MBA ANS 203

Question 1. Ans-Policy is a law, regulation, procedure, administrative action, incentive, or

voluntary practice of governments and other institutions. Policy decisions are
frequently reflected in resource allocations. Health can be influenced by policies in
many different sectors. For example, transportation policies can encourage
physical activity (pedestrian- and bicycle-friendly community design); policies in
schools can improve nutritional content of school meals.The term may apply to
government, public sector organizations and groups, as well as individuals,
Presidential executive orders, corporate privacy policies, and parliamentary rules
of order are all examples of policy. Policy differs from rules or law.Four types of
policy include Public Policy, Organizational Policy, Functional Policy, and Specific
Policy. Policy refers to a course of action proposed by an organization or
individual.
Question 2. Ans-Fund Policies means policies established by the Fund and communicated to us
in writing for the purpose of eliminating or reducing potentially harmful market
timing or frequent trading in shares of the Fund as described in the Fund's
prospectus or statement of additional information as amended from time to
time.Fund Policies means policies established by the Fund and communicated to
us in writing for the purpose of eliminating or reducing potentially harmful market
timing or frequent trading in shares of the Fund as described in the Fund's
prospectus or statement of additional information as amended from time to time.
Question 3. Ans-Product engineering refers to the process of designing and developing a
device, assembly, or system such that it be produced as an item for sale through
some product manufacturing process. Product engineering usually entails activity
dealing with issues of cost, producibility, quality, performance, reliability,
serviceability, intended lifespan and user features. These product characteristics
are generally all sought in the attempt to make the resulting product attractive to
its intended market and a successful contributor to the business of the
organization that intends to offer the product to that market. It includes design,
development and transitioning to manufacturing of the product. The term
encompasses developing the concept of the product and the design and
development of its mechanical, electronics and software components. After the
initial design and development is done, transitioning the product to manufacture it
in volumes is considered part of product engineering.
Question 4. Ans-Financial gerontology is a multidisciplinary field of study encompassing both
academic and professional education, that integrates research on aging and
human development with the concerns of finance and business. Following from its
roots in social gerontology, Financial gerontology is not simply the study of old
people but emphasizes the multiple processes of aging. In particular, research
and teaching in financial gerontology draws upon four kinds of aging or "'four
lenses" through which aging and finance can be viewed: population aging,
individual aging, family aging, and generational aging.[1] While it is problematic
that "demography is destiny," demographic concepts, issues, and data play a
substantial role in understanding the dynamics of financial gerontology.
Question 6. Ans-Rate making, or insurance pricing, is the determination of rates charged by
insurance companies. The benefit of rate making is to ensure insurance
companies are setting fair and adequate premiums given the competitive
nature.The rate reflects three major elements: the loss cost per unit of exposure,
the administrative expenses, or “loading,” and the profit. In property insurance,
approximately one-third of the premium covers expenses and profit, and two-
thirds covers the expected cost of loss payments.Price risk is the risk that the
value of a security or investment will decrease. Factors that affect price risk
include earnings volatility, poor business management, and price changes.
Diversification is the most common and effective tool to mitigate price risk.
Question 7. Ans-Insurance is a way to manage your risk. When you buy insurance, you
purchase protection against unexpected financial losses. The insurance company
pays you or someone you choose if something bad happens to you. If you have
no insurance and an accident happens, you may be responsible for all related
costs.Insurance policies can cover up medical expenses, vehicle damage, loss in
business or accidents while traveling, etc. Life Insurance and General Insurance
are the two major types of insurance coverage. General Insurance can further be
classified into sub-categories that clubs in various types of policies.

Question 11. Ans-The Marketing Information System refers to the systematic collection,
analysis, interpretation, storage and dissemination of the market information,
from both the internal and external sources, to the marketers on a regular,
continuous basis.Information marketing is about creating, promoting and selling
information products. After creating an ebook, video or audio course, or another
kind of ecourse, you can resell it again and again. DVDs, workshops and
traditionally published books also fall under the information marketing banner.A
marketing information system is a combination of people, technologies, and
processes for managing marketing information, overseeing market research
activities, and using customer insights to guide marketing decisions and broader
management and strategy decisions.The main benefit of MkIS systems is to
integrate market-monitoring systems with strategy development and the
strategic implementation of policies and processes that help capture and act on
customer management applications with marketing decision support
systems.Information marketing is about creating, promoting and selling
information products. After creating an ebook, video or audio course, or another
kind of ecourse, you can resell it again and again. DVDs, workshops and
traditionally published books also fall under the information marketing banner.The
most widely used sources of information mentioned were feedback from the sales
force, media/trade publications, internal records, and customer visits by
marketing personnel.

Question 12. Ans-Distribution is fundamentally concerned with ensuring that products reach
target customers in the most direct and cost-efficient manner. In the case of
services, distribution is principally concerned with access.Although distribution, as
a concept, is relatively simple, in practice distribution management may involve a
diverse range of activities and disciplines including detailed logistics,
transportation, warehousing, storage, inventory management as well as channel
management including selection of channel members and rewarding
distributors.Distribution (or place) is one of the four elements of the marketing
mix. Distribution is the process of making a product or service available for the
consumer or business user who needs it. This can be done directly by the
producer or service provider or using indirect channels with distributors or
intermediaries. The other three elements of the marketing mix are product,
pricing, and promotion. Decisions about distribution need to be taken in line with
a company's overall strategic vision and mission. Developing a coherent
distribution plan is a central component of strategic planning. At the strategic
level, there are three broad approaches to distribution, namely mass, selective
and exclusive distribution. The number and type of intermediaries selected largely
depend on the strategic approach. The overall distribution channel should add
value to the consumer.
Question 13. Ans-(i) Reinsurance and servicing:-Reinsurance is also known as insurance for
insurers or stop-loss insurance. Reinsurance is the practice whereby insurers
transfer portions of their risk portfolios to other parties by some form of
agreement to reduce the likelihood of paying a large obligation resulting from an
insurance claim. The party that diversifies its insurance portfolio is known as the
ceding party. The party that accepts a portion of the potential obligation in
exchange for a share of the insurance premium is known as the reinsurer.
Reinsurance allows insurers to remain solvent by recovering some or all amounts
paid to claimants. Reinsurance reduces the net liability on individual risks and
catastrophe protection from large or multiple losses. The practice also provides
ceding companies, those that seek reinsurance, the capacity to increase their
underwriting capabilities in terms of the number and size of risks. By covering the
insurer against accumulated individual commitments, reinsurance gives the
insurer more security for its equity and solvency by increasing its ability to
withstand the financial burden when unusual and major events occur.
(ii)Challenges of globalization:-Globalization is an incredibly unique and
diverse process. In a nutshell, it describes the interaction and interconnection of
people, governments, and companies around the world. Businesses expand
internationally with the help of trade agreements created by partnering
governments. Local brands become internationally recognized and people move
across continents to build or join new companies.Globalization provides incredible
rewards for businesses today. The benefits of globalization for businesses include
expanded customer bases, more revenue streams, and a diverse workforce.But
globalization also poses some daunting challenges like environmental
degradation, legal compliance issues, and worker exploitation. The important
thing to remember, though, is that the challenges of globalization can be
overcome.With this plethora of benefits, you may still encounter some challenges
of globalization. The disadvantages of globalization generally refer to wider socio-
political issues that all governments and companies have to face. You will need to
be aware of these in order to build an effective global expansion strategy for your
business.