BUSINESS ADMINISTRATION
BUSINESS ENVIRONMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Which of the following shakes the confidence among the business people to invest in the long-term projects:
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New innovation
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Political instability
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Technological improvement
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Change in preference of customers
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Explanation:
Detailed explanation-1: -A stable govt. builds up confidence among the business people to invest in long term projects, but political instability shakes that confidence leading to creation of fear in investors.
Detailed explanation-2: -Political stability, thus, builds up confidence among business people to invest in the long term projects for the growth of the economy. Political instability can shake that confidence.
Detailed explanation-3: -Answers. Uncertainty of future is risk in the investment. There is no clue that when the government policies will change and what it will do the rate of return for the long-term investors. Hence, there is always a fear of political uncertainties.
There is 1 question to complete.