Maharashtra HSC Board 2024: Organisation Of Commerce And Management (51)

Maharashtra HSC Board 2024

Organisation Of Commerce And Management (51) 

Time: 3 Hrs.                        Max. Marks: 80

Note: (i) All questions are compulsory.

(ii) Figures to the right indicate full marks for the questions.

(iii) Figures to the left indicate question numbers.

(iv) Answer to every question must be started on a new page.

Q. 1. (A) Select the correct options and rewrite the sentences:        (5) [20]

(1) ________ was regarded as the father of scientific management.

(a) Henry Fayol

(b) F.W. Taylor

(c) Philip Kotler

Ans: (b) F.W. Taylor

(2) Start-up India is an initiative of the _______

(a) RBI

(b) Government of India

(c)World Bank

Ans: (b) Government of India

(3) Door to door service is provided by _______ transport.

(a) Railway

(b) Air

(c) Road

Ans: (c) Road

(4) For economic growth and National Security stability is required ________.

(a) Political

(b) Social

(c) Economic

Ans: (a) Political

(5) In India the Consumer Protection Act was initiated in the year

(a) 1947

(b) 1989

(c) 1986

Ans: (c) 1986

(B) Match the correct pairs:                    (5)

Group ‘A	Group B
a) Principle of Unity of direction	1) Right to information
b) Planning	2) Last function of Management
c) Warehousing	3) Distinct Name
d) Consumer Right	4) One head one plan
e) Registered brands	5) Seller
	6) Basic function of management
	7) Time Utility
	8) General guidelines
	(9) Trademark
	(10) Place Utility

Ans: 

Group ‘A	Group B
a) Principle of Unity of direction	4) One head one plan
b) Planning	6) Basic function of management
c) Warehousing	7) Time Utility
d) Consumer Right	1) Right to information
e) Registered brands	9) Trademark

(C) State whether the following statements are true or false :            (5)

(1) Co-operation is not necessary for smooth flow of organizational activities.

Ans: False

(2) Current Account is opened by salaried persons.

Ans: False

(3) With the help of outsourcing company we can focus on the core areas.

Ans: True

(4) The seller has to recognize the rights of consumer.

Ans: True

(5) The term market is derived from the Latin word "mercatus."

Ans: True

(D) Find the odd one:        (5)

(1) Selecting, training, coordinating, placing.

Ans: coordinating

(2) NABARD, RBI, SIDBI, EXIM

Ans: RBI

(3) Debit card, Credit card, Aadhar card, ATM card

Ans: Aadhar card

(4) Job security, Health and safety measures, Good working condition, Reasonable profit.

Ans: Reasonable profit

(5) Price, People, Promotion, Product.

Ans: People

Q. 2. Explain the following terms / concepts (Any FOUR):        [8]

(1) Principle of Discipline

Ans: According to Fayol, discipline is the most essential thing in the organisation. Employees must obey and respect the rules that govern the organisation. Discipline helps to achieve the goals in the organisation. Good discipline is the result of effective leadership. There must be a clear understanding between the management and workers regarding the organisation's rules. Basic discipline should be observed at all levels of management.

(2) Communication

Ans: Communication is an art of exchanging ideas, facts, information etc. from one person or entity to another. The process of passing any information from one person to another with the help of some medium is termed as communication .Communication is very simple process where message is being transferred from a sender to the receiver. The receiver after receiving the message understand it in the desired form and then act accordingly.

(3) Business ethics

Ans: "Business ethics is an art or science of maintaining harmonious relationship with society, its various groups and institutions as well as recognizing the moral responsibility for right or wrong conduct of business.

(4) Corporate Social Responsibility (CSR)

Ans: Corporate Social Responsibility (CSR) is self-regulating business model, aims to contribute to societal goals or support volunteering or ethically-oriented practices. It makes a company socially responsible and accountable. This accountability is towards itself, its stakeholders, public in general etc. By practicing social responsibility, companies can be conscious about economic, social and environmental aspects of the society.

(5) Right to choose

Ans: The choices available to Indian consumers across the basket of goods and services have multiplied like telecommunications, travel and tourism, banking, electronics, fast moving consumer goods(FMCG) etc. According to this right, consumer should be given full freedom to select an article as per his requirement, liking and purchasing capacity. The right to choose is related to the concept of free market economy. As per this right, the seller cannot compel consumer to buy particular product and hence monopoly is prevented.

(6) Market

Ans: Marketing is a key function of modern management. We are exposed to marketing of products and services and ideas almost every day. Study of marketing plays an important role as everyone of us performs marketing activities in one or the other form. Marketing has different meanings based on audience, media platform and business in changing market.

Q. 3. Study the following case / situation and express your opinion (Any TWO):    [6]

(1) In XYZ company, Mr. Lele gives instructions to the employees working under him, provides guidance and motivates them for their best performance. On the other hand Mr. Sayyad takes effort to harmonize the work done by the employees of different departments while achieving organizational goals. Mr. Desai is looking after the arrangement of required resources to the business organization. Mention the name of employee engaged in following functions: 

Solution: Video Solution 

(i) Organising

Ans: Mr. Desai is engaged in the organization function as he is looking after the arrangement of required resources for the business organization.

(ii) Directing

Ans: Mr. Lele is engaged in the function of directing as he gives instructions to the employees working under him, provides guidance, and motivates them for their best performance.

(iii) Co-ordinating
Ans: Mr. Sayyed is engaged in the function of coordination as he makes an effort to harmonise the work done by the employees of different departments.

(2) Mr. Ashok visited a shop to buy a pair of shoes of ₹700. The salesman forced him to buy a pair of bigger size shoes of ordinary company by claiming this size would be suitable to him. After reaching home, he discovered that shoes are still too big for him. He complained about the shoes to the shopkeeper. It was denied by the shopkeeper to replace the shoes despite of availability of stock. In above case:-

(i) Which right has been violated?

Ans:  In the above case, the Right to Choose has been violated.

In India, the choices are available to consumers to select goods and different services

like telecommunications, travel and tourism, banking, electronics, consumer goods, etc.

(ii) Is Mr. Ashok a buyer or an ultimate consumer?

Ans: No, Mr. Ashok a buyer or an ultimate consumer. Because he discovered that shoes are still too big for him. He complained about the shoes to the shopkeeper. It was denied by the shopkeeper to replace the shoes despite of availability of stock.

(iii) Where can Mr. Ashok file complaint?

Ans: According to the Right to be Heard, Mr. Ashok can lodge a complaint to the consumer forum. Mr. Ashok can also file an online complaint through the portal or mobile applications to the trader as well as to the appropriate consumer commission or forum.

(3) Mr. A deals in import and export business so he needs different foreign currencies. For the expansion of his business, he borrows money from commercial bank. He invests his funds in the equity shares.

(i) From where does Mr. A borrow money?

Ans: Mr. A borrow money from Commercial bank.

(ii) Name the market where does Mr. A invest his funds.

Ans: Mr. A invest his funds in Stock Exchange Market.

(iii) Which type of currency is required for international market?

Ans: foreign currencies is required for international market.

Q. 4. Distinguish Between the following (Any THREE):         [12]

(1) Directing and Co-ordinating.

Ans: 

Point	Directing	Co-ordination
Meaning	Directing is the guidance inspiration, the leadership of those men and women constitute the real case responsibilities of management.	Coordination is orderly arrangement of group efforts to provide unity of action in the pursuit of common goal.
Object	To direct the subordinates to get the things done in the right manner	To ensure harmony of efforts of the employees for smooth functioning of organization.
Area of function	It includes instructing, guiding, inspiring, communicating and motivating the human resources	It includes integration of efforts of top level, middle level and lower level.
Factors	Directing is concerned directly with internal factors i.e. human resources	It is harmonization of human resources, so it is concerned with internal factors
Order	It follows organising and staffing for execution of planning.	It is an important element of organizing which follows planning.
Resources	It gives direction to the employees regarding use of other resources.	It is related to human resources.
Nature	This continuous process is necessary in the process of achievement of the goals.	This is a continuous process related to all managerial levels.
Level of management	Middle level management is involved in directing the employees.	It is related to all the levels of management to achieve the goal of organization.

(2) Road transport and Rail transport

Ans: 

Point	Road Transport	Rail Transport
Speed	Road transport has limited speed due to bad road condition, accidients, etc.	It has considerable speed since it runs on tracks which rarely gets disturbed
Carrying Capacity	It has limited carrying capacity	It has huge carrying capacity
Cost	It requires limited capital investment in terms of construction of roads, vehicles and there maintenance.	The cost of con[1]struction of trains, railway tracks is high. Also the main[1]tenance of trains, tracks and stations is high.
Distance	Recommended for short distance.	Recommended for both short and long distance.
Charges	Transport charges are not fixed due to increased fuel prices	Transport charges are low
Door to Door Service	It provides door to door services.	It uses passenger trains and goods train.
Means of transport	It uses animals, animal carts, motor-cycles, three and four wheelers	This is a continuous process related to all managerial levels.
Suitability	It is suitable for transport[1]ing the goods in relatively smaller quantities for short distance.	It is suitable for transporting heavy goods in large quantity over long distance.

(3) Bonded warehouse and Duty paid warehouse.

Ans: 

(4) District commission and State commission.

Ans: 

Points of Distinction	District Commission	State Commission
1.Meaning	A consumer dispute redressal forum at the district level established by the State Government is known as District Commission.	A consumer dispute redressal forum at the National level established by the Central Government by notification is known as State Commission
2. President	A person who is sitting or retired or qualified to be District Judge.	A person who is sitting or retired or Judge of High Court, shall, be appointed by the State Government as the President of State Commission.
3. Member	Not less than two and not more than such number of members as may be prescribed, in consultation with the Central Government	Not less than four or not more than such number of members as may be prescribed in consultation with the Central Government.
4.Membership Tenure	The members can have the membership for a term of five years or upto the age sixty five years, whichever is earlier.	The members can have the membership for a term of five years or up to the age sixty seven, whichever is earlier.
5. Area Covered	It covers particular district	It covers particular state
6. Monetary Jurisdiction	o entertain com[1]plaints where the value of the goods or services paid as consideration does not exceed Rs. one crore.	To entertain com[1]plaints where the value of the goods or services paid as con[1]sideration, exceeds Rs. one crore, but does not exceed Rs. ten crore
7. Appeal	Appeal against the District Commission can be made to the State Commission.	Appeal against the State Commission can be made to the National Commis[1]sion.

Q. 5. Answer in brief (Any TWO):            [8]

(1) Explain any four principles of management of Henry Fayol.

Ans: 

1) Principle of Division of Work: 

According to this principle, the work is divided into different kinds such as technical, financial, commercial, security operations, accounting and managerial. It is assigned to employees as per their qualities and capabilities. It helps in improving efficiency and expertise of employees which ultimately turns into expected productivity level.

2) Principle of Authority and Responsibility: 

Authority is the right to take decisions. It is necessary to get the things done appropriately from subordinates. Authority always comes with the responsibility. If the manager is given the authority to complete a task within a given time, he should be held responsible if he does not complete the work in given time. Manager should have proper authorities to take managerial decision on his own in respect to the goal.

3) Principle of Discipline: 

According to Fayol, discipline is the most essential thing in the organisation. Employees must obey and respect the rules that govern the organisation. Discipline helps to achieve the goals in the organisation. Good discipline is the result of effective leadership. There must be a clear understanding between the management and workers regarding the organisation's rules. Basic discipline should be observed at all levels of management.

4) Principle of Unity of Command: 

Each member of organization should receive orders from only one superior. This principle helps in managing conflicts and solving disputes among people in organization. It also helps in avoiding confusion. If an employee receives commands from more than one authority, he will get confused and will not be able to take decision about whose orders should be followed. This is wrong approach. For this organizational hierarchy should be well defined. Each employee should know his immediate superior and should receive orders from him only.

5) Principle of Unity of Direction: 

This principle states that 'there should be one head and one plan' in every organization. Each group in the organization should have the same objective and the group should be directed by one manager using single plan. 

6) Principle of Subordination of Individual Interest to Organisational Interest: 

According to this principle the interest of an individual must be given less importance than the interest of the organisation. While taking decision in the organisation the manager should always consider the interest of the whole group rather than the interest of a single employee. Similarly the employee should protect the interest of the organisation first and his personal interest should be subordinated. For example, in every game, the players are always thinking about winning the match as a team rather than their individual records. 

7) Principle of Centralization: 

Centralization refers to the concentration of powers and authorities. In some organisations this power is vested in one hand or few hands. This situation occurs in the small organisations. But, if the size of organisation is large then there is a decentralization of the power or authority.

8) Principle of Remuneration: 

Appropriate remuneration to staff or employees is the principle to keep them satisfied financially as well as retain them for long span of time within the organization. The fair remuneration affects on the productivity and efficiency level in total. The remuneration should be fixed by taking into consideration the skill, expertise, knowledge, tenure, cost of living, market trend, profitability of organization etc. 

9) Principle of Scalar Chain: 

Scalar chain means the hierarchy of authority from the top level to the lower level for the purpose of communication. This helps to ensure the orderly flow of information and communication. Traditionally, organizations used to frame large scalar chain which is time consuming. For avoiding this longer chain and to take speedy decisions cross communication or direct communication is followed by various organizations which is known as Gang Plank. For direct communication, proper permission of the authorities is necessary.

10) Principle of Order: 

This principle is based on 'A place for everything and everything in its place'. Human resources and materials should be in the right place at the right time for maximum efficiency. Human resources should be placed at right place and on right job. The principle focuses on the proper utilization of physical and human resources. 

11) Principle of Equity: 

Management should be fair as well as friendly to the subordinates. While dividing the work, delegating the authorities, deciding the monetary terms etc.. there should not be any discrimination between the employees. It is also suggested that the remuneration should not depend on the department but at the level on which subordinates are working.

12) Principle of Stability of Tenure: 

At the time of recruitment of employees, the management should assure them about stability of tenure or job security. It plays very important role in creating sense of belongingness among the employees. Insecurity in job always affect the efficiency of employees adversely whereas job security minimizes employee turnover ratio. 

13) Principle of Initiative: 

Initiative refers to volunteering to do the work in an innovative way. The freedom to think and work on new ideas encourages employees to take initiative while working on given task. This initiative should be welcomed by the manager through discussion on the new ideas. It also helps in creating healthy organizational culture. 

14) Principle of Esprit de corps: 

(Team work) Henry Fayol has given emphasis on team work. Esprit de corps means union is strength. Running any organization is a group activity and human resources are the valuable asset of the organization. If all employees are working as a union and with mutual trust, the difficulties can be solved quickly. Therefore, as a leader, manager should create a spirit of team work and understanding among employees to achieve organizational goal easily.

(2) Explain any four characteristics of an entrepreneur.

Ans: 

Entrepreneurs have some special characteristics like creative thinking, imagination, enthusiasm, sincerity etc. The characteristics of an entrepreneur may be briefly stated as follows: 

1) Intellectual Capabilities: 

An entrepreneur is a creative thinker. He has reasonably good intelligence. He has ability to analyze business situations. This ability will help him to take proper decisions. 

2) Future Vision: 

The entrepreneur has a good foresight about future market situation. He should also have knowledge about external business environment. This will help him to take proper decisions according to the situations and changes in the market. So, he can take timely actions for the same. 

3) Hard Work: 

An entrepreneur is ready to work hard. It is more necessary when a new venture is started. He has to work for long hours. Many a times he has to handle the main areas of business independently. This will make him successful. 

4) Technical Knowledge: 

An entrepreneur has good technical knowledge about his business. The entrepreneur has the ability to update himself with the latest knowledge about the product, process and technology. 

5) Communication Skills: 

An entrepreneur needs to communicate with different people like customers, suppliers, creditors, employees, etc. He must be able to express his ideas and strategies effectively. It is necessary that there is a proper understanding between the sender and the receiver of the message. 

6) Highly Optimistic: 

An entrepreneur has to always think positively. He is always hopeful and confident about the market situations even in failure times. Such positive attitude helps him to run his business successfully. 

7) Risk bearing capacity : 

Successful entrepreneur takes calculated risks. He is ready to face challenges and always seeks new and more opportunities. 

8) Self Confidence: 

An entrepreneur has self-confidence. He has positive desires to achieve his goals. Such selfmotivation keeps him strong and confident to face various obstacles

(3) Explain advantages of Business Process Outsourcing (BPO).

Ans: 

BPO refers to the outsourcing of peripheral activities of the organisation to an external organisation to minimize cost and to increase efficiency. For example, customer care centres for various banks, service providers etc. 

Advantages of BPO : 

1) Productivity improvement : 

Educated or skilled people perform the task efficiently and thus improve productivity. 

2) Optimum utilization : BPO enables optimum utilization of scarce resources. 

3) Reducation in cost : 

Cost saving can be significant to any business. BPO not only helps to reducing cost but also increase productivity and increase revenues. 

4) Improved human resources : 

Improved human resources is another great advantage of BPO. Outsourcing gives a company the ability to get access to skilled and trained man power at low rates.

Q. 6. Justify the following statements (Any TWO):            [8]

(1) Management principles are helpful in optimum utilization of resources.

Ans: 

(2) It is easy to set up E-business as compared to traditional business.

Ans:

(3) Business should allow participation of workers in management.

Ans: 

(4) There is a need of branding to get recognition among the consumers.

Ans:

Q. 7. Answer the following (Any TWO):            [10]

(1) Explain the importance of planning.

Ans: 

Meaning: 

Planning is the basic function of management. Every function of management is based on planning. It includes deciding the things to be done in advance. Planning is an intellectual process of logical thinking and rational decision making. It focuses on organization's objectives and develops various courses of action. Designing a proper planning and implementing accordingly is the key of achieving the objectives of an organization.

Definition: 

Following are some of the important definitions of planning: 

1) Koontz and O'Donnell: "Planning is deciding in advance what to do, how to do it, when to do it, and who is to do it. Planning bridges the gap from where we are and where we want to go it makes possible things to occur which would not otherwise occur." 

2) James Stoner: "Planning is the process of establishing goals and a suitable course of action for achieving these goals." Importance of Planning: It is the fundamental function which gives an outline about where to go, how to go and reduces the risk of uncertain future with the help of forecasting. 

The importance of planning is as follows: 

1) Helps to set clear objectives: 

Planning is concerned with setting objectives, targets, and formulating plans to achieve them. It helps managers to analyze the present condition of the organization and on that basis to identify the ways of attaining the desired position in future. 

2) Provides path of action: 

Planning ensures that the goals or objectives are clearly stated. They act as a guide and they provide direction for doing the right things at the right time with right way. It helps employees to know what organization has to do and what they must do for achieving the goals. 

3) Planning improves performance: 

It helps managers to improve future performances of employees by establishing objectives and selecting a course of action. It is beneficial for the organization. Planning leads to efficient working of the employees. Due to proper planning, the employees can work according to timely guidelines. This improvement in performances results into higher profitability of the organization. 

4) Minimizes the risk: 

Planning is based on forecasting technique. It is the process of looking into the future and anticipating the future changes. By deciding in advance the tasks to be performed, planning shows the way to deal with changes and uncertain events. Changes or risks cannot be eliminated totally but they can be anticipated and can be tackled with preventive measures. It minimizes the risk of future or uncertainties of future. 

5) Planning leads to optimum utilization of resources: 

Organizational plans are prepared by taking into consideration the availability of resources and proper allocation of resources for various activities. It also facilitates optimum utilization of resources which brings higher efficiency and better results. One can avoid wastage of resources by proper planning. 

6) Helps in decision making: 

There are various alternatives in front of the management. For achieving goals planning helps the management to select the best alternative by considering all positive and negative outcomes of all the alternatives. Decisions are taken after selecting alternative courses of action to achieve a predefined goal. It helps the manager to take rational decisions. 

7) Useful in setting the standards for controlling: 

Planning set out standards for controlling. So, the actual performance can be compared with the standards and managers can find out the deviation, if any between the actual and the standard performance. Such deviation can be bridged by taking controlling steps. Therefore, planning provides basis for control. It is also important for maintaining discipline at working place of organization. 

8) Facilitates Coordination of all activities: 

Planning facilitates the coordination of activities. It reduces overlapping among activities. All activities of business organization are closely linked with each other which is considered in the process of planning. Sound planning inter-relates all the activities and resources of an organization. Thus, various departments work as per the overall plan and coordination is achieved. 

9) Facilitates other management functions: 

Every organisation functions towards achieving goal and goal is set at the planning stage. Unless the plan is ready, other management functions such as organizing, staffing etc. cannot be undertaken thus, planning facilitates all other functions of management. 

10) Promotes innovative ideas: 

Planning is the basic function of management. It is a process of decision making which involves promotion of innovative ideas after critical thinking. Ultimately, these innovative plans result into attainment of the goals of the organization. It is the most challenging activity for the management as it guides all future actions leading to growth and prosperity of the organization. 

(2) Explain E-banking service.

Ans: 

E-banking Service: E-banking stands for electronic banking it is also called 'Virtual Banking'. E-banking is the result of the development in the field of electronics and computers. Under E-banking, the banking operations are computerised. Some of the elements of E-banking are as follows: 

1) Automated Teller Machine: 

The ATMs are electronic machines which are operated by the customer on his own to withdraw or deposit money. It can be used for other banking transactions also such as balance enquiry, transferring money, request for cheque book or bank statements etc. Nowadays, ATM also provides facility of cash deposits through CDM (cash deposit machines.) 

2) Credit Cards: 

A credit card is a payment card. It allows the cardholder to pay for different transactions he performs. The issuing bank creates a revolving account and grants a line of credit to the customer or user. Credit card offers convenience to customers as customer need not carry cash.

(3) Debit Cards: 

Most of the banks nowadays offer debit card as soon as account is opened by account holder. Through debit card payments, the amount gets deducted from account holder's account. Some banks offer personalised debit and credit cards as per the requirement of customer.

4) RTGS: 

RTGS stands for Real Time Gross Settlement. RTGS is a fund transfer system where transfer of funds or money takes place from one bank to another bank on "real time" and on "gross basis". It is the fastest money transfer system through the banking channel. 

• Real Time Settlement means payment transaction is not subject to any waiting period. The transactions are settled as soon as they are processed. The receiving bank has to credit the account of the client within 2 hours of receiving the funds transfer message. 

• Gross Settlement means the transactions are settled on one to one basis without bunching with any other transactions. The minimum amount to be remitted through RTGS is Rs. Two lacs while there is no upper limit for transactions. However, amount changes from bank to bank. 

5) NEFT: 

NEFT stands for National Electronic Fund Transfer. Under this system, funds are transferred electronically from one branch to another branch or one bank to another bank in the country. The client has to give details of NEFT code of branch and account number of beneficiary to whom the money is to be transferred.

(3) Explain rights of consumers.

Ans: 

The success of any campaign depends on the consciousness and awareness of the people for whose cause the movement is organized. Consumer's rights play an important role in their protection and safety. The business aim should be to meet the needs of the consumers and to provide full satisfaction. Every consumer should be aware of his rights and use of them in his daily life for protection. Consumers have to fight for their rights and put pressure on business, manufacturer and traders for safeguarding their rights.

Consumers have the following rights:

1) Right to Safety: 

This right protects consumers against products, production processes and services which are hazardous to health or life. It includes concern for consumer's long-term interests as well as their immediate requirements. According to this right, consumer must get full safety and protection to his life and health. This safety should be in relation to medicines, electrical appliances, food etc. The GOI has given safety standards in the form of AGMARK, lSI, BIS, Hallmark etc. 

2) Right to Information: 

According to this right, consumer should be provided with adequate information about all aspects of goods and services like price, name of manufacturer, contents used, batch number if any, date of manufacture and expiry date, user manual and safety instruction etc. This right also enables consumer to select right product or service. It is applicable to food products, medicines, spare parts or any other consumer products or services. 

3) Right to Choose: 

The choices available to Indian consumers across the basket of goods and services have multiplied like telecommunications, travel and tourism, banking, electronics, fast moving consumer goods(FMCG) etc. According to this right, consumer should be given full freedom to select an article as per his requirement, liking and purchasing capacity. The right to choose is related to the concept of free market economy. As per this right, the seller cannot compel consumer to buy particular product and hence monopoly is prevented. 

4) Right to be heard: 

Every business organization should listen and solve the complaints of consumers. According to this right, consumers have opportunity to voice their complaint to the consumer forum. Consumers also give suggestions to manufacturer or trader on certain matters such as quality, quantity, price, packaging etc. Now a days, consumers can file online complaints through portal or mobile applications. 

5) Right to Consumer Education: 

Every consumer has the right to know about consumer rights and solutions to their problems. This right creates consumer awareness. An aware consumer can make rational choice of goods and services and protect his rights and interests from the exploitation of unscrupulous businessmen. Thus, consumer education becomes a priority concern. It is necessary to give education and training regarding prevailing acts and legal processes. The government, media and NGOs play vital roles in this regard. E.g. 'Jago Grahak Jago' campaign. 

6) Right to Represent: 

The act provides an opportunity to individuals and consumer groups to represent consumer’s interest before consumer forum. The act allows the consumer to be represented by a person who is not a professional advocate. This provision is in recognition of consumer's right to represent. 

7) Right to Redress: 

Along with the right to represent, right of redressal is also given. Only filing of complaint is not enough to give justice to consumers, so this right implies fair settlement of claims. This right enables the consumer to demand repair or replacement or compensation for defective products and for poor services. According to consumer protection Act, three tier quasi judicial consumer dispute redressal machinery is established for settlement of claims such as District Commission at District level, State Commission at state level and National Commission at national level. Consumers are protected from business malpractices. 

8) Right to Healthy Environment: 

All consumers have a right to healthy and clean environment. According to this right, consumer can demand actions against the pollution causing business organisations. All consumers have the right to healthy and clean environment in present and future.

9) Right to Protect from unfair business practices: 

As per this right all consumers are protected against unfair business practices such as black marketing, profiteering, faulty weights and measures, exorbitant prices, adulteration etc. 

10) Right against spurious goods: 

This right is against the marketing of goods which are hazardous to health, spurious and pose a danger to life itself.

Q. 8. What is insurance? Explain types of life insurance policies.

Ans: 

Insurance is a means of protection from financial loss. It is a form of risk management, primarily used to hedge against the risk of a contingent or uncertain loss. Insurance is a contract between the insurer and the insured, whereby the insurer agrees to compensate the insured against loss. The insured has to pay a certain fixed sum of money on timely basis to the insurer.

Types of life insurance policies: 

1) Whole Life Policy: 

Under this policy whole life of a person is insured. The insured cannot receive money from insurance company till he is alive. The rate of premium is normally low. The money becomes payable on the death of insured person to the nominee or the legal heir of the deceased policy holder. 

2) Endowment Insurance Policy: 

Insurance is taken for specific period under this policy. The sum assured along with bonus is given on the death of the insured to dependents or on the expiry of the specific period, to the insured. 

3) Term Insurance Policy: 

Term insurance policy is taken for a specific period. Term insurance policy has lowest premium among all insurance policies. Premium is fixed and does not change during the term of the policy. In case of untimely death, the dependents will receive the benefit amount specified in the term life insurance agreement. 

4) Annuity Policy: 

The insured has to pay the premium in lump sum or in instalments over a certain period of time. The insured will receive back a specific sum periodically from specified date onwards, either for life or for a fixed number of years. It is like pension payment scheme. 

5) Money-back Policy: 

Money-back policy provides a regular percentage of the sum assured during the life time of the policy and also guarantees the benefit of full sum assured in the event of the death of the insured to the dependents of the insured. Generally, the money back policy is availab1e for four terms-12 years, 15 years, 20 years, 25 years etc. 

6) Child Insurance: 

A child insurance policy is a saving cum investment plan that is designed to meet child's future financial needs. A child insurance policy allows kids to live their dreams. Child insurance policy gives you the advantage to start investing in the children's plan right from the time the child is born and provisions to withdraw the savings once the child reaches adulthood. Some child insurance policies allow intermediate withdrawals at certain intervals. 

7) Retirement Plans: 

A savings and investment plan that provides insured an income during retirement is called Retirement Plan. On maturity, this corpus is invested for generating a regular income stream which is referred to as pension or annuity. 

8) ULIP Policy: 

ULIP stands for unit linked insurance policies. ULIP policies are very popular as they combine the benefits of life insurance policies with mutual funds.

OR

What is Marketing Mix? Explain 7Ps of Marketing Mix.

Ans: 

Marketing Mix is the combination of different marketing variables that the firm blends and controls to achieve the desired result from the target market. In simple words the marketing mix is putting the right product, at the right time, at the right price in the right place. It is one of the important tools of the marketing.

 1) Product: 

Product refers to the goods or services that are offered to the customers for sale and are capable of satisfying the need of the customer. The product can be intangible or tangible, as it can be in the form of services or goods. The business need to decide the right type of product through extensive market research. Success of the business depends on the impact of the product in the minds of the customer.

2) Price: 

The price of the product is basically the amount that a customer pays for the product. Price plays an important role in creating demand for the product. The business needs to take utmost care to decide the price of the product. Cost of the product and willingness of the customer to pay for the product play an important role in pricing the product. Too high price may affect the demand for the product and pricing too low may affect the profitability of the business. While deciding the prices, the value and utility of the product to its customers are to be considered. 

3) Place: 

Place is also known as distribution channel. Placement or distribution is a very important part of the marketing. Making a right product at the right price is not enough. Businessman needs to make the product available to potential customer at the right place too. Business needs to distribute the product in a place that is accessible to potential buyers. It covers location, distribution and ways of delivering the product to the customer. Better the chain of distribution higher the coverage of the product in the market. 

4) Promotion: 

Promotion is an important element of marketing as it creates brand recognition and sales. Promotion is a tool of marketing communication which helps to publicise the product to the customer. It helps to convey product features to the potential buyer and inducing them to buy it. Promotion mix includes tools such as advertising, direct marketing, sales promotion, personal selling, etc. Combination of promotional strategies depend on budget, the message business wants to communicate and the target market.

5) People: 

People inside and outside the business directly or indirectly influence the business. People comprise of all the human beings that play an active role in offering the product or service to the customer. The people include employees who help to deliver services to the customer. Right people at right place add value to the business. For the success of the business, it is necessary to recruit right people, train them, develop their skill and retain them. 

6) Process: 

Process refers to the steps involved in delivering products and services to the customer. Processes are important to deliver a quality service. Good process helps to ensure same standard of service to the customer as well as save time and money by increasing efficiency. The advancement of technology helps businesses in effective monitoring of the process of the business and take corrective action wherever necessary. 

7) Physical Environment:

 Physical Environment refers to the marketing environment wherein the interaction between customer and firm takes place. Since services are intangible in nature service providers try to incorporate certain tangible elements into their offering to enhance customer experience. In the service market, the physical evidence is important to ensure that the service is successfully delivered. Through physical evidence customers know the brand leaders in the market. Physical evidence affects the customer's satisfaction. It includes location, layout, interior design, packaging, branding, dress of the staff and how they act, waiting area etc.