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Which of the following statements correct about East India Company?
1. East India Company acquired a charter from the ruler of England, Queen Elizabeth I, granting it the sole right to trade with the East.
2. The royal charter prevents other European powers from entering the Eastern markets.
Which of the statements given above is/are correct?
  • a)
    1 only
  • b)
    2 only
  • c)
    Both 1 and 2
  • d)
    Neither 1 nor 2
Correct answer is option 'A'. Can you explain this answer?
Most Upvoted Answer
Which of the following statements correct about East India Company?1. ...
East India Company:
  • In 1600, the East India Company acquired a charter from the ruler of England, Queen Elizabeth I, granting it the sole right to trade with the East. Hence statement 1 is correct.
  • Then onwards no other trading group in England could compete with the East India Company.
  • However, the royal charter didn’t prevent other European powers from entering the Eastern markets. Hence statement 2 is not correct.
  • The Portuguese had already established their presence on the western coast of India and had their base in the Dutch too were exploring the possibilities of trade in the Indian Ocean. Soon the French traders arrived on the scene.
  • The problem was that all the companies were interested in buying the same things.
  • So the only way the trading companies could flourish was by eliminating rival competitors.
  • The urge to secure markets, therefore, led to fierce battles between the trading companies.
  • Trade was carried on with arms and trading posts were protected through fortification.
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Which of the following statements correct about East India Company?1. East India Company acquired a charter from the ruler of England, Queen Elizabeth I, granting it the sole right to trade with the East.2. The royal charter prevents other European powers from entering the Eastern markets.Which of the statements given above is/are correct?a)1 onlyb)2 onlyc)Both 1 and 2d)Neither 1 nor 2Correct answer is option 'A'. Can you explain this answer?
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