Business Studies 2014 CBSE [ Delhi] Set I

Authority refers to the power or right to give orders, make decisions and enforce obedience among subordinates.

The objective of ‘Method Study’ is to find out the best possible method of doing the assigned task while reducing cost and maximising customer satisfaction.

Management of people refers to identification of each individual’s strength and weakness and making them work towards achievement of organisational goals.

Formal organisation brings about reduction in duplication of work which is achieved through division of responsibilities among employees.

Policy refers to the general course of action that is undertaken in a particular situation aimed at channelisation of organisational efforts in the desired direction.

The political environment of business includes political conditions of a country including political stability and the attitude of the government towards business.

Inflation leads to an increase in the working capital requirement of a company to maintain the existing volume of production and sales.

Capital structure refers to the mix between owners and borrowed funds.

The process of converting the message into communication symbols like pictures, gestures, etc. is known as encoding.

Providing achievement certificates to employees for outstanding performance in a specific period.