Question:
Read the following statements: Assertion (A) and Reason (R).
Assertion (A): General forces such as social, political, legal and technological conditions affect an individual firm only indirectly.
Reason (R): General forces have an impact on all business enterprises, in contrast to, specific forces that affect individual firms directly and immediately in their day-to-day working.
Choose the correct alternative from the following:
Read the following statements: Assertion (A) and Reason (R).
Assertion (A): General forces such as social, political, legal and technological conditions affect an individual firm only indirectly.
Reason (R): General forces have an impact on all business enterprises, in contrast to, specific forces that affect individual firms directly and immediately in their day-to-day working.
Choose the correct alternative from the following:
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Remember: Specific forces = Direct impact (e.g., your investors). General forces = Indirect impact (e.g., national economy).
Updated On: Jun 25, 2026
- Both Assertion (A) and Reason (R) are correct and Reason (R) is the correct explanation of Assertion (A).
- Both Assertion (A) and Reason (R) are correct, but Reason (R) is not the correct explanation of Assertion (A).
- Both Assertion (A) and Reason (R) are incorrect.
- Assertion (A) is correct, but Reason (R) is incorrect.
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The Correct Option is A
Solution and Explanation
Step 1: Concept
Specific and General Forces of Business Environment.
Step 2: Meaning
The business environment is shaped by specific forces (like customers and suppliers) that impact a firm directly, and general forces (like economic and social conditions) that impact the whole industry broadly.
Step 3: Analysis
• Assertion (A) is completely accurate because general conditions do not target a specific firm; their impact is felt indirectly across the broader economy.
• Reason (R) is also accurate as it correctly differentiates between the broad impact of general forces and the immediate, day-to-day impact of specific forces.
• Reason (R) provides the exact logical justification for why Assertion (A) occurs—general forces are indirect precisely because they apply to "all business enterprises."
Step 4: Conclusion
Both statements are correct, and the Reason perfectly explains the Assertion.
Final Answer: (A)
Specific and General Forces of Business Environment.
Step 2: Meaning
The business environment is shaped by specific forces (like customers and suppliers) that impact a firm directly, and general forces (like economic and social conditions) that impact the whole industry broadly.
Step 3: Analysis
• Assertion (A) is completely accurate because general conditions do not target a specific firm; their impact is felt indirectly across the broader economy.
• Reason (R) is also accurate as it correctly differentiates between the broad impact of general forces and the immediate, day-to-day impact of specific forces.
• Reason (R) provides the exact logical justification for why Assertion (A) occurs—general forces are indirect precisely because they apply to "all business enterprises."
Step 4: Conclusion
Both statements are correct, and the Reason perfectly explains the Assertion.
Final Answer: (A)
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