Question

Multiple Choice Questions:
Which of the following best indicates the importance of business environment?

• A. Identification
• B. Improvement in performance
• C. Coping with rapid changes
• D. All of them

Answer 1

The correct option is A Identification

Social environment refers to the social forces such as customs, traditions, social values, social trend etc. that affect the business opportunities and performance. Among the options given in the question, composition of family represents an example of social environment. If the composition of family is such that it comprises of more of children than elderly persons then, this implies greater business opportunity for baby product companies.