Short Answer Questions | Business Studies (BST) Class 12 - Commerce PDF Download

Q1: Distinguish between coordination and cooperation.
Ans:


Q2: Write the characteristics of management and explain any two.
Ans: Characteristics The key features of management are –

• Goal-oriented process,
• all-pervasive,
• multidimensional,
• Continuous process,
• group activity
• dynamic function,
• tangible force.

1. Management is a goal-oriented process:  An organization has a set of basic goals which are the basic reason for its existence. These should be simple and clearly stated.
2. Management is all-pervasive: The activities involved in managing an enterprise are common to all organizations whether economic, social, or political Thus it is all-pervasive.

Q3: “Lack of proper management results in wastage of time money and efforts.” Do you agree with this statement? Give reasons in support of your answer. (2003)
Ans: Yes, the above-mentioned statement holds true as the reasons are as follows.

• Means to accomplishing goals:  Management is important because it helps in achieving group goals, increases efficiency, and creates a dynamic organization.
• Unified direction: Management motivates and directs the workforce by unifying goals with the group goals.
• Establishes sound industrial relations: The success of any organization depends upon its workforce. It is the only factor of production which is movable in nature. Effective management tries to build a feeling of team and loyalty towards the organization.
• It looks after for future uncertainties: An effective management prepares the organization for future contingencies and paved the way for its survival and growth. In the ‘ absence of this foresightedness, an organization may be forced to wind up its operations resulting in wastage of time, efforts, and resources.

Q4: State two objectives of management. (1993, 1996, 1998)
Ans: The main two objectives of management are –

• Maximization of profits at minimum cost.
• Optimum utilization of the given resources by the organization.

Q5: What is meant by Administration? (1992, 1999)
Ans: Administration means a determination of overall policies, the setting of major objectives, the identification of general-purpose, the laying out of broad programs, etc. It is determinative in nature.

Q6: Name any two activities undertaken at the top-level management. (1995, 2001, 2004)
Ans: The two main functions or activities of top-level management are.

• It does long-term planning and formulating suitable policies, organizing (determination of organization structure), and controlling.
• It maintains cordial relations with all outside parties like the shareholders, the government, etc.

Q7: State two functions of lower-level management. (1992-1994)
Ans: The main functions are as follows –

• It translates the intermediate plan of middle-level management into day to day operating plan.
• It gives directions to operating employees by assigning jobs, evaluating and correcting their performance and sends information and progress reports to higher management.