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Subjects

Business Studies

Technological environment

Technological environment, a dimension of Business Environment in Class 12 Business Studies, explains how advances in science, technology and business methods affect organisations. Students learn how innovation, research and development, automation, digital communication, e-commerce and digital payments can change production, marketing, distribution and customer service. The topic also highlights opportunities such as greater efficiency and new markets, along with challenges including technological obsolescence, changing customer expectations and the need for timely adaptation.

Expert · Level 1 · 25 questions

Practice questions

01A company buys every new machine but does not change its market strategy. At expert level, which wrong understanding of technological environment does this show?

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02A company does not launch a new digital product because it fears lower sales of its own old successful product. Which strategic problem is this?

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03On an online platform, more customers attract more sellers and this again attracts more customers. Which advanced effect of technological environment is this?

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04A company becomes dependent on one cloud service provider and later switching becomes costly. This is an example of which technological risk?

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05Quick patches added to an old information system later become barriers to connecting with a new system. What can this be called?

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06An app company allows external developers to build new services through secure interfaces. Which technological strategy does this show?

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07A company changes algorithmic prices based on demand but customers consider it unfair. What is the main technological-managerial challenge here?

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08A car manufacturer adds new features to a vehicle through software updates. What change in product nature does this show?

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09If a company gives artificial intelligence based decisions but cannot explain the reasons, what may regulators and customers question?

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10A company tests a new system in a small market before scaling it based on results. This is an example of which technological approach?

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11A firm buys technology but does not create a data governance policy. From an expert view, what is the biggest risk?

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12An organisation automates a poor process without redesigning it. What may be the result?

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13A company sells internet-connected devices but stops security updates. What long-term risk increases?

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14Two different technological standards are competing in an industry and customers are delaying decisions. This indicates which situation?

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15A company applies its technology to another industry and creates a new market. Which capability of technological environment does this show?

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16A company predicts customer behaviour but old data gives wrong signals in a suddenly changed market. Which technological limitation is this?

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17A company patents its technology but also shares knowledge with partners. What balance does it need?

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18A company knows the capability of a new technology but does not connect it with business goals. What type of deficiency is this?

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19A digital service suddenly becomes very popular but its system cannot handle more users. Which capability is weak?

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20A company installs a new robotic system but keeps quality measures based on old manual standards. What is the expert-level weakness?

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21A company puts excessive digital monitoring on employee activity and trust falls. Which concern does this show?

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22If technological change alters the cost structure of an industry, what will be the most advanced managerial effect?

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23In which situation will a benefit from technological environment not remain a sustainable competitive advantage?

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24A company decides between developing technology internally or buying it from outside. At expert level, what should be the main basis?

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25A company spends heavily on new technology but customer experience does not improve. This indicates which failure?

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