MBA ANS 210

Question 1. Ans-An Initial Exchange Offering (IEO) is the Cryptocurrency Exchange equivalent
to a stock launch or Initial Public Offering (IPO). An IEO is the process of digital
asset (e.g. coins or tokens) procurement through an established exchange for the
purpose of raising capital for start-up companies.Exchanges act as a middleman
between investors and the startup, profiting from fees generated by services
rendered during the due diligence process and funding phase. IEO's and Initial coin
offerings (ICO) do share similar characteristics with one another, however, an IEO
can be seen as an evolution from the ICO due to legal influence and an increase in
financial regulations within the cryptocurrency market .The first use of an IEO by a
major exchange was in January 2019, with the launch of Binance’s platform
Binance Launchpad. The first use of the platform was with BitTorrent Tokens (BTT)
which raised $7.1 million in less than 18 minutes. Since 2019, Binance has
launched 63 projects with a total of $133 million raised.
Question 2. Ans-A business plan is a document that defines in detail a company's objectives
and how it plans to achieve its goals. A business plan lays out a written roadmap
for the firm from marketing, financial, and operational standpoints. Both startups
and established companies use business plans. A business plan is an important
document aimed at a company's external and internal audiences. For instance, a
business plan is used to attract investment before a company has established a
proven track record. It can also help to secure lending from financial institutions.
Question 3. Ans-An industrial park (also known as industrial estate, trading estate) is an area
zoned and planned for the purpose of industrial development. An industrial park
can be thought of as a more "heavyweight" version of a business park or office
park, which has offices and light industry, rather than heavy industry.On this
basis, industrial estates are classified into following four types:
(i)Government Industrial Estates, ADVERTISEMENTS:
(ii)Private Industrial Estates,
(iii)Co-operative Industrial Estates.
(iv)Municipal Industrial Estates.
Question 4. Ans-Import procedure means all the steps involved in purchase of goods from any
foreign country. The procedural steps involved in import trade differ from country
to country in respect of their import policy, statutory requirements. In majority of
the countries import trade is being controlled by the government.The documents
include bill of exchange, a copy of bill of lading, certificate of origin, commercial
invoice, consular invoice, packing list, and other relevant documents. The
importer makes payment to the bank (if not paid earlier) and collects the
documents. This is a document required in case of import of goods.
Question 6. Ans-An industrial estate is a place where the required facilities and factory
accommodation are provided by the government to the entrepreneurs to establish
their industries there. In India, industrial estates have been utilised as an effective
tool for the promotion and growth of small-scale industries.Common
infrastructure: Infrastructure such as roads, electricity, water,
telecommunications, postal facilities, banks etc. are provided in the industrial
estate. All enterprises located in the industrial estate can access the
infrastructural facilities located in the area.
Question 8. Ans-Export is one of the major components of international trade. Exports
facilitate international trade and stimulate domestic economic activity by creating
employment, production, and revenues. Businesses export goods and services
where they have a competitive advantage.India is amongst the world’s top 20
nations with respect to the export of merchandise. With the increased
liberalisation of trade by the Indian Government, there’s an abundant opportunity
for establishing a profitable export business. For undertaking an export business,
an entrepreneur should have a clear understanding of the rules and regulations
along with the documentation pertaining to these export transactions.
Question 10. Ans-(i) Business Crisis:-A business crisis is an event, or a series of events, that
causes major disturbance for a business. A crisis typically occurs suddenly and
poses intense difficulty or danger for the business, usually in a situation where
time is short and decisions have to be taken quickly.The five broad causes of the
crisis are:External Economic Attack,External Information Attack, Breakdowns,
Psychopathology & Human Resource Factors.Avoid making issues over petty
things. Don't adopt a negative attitude; instead understand the situation and act
accordingly. Effective communication is essential to overcome crisis in the
organization. Information must flow across all departments in its desired
form.These include: Family disruption or family disturbance - as discussed at the
beginning of the lesson. Natural disasters - flooding, tornadoes, weather-related
incidents, fires, or any incident that is created by a weather disaster. Suicide -
when a person threatens suicide or plans to commit suicide.
(ii)Types of business Crisis:-Crisis refers to sudden unplanned events which cause
major disturbances in the organization and trigger a feeling of fear and threat
amongst the employees.
Following are the types of crisis:
1.Natural Crisis-Disturbances in the environment and nature lead to natural
crisis.Such events are generally beyond the control of human beings. Tornadoes,
Earthquakes, Hurricanes, Landslides, Tsunamis, Flood, Drought all result in natural
disaster.
2.Technological Crisis-Technological crisis arises as a result of failure in
technology. Problems in the overall systems lead to technological crisis.
Breakdown of machine, corrupted software and so on give rise to technological
crisis.
3.Confrontation Crisis-Confrontation crises arise when employees fight amongst
themselves. Individuals do not agree to each other and eventually depend on non
productive acts like boycotts, strikes for indefinite periods and so on. In such a
type of crisis, employees disobey superiors; give them ultimatums and force them
to accept their demands.
4.Crisis of Malevolence-Organizations face crisis of malevolence when some
notorious employees take the help of criminal activities and extreme steps to
fulfill their demands. Acts like kidnapping company’s officials, false rumours all
lead to crisis of malevolence.

Question 11. Ans-International Financing is also known as International Macroeconomics as it

deals with finance on a global level. There are various sources for organizations to
raise funds. To raise funds internationally is one of them. With economies and the
operations of the business organizations going global, Indian companies have an
access to funds in the global capital market.International finance helps
organizations engage in cross-border transactions with foreign business partners,
such as customers, investors, suppliers and lenders. Various international sources
from where funds may be generated include the following.The different types of
loans and services provided by banks vary from country to country. One example
of this is Standard Chartered emerged as a major source of foreign currency loans
to the Indian industry. It is the most used source of international
financing.External sources of finance refer to money that comes from outside a
business. There are several external methods a business can use, including family
and friends, bank loans and overdrafts, venture capitalists and business angels,
new partners, share issue, trade credit, leasing, hire purchase, and government
grants.
Question 12. Ans-Indian Economy:-The economy of India is a middle income developing market
economy.[40][41][42] It is the world's fifth-largest economy by nominal GDP and
the third-largest by purchasing power parity (PPP). According to the International
Monetary Fund (IMF), on a per capita income basis, India ranked 142nd by GDP
(nominal) and 128th by GDP (PPP).From independence in 1947 until 1991,
successive governments promoted protectionist economic policies, with extensive
state intervention and economic regulation. This is characterised as dirigism, in
the form of the License Raj.The end of the Cold War and an acute balance of
payments crisis in 1991 led to the adoption of a broad economic liberalisation in
India.Since the start of the 21st century, annual average GDP growth has been 6%
to 7%,and from 2013 to 2018, India was the world's fastest growing major
economy, surpassing China.Historically, India was the largest economy in the
world for most of the two millennia from the 1st until the 19th century.
Industrial eState:-An industrial park (also known as industrial estate, trading
estate) is an area zoned and planned for the purpose of industrial development.
An industrial park can be thought of as a more "heavyweight" version of a
business park or office park, which has offices and light industry, rather than
heavy industry. Industrial parks are notable for being relatively simple to build;
they often feature speedily erected single-space steel sheds, occasionally in
bright colours.Industrial estate provides premises i.e. Land and Factory Shed for
the establishment of a new industrial undertaking and also other amenities such
as power, water, transport etc. at a reasonable, cost. Hence the entrepreneur is
able to produce goods at cheaper costs.Industrial estates provide employment to
the local youth. With their development a host of facilities such as banks, post
offices, insurance companies, housing, schools, health care facilities come up.
This results in the development of backward areas and balanced regional
development.

Question 14. Ans-It is a written summary of how the business will organize its resources to
meet its goals and how the institution will measure progress. The business plan
should be a comprehensive plan, which is the result of in-depth planning by the
institution's organizers and management.A business plan is a written tool about
your business that projects 3-5 years ahead and outlines the path your business
intends to take to make money and grow revenue. Think of it as a living project
for your business, and not as a one-time document.Include the mission statement,
SWOT analysis, goals and plans, budget and forecasts, and make it clear who is
responsible for doing what. Share it with your key staff and shareholders, and
encourage their input.The best time to write a business plan is any time you can
benefit from more focus and direction. This might be when you're in the early
stages of exploring a new idea, when you're ready to commit to your idea, when
you've been running your business for years, or even a combination of all three.