Subject: Business Environment in Nepal
Global Envrionment Questions with Answers
Group A: Very Short Answer Questions
1. (2023 Fall Q. No. 7) What do you understand by the concept of global village?
Answer: The concept of a global village means that the world is becoming more connected because of technology and communication. This makes it easier for people from different countries to share information and interact, making the world feel smaller and more like a community.
2. (2023 Fall Q. No. 9, 2021 Spring Q. No. 8) List any two major functions of WTO.
Answer: The two major functions of WTO are:
i. Facilitates trade agreements and resolves disputes.
ii. Monitors member countries’ trade policies for compliance.
3. Mention any two objectives of SAFTA.
Answer: The objectives of SAFTA are:
i. Promote trade among member countries.
ii. Lower customs duties on traded goods.
iii. Favorable treatment for least developed countries.
4. (2023 Spring Q. No. 10, 2021 Spring Q. No. 5) Write down the full form of BIMSTEC.
Answer: BIMSTEC stands for The Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation.
5. (2022 Fall Q. No. 4) Mention any two principles of WTO.
Answer: The principles of WTO are:
i. Unrestricted exchange of goods and services between countries without barriers.
ii. Open sharing of trade policies and regulations to build trust among trading partners.
6. (2022 Fall Q. No. 6) Enlist the driving forces of globalization.
Answer: The driving forces of globalization are:
i. Technological advances
ii. Global institutions
iii. Changing consumer attitudes
7. (2022 Fall Q. No. 7) Write about SAFTA.
Answer: SAFTA, or the South Asian Free Trade Area, is an agreement between South Asian countries to lower taxes on trade and make it easier to buy and sell goods with each other. Started in 2006, it also helps poorer countries in the region by giving them special benefits in trade.
8. (2022 Fall Q. No. 10) What is globalization? Write its forms.
Answer: Globalization is the process that makes countries and people around the world more connected and dependent on each other. It helps us share goods, ideas, and cultures across borders. The forms of globalization are as follows:
i. Economic Globalization
ii. Political Globalization
iii. Environmental Globalization
iv. Cultural Globalization
9. (2020 Fall Q. No. 4) Explain the four different means of globalization.
The different means of globalization are:
i. Economic Globalization
ii. Political Globalization
iii. Environmental Globalization
iv. Cultural Globalization
10. (2020 Fall Q. No. 5) Differentiate between SAFTA and SAPTA.
Answer: The differences between SAFTA and SAPTA are:
| SAFTA | SAPTA |
|---|---|
| SAFTA stands for South Asian Free Trade Area. | SAPTA stands for South Asian Preferential Trade Agreement. |
| It aims to promote free trade among SAARC countries by reducing tariffs and trade barriers. | It aims to provide preferential trade terms among SAARC countries by reducing tariffs on selected goods. |
11. (2019 Fall Q. No. 4, 2017 Fall Q. No. 10) Explain the concept of SAFTA and SAPTA in brief.
Answer: SAFTA stands for South Asian Free Trade Area. It is an agreement made in 2006 between South Asian countries to make trade easier by lowering taxes on many goods. It helps countries work together and grow their economies, with special help for poorer countries.
SAPTA stands for South Asian Preferential Trade Agreement. It is an agreement from 1993 that allows South Asian countries to trade some goods at lower taxes. It encourages trade between these countries but focuses on giving special deals rather than completely free trade.
12. (2019 Spring Q. No. 3) What is the most favored nation clause of WTO?
Answer: The most favored national clause of WTO is to “Treating other people equally”. Under the WTO agreements, countries cannot normally discriminate between their trading partners. If a country grants lower customs duty for one country, country has to do the same for all other WTO member countries.
13. (2018 Spring Q. No. 1) Outline the LDC privillege of WTO.
Answer: The LDC (Least Developed Countries) privilege in the WTO provides special support for the poorest countries, including lower trade taxes, more time to follow rules, training assistance, and easier access to markets in rich countries. This helps LDCs grow their economies and improve their trade.
14. (2017 Fall Q. No. 2) Define Globalization.
Answer: Globalization is the process that makes countries and people around the world more connected and dependent on each other. It helps us share goods, ideas, and cultures across borders.
15. (2017 Fall Q. No. 6) Define the LDC Provision of WTO.
Answer: The LDC Provision of the WTO helps the world’s poorest countries trade more effectively by offering lower taxes on their goods and more time to follow trade rules. Many rich countries allow LDCs to export their products without taxes or limits, supporting their growth in global trade.
Group B: Descriptive Answer Questions
1. (2023 Fall Q. No. 17) Explain the roles and functions of WTO. As a member of WTO, what do you think, Nepal has a benefit or loss. Explain. – Answer (Click Here)
2. (2023 Spring Q. No. 17) How is WTO significant for the development global economy? Being a WTO member, explain the opportunities for Nepalese businesses.
Please see 2023 Fall Q. No. 17
3. (2022 Fall Q. No. 17) With reference the war between Russia and Ukraine which is still ongoing, explain how this war changes the global business environment. – Answer (Click Here)
4. Elucidate about the opportunities and threats of WTO membership for the Nepalese business.
Refer to 2023 Spring Q. No. 17
5. (2020 Fall Q. No. 13) Describe WTO. Membership of WTO a favorable country like Nepal? Explain.
Please see 2021 Spring Q. No. 17
6. (2019 Fall Q. No. 13) What are benefits for country like Nepal in joining different regional and global trade movements as SAFTA, BIMST-EC and WTO? Explain with suitable example. Answer (Click Here)
7. (2019 Spring Q. No. 14) What are the contributions of FDI in Nepalese Economy? Explain the reasons of poor inflow of FDI in Nepal. – Answer (Click Here)
8. (2019 Spring Q. No. 17) Explain the opportunities and threats of Nepal as a member of WTO. What Nepal should do to reap the benefits from its membership? Explain.
Please see 2021 Spring Q. No. 17
9. (2018 Fall Q. No. 14) Critically analyze the influence of Nepal’s membership to WTO in Nepalese business.
Please see 2021 Spring Q. No. 17
10. (2018 Fall Q. No. 8) Write a short note on BIMSTEC. – Answer (Click Here)
Click Here: Business Environment in Nepal Questions With Answers