Chapter emerging-modes-of-business: Emerging Modes of Business Application Questions | business studies Class 11 CBSE

Chapter emerging-modes-of-business: Emerging Modes of Business Application Questions | business studies Class 11 CBSE | ByteNotes.in

Application Question

Medium difficulty • Concept in a practical situation

Medium

Question 1

Applied Concept

Riya, a resident of a small town, wants to start a business selling handmade jewellery to customers across India and abroad. She has limited capital but has identified several artisans willing to supply her. With reference to e-business, explain how Riya can leverage the internet to build a successful business.

Riya can set up a website or use an existing e-commerce platform as her online storefront, enabling her to showcase and sell jewellery to customers across India and internationally without needing a physical shop, thus overcoming her capital limitation.
She can use B2B e-commerce tools such as e-procurement to place orders with artisan suppliers electronically, track production and inventory in real time, and manage payments digitally — all without the overhead of a physical supply chain office.
For payment from customers, she can offer options including Cash-on-Delivery, net-banking, and credit/debit cards, making her store accessible to buyers across different comfort levels with digital payments, while using SSL encryption to protect their financial data.

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Application Question

Medium difficulty • Concept in a practical situation

Medium

Question 2

Applied Concept

Arjun placed an order for a laptop on an e-commerce website and paid using his credit card. A week later, the wrong product was delivered. The seller denied receiving any complaint. Identify the type of risk faced by Arjun and explain how such risks can be minimised in e-business.

Arjun has encountered two transaction risks: 'default on delivery' (wrong product delivered) and a dispute akin to 'default on order processing' where the seller denies having received his complaint, both of which are recognised risks in online transactions.
To minimise these risks, customers should shop from well-established e-commerce sites that verify sellers' identities, maintain service records, and use seller-rating systems, ensuring accountability and reducing the chance of fraudulent or negligent sellers.
Additionally, the buyer should retain order confirmation emails and screenshots as evidence; reputed shopping sites typically reimburse payments up to a certain extent in cases of default on delivery, and credit card chargeback mechanisms can be used to dispute incorrect transactions.

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Application Question

Medium difficulty • Concept in a practical situation

Medium

Question 3

Applied Concept

A large pharmaceutical company wants to outsource its customer helpline and data entry operations to an external agency. With reference to BPO, advise the company on the benefits it will derive and precautions it should take.

By outsourcing its helpline and data entry to a BPO provider, the company can reduce costs significantly — it avoids investing in infrastructure, technology, and training for these non-core functions, freeing capital and management attention for its core pharmaceutical R&D and production activities.
The company should choose a reputable BPO provider — possibly a 'vertical' specialising in healthcare or pharmaceutical sector services — to ensure domain-relevant expertise and service quality, rather than a generic horizontal BPO.
As a precaution, the company must put in place strong confidentiality agreements and data security protocols, as outsourcing involves sharing sensitive patient and business data with a third party, raising risks of data leakage and intellectual property loss.

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Application Question

Easy difficulty • Concept in a practical situation

Easy

Question 4

Applied Concept

Rekha, who lives in a village, has never done online shopping. Her friend Rita explains the process. With reference to the chapter, describe the step-by-step process Rita would explain to Rekha for making a purchase on an online shopping site.

Rita would explain that Rekha must first register on the shopping website by filling in personal details and creating a password-protected account, ensuring her shopping history and address are securely stored and accessible only to her.
Next, Rekha can browse the catalogue, add desired items to her 'shopping cart' (which functions like a physical cart in a supermarket, allowing additions and removals), review her selections, and proceed to 'checkout'.
At checkout, Rekha can choose a payment method suited to her comfort: Cash-on-Delivery would be safest for a first-time buyer, but net-banking or a debit card are equally valid options; after confirming payment, the seller will dispatch the goods to her registered address.

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Application Question

Medium difficulty • Concept in a practical situation

Medium

Question 5

Applied Concept

Priya runs a second-hand books business and wants to expand her customer base beyond her city. A friend suggests she use an online C2C platform. Explain how C2C commerce will benefit Priya's business and what safeguards she should be aware of.

C2C commerce platforms like eBay allow Priya to list her used books and reach potential buyers globally through the vast space of the internet, overcoming the geographical limits of her current city-based operations with minimal investment.
Building a positive seller rating on the platform will significantly enhance Priya's credibility — buyers can see her transaction history and past customer reviews, making them more willing to purchase from an unknown seller across cities.
Priya should use payment intermediary services like PayPal (or equivalent Indian platforms) to secure her payments: the intermediary holds the buyer's funds until Priya confirms shipment and the buyer accepts the goods, protecting both parties from fraud.

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Application Question

Medium difficulty • Concept in a practical situation

Medium

Question 6

Applied Concept

An automobile manufacturer in Pune sources components from vendors located across India and overseas. Describe how B2B e-commerce can help the manufacturer manage its supply chain more effectively.

The automobile manufacturer can use B2B e-commerce networks to place orders with multiple vendors simultaneously, reducing dependence on any single supplier and ensuring continuity of component supply even if one vendor faces disruption.
Computer networks allow the manufacturer to monitor production progress and delivery of components from vendors in real time, enabling proactive management of supply delays and avoiding production line stoppages.
Electronic tracking of stock-in-transit and inventory at various distribution points allows the manufacturer to initiate replenishments automatically as and when stock levels fall below thresholds, and customer specifications can be fed directly from dealers to the factory for customised production.

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Application Question

Medium difficulty • Concept in a practical situation

Medium

Question 7

Applied Concept

Sunita is a software professional who suddenly found that all her data files were corrupted and her computer was sending spam emails automatically. Identify the type of risk she has encountered and explain the measures she should have taken to protect herself.

Sunita has encountered a data storage risk in the form of a computer virus — a self-replicating program that can damage data files (Level-3 virus) and disrupt normal system functions such as sending unauthorised emails from her account.
To prevent such attacks, Sunita should have installed a reputable anti-virus programme and ensured it was regularly updated, as outdated anti-virus software cannot detect newer viruses and provides inadequate protection.
She should also have regularly scanned all her files, disks, and any external storage media with the anti-virus software, and should avoid clicking unknown links or downloading files from unverified sources, which are common virus transmission pathways.

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Application Question

Hard difficulty • Concept in a practical situation

Hard

Question 8

Applied Concept

A multinational company decides to set up a captive BPO unit in India instead of outsourcing to a third-party BPO provider. Discuss the rationale behind this decision and the advantages it offers the company.

By setting up a captive BPO unit, the company retains full ownership and management control over its business processes, eliminating the risks of data leakage and quality inconsistency that can arise when sensitive operations are handled by an independent third-party provider.
The captive unit can be staffed specifically to serve the parent company's processes, ensuring that employees are trained in the company's proprietary systems and culture, resulting in higher quality and consistency of output than a generic BPO could provide.
India offers the company significant cost benefits through its large pool of technically qualified, English-speaking graduates available at competitive wages, while still allowing the company to benefit from lower operational costs and around-the-clock service delivery due to the time zone difference.

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Application Question

Medium difficulty • Concept in a practical situation

Medium

Question 9

Applied Concept

A school in a rural village notices that students are unable to access e-learning content or participate in online education. Using the concept of 'digital divide' from the chapter, explain the problem and suggest how it can be addressed.

The students are experiencing the 'digital divide' — the division of society between those familiar with and able to access digital technology and those who are not, which in rural India is primarily caused by lack of digital infrastructure and technology literacy.
This digital divide means that the benefits of e-business and e-learning — 24×7 access to quality educational content, flexible learning environments, and e-delivery of resources — accrue unevenly, benefitting urban students while rural students remain excluded.
The problem can be addressed through government and NGO initiatives such as community telecentres — India has undertaken approximately 150 such projects — which provide shared access to computers and internet for rural communities, reducing the digital divide and enabling greater participation in e-learning and e-commerce.

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Application Question

Medium difficulty • Concept in a practical situation

Medium

Question 10

Applied Concept

Rohan wants to invest in shares of listed companies. His broker suggests he use an online trading platform instead of the traditional method. Explain the concept of e-trading and how it benefits Rohan compared to traditional securities trading.

e-Trading refers to the online buying and selling of shares and other financial instruments through internet-based platforms — for example, sharekhan.com is India's largest online trading firm that allows investors to trade from anywhere with an internet connection.
Traditional securities trading requires Rohan to physically visit or call his broker during trading hours, whereas e-trading allows him to monitor markets, place buy/sell orders, and review his portfolio anytime and from any location, offering the convenience of 24×7 access.
e-Trading reduces transaction costs by eliminating the need for a physical broker's office and associated charges, while providing Rohan with real-time market data and instant order execution that is faster than any manual process, significantly improving his ability to capitalise on market movements.

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Chapter emerging-modes-of-business: Emerging Modes of Business | Application Questions

Arjun placed an order for a laptop on an e-commerce website and paid using his credit card. A week later, the wrong product was delivered. The seller denied receiving any complaint. Identify the type of risk faced by Arjun and explain how such risks can be minimised in e-business.

A large pharmaceutical company wants to outsource its customer helpline and data entry operations to an external agency. With reference to BPO, advise the company on the benefits it will derive and precautions it should take.

Rekha, who lives in a village, has never done online shopping. Her friend Rita explains the process. With reference to the chapter, describe the step-by-step process Rita would explain to Rekha for making a purchase on an online shopping site.

Priya runs a second-hand books business and wants to expand her customer base beyond her city. A friend suggests she use an online C2C platform. Explain how C2C commerce will benefit Priya's business and what safeguards she should be aware of.

An automobile manufacturer in Pune sources components from vendors located across India and overseas. Describe how B2B e-commerce can help the manufacturer manage its supply chain more effectively.

Sunita is a software professional who suddenly found that all her data files were corrupted and her computer was sending spam emails automatically. Identify the type of risk she has encountered and explain the measures she should have taken to protect herself.

A multinational company decides to set up a captive BPO unit in India instead of outsourcing to a third-party BPO provider. Discuss the rationale behind this decision and the advantages it offers the company.

A school in a rural village notices that students are unable to access e-learning content or participate in online education. Using the concept of 'digital divide' from the chapter, explain the problem and suggest how it can be addressed.

Rohan wants to invest in shares of listed companies. His broker suggests he use an online trading platform instead of the traditional method. Explain the concept of e-trading and how it benefits Rohan compared to traditional securities trading.

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