Class XIIClass XII

Business Studies

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CONTENTS Syllabus iv - viii

Solved Paper, 2015 (All sets of Delhi & Outside Delhi) 1 - 23

Toppers Answers of Delhi Set I - 2014 ( Issued by CBSE) 25 - 40

PART A–PRINCIPLES AND FUNCTIONS OF MANAGEMENT

1. Nature and Significance of Management 1 - 13

2. Principles of Management 14 - 27

3. Business Environment 28 - 36

4. Planning 37 - 48

5. Organizing 49 - 61

6. Staffing 62 - 74

7. Directing 75 - 88

8. Controlling 89 - 94

PART B–BUSINESS FINANCE AND MARKETING

9. Financial Management 95 - 107

10. Financial Markets 108 - 118

11. Marketing Management 119 - 139

12. Consumer Protection 140 - 150

• EVALUATION QUESTIONS 151 - 152

SYLLABUS (2015-16)Time : 3 Hours 100 Marks

Units Periods Marks

PART A: PRINCIPLES AND FUNCTIONS OF MANAGEMENT

1. Nature & Significance of Management 14

2. Principles of Management 14 16

3. Business Environment 12

4. Planning 14

5. Organising 18 14

6. Staffing 16

7. Directing 18 20

8. Controlling 14

120 50

PART B: BUSINESS FINANCE AND MARKETING

9. Financial Management 2215

10. Financial Markets 20

11. Marketing Management 3215

12. Consumer Protection 16

PART C : PROJECT WORK 30 20

120 50

Part A: Principles and Functions of Management 120 PeriodsUnit 1: Nature and Significance of Management 14 Periods

Management-concept, objectives, and importance

lConcept includes meaning and features

Management as Science, Art and Profession

Levels of Management

Management functions-planning, organizing,

staffing, directing and controlling

Coordination- concept and importance

Principles of Management- concept and significance

After going through this unit, the student/ learnerwould be able to:lUnderstand the concept of management.lExplain the meaning of 'Effectiveness and Efficiency.lDiscuss the objectives of management.lDescribe the importance of management.

lExamine the nature of management as a science, art and profession.

lUnderstand the role of top, middle and lower levels of management

lExplain the functions of management

lDiscuss the concept and characteristics of coordination. lExplain the importance of coordination.

l l

After going through this unit, the student/ learnerwould be able to:

Understand the concept of principles of management.Explain the significance of management principles.

Unit 2: Principles of Management 14 Periods

Fayol's principles of management

Taylor's Scientific management- principles and techniques

l

l

l

Discuss the principles of management developed byFayol.

Explain the principles and techniques of 'Scientific Management'.Compare the contributions of Fayol and Taylor.

Unit 3: Management of Business Environment 12 Periods

Business Environment- concept and importance

Dimensions of Business Environment- Economic,

Social, Technological, Political and Legal

After going through this unit, the student/ learnerwould be able to:

Understand the concept of 'Business Environment'Appreciate the importance of business environment.

Describe the various dimensions of 'Business Environment'.

ll

l

iv

Impact of Government policy changes on business with special reference to liberalization, privatization and globalization in India

l

l

Examine the impact of government policy changes onbusiness and industry with special reference toliberalisation and globalisation since 1991.

Appreciate the managerial response to changes in

business environment.

Unit 4: Planning 14 Periods

Concept, importance and limitation

Planning process.

Single use and standing plans. Objectives. Strategy, Policy, Procedure, method Rule, budget and Programme

After going through this unit, the student/ learnerwould be able to:

Understand the concept of planning.Appreciate the importance of planning.Understand the limitations of planning.

Describe the steps in the process of planning.

Develop an understanding of single use and standing plans.Describe objectives, policies, strategy, procedure, method, rule, budget and programme as types of plans.

lll

l

ll

Unit 5: Organising 18 Periods

Concept and importance

Organising Process

Structure of organisation- functional and divisional-concept.Formal and informal organisation- concept

Delegation, concept, elements and importance

Decentralization: concept and importance

After going through this unit, the student/ learnerwould be able to:

Understand the concept of 'organizing as a structure and as a process.'Explain the importance of organising.

Describe the steps in the process of organising

Describe functional and divisional structures of organisation.Explain the advantages, disadvantages and suitability of functional and divisional structure.Understand the concept of formal and informal organisation.Discuss the advantages, disadvantages of formal and informal organisation.

Understand the concept of delegation.Describe the elements of delegation.Appreciate the importance of Delegation.

decentralisation.Explain the importance of decentralisation.Differentiate between delegation and decentralisation.

l

l

l

ll

ll

lll

lUnderstand the concept of ll

Concept and importance of staffing

Staffing as a part of Human Resource Management concept

Staffing process

Recruitment Process

Selection Process

Training and Development- Concept and importance, Methods of training- on the job and off the job- Induction training, vestibule training, apprenticeship training and internship training

Unit 6: Staffing 16 Periods

After going through this unit, the student/learner would be able to:

Explain the importance of

Understand the meaning of recruitment.Discuss the sources of recruitment.Explain the merits and demerits of internal and external sources of recruitment.

Understand the meaning of selection.Describe the steps involved in the process of Selection.

Understand the concept of training and development.Appreciate the importance of training to the organisation and to the employees.Discuss the meaning of induction training, vestibule training, apprenticeship training and internship training.Differentiate between training and development.Discuss on the job and off the job methods of training.

After going through this unit, the student/learner would be able to:

directingDiscuss the importance of directing

Describe the four elements of directing

Understand the concept of supervision.Discuss the functions performed by a supervisor.

ll staffing.

lUnderstand how staffing is a part of Human Resource Management.

lDescribe the steps in the process of staffing.

lll

ll

ll

l

ll

l the concept of l

l

ll

Understand the concept of staffing.

Describe

Unit 7: Directing 18 Periods

Concept and importance

Elements of directing

Supervision –concept, function of a supervisor

v

lll

ll

lll

l

ll

ll controlling.

l

l

Understand the concept of motivation.Develop an understanding of Maslow's Hierarchy of needs.Discuss the various financial and non-financial incentives.

Understand the concept of leadership.Understand the various styles of leadership.

Understand the concept of communicationUnderstand the elements of the communication process.Discuss the concept, merits and demerits of formal and

informal communication.Understand the various types of networks of formal and informal communication.Discuss the various barriers to effective communication.Suggest measures to overcome barriers to communication.

After going through this unit, the student/ learner would be able to:

Understand the concept of controlling.Explain the importance of

Describe the relationship between planning andcontrolling

Discuss the steps in the process of controlling.

Motivation-concept, Maslow's hierarchy of needs, Financial and non financial incentives

Leadership- concept, styles- authoritative, democratic and laissez faire

Communication- concept, formal and informal communi-cation; barriers to effective communication, how to overcome the barriers

Concept and importance

Relationship between planning and controlling

Steps in process of control

Unit 8: Controlling 14 Periods

Concept and objectives of Financial Management.

Financial decisions: investment, financing and dividend-

Meaning and factors affecting

Financial Planning- concept and importance

Capital Structure- Concept

Fixed and Working Capital- Concept and factors affecting their

requirements

Financial Markets: Concept, Functions and types

Money market and its instruments

Capital market and its types (primary and secondary)

Stock Exchange- Functions and trading procedure

Securities and Exchange Board of India (SEBI)- objectives and

functions

Selling and Marketing- Concept

After going through this unit, the student/ learnerwould be able to:lUnderstand the concept of financial management.lExplain the role of financial management in an

organisation.lDiscuss the objectives of financial management

l

l

lExplain the importance of financial planning.

ll

ll

After going through this unit, the student/ learnerwould be able to:lUnderstand the concept of financial market.lExplain the functions of financial market.l

lUnderstand the concept of money market.ll

ll

l

l

lll

l

ll

After going through this unit, the student/ learner would be able to: l Understand the concept of selling, marketing.

Discuss the three financial decisions and the factors affecting them.

the concept of financial planning and its objective.

Understand the concept of capital structure.Describe the factors determining the choice of an appropriate capital structure of a company.

Understand the concept of fixed and working capital.Describe the factors determining the requirements of fixed and working capital.

Understand capital market and money market as types of financial market.

.

Describe the various money market instruments.Differentiate between capital market and money market.

Discuss the concept of capital market.Explain primary and secondary markets as types of capital market.

Discuss the methods of floating new issues in the primary market.Distinguish between primary and secondary markets.

Give the meaning of a stock exchange.Explain the functions of a stock exchange.

Discuss the trading procedure in a stock exchange.

Give the meaning of depository services and demat account as used in the trading procedure of securities.State the objectives of SEBI.

Explain the functions of SEBI.

Describe

Unit 10: Financial Markets 20 Periods

Part B: Business Finance and Marketing 120 PeriodsUnit 9: Financial Management 22 Periods

Unit 11: Marketing Management 32 Periods

vi

Marketing Management- Concept

Marketing Functions

Marketing management philosophies

Marketing Mix - Concept and elements

lExplain the features of marketing.l

l

l

lExplain marketing managment philosophies.

lUnderstand the concept of marketing mix.l marketing mix.

Distinguish between marketing and selling.

Describe the concept of marketing management.

Discuss the functions of marketing.

Describe the elements of

Product- Concept, branding, labelling and packaging.

Price- Concept, Factors determining price

Physical Distribution - concept and components, channels of distribution: types, choice of channels.

Promotion Concept and elements; advertising concept, role, objections against advertising, personal selling concept and qualities of a good salesman, sales promotion- concept and techniques, public relations- concept and role

Concept and importance of consumer protection

Consumer protection Act 1986:Meaning of consumer and consumer protection.Rights and responsibilities of consumersWho can file a complaint against whom?Redressal machineryRemedies available

Consumer awareness- Role of consumer organizations and Non-Governmental Organizations (NGOs).

l

l

l

llll

l

lllllllll

After going through this unit, the student/ learnerwould be able to:ll

l

llll

l

l

lUnderstand the concept of product as an element of marketing mix.Understand the concept of branding, labelling and packaging.

Understand the concept of price as an element of marketing mix.Describe the factors determining price of a product.

Understand the concept of physical distribution.Explain the components of physical distribution.Describe the various channels of distribution.Discuss the factors determining the choice of channels of distribution.

Understand the concept of promotion as an element of marketing mix.Describe the elements of promotion mix.Understand the concept and features of advertising.Describe the role of advertising.Examine the objections to advertising.Understand the concept of personal selling.Discuss the qualities of a good salesman.Understand the concept of sales promotion.Explain the commonly used techniques of sales promotion.Discuss the concept and role of public relations.

Understand the concept of consumer protection.Describe the importance of consumer protection.

Understand the concept of a consumer according to the Consumer protection Act 1986.Explain the consumer rightsUnderstand the responsibilities of consumersUnderstand who can file a complaint and against whom?Discuss the legal redressal machinery under Consumer protection Act 1986.Examine the remedies available to the consumer under Consumer protection Act 1986.

Describe the role of consumer organizations and NGOs in protecting consumer's intersts.

Unit 12: Consumer Protection 16 Periods

Unit 13: Project Work 30 PeriodsPROJECT WORK IN BUSINESS STUDIES FOR CLASS XI AND XII(Effective from the Academic Session 2015-16 and Board Examination of Class XII, 2016)Introduction The course in Business Studies is introduced at Senior School level to provide students with a sound understanding of the principles and practices bearing in business (trade and industry) as well as their relationship with the society. Business is a dynamic process that brings together technology, natural resources and human initiative in a constantly changing global environment. With the purpose to help them understand the framework within which a business operates, and its interaction with the social, economic, technological and legal environment, the CBSE has introduced Project Work in the Business Studies Syllabus for Classes XI and XII. The projects have been designed to allow students to appreciate that business is an integral component of society and help them develop an understanding of the social and ethical issues concerning them. The project work also aims to empower the teacher to relate all the concepts with what is happening around the world and the student’s surroundings, making them appear more clear and contextual. This will enable the student to enjoy studies and use his free time effectively in observing what’s happening around. By means of Project Work the students are exposed to life beyond textbooks giving them opportunities to refer materials, gather information, analyse it further to obtain relevant information and decide what matter to keep.

vii

Objectives After doing the Project Work in Business Studies, the students will be able to do the following:

• develop a practical approach by using modern technologies in the field of business and management;• get an opportunity for exposure to the operational environment in the field of business management

and related services;• inculcate important skills of team work, problem solving, time management, information collection,

processing, analysing and synthesizing relevant information to derive meaningful conclusions;• get involved in the process of research work;• demonstrate his or her capabilities while working independently and• make studies an enjoyable experience to cherish.

viii

QUESTION PAPER DESIGN 2015-16

BUSINESS STUDIES CODE NO. 054 CLASS-XII

TIME:3 Hours Max. Marks: 80

S. Typology of Questions Learning Very Short Short Long Essay Total % No. Outcomes & Short Answer-I Answer-II Answer Type Marks Weightage

Testing Skills Answer (3 Marks) (4 Marks) (5 Marks) (6 Marks) (1 Mark)

01 Remembering-

02 Understanding-

03 Application

04 High Order Thinking Skills

05 Evaluation - (Appraise, judge, and/or justify the value or worth of a decision or outcome, or to predict outcomes based on values)

TOTAL - 2 project (10 marks each) 20

Estimated Time (in minutes)

8x1=8 5x3=15 6x4=24 3x5=15 3x6=18 80 (25) 100%

(project)

(20)

8 min 20 min 50 min 37 min 50 min 165 min + 15 min.

for revision

SOLVEDPAPER

C.B.S.E.2015

Class–XIIDelhi & Outside Delhi

Business Studies

Time : 3 Hours Max. Marks : 80

General Instructions : (i) Answers to questions carrying 1 mark may be from one word to one sentence.

(ii) Answers to questions carrying 3 marks may be from 50-75 words.

(iii) Answers to questions carrying 4-5 marks may be about 150 words.

(iv) Answers to questions carrying 6 marks may be about 200 words.

(v) Attempt all parts of a questions together.

Delhi Set I Code No. 66/1/1

1. What is meant by ‘efficiency’ in management ? 1 2. How does management help in achieving personal objectives ? State. 1 3. Define ‘Planning premises’. 1 4. Alliance Ltd. is engaged in manufacturing plastic buckets. The objective of the company is to manufacture

100 buckets a day. To achieve this, the efforts of all departments are coordinated, interlinked, authority responsibility and relationship is established among various job positions. There is clarity on who is to report to whom.

Name the function of management discussed above. 1 5. Explain how ‘cost of debt’ affects the choice of capital structure of a company. 1 6. ‘Indian Logistics’ has its own warehousing arrangements at key locations across the country. Its warehousing

services help business firms to reduce their overheads, increase efficiency and cut down distribution time. State with reason, whether the working capital requirements of ‘Indian Logistics’ will be high or low. 1 7. ‘Beauty Products Ltd’ is a natural and ethical beauty brand famous for offering organic beauty products for

men and women. The company uses plant based materials for its products and is the No. 1 beauty brand in the country. It not only satisfies its customers but also believes in overall protection of the planet.

Identify the marketing management philosophy being followed by ‘Beauty Products Ltd.’ 1 8. On Sonika’s birthday her mother gave her a pair of gold earrings. After one month Sonika observed that the ear-

rings are losing their shine. She checked the mark on the earrings and found that it was not a proper Hallmark and her mother had been cheated by the shopkeeper. So, she filed a complaint in the district forum which rejected it. Not satisfied by the decision of district forum, she was very much disturbed and after two months decided to appeal further.

Can Sonika appeal against the decision of the district forum ? Give reason in support of your answer. 1 9. What is meant by ‘functional structure’ of an organization ? State its any two advantages . 3 10. Explain how the ‘product related factors’ affect the choice of Channels of distribution ? 3 11. Pramod was a supervisor at ‘Annapurna Aata’ factory. The factory was producing 200 quintals of aata every day.

His job was to make sure that the work goes on smoothly and there was no interruption in production. He was a good leader who would give orders only after consulting his subordinates and work out the policies with the acceptance of the group. Identify and describe the leadership style being adopted by Pramod. 3

12. ‘Financial Market plays an important role in the allocation of scarce resources in an economy by performing many important functions.’

Explain any three such Functions. 3

Oswaal CBSE Question Bank chapter-wise solutions For Class 12 Business

Studies

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