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

What is meant by Marketing Mix?

The Return on Investment (RoI) of a company ranges between 10-12% for the past three years. To finance its future fixed capital needs, it has the following options for borrowing debt.

• Option ‘A’ Rate of interest 9%
• Option 'B' Rate of interest 13%

Which source of debt, 'Option A' or 'Option B', is better? Give reason in support of your answer. Also state the concept being used in taking the decision.

Name the type of formal communication illustrated through following examples:

1. Application for grant of leave.
2. Sending notice to employees to attend a meeting.
3. A production manager may contact marketing manager to discuss about schedule of product delivery, product design, quality, etc.

The production manager of an automobiles company asked the foreman to achieve a target of production of 200 units (Scooter) per day. But he did not give him the authority to requisition tools and materials from the stores department. Can the production manager blame the foreman if he is not able to achieve the desired target? Explain the principle related to the situation.

Define management.

ABC Ltd. is engaged in producing electricity from domestic garbage. There is almost equal division of work and responsibilities between workers and the management. The management even takes workers into confidence before taking important decisions. All the workers are satisfied as the behaviour of the management is very good.

1. State the principle of management described in the above paragraph.
2. Identify any two values which the company wants to communicate to society.

What is meant by production concept of marketing?

"Money market instruments are more liquid than capital market instruments". Comment.

What are the main basis of setting standards?

With the help of a suitable example, explain the meaning of informal organisation.