Question

Statement – I : Business Environment is dynamic as it differs from country to country.
Statement – II : Business Environment is largely uncertain as it is very difficult to predict future happenings.
Choose the correct option from the following :

• A. Statement I is true and Statement II is false.
• B. Statement II is true and Statement I is false.
• C. Both the statements are true.
• D. Both the statements are false.

Hint:

Business environment is dynamic and uncertain — it keeps changing and can’t be predicted easily.

Answer 1

The Correct Option is C

Statement I is true because the business environment (political, economic, social, technological) varies from one nation to another. Hence, it is considered dynamic.
Statement II is also true. External factors change quickly and unpredictably (e.g., pandemic, wars, technology disruptions), making it difficult for businesses to foresee future conditions.
So both statements correctly highlight two different characteristics — dynamic nature and uncertainty — of the business environment.
Final Answer: (C) Both the statements are true.