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Students get through the TN Board 12th Commerce Important Questions Chapter 20 Liberalization, Privatization and Globalization which is useful for their exam preparation.

TN State Board 12th Commerce Important Questions Chapter 20 Liberalization, Privatization and Globalization

Very short answer questions

Question 1.
What is Globalization?
Answer:

1. Globalization results from the removal of barriers between national economies to encourage the flow of goods, services, capital, and labor.
2. Removal of tariffs and quotas that restrict free and open trade among nations has helped globalize the world economy.

Question 2.
Mention any three disadvantages of globalization.
Answer:

1. Loss of domestic industries.
2. Increase in inequalities.
3. The dominance of foreign Institutions.

Question 3.
State the measures of Liberalization adopted by the Government of India.
Answer:

1. Liberalization for Industrial licensing.
2. Freedom for expansion and production.
3. Increase in the investment limit of the small industries.
4. Foreign exchange reforms.
5. Liberalization of export and import transaction.

Question 4.
List out the advantages of Privatization.
Answer:

1. Increase in efficiency.
2. Professional Management.
3. Increase in competition.
4. Reduction in the economic burden of Government.

Question 5.
What is a Memorandum of Understanding?
Answer:

1. Memorandum of the Understanding system was introduced in 1991 to raise the productivity and performances of PSUs.
2. It strengthens the relationship between PSUs and administrative departments.

Question 6.
Explain the reason for Privatization.
Answer:

1. PSUs were running in losses due to mismanagement and political interference.
2. The managers could not work independently.
3. The production capacity remained under-utilized.

Question 7.
Define Disinvestment.
Answer:
Disinvestment means selling of Government securities of Public Sector Undertakings (PSUs) to other PSUs or Private sectors or banks.

Question 8.
Explain disinvestment in PSUs.
Answer:
The Government has started the process of disinvestment in those PSUs which had been running into loss. It means that Government has been selling out these industries to the private sector. So disinvestment is a system of privatizing Government enterprises.

Short answer questions

Question 1.
State any three impacts on Privatization.
Answer:

1. Privatization has a positive impact on financial growth by decreasing deficits and debts.
2. Increase in the efficiency of Government undertakings.
3. Provide better goods and services to the consumers.
4. Making way for Foreign Direct Investment (FDI).

Question 2.
Discuss Forms of Globalization.
Answer:

1. Foreign trade policy: India has signed a number of agreements in order to expand Indian trade worldwide. Some of the agreements include TRIPs, GATs.
2. Export promotion: It promotes export by reducing quotas and tariffs by eliminating trade restrictions and by simplifying trade procedures.
3. Reduction in tariffs: Custom duties and tariffs imposed on imports and exports are reduced gradually to make the Indian economy attractive to global investors.
4. Encouraging open competition: Domestic companies start their operations at the international level and there is an open competition.

Question 3.
What are the disadvantages of globalization?
Answer:

1. Loss of domestic industries: It causes a decline in the demand for domestic products which in turn vanishes the domestic business.
2. Increase in inequalities: Globalization widens the gap between rich and poor. Also, developed countries exploit the resources of developing countries.
3. The dominance of foreign Institutions: Economic power shifts from independent industries to international organizations which is a threat to national sovereignty.

Question 4.
Explain the reasons for implementing LPG.
Answer:

1. Excess of consumption and expenditure over revenue resulting in heavy Government borrowings.
2. Growing inefficiency in the use of resources.
3. Mismanagement of the firm and the economy.
4. Increases in losses for Public Sector enterprises.
5. Low foreign exchange reserves.
6. Inflation.

Long answer questions

Question 1.
Explain the impact of Liberalization on the Indian Economy.
Answer:

1. The phenomenal growth by contributing $1.3 Trillion to the world GDR So the Indian economy because of the Seventh Largest among the world-leading economies.
2. Liberalization has opened up new business opportunities abroad and increased foreign direct investment.
3. Newmarket for various goods came into existence and resulted not only in urban but also in rural development.
4. It became very easy to obtain loans from banks for business expansion.
5. “Foreign Collaboration” is the latest outcome of Liberalization.
6. A number of multinational companies started operating worldwide including India.

Question 2.
Globalization and Liberalization are concepts closely related to one another. Explain.
Answer:

1. Both globalization and liberalization refer to relaxing social and economic policies which results in better integration with an economy and between nations.
2. Both occur as a result of modernization.
3. Globalization is the greater integration among countries and economies for trade-economic social and political benefits.
4. Liberalization generally refers to the removal of restrictions, usually Government rules and regulations imposed on socio, economic or political matters.

Question 3.
Explain the disadvantages of Privatization.
Answer:

1. Lack of welfare: The majority of private companies whose main aim or motive is profit-making, do not indulge in public interest or welfare services like free education to the poor, free medical treatment, etc.
2. Political pressure: When private companies fail to deliver, the public has no power to intervene and Government does not always have time or expertise to force them to keep their promises.
3. Ignores the weaker sections: Privatization often goes hand in hand with encouraging rich people to pay more and opt for the best quality services. This leads to division, making it harder to provide excellent public services for weaker sections.

Multiple-choice questions

1. International Bank for Reconstruction and Development (IBRD) popularly known as:
(a) World Bank
(b) IMF
(c) WTO
(d) None
Answer:
(a) World Bank

2. ……….. is the result of a new industrial policy that abolished the “License System”.
(a) Liberalization
(b) Privatization
(c) Globalization
(d) Foreign Direct Investment
Answer:
(a) Liberalization

3. ………. making way for Foreign Direct Investment (FDI).
(a) Liberalization
(b) Privatization
(c) Globalization
(d) All the above
Answer:
(b) Privatization

4. ………. has opened up new business opportunity and increase Foreign Direct Investment.
(a) Liberalization
(b) Globalization
(c) Privatization
(d) None
Answer:
(a) Liberalization

5. ……….. promotes export by reducing Quotas and Tariffs.
(a) GAT’s
(b) TRIPs
(c) Globalization
(d) PSUs
Answer:
(c) Globalization

6. Find out the modes of foreign collaboration:
(a) Joint Venture
(b) Merger
(c) Franchise
(d) All the above
Answer:
(d) All the above

7. ………. paves way for a company to enter a foreign market.
(a) Migration
(b) Technological advancement
(c) Tariff
(d) Agreements (Trade)
Answer:
(b) Technological advancement

8. ………. has led to a boom in the consumer products market.
(a) Privatization
(b) Liberalization
(c) Globalization
(d) TRIPs
Answer:
(c) Globalization

9. In which barriers can lead to lower prices for consumers:
(a) Tariff
(b) Surcharges
(c) Competition
(d) None
Answer:
(a) Tariff

10. ……….. paves way for an employment opportunity in the home country.
(a) Globalization
(b) Privatization
(c) Liberalization
(d) GATS
Answer:
(a) Globalization

11. By eliminating trade restriction and by simplifying trade procedure:
(a) WTO
(b) TRIPs
(c) IMF
(d) Globalization
Answer:
(d) Globalization

12. Globalization of technology is done by:
(a) Royalty
(b) Purchase of technology
(c) Technology Collaborations
(d) All the above
Answer:
(d) All the above

13. By attracting more foreign investment through:
(a) Liberalization
(b) WTO
(c) TRIPs
(d) GATS
Answer:
(a) Liberalization

14. Give an example for Public Sector Undertakings (PSUs):
(a) Railway
(b) Defence
(c) Atomic Energy
(d) All the above
Answer:
(d) All the above

15. ………….. widens the gap between rich and poor.
(a) Privatization
(b) Globalization
(c) Trade
(d) Deregulation
Answer:
(b) Globalization

Students get through the TN Board 12th Commerce Important Questions Chapter 19 Environmental Factors which is useful for their exam preparation.

TN State Board 12th Commerce Important Questions Chapter 19 Environmental Factors

Very short answer questions

Question 1.
Mention the types of the business environment.
Answer:
The business environment can be classified as follows:
(i) Internal environment
(ii) External environment
(iii) Micro environment
(iv) Macro environment

Question 2.
What is the external environment?
Answer:
Factors outside the business which have a bearing on the working of a business can be termed as the external environment.

Question 3.
Mention the international environmental factors which affect a business.
Answer:

1. Differences in language and cultural
2. Differences in currencies
3. Differences in norms and practices
4. Differences in tastes and preferences of people
5. The tax structure relating to import and export
6. Differences in the degree of adoption of technology

Question 4.
In what way management structure will function?
Answer:
The structure of management/board and their style of functioning the level of professionalism of management the composition of the board are the various factors that affect the decision making. The board is the highest decision-making authority and it plays a very critical role in the growth and development of an organization.

Question 5.
The image of an organization plays an important role – explain.
Answer:

1. Introducing a new product.
2. Select agents and dealers for distribution.
3. Forgiving alliances with suppliers.
4. Expanding and entering new markets both domestic and international.
5. Raising finance.

Question 6.
Explain the types of taxes under GST.
Answer:
There are three taxes applicable under their system CGST – collected by the Central Government on an intra-state sale SGST – collected by the State Government on an intra-state sale IGST – collected by the Central Government for inter-state sale.

Question 7.
What is the value system practiced by an organization?
Answer:
External business associates like suppliers and distributors consider the value system practiced by an organization with a strong culture of ethical standards and values.

Question 8.
What is environmental scanning?
Answer:
It helps the firms to identify threats that may affect the business measures that can be taken by the firm to overcome the threats. Environmental scanning is the gathering of information from an organization’s Internal and External environments and careful monitoring of this environment to identify future threats and opportunities.

Short answer questions

Question 1.
Write about the Geophysical environment.
Answer:
The natural, geographical and ecological factors have bearing on the business.
These are as follows.

1. The availability of natural resources like mineral oil etc. Since setting up of industries requires the availability of raw materials.
2. The weather and climatic conditions and availability of water and other natural resources are essential for the agricultural sector.
3. Topographical factors like the terrain impact type of business since the demand and consumption pattern may vary in these regions.
4. Ecological factors are now gaining momentum since Governments across the globe are farming stringent policies for ecological conservation and prevention of pollution.
5. The location of certain industries is influenced by geographical conditions.

Question 2.
Discuss global environment.
Answer:
With the rapid growth of technology, the physical boundaries are fast disappearing and the new global market is emerging. The international environmental factors which affect a business are as follows:

1. Differences in language and culture.
2. Differences in currencies.
3. Differences in norms and practices.
4. The tax structure relating to Import and Export.
5. Differences in the degree of adoption of technology.
6. Differences in taste and preferences of people.

Long answer questions

Question 1.
Explain the channel members of marketing.
Answer:

1. The marketing intermediaries serve as a connecting link between the business and its customers.
2. The middlemen like dealers, wholesalers, and retailers ensure the transfer of products to customers.
3. Physical distribution is facilitated by transporters and warehouses help in storing goods.
4. Marketing research agencies help the firm to understand the needs of the customers while advertising agencies help in promoting the products and services. The insurance firm is another marketing intermediary which provides coverage for risk in business.

Question 2.
Explain the recommendation to the union and state under the goods and service tax council.
Answer:

1. The taxes, cesses, and surcharges levied by the union, the states, and local bodies may be subsumed in the goods and service tax.
2. The goods and service tax that may be subjected to or exempted from the goods and service tax.
3. Model goods and service tax laws, principles of levy, apportionment of goods and services tax levied on supplies in the course of inter-state trade or commerce under article 269A, and the principles that govern the place of supply.
4. The rates including floor rates with bands of goods and service tax.
5. Any special rate or rates for a specified period to raise additional resources during any natural calamity or disaster.
6. Any other matter relating to the goods and services tax as the council may decide.
7. Special provision with the respect to states of Arunachal Pradesh, Assam, Jammu and Kashmir, Manipur, Meghalaya, Mizoram, Nagaland, Sikkim, Tripura, Himachal Pradesh, and Uttarkhand.

Multiple-choice questions

1. ……….. is an integral part of the social system.
(a) Business
(b) Environment
(c) Technology
(d) Factors
Answer:
(a) Business

2. ………. is essential for taking important decisions and ensuring success.
(a) Business environment
(b) Organization
(c) Business aid
(d) None
Answer:
(a) Business environment

3. It is quickly responding to the changing environment and needs of people:
(a) Business aid
(b) Scanning
(c) Public image
(d) Plan
Answer:
(c) Public image

4. Mention the internal factors affecting the business environment.
(a) Value system
(b) Marketing
(c) Financiers
(d) Competitions
Answer:
(a) Value system

5. ……….. agencies help the firm to understand the needs of the customer.
(a) Market research
(b) Customers
(c) Competitors
(d) None
Answer:
(a) Market research

6. Find out the macro-environmental factor:
(a) Technological environment
(b) Goods and services tax
(c) Company image
(d) Value system
Answer:
(a) Technological environment

7. The success of a business is dependent on its ability to adopt:
(a) Microenvironment
(b) Macro environment
(c) Goods and service tax
(d) None
Answer:
(b) Macro environment

8. ……… is a free enterprise market where individual ownership of wealth.
(a) Socialist
(b) Mixed
(c) Capitalist
(d) Political
Answer:
(c) Capitalist

9. …….. refers to the sum total of factors of the society in which the business is located.
(a) Business environment
(b) Legal
(c) Political environment
(d) Social environment
Answer:
(d) Social environment

10. Find out the Demographic factors.
(a) literacy level
(b) composition
(c) size
(d) all the above
Answer:
(d) all the above

11. The natural geographical and ecological factors that have a bearing on the business is known as:
(a) Political environment
(b) Legal environment
(c) Economic environment
(d) Geophysical environment
Answer:
(d) Geophysical environment

12. …….. has created a global market:
(a) Information
(b) Telecommunication
(c) Both (a) and (b)
(d) None
Answer:
(c) Both (a) and (b)

13. Which is used in managing inventory, storing goods in a warehouse?
(a) Technology
(b) Competitors
(c) Location
(d) All the above
Answer:
(a) Technology

14. It is a set of rules and policies which governs a company:
(a) Corporate governance
(b) Tax structure
(c) Geographical
(d) Research
Answer:
(a) Corporate governance

15. ……… is the indirect tax levied on goods and services across the country.
(a) Policies
(b) VUCA
(c) Incentives
(d) Goods and services tax
Answer:
(d) Goods and services tax

Students get through the TN Board 12th Commerce Important Questions Chapter 18 Grievance Redressal Mechanism which is useful for their exam preparation.

TN State Board 12th Commerce Important Questions Chapter 18 Grievance Redressal Mechanism

Very short answer questions

Question 1.
What is Consumer Council?
Answer:
The Consumer Protection Act postulates the establishment of the Consumer Protection Council at the District, State, and Central levels for the purpose of spreading consumer awareness. The objects of the councils as per the Act shall be to promote and protect the rights of the consumers.

Question 2.
Who are the members of the State Commission?
Answer:

1. A person who is or has been a Judge of High Court appointed by the State Government as its president.
2. Two other members shall be persons of ability, integrity, and standing and have adequate knowledge in dealing with problems relating to law, commerce, industry, public affairs, etc.

Question 3.
How to filing suit on behalf of consumers?
Answer:

1. Whenever a consumer fails to raise his voice of protest regarding his complaints.
2. Consumer’s organization come to rescue and file in court on behalf of a consumer.
3. By giving this service to consumers they feel that they are not alone in their struggle.

Question 4.
What is the role of the consumer organization?
Answer:

1. To provide prior: information to consumers about the authenticity of the product and protect them.
2. Eliminating the evil of adulteration, hoarding, black marketing, and underweight selling.
3. Consumer organizations keep informing the Government agencies about inferior quality produce, adulteration, etc., to help the Government.

Question 5.
Who can make a complaint?
Answer:

1. A consumer is defined under Consumer Protection Act 1986.
2. A registered Voluntary Consumer Association.
3. Central Government.
4. State Government and Union Territory.

Question 6.
When the complaints can be made?
Answer:
A complaint may be made in writing under the following circumstances:

1. Loss or damage is caused to the consumer due to the unfair trade practice of a trader.
2. If the article purchased by a consumer is defective.
3. If the services availed of by a consumer suffer from any deficiency.

Question 7.
Mention a few particulars that should be furnished along with the complaint.
Answer:

1. The name and complete address of the complaint.
2. The name and complete address of the opposite party/parties.
3. Date of purchase of goods or services availed.
4. Bills/receipts and copies of related correspondence if any.

Question 8.
Why grievance redressal mechanism is very important?
Answer:

1. Business is expected to provide maximum possible satisfaction to consumers. But in reality, consumers are often exploited.
2. They are not aware of the products and services available.
3. A large majority of the people (Consumers) are ignorant and illiterate and do not know their rights.
4. Indus context grievance redressal mechanism is very important.

Short answer questions

Question 1.
Who are the members of the District Forum?
Answer:

1. A person who is or who has been or is qualified to be, a District Judge as its President.
2. Two other members shall be persons of ability, integrity, and standing and have adequate knowledge dealing with problems relating to economics, law, administration, etc.
3. It is insisted in the Act that out of such two other members one shall be a woman.

Question 2.
Explain the Powers of State Commission.
Answer:

1. The power to call for the records and pass appropriate orders in any consumer dispute which is pending before or has been decided by any District Forum within the state.
2. To produce before and allow to be examined by an officer of any of these agencies.
3. To furnish such information that may be required for the purposes of the Act to any officer so specified.

Question 3.
What are the steps involved in filing complaints in consumer court?
Answer:

1. The first step in filing a consumer complaint is to send a legal notice to the seller or company.
2. Legal notice must be drafted with the help of a consumer court lawyer and include the following.
3. Details of the consumer like name, address, product or service purchase details of the company, etc.
4. Necessary details of the problem faced and describe the deficiency in service.
5. The action was taken by the company in response to the consumer complaint.
6. Action expected from the company.
7. A time period is given to the company to take action.

Long answer questions

Question 1.
Discuss the Relief to the consumers.
Answer:

1. The District Forum and state commission can order the following reliefs to the consumers.
2. To remove the defects in the goods pointed out.
3. To replace the goods.
4. To return to the complaint the price of the goods.
5. To pay such an amount of compensation for the loss or injury suffered by the consumer.
6. To discontinue the unfair trade practices or not to repeat them.
7. To withdraw the hazardous goods from being offered for sale.
8. To provide the most of expenditure incurred by the complaint.

Question 2.
What is the appeal Provision? Explain.
Answer:

1. Aggrieved by the orders issued by the District Consumer Redressal Forum appeal; a petition can be filed before the state consumer Dispute Redressal Commission within 30 days from the date of receipt of orders.
2. Aggrieved by orders issued by the State Consumer Dispute Redressal Commission appeal petition can be filed before National Consumer Redressal Commission within 30 days from the date of receipt of orders.
3. Aggrieved by the orders issued by the National Consumer Dispute Redressal Commission appeal petition can be filed before the Supreme Court of India within 30 days from the date of receipt of orders.
4. No fee is charged for registering an appeal petition before State and National Consumer Dispute Redressal Commissions.
5. The appeal petition has to be filed with the grounds for appeal with copies of orders of the lower redressal agencies and registering procedures are the same as is being done in the case of registering a complaint.

Question 3.
Explain National Commission and its Jurisdiction.
Answer:
National Commission:

1. It is a Quasi-Judicial Commission in India which was set in 1988 under the Consumer Protection Act of 1986.
2. Its head office is in New Delhi.
3. The commission is headed by a serving or retired Judge of the Supreme Court of India.

Jurisdiction:

1. Section 21 of The Consumer Protection Act, 1986 describes, the National Commission shall have jurisdiction.
2. To entertain a complaint valued more than “1” Crore.
3. Revised the orders of the state commission.
4. To call for the records and pass appropriate orders from the State Commission and District Forum.

Question 4.
Explain the term the International Organisation of Consumers Unions (IOCU).
Answer:

1. The International Organisation of Consumers Unions was first established in 1960.
2. To create cross-border campaigns and share knowledge.
3. It has over 250 member organizations in 120 Countries.
4. Its head office is based in London, England, with regional officers in Latin America, Asia, Pacific, Middle East, and Africa.

Multiple-choice questions

1. ………… are a vital part of the business.
(a) Producer
(b) Consumer
(c) Distributor
(d) Retailer
Answer:
(b) Consumer

2. ………. can entertain complaints within the territory.
(a) District Forum
(b) State Forum
(c) National Commission
(d) None
Answer:
(a) District Forum

3. The State Consumer Protection Council is also called:
(a) National Commission
(b) State Commission
(c) Both (a) and (b)
(d) None
Answer:
(b) State Commission

4. The Jurisdiction may be original appellate or revision.
(a) State Commission
(b) National Commission
(c) District Forum
(d) All the above
Answer:
(a) State Commission

5. How many days the state commission may prefer an appeal to the National Commission?
(a) 60 days
(b) 90 days
(c) 30 days
(d) 120 days
Answer:
(c) 30 days

6. The National Consumer Disputes Redressal Commission (NCDRC) is also called as:
(a) National Commission
(b) State Commission
(c) Voluntary Consumer Organisation
(d) None
Answer:
(a) National Commission

7 is expected to provide maximum possible satisfaction to consumers.
(a) Business
(b) Organisation
(c) Privileges
(d) Commission
Answer:
(a) Business

8. Consumers are often exploited through:
(a) Poor quality goods
(b) Overcharging
(c) Fractional weights
(d) All the above
Answer:
(d) All the above

9. ……… to promote and to protect the rights of the consumers.
(a) District
(b) State
(c) Central
(d) All the above
Answer:
(d) All the above

10. How many Tier Courts or Quasi Judiciary?
(a) 6
(b) 4
(c) 2
(d) 3
Answer:
(d) 3

11. If the value of the complaint exceeds this limit of 120 lakhs, the>complaint should be made direct to:
(a) State Commission
(b) District Forum
(c) Village Council
(d) Consumer Council
Answer:
(a) State Commission

12. National Consumer Disputes Redressal Commission’s head office is in:
(a) Chennai
(b) Calcutta
(c) Mumbai
(d) New Delhi
Answer:
(d) New Delhi

13. Who can make a complaint?
(a) Central Government
(b) State Government
(c) Union Territory
(d) All the above
Answer:
(d) All the above

14. When the complaints can be made?
(a) Loss or damage
(b) Notice
(c) Action
(d) Declaration
Answer:
(a) Loss or damage

15. A complaint can be filed by a complaint against the:
(a) Seller
(b) Buyer
(c) Distributor
(d) None
Answer:
(a) Seller

Students get through the TN Board 12th Commerce Important Questions Chapter 17 Rights, Duties & Responsibilities of Consumers which is useful for their exam preparation.

TN State Board 12th Commerce Important Questions Chapter 17 Rights, Duties & Responsibilities of Consumers

Very short answer questions

Question 1.
Mention the few rights of consumers.
Answer:

1. Right to protection of health and right of safety.
2. Right to be informed
3. Right to choose
4. Right to be heard
5. Right to seek redressal

Question 2.
What are the shops the consumer purchase the goods?
Answer:
The consumer to make a purchase from the reputed shops or Government shops like a super bazaar, co-operative store, etc.

Question 3.
What are the steps taken by consumers while cheated by a seller?
Answer:
If a consumer is cheated by a seller, then he should immediately lodge a complaint with the authorities designated for consumer grievance redressal than remaining a silent spectator.

Question 4.
Write a short note on rights to quality of life.
Answer:
Quality of life refers to the perceived well-being of people in groups and individually and well being of the environment in which these people live. Consumerism has been defined as “an improved quality of life”

Question 5.
What is the duty of the consumer to purchase a product?
Answer:

1. To know about the price, quality and other terms and conditions
2. To collect cash and receipts
3. Warranty card.
4. Delivery of the goods in time
5. Observe the instructions and precautions while using that product.

Short answer questions

Question 1.
What do you understand by right to basic needs?
Answer:
Every consumer has a right to get basic necessities of life such as food, clothing, and water and the right to a pure and healthy environment. Community life should be free from various modes of pollution. This will enhance the quality of human life.

Question 2.
How to protect the consumer from unfair trade practices?
Answer:

1. The consumer has a right to be aware of his rights and remedies available to him.
2. The consumer has a right to be protected against goods and services which are hazardous to life and health.
3. Consumers need to be educated.

Question 3.
How to educate the consumer?
Answer:

1. The consumer has a right to acquire knowledge and stay well informed all through his life.
2. Many consumer organizations and some enlightened businesses are taking a proactive part in educating consumers in this respect.
3. He should be aware of his rights and the reliefs granted to him where a product or service falls short of his expectations.

Long answer questions

Question 1.
Consumerism – improved quality of life. Explain.
Answer:

1. It means that environmental problems that affect the very life of consumers and the environment in which people live.
2. In other words, air pollution, water pollution, noise pollution, and legacies of ongoing industrialization take a heavy toll on the quality of life of people.
3. The social cost of these pollutions far exceeds their social benefits.
4. Each kind of pollution is eating away the social benefits resulting from society.
5. It is where the social responsibilities of business enterprises arise, there is nothing wrong with producing the product/output for mankind.

Question 2.
Rights and responsibilities are two sides of the same coin. Explain.
Answer:

1. The consumer should be conscious of his duties. He should make purchases judiciously and should not misuse his rights.
2. Consumer protection can in effect be achieved only when the consumers also understand their responsibilities.
3. Consumers should keep in mind their responsibilities while purchasing, using, and consuming goods and services.
4. Just as a consumer, enjoy certain rights, they owe certain responsibilities.
5. The consumer should discharge his duties as responsible citizens.
6. It is the responsibility of a consumer to purchase a product after gaining a thorough knowledge of its price, quality, and other terms and conditions.

Multiple-choice questions

1. Which is the supreme objective of a business?
(a) To satisfy consumer want
(b) To satisfy consumer need
(c) Both (a) and (b)
(d) Quality and quantity
Answer:
(c) Both (a) and (b)

2. …….. is to be protected against any unfair practice of trade.
(a) Producer
(b) Consumer
(c) Distributor
(d) None
Answer:
(b) Consumer

3. ………. that is causing more physical danger to consumers health and
property.
(a) Price
(b) Cost
(c) Product
(d) Demand
Answer:
(c) Product

4. Give the best example of the production of health and safety:
(a) Food additives
(b) Electrical appliances
(c) Durable goods
(d) All the above
Answer:
(a) Food additives

5. Offering the widest range of products in quality and brand varieties at a reasonable price.
(a) Scarcity
(b) Choice
(c) Price
(d) Education
Answer:
(b) Choice

6. Which is the most attractive and appealing to the senses?
(a) Packing
(b) Advertisement
(c) Gift
(d) Warranty card
Answer:
(b) Advertisement

7. What are the offers for every product in the market?
(a) Discount
(b) Gift
(c) Free Product
(d) All the above
Answer:
(d) All the above

8 will help consumers in seeking redressal for their grievances.
(a) Bill
(b) Warranty card
(c) Both (a) and (b)
(d) None
Answer:
(c) Both (a) and (b)

9. Which mark is available for consumers to buy products?
(a) Packing
(b) Standardization
(c) Information
(d) Price
Answer:
(b) Standardization

10. If the consumer is cheated by the seller, what steps he/she should be taken first?
(a) Complaint
(b) Return of goods
(c) Instruction
(d) Information
Answer:
(a) Complaint

11. The consumer must know and collect complete information about?
(a) Quality
(b) Quantity
(c) Price
(d) All the above
Answer:
(d) All the above

12. …………. should never compromise on the quality of goods.
(a) Producer
(b) Distributor
(c) Consumer
(d) None
Answer:
(c) Consumer

13. Mention the standard quality certification marks:
(a) ISI
(b) Agmark
(c) Both (a) and (b)
(d) Advertisement
Answer:
(c) Both (a) and (b)

14. Every consumer has a right to get ………. and right to a pure and healthy environment.
(a) Basic needs
(b) Education
(c) Quality
(d) Expectation
Answer:
(a) Basic needs

15. Community life should be free from various modes of:
(a) Pollution
(b) Society
(c) Mankind
(d) Human life
Answer:
(a) Pollution

Students get through the TN Board 12th Commerce Important Questions Chapter 16 Consumerism which is useful for their exam preparation.

TN State Board 12th Commerce Important Questions Chapter 16 Consumerism

Very short answer questions

Question 1.
What are the factors leading to consumer exploitations?
Answer:

1. Selling at a higher price
2. Adulteration
3. Duplicate goods
4. Artificial scarcity
5. Substandard
6. Product risk
7. Warranty and services
8. False advertisements

Question 2.
What is consumerism?
Answer:

1. It is the social force protecting the consumer and aiding the consumer.
2. In other words, it is an organized effort to fight against unfair marketing practices with a view to secure consumer protection.

Question 3.
How many parties involved in the sphere of a business transaction? What are they?
Answer:
There are three parties involved in the sphere of business transactions. They are

1. Role of business
2. Role of Government
3. Role of consumer

Question 4.
Explain consumer action councils.
Answer:

1. Consumer action councils established at village levels should educate consumers of the right.
2. Consumer protection agencies should take the necessary steps to investigate consumer complaint grievances and arrange to forward them to the correct forum.
3. Consumer cooperatives need to be strengthened.

Question 5.
Define hoarding.
Answer:

1. Hoarding is the purchase of large quantities of a commodity by a spectator with the intent of pushing up the price.
2. Hoarding is the practice of obtaining and holding resources in quantities greater than needed for one’s immediate use.

Question 6.
What are consumer grievances?
Answer:
Where the business enterprise has a customer care department it should handle the grievances of consumers immediately or within a definite time frame.

Question 7.
How to protect the consumer from hazards?
Answer:

1. Business enterprises should not market a product that is potentially hazardous and harmful.
2. It should test the safety of the product before they are marketed.
3. Regarding food items business enterprises should withdraw spoiled and contaminated food items.

Question 8.
What is the main aim of consumerism?
Answer:

1. It intends to shield the consumers from commercial terrorism and exploitative practices.
2. Its aim is to safeguard their interests by establishing their rights and powers in relation to products and sellers.

Question 9.
What are the major causes of consumerism in India?
Answer:
The major causes of consumerism in India have been identified as rising prices, poor product performance, service quality, product shortages, deceptive advertising, and inflation.

Short answer questions

Question 1.
Explain adulteration.
Answer:

1. It refers to mixing or substituting undesirable material in food. This causes heavy loss to the consumer.
2. This will lead to monitory loss and spoil the health.
3. Adulteration is quite common in food articles.
4. It is a crime that cannot be pardoned as it spoils the very health of consumers.

Question 2.
What is the main purpose of advertisement?
Answer:

1. The main purpose of advertisement is to educate the consuming public and customers of various aspects of the products and services.
2. Its reality advertisements convey very little information about the products.
3. Consumers who buy the products on the faith of claims made in advertisements.

Question 3.
Write the importance of consumer protection.
Answer:

1. Consumer protection has a wide agenda.
2. It is not only purported to educate consumers about their rights and responsibilities but also helps in getting their grievances redressed.
3. It provides judicial machinery for protecting the interest of consumers to come together and organize themselves into consumer associations for protection and promotion of their interest.
4. Consumer protection has a special significance for business too.

Long answer questions

Question 1.
Explain briefly the growth of consumerism.
Answer:

1. Consumerism or consumer movement is an outcome of the sufferings and exploitations of consumers.
2. It intends to shield the consumers from commercial terrorism and exploitative practices.
3. Its aim is to safeguard their interests by establishing their rights and powers in relation to products and sellers.
4. Mr. Ralph Nader pioneered the fight against monopoly and unethical trade practices of large companies in the United States.
5. He is considered to be the father of the consumer movement.
6. He initially fought against the automobile industry for violating safety. Standards and pollution control norms.
7. Countries like Britain, Sweden, Denmark, Netherlands, and even Kenya have stringent laws against consumer exploitation in their respective countries.
8. The United Nations General Assembly has adopted a set of general guidelines for consumer protection.

Question 2.
How to practice caveat emptor?
Answer:

1. Under the principle of caveat emptor, a consumer purchases a coffee mug and later discovers that it has a leak he has no choice other than to keep with him.
2. According to their principle, the buyer should have been cautious and should have thoroughly examined the product to check the defect if any.
3. A more common example is a used car transaction between two private parties, (as opposed to a dealership in which sale is subject to an implied warranty)
4. The buyer must assume the responsibility of thoroughly reaching and inspecting the car by taking it to a mechanic for a closer look before finalizing the sale.
5. But the “caveat emptor” principle cannot be applied where the car is bought fresh as a brand new car from the showroom as the deal in governed by a warranty of certain years.

Question 3.
Write briefly about caveat venditor.
Answer:

1. Caveat emptor was the rule for most purchases and land sales prior to the industrial revolution although sellers assume much more responsibilities for the integrity of their goods in the present day.
2. Today most sales in U.S fall under the principle of caveat venditor which means “let the seller beware, by which goods are covered by an implied warranty of merchantability.
3. Unless otherwise advertised (for example, “sold as is”) or negotiated with the buyer, nearly all consumer products are guaranteed to work if used for their intended purpose.

Multiple-choice questions

1. ………. is said to be the king.
(a) Producer
(b) Consumer
(c) Distribution
(d) None
Answer:
(b) Consumer

2. It refers to mixing or substituting undesirable material in food:
(a) Adulteration
(b) Higher price
(c) Duplicate goods
(d) Scarcity
Answer:
(a) Adulteration

3. ………… products of popular products are illegally produced and sold.
(a) Artificial
(b) Duplicate
(c) Sub-standard
(d) All the above
Answer:
(b) Duplicate

4. ……… is quite common in food articles.
(a) Scarcity
(b) Adulteration
(c) Both (a) and (b)
(d) None
Answer:
(b) Adulteration

5. ……… is to educate the consuming public and customers of various aspects of products.
(a) Warranty
(b) Service
(c) Advertisement
(d) Consumerism
Answer:
(c) Advertisement

6. ………. Protecting against exploitation.
(a) Consumerism
(b) Consumer
(c) Producer
(d) None
Answer:
(a) Consumerism

7. Who alone can put an end to all their unethical trade practices?
(a) Consumer
(b) Producer
(c) Both (a) and (b)
(d) Organization
Answer:
(a) Consumer

8. Which act prevents the use of fraudulent marks on the product?
(a) Trademark act
(b) Competition act
(c) Sale of goods act
(d) Legal metrology act
Answer:
(a) Trademark act

9. Which year a comprehensive law called the consumer protection act by the central Government?
(a) 1989
(b) 1986
(c) 1980
(d) 1983
Answer:
(b) 1986

10. Give examples of durable goods.
(a) Washing machines
(b) Refrigerators
(c) Car
(d) All the above
Answer:
(d) All the above

11 is the most exploited constituent in the business world.
(a) Producer
(b) Distributor
(c) Consumer
(d) All the above
Answer:
(c) Consumer

12. In which market consumers are forced to buy the short supply goods at higher prices:
(a) Money market
(b) Black market
(c) Capital market
(d) None
Answer:
(b) Black market

13. Consumerism was coined by the business community in the western world particularly in:
(a) London
(b) America
(c) Russia
(d) Europe
Answer:
(b) America

14. The term consumerism was first coined by business ih the mid:
(a) 1950
(b) 1960
(c) 1965
(d) 1963
Answer:
(b) 1960

15. In which century industrial economy reached a boom state:
(a) 20th
(b) 19th
(c) 15th
(d) 17th
Answer:
(a) 20th

Students get through the TN Board 12th Commerce Important Questions Chapter 15 Recent Trends in Marketing which is useful for their exam preparation.

TN State Board 12th Commerce Important Questions Chapter 15 Recent Trends in Marketing

Very short answer questions

Question 1.
What is e-Commerce?
Answer:
If all activities which directly or indirectly facilitate that exchange of goods done through internet and other online environment is known as Electronic Commerce or simply as e-Commerce.

Question 2.
What are the tools used to carry out the business transaction?
Answer:
They use a variety of tools like computers, laptops, tablet,s and smartphone (android) devices to access different websites. Social media networks have opened new avenues of interacting with customers.

Question 3.
What is the aim of social marketing?
Answer:

1. The primary aim of social marketing is “social good” such as anti¬tobacco, anti-drug, anti-pollution, anti-dowry, road safety, protection of girl child against the use of plastic bags.
2. It develops health consciousness.
3. It helps to eradicate social evils that affect society.

Question 4.
What are other names for green marketing?
Answer:

1. Environment marketing
2. Ecological marketing
3. Eco-friendly marketing and
4. Sustainable marketing

Question 5.
How to create awareness about green marketing?
Answer:
The growing awareness about the. implications of global warming, the non-biodegradable, solid waste harmful impact of pollutants, etc.

Question 6.
What are the activities handling in e-Marketing?
Answer:
e-Marketing includes the use of the internet for all the activities of advertising, promotion, publicity, the channel of distribution, marketing research to find out customer’s needs and wants.

Question 7.
How many ways in Rural Market? What are they?
Answer:
Rural marketing is now a two-way marketing process. There are

1. The inflow of products into rural markets to urban areas.
2. The outflow of products – The urban to the rural flow of goods.

Question 8.
What is Niche Marketing?
Answer:

1. It is found by the company by identifying the need of customers who are not served or underserved by the competitors.
2. A niche market involves a specific target audience with a specialized offering.

Short answer questions

Question 1.
Explain “Rural Marketing”.
Answer:

1. Rural marketing is a process of developing pricing promoting and distributing rural specific goods and services leading to a derived exchange with rural customers to satisfy their needs and wants.
2. Rural marketing is now a two-way marketing process. There is an inflow of products into rural markets for production or consumption and there is also an outflow of products to urban areas.
3. The rural to urban flow consists of agricultural products such as rice, wheat, sugar, and cotton.

Question 2.
Write a short note Commodity Exchange.
Answer:

1. A commodity exchange is an organized and regulated market that facilitates the purchase and sale of contracts whose values are tried to the price of commodities. Eg: Crude oil, natural gas, copper, and gold.
2. Typically the buyers of these contracts agree to accept delivery of the commodity and the sellers agree to deliver the commodity.

Question 3.
Discuss Multi level Marketing.
Answer:

1. Multi-level Marketing is the marketing strategy where the direct sales company encourages its existing distributors to recruit new distributors to facilitate the sale of goods and services.
2. Multi-level marketing is a type of direct selling wherein the distributor sells the product via relationship referrals and word-of-mouth marketing.
3. The sale persons or distributor not only sells die products but also encourages others to join the company. The recruits are called the Participants “Downline” or “distributors Downline”.
4. Multi-level marketing is also called network marketing, referral marketing, or Pyramid Selling.

Question 4.
Explain in detail Referral Marketing.
Answer:

1. Referral marketing is the method of promoting products or services to new customers through referrals.
2. Referral marketing is referred to spreading the word about a product or service through existing customers of business enterprises rather than through traditional advertising.
3. Word-of-mouth marketing which occurs when others tell each other about a business is also considered to be a form of referral marketing.

Long answer questions

1. Explain briefly about Guerrilla Marketing.
Answer:

1. The concept of Guerrilla Marketing was invented as an unconventional system of promotions that relies on time, energy, and imagination rather than a big marketing budget.
2. Guerrilla marketing represents an advertisement strategy to promote products or services on streets or other public places with monkey-like shopping malls, park benches, etc.
3. Consumers/customers are taken by surprise to make a big impression about the brand which in turn creates buzz about the brand on shirts it creates a memorable experience in the mind of the target audience which triggers good responses to sales.

2. Explain in detail Viral Marketing.
Answer:

1. Viral Marketing is a marketing technique that impels the users to pass on a marketing message to other users, creating potentially exponential growth in the message’s visibility and effect.
2. Viral marketing is able to generate interest and the potential sale of a brand or product through messages that spread quickly like a virus from person to person.
3. The most widespread example in recent times is the creation of moving surprising or spectacular videos on YouTube, which are then shared on Facebook, Twitter, and other channels.
4. Messenger messages and the environment are vital elements indispensable in spreading messages widely across various distances Hotmail companies owned by Microsoft promote the services.

Multiple-choice questions

1. ………. are global and exhibit international characteristics.
(a) Producers
(b) Customers
(c) Retailers
(d) None
Answer:
(b) Customers

2. Find out the tools to carry out business transactions.
(a) Laptops
(b) Computer
(c) Internet
(d) All the above
Answer:
(d) All the above

3. Exchange of goods done through internet is known as:
(a) e-Commerce
(b) e-Business
(c) e-Marketing
(d) none
Answer:
(a) e-Commerce

4 Marketing needs more manpower.
(a) e-Marketing
(b) Traditional
(c) e-Tailing
(d) All the above
Answer:
(b) Traditional

5. It is very economical and faster way to promote the products:
(a) e-Tailing
(b) e-Marketing
(c) e-Commerce
(d) Traditional Marketing
Answer:
(b) e-Marketing

6. In which type of Marketing helps to eradicate social evils that affects the society?
(a) Service Marketing
(b) Viral Marketing
(c) Rural Marketing
(d) Social Marketing
Answer:
(d) Social Marketing

7. e-Tailing is also called:
(a) Online retailing
(b) Database
(c) Website
(d) Media
Answer:
(a) Online retailing

8. Green Marketing is also known as:
(a) Eco-friendly
(b) Ecological
(c) Environmental
(d) All the above
Answer:
(d) All the above

9. In which market to achieve the specific behavioral goal which ensures social good?
(a) Rural Marketing
(b) Social Marketing
(c) Service Marketing
(d) Viral Marketing
Answer:
(b) Social Marketing

10. Technique that impels the users to pass on a marketing message to other users that spread quickly like a virus.
(a) Niche Marketing
(b) Viral Marketing
(c) Both (a) and (b)
(d) None
Answer:
(b) Viral Marketing

11. Multilevel marketing is also called:
(a) Network Marketing
(b) Referral Marketing
(c) Both (a) and (b)
(d) Content Marketing
Answer:
(c) Both (a) and (b)

12. The art of communicating with customers and prospects without selling is
known as:
(a) Referral Marketing
(b) Commodity Exchange
(c) Content Marketing
(d) All the above
Answer:
(c) Content Marketing

13. The business transaction carried out through internet and other online tool is called:
(a) e-Business
(b) e-Tailing
(c) e-Marketing
(d) none
Answer:
(a) e-Business

14. The processing of selling service goods is called:
(a) Service Marketing
(b) Social Marketing
(c) Rural Marketing
(d) Commodity Exchange
Answer:
(a) Service Marketing

15. Find out the service goods:
(a) Banking
(b) Tele Communication
(c) Insurance
(d) All the above
Answer:
(d) All the above

Students get through the TN Board 12th Commerce Important Questions Chapter 14 Marketing and Marketing Mix which is useful for their exam preparation.

TN State Board 12th Commerce Important Questions Chapter 14 Marketing and Marketing Mix

Very short answer questions

Question 1.
Define Marketing.
‘‘Marketing includes those business activities which are involved in the flow of goods and services from production to consumption ” – Converse.

Question 2.
What is the “Barter system”?
The goods are exchanged against goods, without any other medium of exchange, like money.

Question 3.
Why there is a need for the storage function of marketing?

1. There is a time gap between the production and consumption of goods.
2. To make the goods, available to the consumers and when they are required.

Question 4.
Mention the types of warehouses.

1. Private warehouses
2. Public warehouses
3. Bonded warehouses

Question 5.
Explain standardization.

1. Standardization means the establishment of certain standards based on intrinsic qualities of a commodity.
2. The quality may be determined on the basis of various factors like size, colors, taste, appearance etc.

Question 6.
List out the facilitating functions of marketing.

1. Financing
2. Risk
3. Market information
4. Standardization
5. Grading
6. Branding
7. Packing and
8. Pricing

Question 7.
What is the classification of functions of Marketing?

1. Functions of Exchange
2. Functions of physical supply (Hi) Facilitating Functions

Question 8.
Name the Elements of the Marketing mix.

1. Product
2. Price
3. Place (Physical Distribution)
4. Promotion

Short answer questions

Question 1.
Discuss “Risk Bearing” functions of marketing.
Answer:
The possibility of losing something of value when taking risk resulting from a given action or inaction foreseen or unforeseen, planned, or unplanned risk is predominately negative terms.
Risk Bearing:

1. Time Risk
2. Place Risk
3. Competition Risk
4. Risk of change in demand
5. Risk arising from natural calamities
6. Human risks
7. Political risks

Question 2.
Explain grading and branding.
Answer:
Grading: Grading means classifications of standardized products into certain well-defined classes.
Branding: Branding means giving a name or symbol to a product in order to differentiate it from competitive products.

Question 3.
How to determining price in the market?
Answer:

1. Pricing is the most important decision taken by a businessman.
2. It is the decision upon which the success or failure of an enterprise depends to a large extent.
3. The price must be determined only after taking all the relevant factors into consideration.

Long answer questions

Question 1.
Differentiate storage from warehousing.
Answer:
Storage:

1. Holding and preservation of goods from the time they are produced to the time they are consumed.
2. The time gap between the production and consumption of goods.
3. To make the goods available to the consumers and when they are required.

Warehousing:

1. It creates time utility by storing the goods throughout the year.
2. To releasing the goods when they are needed.
3. A warehouse is a building for storing goods.
4. It is the act of storing goods that will be sold or distributed later.

Question 2.
Explain the Risk Management.
Answer:
The process of identifying assessing and controlling threats to an organization Risk Management: Risk Management refers to the practice of identifying potential risk in advance and analyzing and taking precautionary steps to reduce and curb the risk. The following are the steps for risk management:

1. Manage risk on a daily basis
2. A risk is an uncertain event, it can have a positive or negative concept
3. Identify the risk
4. Analyze the risk
5. Evaluate the risk
6. Treat the risk
7. Monitor and Review the risk

Risk is a deviation from an expected outcome. That deviation can be positive or negative and it relates to the idea of no pain or no gain.

Multiple-choice questions

1. ………. assumes a managerial role to co-ordinate all interactions of business activities.
(a) Barter system
(b) Marketing
(c) Exchange
(d) None
Answer:
(b) Marketing

2. ……….. is a connecting link between the consumer and producer.
(a) Exchange
(b) Goods
(c) Marketing
(d) Consumption
Answer:
(c) Marketing

3. Mention the basic functions of all businesses.
(a) Marketing
(b) Innovation
(c) Both (a) and (b)
(d) None
Answer:
(c) Both (a) and (b)

4. Which process increases employment opportunities?
(a) Marketing
(b) Consumption
(c) Production
(d) Distribution
Answer:
(a) Marketing

5. Find out the subsidiary functions of Management.
(a) Innovation
(b) Decision making
(c) Communication
(d) All the above
Answer:
(d) All the above

6. Holding and preservation of goods from the time they are produced to the time they are consumed is known as:
(a) Warehousing
(b) Pricing
(c) Storage
(d) Packing
Answer:
(c) Storage

7 create time utility by storing the goods throughout the year.
(a) Storage
(b) Warehousing
(c) Assembling
(d) None
Answer:
(b) Warehousing

8. Classification of standardized products into certain well-defined classes is called:
(a) Grading
(b) Branding
(c) Placing
(d) Pricing
Answer:
(a) Grading

9. A product in order to differentiate it from competitive products:
(a) Placing
(b) Branding
(c) Pricing
(d) All the above
Answer:
(b) Branding

10. Wrapping and crafting of goods before distribution:
(a) Pricing
(b) Packing
(c) Both (a) and (b)
(d) None
Answer:
(b) Packing

11. ………. is the value of a product expressed in money terms.
(a) Price
(b) Costs
(c) Product
(d) Marketing
Answer:
(a) Price

12. ………. is the main element of marketing.
(a) Cost
(b) Product
(c) Factors
(d) Promotion
Answer:
(b) Product

13. ……….. is concerned with putting the goods into the hands of the buyers for a price.
(a) Selling
(b) Marketing
(c) Pricing
(d) Business
Answer:
(a) Selling

14. Which is the oldest profession in the world?
(a) Business
(b) Marketing
(c) Exchange
(d) Distribution
Answer:
(b) Marketing

15. Goods are exchanged against goods without exchange like money:
(a) Money economy
(b) Exchange system
(c) Barter system
(d) None
Answer:
(c) Barter system

16. It creates place utility:
(a) Storage
(b) Transportation
(c) Warehousing
(d) Pricing
Answer:
(b) Transportation

17. To transfer of goods and services for money’s worth is known as:
(a) Exchange
(b) Distribution
(c) Production
(d) Consumption
Answer:
(a) Exchange

18. How many types of warehouses are used for the storage of goods?
(a) 2
(b) 4
(c) 3
(d) 5
Answer:
(c) 3

19. Which the cause for the success or failure of an enterprise?
(a) Packing
(b) Pricing
(c) Grading
(d) Risk
Answer:
(b) Pricing

20. Without a ………… there can be no marketing.
(a) Product
(b) Price
(c) Cost
(d) None
Answer:
(a) Product

Students get through the TN Board 12th Commerce Important Questions Chapter 13 Concept of Market and Marketer which is useful for their exam preparation.

TN State Board 12th Commerce Important Questions Chapter 13 Concept of Market and Marketer

Very short answer questions

Question 1.
Define the term “Market”.
Answer:
According to Pyle “Market includes both place and region in which buyers and sellers are in free competition with one another ”.

Question 2.
What is the need for the market?
Answer:

1. To exchange (barter) goods and services.
2. To adjust demand and supply by the price mechanism.
3. To improve the quality of life of society.
4. To introduce new models of life.

Question 3.
How to classify the market?
Answer:
On the basis of different approaches market have been classified on the basis of:

1. Geographical area
2. Nature of goods
3. Economic View
4. Transaction
5. Time
6. Volume of business
7. Importance

Question 4.
Explain – world market.
Answer:
Word or International market is one where the buyers and sellers of goods are from different countries that is the involvement of buyers and sellers beyond the boundaries of a nation.

Question 5.
Define Bullion market.
Answer:
This type of market deals with the purchase or sale of gold and silver bullion markets of Mumbai, Kolkata, Kanpur, etc., which are examples of such markets.

Question 6.
What is the classification of the commodity market?
Answer:
A commodity market is a place where produce goods or consumer goods are bought and sold. Commodity markets are subdivided into:

1. Produce Exchange Market
2. Manufactured goods Market
3. Bullion Market.

Question 7.
What is meant by the perfect market?
Answer:
A market is said to be a perfect market if it satisfies the following conditions:

1. a Large number of buyers and sellers are there.
2. Uniform price throughout the market.
3. Buyers and sellers have a perfect knowledge of the market.
4. The goods are identical or homogeneous.

Question 8.
Who is called implementer?
Answer:
Marketer plays the role of implementer when he/she actually converts marketing opportunities into marketable products with the help of several functional teams put in place in the organization.

Question 9.
What is called Terminal Market?
Answer:

1. It is a central site that serves as an assembly and trading place for commodities in a metropolitan area.
2. For agricultural commodities, are usually at or near major transportation hubs.

Question 10.
Mention the role of the Marketer.
Answer:
The marketer plays four roles as follows:

1. Instigator
2. Innovator
3. Integrator
4. Implementer

Short answer questions

Question 1.
Explain the information is observed from the definition of the market.
Answer:

1. The market may mean a place, where buying and selling take place.
2. Buyers and sellers come together for transactions.
3. The act of buying and selling goods (to satisfy human wants).
4. An area of operation of commercial demand for commodities.
5. An organization through which the exchange of goods takes place.

Question 2.
Explain the difference between the national market and the international market.
Answer:
National market:

1. Commodities have demand throughout the country.
2. The goods from one comer can reach another with communication and transportation facilities.
3. The company has the same policies and strategies in National Marketing their products.

International Market:

1. The international market is one where the buyers and sellers of goods are from different countries.
2. Involvement of buyers and sellers beyond the boundaries of a nation.
3. International marketing requires different strategies and policies in the promotion of their product.

Question 3.
Discuss warehousing.
Answer:

1. A warehouse is a building for storing goods.
2. Warehouse are used by manufacturers, importers, exporters, wholesalers, businesses, customs, etc.
3. Usually cover large plain buildings in industrial parks on the outskirts of cities, towns, or villages.
4. It is the act of storing goods that will be sold and distributed later.
5. The warehouse provides nothing more than storage of goods.

Question 4.
Write a short note on the Foreign Exchange market.
Answer:

1. It is an international market.
2. This type of market helps exporters and importers in converting their currencies into foreign currencies and vice versa.
3. Foreign exchange markets are made up of investment management firms, banks, commercial companies and investors.
4. The major participants in the foreign exchange market are commercial banks forex brokers and monetary authorities.

Long answer questions

Question 1.
How the market can be classifies on the basis of geographical area?
Answer:
On the basis of geographical area:

• Family market: When the exchange of goods or services is confined within a family or close members of the family.
• Local market: Participation of both the buyers and sellers belonging to a local area or areas, maybe a town or village is called a local market.
• National market: Commodities have demand throughout the country. Today the goods from one comer can reach another comer with communication and transportation facilities.
• International market or world market: A world or International market is one where the buyers and sellers of goods are from different countries involvement of buyers and sellers beyond the boundaries of a nation.

Question 2.
Explain the role of transportation in marketing.
Answer:

1. It enables trade between people which is essential for the development of civilizations.
2. Transport plays an important part is in economic growth and globalization.
3. It helps the assembling of raw materials and distribution of finished goods.
4. Mobility of labor and capital increases with the development of transport.
5. It helps to an optimum level and efficient use of its national resources.
6. To provide more employment opportunities and increase national income.
7. The performance of marketing functions like buying, assembling, selling, storage and warehouse etc.
8. It increases internal and foreign trade.

Multiple-choice questions

1. It is a medium or place to interact and exchange goods and services:
(a) Market
(b) Area
(c) Product
(d) Price
Answer:
(a) Market

2. Mention the area of local market:
(a) Town
(b) City
(c) Metropolitan
(d) None
Answer:
(a) Town

3. Give them examples of the local market.
(a) Fruits
(b) Vegetables
(c) Fish
(d) All the above
Answer:
(d) All the above

4. When an exchange of goods and services are confined with family members can be called as:
(a) Local market
(b) Family market
(c) National market
(d) Commodity market
Answer:
(b) Family market

5. Market is one where the buyers and sellers of goods are from different countries is called as:
(a) World market
(b) National market
(c) Commodity market
(d) Capital market
Answer:
(a) World market

6. In which market goods are identical or homogeneous?
(a) Imperfect
(b) Perfect
(c) Both (a) and (b)
(d) None
Answer:
(b) Perfect

7. A market that is not regulated by statutory measures is called:
(a) Regulated market
(b) Unregulated market
(c) Future market
(d) Spot market
Answer:
(b) Unregulated market

8. In which type of market semi-finished goods are marketed?
(a) Secondary market
(b) Primary market
(c) Wholesale market
(d) Retail market
Answer:
(a) Secondary market

9. The event marketing aims at promoting and marketing:
(a) Shows
(b) Exhibitions
(c) Fairs
(d) All the above
Answer:
(d) All the above

10. The marketing of goods and services through celebrities is called as:
(a) Person
(b) Event
(c) Place
(d) None
Answer:
(a) Person

11. Endorsement for the brand of a company can be carried down by:
(a) Cinema stars
(b) Sports star
(c) Musicians
(d) All the above
Answer:
(d) All the above

12. Today in what way information collected by?
(a) Libraries
(b) Book publishers
(c) Internet
(d) All the above
Answer:
(d) All the above

13. An may change the world.
(a) Idea
(b) Organization
(c) Properties
(d) Places
Answer:
(a) Idea

14. The most valuable product that can be marketed today:
(a) Ideas
(b) Information
(c) Organization
(d) None
Answer:
(b) Information

15. The purchase or sale of gold and silver are called as:
(a) Bullion market
(b) Money market
(c) Capital market
(d) Stock market
Answer:
(a) Bullion market

16. Market where sales and purchase of shares and bonds of companies is known as:
(a) Stock market
(b) Money market
(c) Foreign market
(d) None
Answer:
(a) Stock market

17. Find out the international market.
(a) Stock market
(b) Money Market
(c) Foreign exchange
(d) Capital market
Answer:
(c) Foreign exchange

18. It provides short-term finance to industries, banks, and Government agencies:
(a) Capital market
(b) Stock market
(c) Money market
(d) None
Answer:
(c) Money market

19. How to determine the price of goods in an unregulated market?
(a) Demand
(b) Supply
(c) Both (a) and (b)
(d) None
Answer:
(c) Both (a) and (b)

20. In which type of goods long period market deals with?
(a) Durable
(b) Non-durable
(c) Perishable
(d) All the above
Answer:
(a) Durable

Students get through the TN Board 12th Commerce Important Questions Chapter 12 Employee Training Method which is useful for their exam preparation.

TN State Board 12th Commerce Important Questions Chapter 12 Employee Training Method

Very short answer questions

Question 1.
Define-“Training”.
Answer:
According to Edwin.B.Flippo, “Training is the act of increasing the knowledge and skills of an employee for doing particular jobs.

Question 2.
Why training is needed?
Answer:

1. Imparting new skills helps in the performance enhancement of the employee.
2. To learn more knowledge regarding the latest technologies and techniques.
3. Efficient training improves higher productivity and more profits.
4. It enables employees to increase the quality of work carried out by them.

Question 3.
Mention training method which are used by the organization?
Answer:
There are two methods of employee training that are used by the organization

1. On the job training
2. Off the job training

Question 4.
Who are trainers?
Answer:

1. A trainer is a person, who teaches skills to the employee and prepares them for job activity.
2. The trainer may be a supervisor, co-worker, HR staff, and university.

Question 5.
What is a coaching method?
Answer:

1. The superior teaches or guides the new employee about the knowledge and skills relevant to a given job.
2. Superior plays a role of coach or guide and an instructor.

Question 6.
Explain the field trip method.
Answer:
A field trip or fieldwork or training in the field is a journey undertaken by a group of employees/trainees to a place away from their actual work site. They are free to clarity their doubts from the organization experts.

Question 7.
List out the benefits to the organization.
Answer:

1. To improve the skill of employees.
2. It enhances productivity and profitability.
3. It reduces the wastage of materials.
4. It exposes employees to the latest trends.

Question 8.
How to improve higher productivity and profits?
Answer:

1. Efficient training improves higher productivity and profits.
2. Trained employees can apply more skills and techniques at work.
3. It helps them to do the work at a faster rate with high perfection.

Question 9.
What is the main aim of job rotation?
Answer:

1. Broadening the knowledge of executives.
2. The main aim of job rotation is to expose the employee to various inter-related jobs.

Question 10.
How to reduce the cost in production?
Answer:

1. Trained employees can utilize the resources in an efficient manner
2. There is no possibility of wastages of resources.
3. All facilities are used at an optimum level.
4. This will lead to cost reduction.

Short answer questions

Question 1.
Give a short note on the case study method.
Answer:

1. Trainees have described situations that stimulate their interest to find a solution.
2. They have to use their theoretical knowledge and practical knowledge to find a solution to the problem presented.
3. The purpose of the case study method is to make trainee apply their knowledge.

Question 2.
What system is followed in the programmed instruction method?
Answer:

1. The subject matter to be learned is presented in a series of units.
2. It consists of three parts – presenting facts, new knowledge, and questions and answers.
3. This system provides feedback on the accuracy of the response given by the trainee.
4. Programmed instruction is made available in printed books, tables, interactive job videos, and other formats.

Question 3.
What do you mean by internship training method?
Answer:

1. A superior gives training to a subordinate or understudy like an assistant to a manager or director.
2. The subordinates learn through experience and observation by participating in handling day-to-day problems.
3. The purpose of internship training is to prepare subordinates for assuming the full responsibilities and duties.

Long answer questions

Question 1.
Explain about off the job training.
Answer:

1. Training which is carried out away from your normal place of work.
2. In this method, where the workers/employees learn the job role away from the actual work floor.
3. It comprises a place specifically allotted for the training purpose which may be near the actual workplace.
4. In this method where the workers are required to learn the skill and get well equipped with the tools and techniques that are to be used on the actual work floor.

Question 2.
In which method is to gain experience and knowledge and explained it briefly?
Answer:

1. To enable the trainees to listen to the lectures and talk delivered on specific topics.
2. It provides opportunities to participate, to interact with the speaker.
3. To clarified their doubts or selected participants may be allowed to present papers with the audiovisual aids as delegates.
4. They share their rich experience at the seminar through their papers.
5. The participants can widen and deepen their knowledge by their active participation at the conference.
   Eg: Doctors’ conference, salesman conference.
6. This is one of the oldest methods but still a favorite training method.

Multiple-choice questions

1. ……….. enables the employees to guide their behavior.
(a) Skill
(b) Knowledge
(c) Training
(d) None
Answer:
(c) Training

2. Which one is helpful in the performance enhancement of the employee?
(a) Time
(b) Skill
(c) Work
(d) Change
Answer:
(b) Skill

3. Employee gets updated with the latest technology and trend through:
(a) Job
(b) Training
(c) Behaviour
(d) Productivity
Answer:
(b) Training

4. Efficient training improves higher:
(a) Productivity
(b) Profit
(c) Both (a) and (b)
(d) None
Answer:
(c) Both (a) and (b)

5. A person who is learning and practicing the skills of a particular job is called:
(a) Trainee
(b) Train
(c) Trainers
(d) Training
Answer:
(a) Trainee

6. ……… is the process of sharing the knowledge and experience of an employee.
(a) Mentoring
(b) Coaching
(c) Job rotation
(d) None
Answer:
(a) Mentoring

7. Which method a trainee is periodically shifted from one work to another work?
(a) Apprenticeship
(b) Job rotation
(c) Mentoring
(d) All the above
Answer:
(b) Job rotation

8. Find out the technical cadre in the apprentice method:
(a) Mechanics
(b) Electricians
(c) Welders
(d) All the above
Answer:
(d) All the above

9. Trainees have described a situation which suits their interest to find a solution is known as:
(a) Case study
(b) Group behaviour
(c) Lecture
(d) None
Answer:
(a) Case study

10. The main purpose of the case study method is to make trainee apply their:
(a) Skill
(b) Knowledge
(c) Area
(d) Technique
Answer:
(b) Knowledge

11. Which method is to share their experience at the seminar through their papers?
(a) Conference method
(b) Case study
(c) Both (a) and (b)
(d) None
Answer:
(a) Conference method

12. Which type of web-based training can pass over the information through the internet?
(a) Vestibule training
(b) E-leaming
(c) Instruction
(d) Roleplay
Answer:
(b) E-leaming

13. Vestibule training is given to:
(a) Scientists
(b) Drivers
(c) Pilots
(d) All the above
Answer:
(d) All the above

14. The employee learns the job in the actual workplace or environment is known as:
(a) On the job training
(b) Off the job training
(c) Demonstration
(d) None
Answer:
(a) On the job training

15. It helps to focus on a specific area and develop employee skills:
(a) Training
(b) Work
(c) Skill
(d) Knowledge
Answer:
(a) Training

16. Who plays the role of coach and made training arrangements?
(a) Supervisor
(b) Guide
(c) Instructor
(d) None
Answer:
(a) Supervisor

17. A person who teaches skills to the employee and prepare them for a job activity:
(a) Trainee
(b) Trainers
(c) Train
(d) All the above
Answer:
(b) Trainers

18. Trainers is otherwise called:
(a) Instructor
(b) Teacher
(c) Mentor
(d) All the above
Answer:
(d) All the above

19. Duration of the training program is apprenticeship ranges from:
(a) 1 to 5 years
(b) 3 months to 8 months
(c) Less than one year
(d) More than 5 years
Answer:
(a) 1 to 5 years

20. In which training method the trainee gets the stipend during the training period.
(a) Mentoring
(b) Coaching
(c) Apprenticeship
(d) All the above
Answer:
(c) Apprenticeship

Students get through the TN Board 12th Commerce Important Questions Chapter 11 Employee Selection Process which is useful for their exam preparation.

TN State Board 12th Commerce Important Questions Chapter 11 Employee Selection Process

Very short answer questions

Question 1.
Define the term “selection” process.
Answer:
According to Dale Yoder. “Selection is the process in which the candidates for employment are divided into two classes – those who are to be offered employment and those who are not.

Question 2.
List out the steps in the selection process.
Answer:
A comprehensive selection process involves the various steps

1. Application Blank
2. Scrutinizing the Applications
3. Selection Test
4. Interview
5. Physical Examination
6. Approved by Higher authority
7. Contract of employment.

Question 3.
What is meant by panel interviews?
Answer:

1. Where a group of people interviews the candidate, it is called a panel interview.
2. All panel members ask different types of questions on general areas of specialization of the candidate.
3. The panel comprises experts, representatives of minorities, nominees of higher bodies, and soon.
4. In the end, marks awarded by all the members are aggregated and the candidates have ranked accordingly.

Question 4.
Why selection tests are conducted in the selection process.
Answer:
Several tests are conducted in the selection process to ensure whether the candidate possesses the necessary qualification to fit into various positions in the organization. Eg: Ability test and personality test.

Question 5.
What is a job offer?
Answer:
“Job first man next”, should be the principles of placement. The job should be offered to the man based on his qualifications.

Question 6.
How the selection committee is scrutinizing the applications?
Answer:
The selection committee has to evolve some criteria like age, length of experience, level of education, percentage of marks, higher qualification, level of exposure, communal quotes, proficiency, etc.

Question 7.
What do you mean by mental arithmetic test?
Answer:
It tests the candidate’s basic numerical ability like addition, subtraction, multiplication, division, and fraction. It tests the speed of doing calculations.

Question 8.
In what way interviews are conducted online?
Answer:

1. Interviews are conducted by the means of the internet, via Skype, We Chat, Google duo, Viber, Whatsapp, or video chat applications.
2. This enables the interviewers to conduct interviews with the candidates living in faraway places.

Short answer questions

Question 1.
Discuss group interview.
Answer:

1. A group interview is a screening process where multiple candidates are interviewed at the same time.
2. A group interview is a good time-saving type of interview.
3. Sometimes a particular topic is given to the group and they are asked to discuss it.
4. The competency of members of the group is assessed by keenly observing the participation of members in the discussion.

Question 2.
Explain the basic information needed for the contract of employment.
Answer:
The following basic information which needed to be included in a written contract of employment varies according to the level of the job.
The level of the job

1. Job title
2. Duties and responsibilities
3. The scale of pay allowance
4. Increments
5. Working hours
6. Data when continuous employment starts
7. Work rules
8. Grievance procedures
9. Disciplinary procedures.

Question 3.
Explain about reference check.
Answer:

1. A reference check is done to know the reliability and trustworthiness of the candidate.
2. Application blank contains a column for the candidate to furnish the list of persons to be contacted for reference purposes.
3. Employer organizations used to send either standardize from to references or request them to write in detail about certain behavioural traits of candidates under selection.

Question 4.
How to motivate the person to work efficiently?
Answer:

1. If the right person is selected for the right job.
2. It tends to motivate the person to work more effectively and efficiently.
3. They feel that their skills are properly used and they tend to contribute more attention to the job.

Long answer questions

Question 1.
Explain briefly the factors influencing the employee selection process?
Answer:

1. Nature of post: The process of selection of employees varies according to the type of personnel to be recruited.
2. A number of candidates: The selection process depends on the response of candidates to the advertisement inviting applications for the post.
3. Selection policy: The selection policy and selection process are interrelated. Some organizations put in place a tougher selection process while other organizations just conduct straight interviews.
4. Cost factor/budget: The longer selection process entails higher cost.
5. Level of educational qualification and experience: The process of selection depends on the experience and educational qualifications and exposure required for the post.

Multiple-choice questions

1. Selection committee has to evolve some criteria:
(a) Education
(b) Experience
(c) Proficiency
(d) All the above
Answer:
(d) All the above

2. Aptitude test can be measured in the following ways:
(a) Judgement test
(b) Personality test
(c) Verbal reasoning test
(d) None
Answer:
(c) Verbal reasoning test

3. This test is conducted to test the presence of mind and reasoning capacity of the candidates:
(a) Projective test
(b) Attitude test
(c) Judgement test
(d) Interest test
Answer:
(c) Judgement test

4. Where a group of people interview the candidate, it is called:
(a) Stress interview
(b) In-depth interview
(c) Telephone interview
(d) Panel interview
Answer:
(d) Panel interview

5. In which type of interview save a lot of time and money both for employers organization and the candidate?
(a) Video conferencing interview
(b) Online interview
(c) Telephone interview
(d) Panel interview
Answer:
(b) Online interview

6. A kind of conference call that connects the candidate with companies located across various geographies (multipoint):
(a) Online interview
(b) Video conferencing interview
(c) Group interview
(d) None
Answer:
(b) Video conferencing interview

7. The main purpose of medical examination is to find out:
(a) Physical fitness
(b) Infectious diseases
(c) Poor health
(d) All the above
Answer:
(d) All the above

8. Reference check is done to know:
(a) Reliability
(b) Trust
(c) Both (a) and (b)
(d) None
Answer:
(c) Both (a) and (b)

9. Some candidates kept on the waiting list for approval by high authority:
(a) Chairman
(b) H R Director
(c) CEO
(d) All the above
Answer:
(d) All the above

10. The longer selection process entails:
(a) Low cost
(b) Higher cost
(c) Minimum cost
(d) None
Answer:
(b) Higher cost

11. The process of selection depends on the:
(a) Education
(b) Character
(c) Behaviour
(d) none
Answer:
(a) Education

12. In which persons leading to improved productivity and profitability:
(a) Unskill
(b) Talent
(c) Stress
(d) Practical knowledge
Answer:
(b) Talent

13. ……… play a vital role in human resource management
(a) Recruitment
(b) Selection
(c) Both (a) and (b)
(d) Training
Answer:
(c) Both (a) and (b)

14. ………… refers to the process of selecting suitable candidates and offering them jobs.
(a) Recruitment
(b) Selection
(c) Physical fitness
(d) Policy
Answer:
(b) Selection

15. When placing new recruit on the job an effort should be made a sense of:
(a) Loyalty
(b) Penalties
(c) Performance
(d) Responsibilities
Answer:
(a) Loyalty