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Question

Which of the following statement is TRUE?
(1)Environment refers to all forces, which have a bearing on the functioning of business.
(2)Success of every business depends on adapting itself to the environment within which it functions.
Select the correct answer from the options given below.

A
(1) only
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B
(2) only
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C
Both (1) and (2)
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D
Neither (1) nor (2)
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Solution

The correct option is C Both (1) and (2)
The framework within which the organizations exist is known as business environment All the elements of the business environment affects the organization directly or indirectly. Following statements are true:
(1)Environment refers to all forces, which have a bearing on the functioning of business.
(2)Success of every business depends on adapting itself to the environment within which it functions.


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