UGC NTA NET/JRF Exam, Management, December-2021/June-2022

Total Questions: 100

51. Which of the following tests/ studies are related to testing of the weak form stock market efficiency?

(A) Event studies
(B) Size effect
(C) Runs test
(D) Price-Earning
(E) Autocorrelation tests
Choose the most appropriate answer from the options give below

Correct Answer: (d) C and E only
Solution:

Eugene Fame developed framework of market efficiency with three forms; weak, semi-strong and strong.
In the weak form efficient market hypothesis, all historical prices of securities have already been reflected in the market prices of securities. Advocates for the weak form efficiency theory believe that if the fundamentals analysis is used, undervalued and overvalued stocks can be determined. It is tested using the Kolmogorov - Smirnov goodness of fit test run test, and autocorrelation test.

52. Which of the following are essential characteristics of financial markets?

(A) Price continuity and depth
(B) Liquidity and marketability
(C) Normative governance and regulation
(D) Timely and accurate information flow
(E) Minimum transaction cost and informational efficiency
Choose the most appropriate answer from the options given below

Correct Answer: (d) A, B, D and E only
Solution:

The essential characteristics of financial markets are:-
• Price continuity and depth.
• Liquidity and marketability.
• Timely and accurate information flow.
• Minimum transaction cost and efficiency.
informational Financial market is a market place where the trading of securities occurs, including the stock market, bond market, forex market, and derivatives market etc.

53. Which of the following statements are true in context of customer vale and satisfaction concept?

(A) Value perceptions increases with quality, service price
(B) Customer value triad is primarily a combination of quality, service and price
(C) Marketing is the identification, creation, communication, delivery and monitoring of customers value
(D) If the perceived performance of the product matches with perceived expectations, the customer is delighted
(E) Satisfaction reflects a person's judgement of a product's perceived performance in relation to expectations
Choose the correct answer from the options given below

Correct Answer: (c) B, C and E only
Solution:

The true statements in the context of customer value and satisfaction are:-
• Customer value is the benefit that a customer receives from a product or service.
• Customer value triad is primarily a combination of quality, service and price. • Marketing is the identification, creation, communication, delivery and monitoring of customer value.
• Customer satisfaction is a person's feeling of pleasure or disappointment which resulted from comparing a products perceived performance or outcome against his/her expectations.

54. Which of the following statements characterise the growth phase of product life cycle?

(A) Build intensive distribution
(B) Maximize profit while defending market share
(C) Build awareness and interest in the mass market
(D) Diversity brand and items models
(E) Price to penetrate market
Choose the most appropriate answer from the options given below

Correct Answer: (b) A, C and E only
Solution:

The growth stage is the second stage in the product life cycle. The growth phase of product life cycle is characterized by build intensive distribution Build awareness and interest in the mass market, increases in competition.
• The growth stage can be seen as when a product's sales begin to increase dramatically and when product experiences high demand.
• A company will experience a noticeable rise in competition at this point as other businesses create products that are comparable to its own to compete for available revenue and market share.

55. Which of the following statements are true in the context of CRM (Customer Relationship Management) 2.0?

(A) Customer interactions are not pre planned but happen in real time
(B) Software as service is the dominant CRM model particularly in small and medium sized businesses
(C) Customer data is typically stored on corporate servers only
(D) Means available for analytics are only standard multivariate statistical procedures such as cluster analysis and logistic regression
(E) CRM 2.0 uses massive amounts of structured and unstructured data Choose the most appropriate answer from the options given below

Correct Answer: (c) A, B and E only
Solution:

→ Customer relationship management (CRM) is a reference to how companies, especially technology firms, interact directly with their customers. → The true statements in the context of CRM (Customer Relationship Management) 2.0 are-
• Customer interactions are not pre planned but happen in real time.
• Software as a service is the dominant CRM model particularly in small and medium sized businesses.
• CRM 2.0 uses massive amounts of structured and unstructured data.

56. Penetration price strategy is followed under which of the following conditions?

(A) Where there is a high degree of price elasticity of demand
(B) When strong competition is expected soon after product introduction
(C) When company wants to recoup its research and development expenditure
(D) When company must keep demand within its production capacity
Choose the most appropriate answer from the options given below

Correct Answer: (c) A and B only
Solution:

→ Penetration pricing is a marketing tactic used by the firms to attract customers to a new product or service by offering a lower price during its initial offering.
→ The Penetration price strategy is followed in the following conditions.
Where there is a high degree of price elasticity of demand.
When strong competition is expected soon after product introduction.

57. Which of the following are the myths of brand communities?

(A) Build the brand and the community will follow
(B) Focus on opinion leader to build a strong community
(C) Brand communities exist to serve the business
(D) Online social network are the best way to build community
(E) Social networks are one community tool but the tool is not the strategy Choose the most appropriate answer from the options given below

Correct Answer: (d) A, B, C and D only
Solution:

Followings are the myths of brand communities:-
• Build the brand and the community will follow.
• Focus on opinion leaders to build a strong community.
• Brand communities exist to serve the business.
• Online social networks are the best way to build community.
• Brand communities are only built on shared love.
• Community building is a marketing strategy.

58. Which of the following statements are true?

(A) A good measure of dispersion is not duly affected by extreme observations
(B) Standard deviation incorporates the effect of extreme values thus making it most reliable measure of dispersios
(C) Co-efficient of determination (R²) is always positive and less than one
(D) Non parametric tests to not require us to make restrictive assumptions about shape of population distribution
(E) Z-test cannot be applied when population is normal Choose the correct answer from the options given below

Correct Answer: (a) A, C and D only
Solution:

Following statements are true.
• A good measure of dispersion is not duly affected by extreme observations. • Co-efficient of determination (R²) is always positive and less than one because the formula always results in a number between 0.0 and 1.0
• Non parametric tests do not require us to make restrictive assumptions about shape of population distribution.

59. Indicate correct options of the following statements on data collection and questionnaire design-

(A) In order to ensure sufficiency of data, the field questionnaire must be 10% above the required number
(B) In structured interviews, interviewers attributes can significantly affect the respondents replies
(C) Presentation of closed ended questions and the general layout constitute important considerations in preparing a self administrated questionnaire
(D) In computer assisted date collection, degree of control over the interview process is high
(E) Description of important terminologies/ jargons helps to improve the efficiency of respondent in filling the questionnaire
Choose the most appropriate answer from the options given below

Correct Answer: (c) B, C, D, E only
Solution:

Following statements on data collection and questionnaire design indicate correct options:-
• In structured interviews, interviewers attributes can significantly affect the respondent's replies.
• Presentation of closed-ended questions and the general layout constitute important considerations in preparing a self administrated questionnaire.
• In computer assisted data collection, degree of control over the interview process is high.
• Description of important terminologies/jargons helps to improve the efficiency of respondent in filling the questionnaire.

60. Which of the following statement(s) are true in the context of quality standards?

(A) KAIZEN approach deals with continuous improvement
(B) BIS represents India in ISO
(C) TQM cannot applied to crude oil refining
(D) Six sigma allows 3.4 defects per one million cases
(E) Statistical quality control applications are limited to manufacturing industries
Choose the most appropriate answer from the options given below

Correct Answer: (c) A, B, D only
Solution:

→ Documents that provide requirements, specifications, guidelines, or characteristics that can be consistently used to ensure that materials, products, processes, and services are suitable for their purpose are referred to as quality standards.
→ The true statements in the context of quality standards.
• KAIZEN approach deals with improvement.
• BIS represents India in ISO.
• continuous Six sigma allows 3.4 defects per one million cases.