Business Environment and International Business MCQs

Question 1

Match the items given in List-I and List-Il. List-I List-II a. Economic liberalization 1. IT-enabled services b. Outsourcing 2. SFIO c. Corporate frauds 3. Macro economic stability d. Second generation reforms 4. Increased competition

Accepted Answer

a-4, b-1, c-2, d-3

Answer

a-1, b-2, c-3, d-4

Answer

a-1, b-3, c-2, d-4

Answer

a-2, b-3, c-4, d-1

Question 2

The Ricardian theory of comparative advantages relates to

Accepted Answer

Long-run outcome

Answer

Short-run outcome

Answer

Intermediate outcome

Answer

All the above

Question 3

Which one of the following treaties was covered by the Uruguay Round Negotiations?

Accepted Answer

All of the above

Answer

General agreement on trade in services

Answer

Trade-related intellectual property rights

Answer

Trade-related investment measures

Question 4

Match the items of List-I with the items in List-II and select a correct answer. List-I List-II a. Vishesh Krishi Upaj Yojana I 1. scheme intended to reduce difficulties of exporters b. EPCG 2. duty Entitlement Pass Book c. DFRC 3. to boost exports of fruits, vegetables, flowers, minor forest produce, etc. d. DEPB 4. relating to import of duty-free fuel

Accepted Answer

a-3, b-1, c-4, d-2

Answer

a-4, b-1, c-2, d-3

Answer

a-4, b-3, c-1, d-2

Answer

a-3, b-4, c-2, d-1

Question 5

Which of the following is the part of development of competitive ability?

Accepted Answer

All of the above

Answer

Product quality

Answer

Ignorance of cost

Answer

Least customer preference

Question 6

More companies operate internationally because

Accepted Answer

domestic companies competitors, suppliers and customers have become international

Answer

new products take time to become known globally

Answer

Both A and B

Answer

None of the above

Question 7

Which of the following is not matched correctly?

Accepted Answer

IFC (estd.) ⇔ 1948

Answer

IBRD (estd.) ⇔ 1945

Answer

IDA (estd.) ⇔ 1960

Answer

MIGA (estd.) ⇔ 1988

Question 8

Consider the following statements. Assertion (A): Internal factors of business environment are more controllable factors. Reason (R): These factors can be altered or modified in the desired manner to suit the environment.

Accepted Answer

Both (A) and (R) are correct

Answer

(A) is correct, but (R) is incorrect

Answer

Both (A) and (R) are incorrect

Answer

(A) is incorrect

Question 9

One of the advantages of free trade is improvements in the distribution of income. Free trade thus results in some income redistribution by

Accepted Answer

Lowering the prices of the scarce factor and raising the price of the abundant factor

Answer

Raising the income of the poor

Answer

Lowering the income of the rich

Answer

Raising the income of the poor and lowering the income of the rich