The third plan report stated that during the five-year period, the Indian economy, “must not only expand rapidly, but at the same time become self-reliant and self-generating.”

Objectives:

(i) An increase in national income of more than 5% annually. The investment pattern laid down must be capable of sustaining this growth rate in the subsequent years.

(ii) An increase in the agricultural produce and to achieve self-sufficiency by increasing food-grain production.

(iii) Expansion of basic industries, the aim being to




Question. 8. Give any three critical elements of economic environment of Business?

Answer:From the standpoint of both the corporate business management and national economic management in India, the following may be highlighted as the critical elements of the economic environment of business:

The institutional framework of the environment: The philosophy and practice of an economic system will, to a large extent, determine the relative roles and responsibilities of the private sector, the public sector, the joint sector etc.

The physical framework of the environment: The level of

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