BUSINESS STUDIES (054)

CLASS XII (2025-26)

MM – 80 TIME: 3 Hrs
General instructions :
1 This question paper contains 34 questions.
2. Marks are indicated against each question.
3. Answers to the questions 1-20 carrying 1 marks.
4. Answers to the questions 21-24 carrying 3 marks may be from 50
to 75
words.
5. Answers to the questions 25- 29carrying 4 marks may be about
150 words.
6. Answers to the questions30-34 carrying 6 marks may be about
200 words.

All questions are compulsory :

1.The project managers in an organisation set targets for the
upcoming
months and outline strategies to achieve them. At the same time,
they
assign specific roles and responsibilities to their team members.
They
motivate them to meet the deadline, by celebrating their
achievements
and taking their feedback. Thus, various functions are
simultaneously
performed by all managers all the time. Name the characteristic of
Management discussed above.
a) Management is a dynamic function
b) Management is a continuous process
c) Management is an intangible force
d) Management is goal oriented
2. Henri Fayol's principle of discipline which emphasizes obedience
to
organisational rules and employment agreement, is evolved out of
the
experience and collective wisdom of managers. The nature of
principle
of management reflected through the above statement is.....
a) Universal applicability
b) Flexible
c) Mainly behavioral
d) Formed by practice and experimentation
3. Read the following statements: Assertion (A) and Reason
(R).
Choose the correct alternative from those given below:
ASSERTION(A): Maslow’s need hierarchy theory of
motivation is
widely recognised and appreciated yet criticised.
REASON(R): Even though Maslow's theory focuses on needs
as a
basis of motivation and helps to develop understanding
about the
motivation phenomenon, his propositions are questioned on
their
classification and hierarchy.
Alternatives :
(a) Both Assertion (A) and Reason (R) are true.
(b) Both Assertion (A) and Reason (R) are false.
(c) Both Assertion (A) and Reason (R) are true, but Reason (R) is not
the
correct explanation of the Assertion.
(d) Both Assertion (A) and Reason (R) are true, and Reason (R) is
the
correct explanation of the Assertion.

4. Read the following statements carefully:

Statement- I Values are basic truths or guidelines for behaviour
which
are formed after research in work situations.
Statement- lI While practising Principles of Management, values
cannot be neglected as business organisations have to fulfil social
and
ethical responsibility towards society.
In the light of given statements , choose the correct
alternative
from the following:
(a)Both the statements are true.
(b) Both the statements are false.
(c) Statement I is true, Statement II is false.
(d) Statement II is true, Statement I is false

5. Out of the following, which is/are the component(s) of the social

environment.
1) Rate of inflation has increased by 2% leading to a higher total
cost
for business enterprises.
2)Various specialty health food and grocery shops have opened in
an
area where fitness and health enthusiasts live.
3) Life expectancy rate in India has improved over the past 20 years
due to adequate health facilities and infrastructure.
4) A company in its human resource manual discloses a zero
tolerance policy for racial discrimination and discriminatory
practices
against employees with disability.
5) The Advertising Standards Council of India prohibits the
advertisement that promotes products or services that are banned
by
law.
Choose the correct option :
a) only 2
b) 1,2,3
c) 2,4,5
d) 2,3,4
6.Choose the correct statement about the controlling function of
management.
a) No corrective action is required when the deviation goes beyond
the
acceptable range in important areas.
b) Deviations should be analysed for their causes.
c)Measurement of actual performance should be done only after the
task is complete.
d)Managers must keep a check on each and every activity,
otherwise
the entire organisation may suffer.
7.Arrange the following elements of communication process in the
correct sequence:
i) Media
ii) Message
iii)Sender
iv) Decoding
v) Receiver
vi) Feedback
vii) Encoding
Choose the correct option:
a) iii,i,vii,ii,v,iv,vi
b) iii,ii,vii,i,iv,v,vi
c) ii,iii,vii,vi,iv,v,i
d) ii,i,vii,iii,v,iv,vi
8.Mr Gun Amroha, the General Manager of Welworth Textiles scans
the
business environment and adapts the organisation to the changes
taking place in different dimensions of the business environment.
However, it is still difficult for him to accurately assess the future
trends. Identify the limitation of planning related to the above.
a) Planning leads to rigidity.
b) Planning may not work in a dynamic environment.
c) Planning does not guarantee success.
d) Planning reduces creativity.
9. Name the step in the staffing process which enables the
organizations
to offer opportunities for career advancement to their employees by
facilitating learning, thereby helping the organisations to not only
attract but also retain its talented people in the organisation.
a. Placement and Orientation
b. Recruitment
c. Training and Development
d. Performance Appraisal
10.Management has to achieve a variety of objectives in all areas considering the interest of all
stakeholders including, shareholders, employees, customers and the government. The main
objective of any organisation should be to utilise human and material resources to the maximum
possible advantage. Identify the objectives of management highlighted above.
a) Governmental objective
b) Organisational Objectives
c) Personnel Objectives
d) Social Objectives
11.What resources are specially kept in view in planning?
a) Unlimited resource
b) Limited resource
c) Abundant resource
d) Both Limited and unlimited resource
12.Mega Enterprises is a company manufacturing water geysers. The company has a functional
structure with four main functions-Production, Marketing, Finance and Human Resource. As the
demand for the product grew, the company decided to hire more employees. Identify the concept
which will help the Human Resource Manager in deciding the actual number of persons required
in each department.
a) Estimating manpower requirements
b) Workload Analysis
c) All of these
d) Workforce Analysis
13.Assertion (A): Delegation has a greater scope than Decentralisation.
Reason (R): Delegation is the routine function of managers.
a) Both A and R are true and R is the correct explanation of A.
b) Both A and R are true but R is not the correct explanation of A.
c) A is true but R is false.
d) A is false but R is true.
14.. Statement I: The Consumer Protection Act 2019 provides for five rights of consumers.
Statement II: Right to be assured means that the consumer has the freedom to access variety
of products at competitive prices.
a) Statement I is correct and Statement II is not correct.
b) Statement II is correct and Statement I is not correct.
c) Both the Statements I and II are not correct.
d) Both the Statements I and II are correct.
15.There are a number of incidental costs, like expenses on
boardroom meetings, discussions with professional experts and
preliminary investigations to find out the viability of the plan. Identify
the limitation of planning highlighted above.
a) Planning leads to rigidity
b) Planning does not guarantee success
c) Planning involves huge costs
d) Planning may not work in a dynamic environment
16.. Statement I: Advertising is a paid form of communication.
Statement II: Advertising is a personal method of promotion.
a) Statement I is correct and Statement II is not correct.
b) Statement II is correct and Statement I is not correct.
c) Both the Statements I and II are correct.
d) Both the Statements I and II are not correct.
17. Pawan decided to start a chocolates manufacturing business. He set the target of earning 10%
profit on sales in the first year. As a good businessman, he was concerned about the future of the
business, which was uncertain. He gathered
information that the demand for chocolates is increasing day-by-day. He used this information as
the base for future planning and shared it with his team. On the basis of the gathered information,
he scheduled a meeting in the following week to find innovative ways to achieve the objectives.
List the first two steps, which have been followed by Pawan that are related to the process of one
of the functions of management.
a. Setting Objectives
b. Developing Premises
c. Identifying alternative courses of action
d. Evaluating alternative courses
a) c and d
b) b and c
c) a and b
d) a and d
18. It is very difficult to detect the source of such communication.
(a) Upward communication
(b) Vertical communication
(c) Lateral communication
(d) Informal communication
19. Which of the following is not a type of semantic barriers?
(a) Badly expressed message
(b) Unclarified assumptions
(c) Technical jargon
(d) Premature evaluation
20.which of the following is not a type of psychological barriers?
(a) Premature evaluation
(b) Lack of attention
(c) Fear of challenge to authority
(d) Distrust
21. State any three points of significance of decentralization.
22.State any three limitations of formal organisation.
23.Muralidhar Parekh started textile printing business in Gujarat in
the
year 2022 by using practices like eco-friendly dyeing and printing
processes in order to ensure environmental sustainability. Soon the
business started flourishing. For the financial year 2024-25,
Muralidhar
formulated the organisational goal of increasing sales by 10% and
framed strategies for their achievement. Since his job was complex
and stressful, he appointed subordinates to carry out the main task
of
implementing and controlling the plans and strategies made by him.
Identify the level at which the necessary workforce was appointed
for
implementing and controlling the plans and strategies made by
Muralidhar Parekh. What will they need to do to carry out this main
task? State any three points.
24. Explain why planning is considered as
a) pervasive
b) futuristic function of management.
25.Explain the following as a type of plans :
a) strategy
b) procedure
26.‘A good control system helps the organisation in various ways’.
State
any four points to support the statement.
27. PP Motors is a reputed automobile company known for
manufacturing
high performance four wheelers. The company plans to hire eight
new
engineers. Akhilesh Banerjee, the Human Resource Manager has
eliminated unfit job seekers based on the information supplied in
the
application forms, conducted various tests and interviews and
verified
the information of the applicants. Identify and explain the remaining
steps that Mr Banerjee must undertake in order to ensure that the
organisation gets the best among the available, from the pool of
prospective job candidates.
28.. How does management help workers to achieve its personal objectives? State.
29.The Marketing Research Manager of ‘Trendy Textiles’ has been
assigned the task of analysing the influence of Generation Z on
fashion trends. On studying the forces that affect business, he
observed that
increased awareness amongst Generation Z, with respect to,
environmental protection, preference of individuality over trends,
rejection of traditional norms in clothing, greater use of social media
have increased the demand for sustainable and innovative styles in
clothing, ‘Do It Yourself’ (DIY) products, promotion of products on
various social media platforms by companies.
a) In context of the above case, identify and explain the feature of
the
business environment highlighted above.
b) Explain any two features of the business environment, apart from
the one identified in part a).
30. Mr Pankaj Kumar is working as the Human Resource Manager in
Alankaar Fabrics Limited heading a team of fifteen people in his
department. He has played a key role in the success of his
organisation
by maintaining good interpersonal relations with his subordinates
and
influencing their behaviour. The subordinates willingly cooperate
with
him and his working style to increase the output of the organisation.
a) Identify and explain the element involved in one of the functions
of
management discussed in the above case.
b)State any four features of the element identified in part a).
31. Malini and Shalini recently completed their web designing
course from
a reputed University in Mumbai. Malini opened her own website
development company ’ Rapid Software Private Limited’ .In order to
ensure a smooth flow of communication and better control over the
operations of her business, she divided the entire work of a
company
into four departments i.e web designing, accounting, research and
development and customer service. All departments are required to
report to a coordinating head. The company became successful in
the
market as all operations were carried out with a high degree of
specialisation. Shalini joined a big group named Babylon.com,Inc.
which
offered a variety of services like Babylon Web Services, Babylon
Prime,
Babylon Retail. She was appointed as the head of Babylon Web
Services division and was made responsible for the profit or loss of
her
service division.She was happy to take the responsibility as the
division would function as an autonomous unit, thus enabling her to
make faster decisions.
(a). Identify the types of the framework within which managerial and
operating tasks are performed, in the organisations, of which, Malini
and Shalini were a part of.
(b). Give any four differences between the frameworks identified
above.
32.A) State any six reliefs available to a consumer under Consumer
Protection Act, 2019.
33.State the rights available under Consumer Protection Act, 2019
for
the protection and promotion of interest of consumers.
33. Aman Chadha started 'Bulls Eye' a company for providing cybersecurity solutions to
businesses. Its objective is to prevent, detect and respond to cyber-attacks and protect critical data.
He was a hardworking software engineer and an
expert in cybersecurity. His reputation grew by leaps and bounds as he was not only a person of
integrity but also did his work with utmost honesty and sincerity. The business started growing
day by day. He was delighted when he was offered a big project by the Ministry of Defence.
While working on the project, he found
that the volume of work made it impractical for him to handle all the work by himself. He decided
to expand the team. The company maintained a close liaison with a local engineering college.
During a campus placement, Ishan and Vrinda
were appointed to work for the new project. He found the new employees capable, enthusiastic
and trustworthy. Aman Chadha was thus, able to focus on objectives
and with the help of Ishan and Vrinda, the project was completed on time. Not only this Aman
Chadha was also able to extend his area of operations. On the other hand, Ishan and Vrinda also
got opportunities to develop and exercise initiative.
i. Identify and briefly explain the concept used by Aman Chadha in the above case which helped
him in focusing on objectives.
ii. Also, state any four points of importance of the concept identified in (i) above
34.The internet has taken the whole world by surprise. The government has also been lenient in
giving the online companies a chance to flourish in the changing business scenario. Interneters
Online is an entrepreneurial initiative by a group of
young engineers. The company has entered in the domain of providing products online. Many new
firms have also entered after seeing them enter this mode of business and many of these firms are
foreign in origin. The companies dealing in online business know that in today's world customer
has many options. The customer is no more dependent on a single company for the product he
requires. This has empowered the customer who has more choices and the result is a fragmented
market. The firms selling with monopoly in the market are the stories of the past. The products
offered by the companies are going through different types of technological changes. The
companies are trying to give variety of products which are technologically advanced.
Interneters Online is a firm which is right now selling 200 products online. Recently it
tried to increase the number of products to be sold by 15 but it realised that many of these
products were not allowed by the government to be sold in their territory.
Identify three impacts of government policy changes on Business and Industry highlighted in the
above case. Also identify the dimension of business environment highlighted above.