Update

Muft Shiksha™ एक 100% Free Education Portal है 🇮🇳, जिसका उद्देश्य Class 9–12 के हर विद्यार्थी तक High-Quality Education को पूरी तरह मुफ्त पहुँचाना है। 🇮🇳 हम मानते हैं कि अच्छी शिक्षा किसी student की आर्थिक स्थिति पर निर्भर नहीं होनी चाहिए। 🇮🇳 हर विद्यार्थी को वही Quality Study Material, MCQs, Quizzes, Exam Preparation, Concept-Based Learning और Bilingual Support मिलना चाहिए, जो आमतौर पर महंगी Coaching या Premium Platforms में मिलता है। Muft Shiksha™ 🇮🇳 इसी सोच के साथ बनाया गया है

Subjects
0 reads0 ratings0 helpful

If a company starts production without a mandatory licence, what is the correct managerial response?

Answer and explanation

Correct answer: Obtain the required licence and comply with the rules

The governing concept is legal compliance: a business must obtain permissions required by law before conducting regulated operations. A mandatory licence is evidence that the competent authority has allowed the activity subject to stated conditions. Continuing secretly does not remove the violation and can increase penalties; misleading customers is dishonest and unrelated to obtaining permission; deleting records may create an additional obstruction or compliance problem. Option B is therefore correct. Management should stop or suspend the unauthorised production where necessary, identify the licensing requirements, apply to the appropriate authority, maintain accurate records and resume operations only after permission and other conditions are satisfied. This approach protects the firm, workers, customers and public interest.

Related tags

Business-EnvironmentLegal-EnvironmentRegulatory-ComplianceClass-12Legal EnvironmentBusiness EnvironmentBusiness StudiesClass 12 Mcq

Was this question useful?

No ratings yetWrite a review / Rate this question

Student Reviews

No published reviews yet.

Add Muft Shiksha to your Home Screen

In Safari, tap Share, then Add to Home Screen.