Step 1: Concept
A binary operation on a set $S$ must satisfy the closure property: for any $a, b \in S$, $a*b$ must also be in $S$.
Step 2: Meaning
We check if the result of each operation remains an integer for all possible integer inputs $a$ and $b$.
Step 3: Analysis
In option (B), if $b$ is a negative integer (e.g., $a=2, b=-1$), then $2^{-1} = 1/2$, which is not an integer ($1/2 \notin Z$).
Step 4: Conclusion
Since the operation $a^b$ does not always produce an integer when $b < 0$, it is not a binary operation on $Z$.
Final Answer: (B)