Business Studies – Case Study Question Paper
(Set 1)
Section A – 1 Mark Questions (20 × 1 = 20 Marks)
1. In an organisation, employees are satisfied but the output is low because tasks are not
completed on time. Which aspect of management is missing?
2. A manager is able to reduce cost per unit but the quality deteriorates. Which concept of
management is affected?
3. Which principle of Fayol highlights that “work should not be interrupted due to transfer, retirement
or absence of an employee”?
4. Which dimension of business environment includes government rules and regulations?
5. "Planning is not a guarantee of success." Which limitation of planning is indicated?
6. The marketing head divides the sales territory on the basis of North, South, East, and West.
Which type of structure is being followed?
7. The Human Resource Department conducted an entrance test before recruitment. Name the
step of staffing.
8. "No smoking in public places" is an example of which dimension of business environment?
9. Which marketing function ensures availability of goods at the right place and time?
10. Which principle of Taylor suggests "substitute rule of thumb with science"?
11. Planning is considered the "primary function of management". Why? (Give one point.)
12. Which level of management prepares strategies and policies?
13. Which feature of management is highlighted when it is said to be "multidimensional"?
14. The government raises the GST rate on cars. Which business environment dimension is
affected?
15. Which process involves "placing the right person at the right job"?
16. “Unity of direction and unity of command are not the same.” Name the principle that supports
this statement.
17. Which marketing philosophy focuses on "customer satisfaction for long-term success"?
18. Which type of plan is expressed in numerical terms and helps in measuring progress?
19. Which source of recruitment involves employee recommendations for filling vacancies?
20. Which element of marketing mix relates to channels of distribution?
Section B – 3 Mark Questions (10 × 3 = 30 Marks)
21. Mr. Rakesh, a manager, believes in promoting discipline and obedience in the organisation.
Which principle of management is being followed? State two other principles of the same thinker.
22. Differentiate between efficiency and effectiveness with suitable examples.
23. A company is facing criticism for polluting water bodies. Identify the related dimension of
environment and state two ways how it can improve its image.
24. A manager compares actual performance with standards and finds deviation. Name the function
of management and explain its importance.
25. ABC Ltd. is a consumer goods company. Its sales have dropped because employees in the
marketing department focus more on their own targets rather than the company’s common goals.
Identify the principle of management violated. Explain how following this principle helps the
organisation.
26. The government announces a policy of compulsory hallmarking on all gold jewellery. A jeweller
is worried about losing business in the short run but also sees long-term benefits. Identify the
business environment dimension and explain any two impacts of such a change on business.
27. A manager assigns a challenging target to an employee and provides full authority but does not
fix accountability. Later, the target is not achieved. Which principle of management is violated? Why
is this principle important in the organisation?
28. Fresh Bites Ltd. makes packed food. The company believes in spending heavily on
advertisements, free samples, and schemes to increase sales instead of improving product quality.
Identify the marketing philosophy being followed and state its drawbacks.
29. The manager of Trendy Wear Ltd. observes that although workers are hardworking, the output
is not as per expectation because different supervisors give different instructions. Identify the
principle of Fayol violated. How can this principle avoid confusion?
30. An electronic goods company decided to set up its unit in a rural area where people are
unemployed. This decision helped the company in reducing labour cost and the government also
provided tax relief. Identify the dimension of environment involved. State two benefits the company
is getting due to this decision.
Section C – 6 Mark Questions (4 × 6 = 24 Marks)
31. XYZ Ltd. is engaged in the production of eco-friendly cleaning products. The management feels
that their growth has slowed because competitors offer discounts and schemes. At the same time,
customers demand better quality and employees complain about lack of proper training. Identify
and explain the importance of the functions of management that can help the company overcome
these problems.
32. A reputed school decides to open a new branch. The Principal prepares the plan, teachers are
assigned duties, classrooms are allotted, and non-teaching staff is recruited. On the day of opening,
students are not clear about their sections, books are not available in time, and parents face
confusion regarding fees. Identify the managerial functions that were not performed properly.
Explain their importance with reference to the case.
33. Global Motors Ltd. manufactures luxury cars. Recently, it introduced a new model with
advanced safety features. However, the company priced it very high, which reduced demand. Later,
the government increased import duty on spare parts, making the cars even costlier. Identify the
business environment factors affecting the company. How should the company adapt its planning to
face such challenges?
34. A garment export company divided its operations into production, marketing, finance, and
human resource departments. With increase in orders, conflicts started arising between marketing
and production managers, as each tried to prioritise their department’s goals. Customers
complained about delayed delivery and quality issues. Identify the organisational structure followed
and explain its suitability. Also, suggest how the company can overcome these conflicts.
