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Subjects

Business Studies

Dimensions of business environment

In Class 12 Business Studies, the topic “Dimensions of Business Environment” explains the major external forces that influence business decisions and performance. Students learn to distinguish the economic, social, technological, political and legal dimensions, understand how each affects opportunities, risks, consumers and organisations, and connect these factors with changes in business policies and practices. The topic helps learners analyse the wider environment in which businesses operate.

Medium · Level 2 · 25 questions

Practice questions

01Growing public concern about the environment increases demand for recyclable packaging. Which dimension of the business environment does this illustrate?

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02A government adopts a policy of exercising extensive direct control over businesses. Which dimension of the business environment does this indicate?

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03Rules protecting consumer rights in e-commerce belong to which dimension of the business environment?

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04Rising preference for local language content among customers shows which dimension?

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05Installing a computer-controlled cutting machine in production is an example of which dimension of the business environment?

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06Factories benefit from a government policy aimed at promoting industrial peace. Which dimension of the business environment does this illustrate?

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07Due to data protection law a company must keep customer information secure. Which dimension is this?

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08A fall in raw material prices increases a firm's profit margin. Which dimension of the business environment is affecting it?

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09Special buying habits during festivals are mainly related to which dimension of the business environment?

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10Artificial-intelligence-based customer support is an example of which dimension of the business environment?

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11A government’s favourable political stance toward foreign investors leads it to permit foreign investment. Which dimension of the business environment does this illustrate?

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12Rules governing the enforcement of online contracts affect businesses. Which dimension of the business environment do these rules belong to?

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13If the government reduces interest rates to make loans cheaper which dimension will affect business?

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14Due to which dimension can demand for low sugar products rise when health awareness increases?

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15A factory installed robotic machines and made production faster. This is the effect of which dimension?

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16If trade policy changes after elections which dimension is involved?

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17A company had to change app permissions because of new data privacy rules. Which dimension is this?

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18If fitness culture rises among young customers and demand for gym apps increases which dimension is prominent?

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19Retail shops started digital billing due to the growth of online payment platforms. This is an example of which dimension?

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20The government adopted a policy to promote domestic industries. Which dimension does this show?

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21If a company is penalized for not meeting product safety standards which dimension is involved?

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22Sales of premium products increased due to higher purchasing power of customers. This is related to which dimension?

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23Demand for smaller packs increased due to shift from joint families to nuclear families. This is the effect of which dimension?

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24Starting artificial intelligence based customer support is most related to which dimension?

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25Investors stop a new project due to political instability. This is related to which dimension?

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