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An amendment in Minimum Wages Act changed the wage structure and cost of a company. Which dimension is related?

Answer and explanation

Correct answer: Legal dimension

The direct answer is A, Legal dimension. An amendment means that an existing Act or law has been changed. A Minimum Wages Act is a legal rule, so the company must follow the amended wage requirement. Step by step: the Act is amended; the lawful wage requirement changes; the company revises its wage structure; its labour cost may then change. The source of the change remains legal. Option A is correct. Option B, Economic dimension, can describe the resulting change in cost, but it is not the main source identified in the question. Option C, Social dimension, concerns social attitudes, customs, lifestyles and population trends, none of which is mentioned. Option D, Technological dimension, concerns machines, software and production technology, also absent here. Memory cue: an amendment to an Act is a legal-environment clue, even when it later affects cost or price.

Related tags

Business Environment Dimensions Legal Wage ActDimensions Of Business EnvironmentBusiness EnvironmentBusiness StudiesClass 12 Mcq

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