BBA General Strategic Management — practice questions
110 free MCQs with worked solutions. Tap any question for the answer + explanation, or practice them all in the app.
Practice BBA General Strategic Management in the app →A business owned, managed and controlled by one individual who takes all profits and risks is a:Sole proprietorship is most suitable for businesses that are:Starting a sole proprietorship needs hardly any legal formalities because:If a sole proprietor's firm owes 80,000 but its assets are only 60,000, the owner must bring in:The sole proprietor bears all the risk and in return receives:In the eyes of the law, a sole trader and the business have:Death, insanity or bankruptcy of the owner may close the firm, showing sole proprietorship suffers from:A sole proprietor can act on a market opportunity at once because of:A sole trader can keep business information secret partly because the law does not require him to:A major limitation of sole proprietorship is that resources are limited to personal savings and:Because creditors can reach personal assets, a sole proprietor is often less inclined to take risks in:One person rarely excels at purchasing, selling and financing together, which shows the limit of:Coca-Cola's syrup was created in Atlanta in 1886 by:Asa Candler achieved sole ownership of Coca-Cola in 1891 with an investment of:A business owned and carried on by members of a Hindu Undivided Family is a:Membership of a joint Hindu family business is acquired by:The head of a joint Hindu family business, who controls it, is called the:Members of a joint Hindu family business other than the karta are known as:In a joint Hindu family business, unlimited liability rests with the:When the karta dies, the joint Hindu family business:Which members can belong to a joint Hindu family business because membership comes by birth?Under the Hindu Succession Amendment Act of 2005, a daughter of a coparcener becomes:Social responsibility of business is its obligation to act in ways desirable in terms of the:Compared with legal responsibility, social responsibility is:Social responsibility involves an element of:Deceptive advertising, polluting the environment and exploiting workers are examples of:Which body defines corporate social responsibility as the responsibility of enterprises for their impacts on sIn India, corporate social responsibility is governed by which clause of the Companies Act, 2013?The CSR provisions apply to companies with an annual turnover of at least:CSR rules also apply to companies with a net profit of at least:Companies covered by the CSR rules must set up a CSR committee that includes at least one:The Act encourages companies to spend on CSR at least what share of average net profit of the previous three yWhich CSR activities are taken into consideration under the Indian rules?Which argument says prosperity and growth of business is possible only through continuous service to society?A firm that keeps service to society as its highest goal is said to gain maximum profits in the:Voluntarily assuming social responsibilities can help business avoid:The argument that business has managerial talent and capital that can help solve social problems is:Pollution, unsafe workplaces and discriminatory hiring support which argument for social responsibility?Which argument against social responsibility says business exists only to earn as much as possible?The claim that firms will pass the cost of pollution control to buyers is the argument of:The argument that businessmen lack the training to solve social problems is:Supplying good quality goods, safe working conditions and paying taxes honestly are:A society with fewer problems is said to provide business with a:Corporate sustainability entails a balanced approach to economic progress, social progress and:A set of moral standards for judging whether something is right or wrong is:A situation where a person must choose from actions that may be right or wrong is an:An official whose personal interest could shape a decision they must make faces a:What is considered fair by the prevailing standards of society is called:Rights to life, freedom and the pursuit of happiness, granted at birth, are called:Rights guaranteed by a government and its laws are:The philosophy judging an action by its consequences, seeking the greatest good for the greatest number, is:A criticism of that philosophy is that it always involves:The philosophy that a person should follow their duty because upholding it is correct is:A firm's written guidelines telling employees what is expected of their behaviour form a:Individuals or groups to whom a business has a responsibility are its:Concern of businesses for the welfare of society as a whole, beyond what law requires, is:Charitable giving by a company, including cash and donated products, is:Tying that giving closely to the firm's own mission and its own communities is:Limiting investments to companies that behave in line with the investor's beliefs is:Which group counts as a stakeholder of a business?Ethics training programmes at firms may today include:A share of large United States companies providing some kind of ethics training is more than:A company that makes sustainability part of its own business culture is acting on:Denying the rights of an individual or group is considered:Under a duty-based philosophy, keeping a promise matters because:Under a consequence-based philosophy, an action affecting the majority badly would be judged:A business established, owned, operated and often financed by one person is a:An association of two or more people running a business together for profit is a:A partnership where all partners share in the management and the profits is a:A partnership with some partners of unlimited liability and others of limited liability is a:A legal entity with a life separate from its owners, who are not personally liable, is a:The owners of a corporation, holding shares that carry certain rights, are its:The group elected by those owners to handle overall management is the:A hybrid form giving the liability protection of a corporation with simpler taxation is a:A legal entity formed by people with similar interests, such as suppliers or customers, is a:Members joining together purely to gain combined purchasing power form a:Two or more companies forming an alliance for one specific project create a:A business arrangement letting one party trade under another's name and system is:The contract setting out the rules of that arrangement is the:The combination of two or more firms into one new company is a:The purchase of a target company by another corporation or an investor group is an:Two supermarket chains at the same stage of the same industry combine. That is a:A carmaker buys the firm that supplies its tyres. That is a:A media firm buys an unrelated food business to spread its risk. That is a:A takeover financed by very large amounts of borrowed money is a:The owner of a small shop wanting complete personal control would choose a:Which form protects an owner's personal assets from the firm's debts?Two firms wanting to pursue one project together without merging would set up a:The tool whose name stands for strengths, weaknesses, opportunities and threats is:A SWOT analysis is only as good as:The tool reminding managers to scan distinct categories of the macro environment is:The Harvard professor who developed the five forces tool is:The force placed at the centre of that five forces diagram is:Firms already competing in an industry are described as:A growing or very profitable industry is likely to attract:Factors that stop new firms from competing successfully in an industry are:Which of these can act as such a barrier?Any other product that satisfies the same customer need as the industry's offering is a:When using the five forces model, an analyst decides whether each force has an impact that is:Equipment, facilities, raw materials and employees a firm has to work with are its:The set of activities through which a firm turns inputs into something customers value is its:The tool used to assess whether a resource can give lasting advantage is:Under that tool, a resource gives competitive advantage when the answer to every question is:A firm offering a wide variety of products at prices below rivals is following:The strategy that is the exact opposite of that low-price approach is:Trying to combine those two strategies at once, Porter suggests, can leave a firm:A firm adding value that only a few customers will pay highly for is following a:The innermost circle of a firm's environment, holding its own members and investors, is the:Compared with the macro environment tool, the five forces tool examines the firm's:A car maker losing sales because young city dwellers stop buying cars faces a change in its: