Tag: organisation of commerce and management

Questions Related to organisation of commerce and management

Liberalisation means:

organisation of commerce and management liberalization, privatization and globalization concept and necessity of globalization highlights of lpg policy multinational corporations

  1. Integration among economies

  2. Reduced government controls and restrictions

  3. Policy of planned disinvestment

  4. None of them

Show answer
Correct Option: B
Explanation:

Liberalization means relaxation of various government restrictions in the areas of social and economic policies. Liberalizing trade policy by the government that is removal of tariff, subsidies and other restrictions on the flow of goods and services between countries is also termed as liberalization. 

Privatisation is a ____________.

organisation of commerce and management liberalization, privatization and globalization concept and necessity of globalization highlights of lpg policy multinational corporations

  1. Global phenomenon

  2. Internal phenomenon

  3. New phenomenon

  4. Traditional phenomenon

Show answer
Correct Option: A
Explanation:

Privatization is a global trend. Privatization can be defined as a process of transferring of ownership or management of an enterprise from public sector to private sector. It helps to increase the size and dynamism of private sector. It also helps to reduce administrative burdens on the public sector.

The integration of the country with the world economy is called ______.

organisation of commerce and management liberalization, privatization and globalization concept and necessity of globalization highlights of lpg policy multinational corporations

  1. International trade

  2. European Community Market

  3. Free trade zones

  4. Globalisation

Show answer
Correct Option: D
Explanation:

The integration of the country with the world economy is called globalization. Globalization can be defined as the growing interdependence of countries worldwide through increasing volume and variety of cross border transactions in goods and services and also through rapid diffusion of technology.

An important factor which has facilitated the globalisation process is ________.

organisation of commerce and management liberalization, privatization and globalization concept and necessity of globalization highlights of lpg policy multinational corporations

  1. Foreign capital

  2. Foreign investment

  3. Foreign Aid

  4. Technology

Show answer
Correct Option: D
Explanation:

An important factor which has facilitated the globalization process is technology. Globalization can be defined as the growing interdependence of countries worldwide through increasing volume and variety of cross border transactions in goods and services and also through rapid diffusion of technology.

The term 'globalisation' is a synonym for the term __________.

organisation of commerce and management liberalization, privatization and globalization concept and necessity of globalization highlights of lpg policy multinational corporations

  1. Nationalisation

  2. Liberalisation

  3. Privatisation

  4. Internationalisation

Show answer
Correct Option: D
Explanation:

The term 'globalization' is a synonym for the term internationalization. Globalization can be defined as the growing interdependence of countries worldwide through increasing volume and variety of cross border transactions in goods and services and also through rapid diffusion of technology.

Privatization is a/an ________.

organisation of commerce and management liberalization, privatization and globalization concept and necessity of globalization highlights of lpg policy multinational corporations

  1. Social policy

  2. Economic policy

  3. Political policy

  4. International policy

Show answer
Correct Option: D
Explanation:

Privatization is an international policy. Privatization can be defined as a process of transferring of ownership or management of an enterprise from public sector to private sector. It helps to increase the size and dynamism of private sector. It also helps to reduce administrative burdens on the public sector.

Closure of small scale firms is a positive effect of economic liberalisation.

organisation of commerce and management liberalization, privatization and globalization concept and necessity of globalization highlights of lpg policy multinational corporations

  1. True

  2. False

Show answer
Correct Option: B
Explanation:

B. False

Liberalization aims at ending those restrictions which cause hindrances in the development and growth of the country. Under liberalization the government control over the economy is loosened and the private players are encouraged by imposing fewer restrictions on them. However, in this case the small scale business firms tend to suffer losses and thus end up closing. Due to the closure of these firms workers become unemployed and thus, this causes a negative effect.

The actual economic liberalization process began during _________.

organisation of commerce and management liberalization, privatization and globalization concept and necessity of globalization highlights of lpg policy multinational corporations

  1. 1970's

  2. 1980's

  3. 1990's

  4. 1960's

Show answer
Correct Option: C

Prior to liberalisation ___________ of the most important industries were exclusively reserved for the public sector.

organisation of commerce and management liberalization, privatization and globalization concept and necessity of globalization highlights of lpg policy multinational corporations

  1. 7

  2. 10

  3. 12

  4. 17

Show answer
Correct Option: D
Explanation:

Prior to liberalization 7 of the most important industries were exclusively reserved for the public sector. It was educed to 8 industries under the New Economic Policy, 1991. Liberalization refers to end of license, quota and many more restrictions and controls which were put on industries before 1991.

Economic and industrial liberalization was announced in the _________.

organisation of commerce and management liberalization, privatization and globalization concept and necessity of globalization highlights of lpg policy multinational corporations

  1. Industrial policy resolution, 1948

  2. Industrial policy resolution, 1956

  3. Industrial policy statement, 1977

  4. Industrial policy, 1991

Show answer
Correct Option: D
Explanation:

Economic and industrial liberalization was announced in the Industrial policy, 1991. It helped to create a more free and competitive environment in the market. It also enhanced the interaction and interdependence among the various nations of the global economy.