Nature and Significance of Management — Business Studies STD 12 Commerce — Question

Give two merits of sales promotion.

Name the element of directing which refers to the ability of influencing people to strive willingly for mutual objectives.

Shalini, after acquiring a degree in Hotel Management and Business Administation took over her family food processing company of manufacturing pickles, jams and squashes. The business was established by her great grandmother and was doing reasonably well. However the fixed operating costs of the business were high and the cash flow position was weak. She wanted to undertake modernisation of the existing business to introduce the latest manufacturing processes and diversify into the market of chocolates and candies. She was very enthusiastic and approached a finance consultant, who told her that approximately ₹ 50 lakh would be required for undertaking the modernization and expansion programme. He also informed her that the stock market was going through a bullish phase.
Keeping the above considerations in mind, name the source of finance Shalini should not choose for financing the modernization and expansion of her food processing business.Give one reason in support of your answer.

‘The question is not whether there should be decentralisation, but decentralisation to what extent'? What does this statement indicate about decentralisation?

Why is it said that ‘controlling is looking ahead’?

Give the meaning of ‘Authority’ as an element of delegation.

'Bharat Express' specialises in Courier Services. Its 'wide range of express package and parcel services' help business firms to make sure that the goods are made available to the customers at the right place and at the right time.
State, with reason, whether the working capital requirements of 'Bharat Express' will be high or low.

Fayol points out the danger of increased turnover and recruitment costs in one of his principles. Identify the principle.

Name the financial instrument which may be used in the following situations:(i) A company needs funds to meet floatation cost in order to issue equity shares in the market.(ii) The instrument that is issued during the period of tight liquidity when the deposit growth of bank is slow but demand for credit is high.(iii) These are also known as zero coupon bonds and are issued by RBI on the behalf of central government.(iv) It is used by one bank having surplus funds to meet the funds requirements of another bank facing shortage of funds.

Which significance of principles of management is referred through this statement: 'Decisions must be based on facts, thoughtful and justifiable in terms of the intended purposes'?