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MBA 1st International Environment Short Question Answer Sample Paper

MBA 1st International Environment Short Question Answer Sample Paper :- In this Post you will find MBA 1 year related to important questions related to the answer such as the Introduction Micro Business Answer and many other important questions. Short Questions are answer in English Section B

MBA 1st International Environment Short Question Answer Sample Paper
MBA 1st International Environment Short Question Answer Sample Paper

Section B 

SHORT ANSWER QUESTIONS

MORE SHORT ANSWER QUESTIONS 

Q.1. Define the term SEZ. Give any two feature of Indian SEZ initiative and what are the incentives provided in SEZ policy?

Ans. Special Economic Zone (SEZ): Special Economic Zone (SEZ) is a geographical region that has economic laws which are more liberal than a country’s typical economic laws. It is a trade capacity Pent tool with the goal to promote rapid economic growth by using tax and busin so as to attract foreign investment and technology.

Considering the need to enhance foreign investment and promote export from the country and realising the need that the level playing field must be made available to the domestic enterprises and manufactures to be competitive globally, the government had in April 2000 announced the introduction of Special Economic Zones (SEZ) policy in the country that is, deemed to be foreign territory for the purpose of trade operation, duties and tariffs.

The two features of the Indian SEZ initiative are as follows: 

1. Unlike most ofthe internationalinstances where zones are primarily developed by governments, the Indian SEZ policy provides for development of these zones in the government, private or joint sector. 

2. For greenfield SEZs, the government has specified minimum preferable area of 1000 hectares. However, for sector specific SEZs, there is no restriction of minimum cost.

Incentives provided in SEZ policy are: 

1. 100% income tax exemption for a block of five years and an additional 50% tax exemption two years thereafter. 

2 100% FDI in the manufacturing sector that is permitted through automatic route, arring a few sectors. 

3. Facility to retain 100% foreign exchange receipt in exchange earner’s foreign currency account. 

Q.2. What are the objectives of special economic zones? 

Or Explain the impact of SE in international business environment.

SEZs provide a medium wherein it not only attracts foreign companies looking for cheaperand efficient location to set up their business but it also allows local industries to improve the country’s foreign export the increasd export from the county bring in more revenue for the country which improves the economic growth.

SEZ’s help in creating a balanced economic growth in a country if they implemented leading to tanning of implemented leading to tapping of local talent and contributing increased economic activity in the area.

The main objectives of SEZ are: 

1. Generation of additional economic activity. 

2. Promotion of exports of goods and services. 

3. Promotion of investment from domestic and foreign sources, 

4. Creation of employment opportunities. 

5. Development of infrastructure facilities like construction of factory buildings. Operation and maintenance of infrastructure in the zone through private sector in the export processing zones converted into SEZs. 

MBA 1st International Environment Short Question Answer Sample Paper

Q.3. What are Export Processing Zones (EPZs)? Explain its objectives.

Ans. Export Processing Zones (EPZs): Export Processing Zones (EPZs) can be summarised as unit bearing clusters of specially designed zones of aggressive economic activity for the promotion of export. The main concept of Export Processing Zones was conceived in the early 1970s to promote the growth of the sickening export business of India. Further, the meaning of Export Processing Zones (EPZs) can be broadly defined as an area enjoying special government of India support with respect to fiscal incentives, tax rebates and other exclusive benefits for the growth of export

Export Processing Zones (EPZs) also encompasses pre-defined infrastructural facilities and regulations pertaining to establishment of such zones and environmental stipulations, respectively These Export Processing Zones of India were established to help the growth of Indian export commodities, especially from the fast growing sectors. 

Objectives of Setting up of EPZs

The objectives of EPZs are as follows: 

1. Encourage and generate the economic development. 

2. Encourage Foreign Direct Investments (FDI). 

3. To channel the sources of foreign exchange within the system in a phased manner. 

4. Foster the establishment and development of industrial enterprises within the said zones. 

5. Encourage and generate wider economic activities by encouraging foreign investments for the development of zones.

6. To channel the foreign exchange earnings for further development of these zones and explore new areas for the development of Indian exports. 

7. Encourage establishment and development of Indian industries and business enterprises and facilitate them with proper infrastructure to generate employment opportunity 

8. Upgrade labour and management skills.

9. Acquire advanced technology for increased productivity. 

10. Ensure world class quality of products. 

Q.4. What is three-tier management system in EPZs? What are prominent Indian EPZs?

Ans. Three-tier Management System in EPZs 

1. Tier one is headed by the ministry of commerce headed by the commerce secretary, which drafts and implements policies and reviews the performance of each such zones.

2. Tier two is headed by the board of Approval (DUA), which is responsible for examination of proposals for opening up of new enterprises in the zone and which the level of additional secretary.

3. The development commissioner, who is the chief executive of the Export Processing Zone, heads the three tiers. The development commissioner is vested with the Power for the day-to-day function of the zone. Furticon or the zone. Further he is the head of functions relating to administration, approval of investment, and he also enforces various regulatory provisions.

Prominent Indian Export Processing Zones

1. Kandla Free Trade Zone (KAFTZ, Kandla, Gujar 

2. Santa Cruz Electronic Export Processing Zone (SEEPZ), S. Cruz, Maharashtra

3. Cochin Export Processing Zone (CEPZ), Cochin, Kerala 

4. Falta Export Processing Zone (FEPZ), Falta, West Bengal

5. Madras Export Processing Zone (MEPZ), Madras, Tamil Nadu 

6. Noida Export Processing Zone (NEPZ), Noida, Uttar Pradesh

7. Visakhapatnam Export Processing Zone (VEPZ), Visakhapatnam, Andhra Pradesh 

8. While the Santa Cruz Electronics Export Processing Zone (SEEPZ) is meant exclusively for the exports of electronics and gems and jewelry, all other zones are multi-product zones. 100% foreign equity is welcomed in EOUS and EPZs. 

Q.5. Explain the term WTO. Give its objectives.

Ans. world Trade Organisation (WTO): The World Trade Organisation was established on 1st January, 1995. It is the embodiment of the UN results and the successor to GATT. WTO has 159 members, India being one of the founder members. The headquarters of WTO are located at Geneva in Switzerland. The ministerial conference consisting of the representatives of all the member nations is the highest authority of WTO. It meets almost every three years and is empowered to take decisions on all matters under the multilateral trade agreements. The day-to-day work is entrusted to the general council.

Objectives of WTO: The following are the objectives of WTO: 

1. Raise the standards of living.

2. Ensure full employment. 

3. Expand trade in goods and services. 

4. Optimise use of world’s resources.

5. Achieve sustainable development. 

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