Maharashtra State Board Class 12th OCM Question Paper 2024 with Solutions Answers Pdf Download.
Class 12 OCM Question Paper 2024 Maharashtra State Board with Solutions
Time: 3 Hours
Max. Marks: 80
Note:
(i) All questions are compulsory.
(ii) figures to the right indicate full marks for the questions.
(iii) figures to the left indicate question numbers.
(iv) Answer to every question must be started on a new page.
Question 1.
[A] Select the correct option and rewrite the sentences: (5) [20]
(1) __________ was regarded as the father of scientific management. (b)
(a) Henry Fayol
(b) F.W. Taylor
(c) Philip Kotler
Answer:
(b) F.W. Taylor
(2) Start-up India is an initiative of the __________ (b)
(a) RBI
(b) Government of India
(c) World Bank
Answer:
(b) Government of India
(3) Door to door service is provided by __________ transport. (c)
(a) Railway
(b) Air
(c) Road
Answer:
(c) Road
(4) For economic growth and National Security __________ stability is required. (a)
(a) Political
(b) Social
(c) Economic
Answer:
(a) Political
(5) In India the Consumer Protection Act was initiated in the year __________ . (c)
(a) 1947
(b) 1989
(c) 1986
Answer:
(c) 1986
[B] Match the correct pairs: (5)
| Group ‘A’ | Group ‘B’ |
| (a) Principle of Unity of direction | (1) Right to information |
| (b) Planning | (2) Last function of Management |
| (c) Warehousing | (3) Distinct Name |
| (d) Consumer Right | (4) One head one plan |
| (e) Registered brands | (5) Seller |
| (6) Basic function of management | |
| (7) Time Utility | |
| (8) General guidelines | |
| (9) Trademark | |
| (10) Place Utility |
Answer:
| Group ‘A’ | Group ‘B’ |
| (a) Principle of Unity of direction | (4) One head one plan |
| (b) Planning | (6) Basic function of management |
| (c) Warehousing | (7) Time Utility |
| (d) Consumer Right | (1) Right to information |
| (e) Registered brands | (9) Trademark |
[C] State whether the following statements are true or false: (5)
(1) Co-operation is not necessary for smooth flow of organizational activities.
Answer:
False
(2) Current Account is opened by salaried persons.
Answer:
False
(3) With the help of outsourcing company we can focus on the core areas.
Answer:
True
(4) The seller has to recognize the rights of consumer.
Answer:
True
(5) The term market is derived from the Latin word “mercatus.”
Answer:
True
[D] Find the odd one: (5)
(1) Selecting, training, co-ordinating, placing.
Answer:
co-ordinating
(2) NABARD, RBI, SIDBI, EXIM.
Answer:
RBI
(3) Debit card, Credit card, Aadhar card, ATM card.
Answer:
Adharcard
(4) Job security, Health and safety measures, Good working condition, Reasonable profit.
Answer:
Reasonable profit
(5) Price, People, Promotion, Product.
Answer:
People
Question 2.
Explain the following terms/concepts (Any FOUR): (8)
(1) Principle of Discipline
(2) Communication
(3) Business ethics
(4) Corporate Social Responsibility (CSR)
(5) Right to choose
(6) Market
Answer:
(1) Principle of Discipline:
According to Fayol, discipline is the most essential thing in the organisation. Employees must obey and respect the rules that govern the organisation. Discipline helps to achieve the goals in the organisation. Good discipline is the result of effective leadership. There must be a clear understanding between the management and workers regarding the organisation’s rules. Basic discipline should be observed at all levels of management.
(2) Communication:
Communication is an art of exchanging ideas, facts, information etc. from one person or entity to another. The process of passing any information from one person to another with the help of some medium is termed as communication. Communication is very simple process where message is being transferred from a sender to the receiver. The receiver after receiving the message understand it in the desired form and then act accordingly.
(3) Business ethics:
The word ‘Ethics’ is derived from the Greek word ‘Ethos’ which means character. Ethics means the set of rules and principles that the organisation should follow while the business ethics refer to a code of- conduct that businesses are expected to follow while doing a business. Through ethics, a standard is set for the organisation to regulate their behavior. This helps them in distinguishing between the wrong and the right path of the business. Ethics deals with concepts’ such as right and wrong, good and bad, fair and unfair just and unjust, legal and illegal, proper and improper in respect of human actions. Ethics is a branch of social science.
(4) Corporate Social Responsibility (CSR):
According to UNIDO (United Nations Industrial Development Organization), “Corporate Social Responsibility is a management concept whereby companies integrate social and environmental concerns in their business operations and interactions with their stakeholders”.
Corporate Social Responsibility (CSR) is selfregulating business model aims to contribute to societal goals or support volunteering or ethically-oriented practices. It makes a company socially responsible and accountable. This accountability is towards itself its stakeholders, public in general etc. By practicing social responsibility, companies can be conscious about economic, social and environmental aspects of the society.
(5) Right to choose:
The choices available to Indian consumers across the basket of goods and services have multiplied like telecommunications, travel and tourism, banking, electronics, fast moving consumer goods (FMCG) etc. According to this right, consumer should be given full freedom to select an article as per his requirement, liking and purchasing capacity. The right to choose is related to the concept of free market economy. As per this right, the seller cannot compel consumer to buy particular product and hence monopoly is prevented.
(6) Market:
The term market is derived from the Latin word ‘mercatus’, which means ‘to trade’, ‘to frade merchandise’or’a place where business is transacted’. In simple words market is the place where two or more parties are involved in buying and selling. These two parties involved in the transactions are called buyers and sellers. The transaction of buying and selling takes place with exchange of money.
Question 3.
Study the following case / situation and express your opinion (Any TWO): (6)
(1) In XYZ company, Mr. Lele gives instructions to the employees working under him, provides guidance and motivates them for their best performance. On the other hand Mr. Sayyad takes effort to harmonize the work done by the employees of different departments while achieving organizational goals. Mr. Desai is looking after the arrangement of required resources to the business organization. Mention the name of employee engaged in following functions:
(i) Organising
(ii) Directing
(iii) Co-ordinating
(2) Mr. Ashok visited a shop to buy a pair of shoes of ₹700. The salesman forced him to buy a pair of bigger size shoes of ordinary company by claiming this size would be suitable to him. After reaching home, he discovered that shoes are still too big for him. He complained about the shoes to the shopkeeper. It was denied by the shopkeeper to replace the shoes despite of availability of stock.
In above case:-
(i) Which right has been violated?
(ii) Is Mr. Ashok a buyer or an ultimate consumer?
(iii) Where can Mr. Ashok file his complaint?
(3) Mr. A deals in import and export business so he needs different foreign currencies. Forthe expansion of his business, he borrows money from commercial bank. He invests his funds in the equity shares.
(i) From where does Mr. A borrow money?
(ii) Name the market where does Mr. A invest his funds.
(iii) Which type of currency is required for international market?
Answer:
(1) (i) Organising – Mr. Desai is engaged in the organisation function as he is looking after the arrangement of required resources for the business organisation.
(ii) Directing – Mr. Lele is engaged in the function of directing as he gives instructions to the employees working under him, provides guidance, and motivates them for giving their best performance,
(iii) Co-ordinating – Mr. Sayyed is engaged in the function of co-ordination as he makes an effort to harmonise the work done by the employees of different departments.
(2) (i) Right to choose has been violated, as Mr. Ashok was forced into buying an unsuitable product and denied a replacement.
(ii) Mr. Ashok is both a buyer and an ultimate consumer; As a buyer, he engaged in a transaction to purchase the shoes. As an ultimate consumer, he is the end-user who bought the shoes for personal use, not for resale or to produce other goods.
(iii) Mr. Ashok can complain at a local consumer court or consumer protection forum. These bodies are established to address violation of consumer rights and unfairtrade practices grievances.
(3) (i) Mr. X borrows money from the commercial bank.
(ii) Mr. X invests his funds in the equity shares market, commonly known as the stock market or stock exchange.
(iii) The different foreign currency is required by Mr.X for the international market.
Question 4.
Distinguish between the following (Any THREE): (12)
(1) Directing and Co-ordinating.
(2) Road transport and Rail transport.
(3) Bonded warehouse and Duty paid warehouse.
(4) District commission and State commission.
Answer:
(1) Directing and Co-ordinating:
| Points | Directing | Co-ordinating |
| Meaning | Directing is the guidance inspiration, the leadership of those men and women constitute the real case responsibilities of management. | Co-ordination is orderly arrangement of group efforts to provide unity of action in the pursuit of common goal. |
| Objective | To direct the subordinates to get the things done in the right manner. | To ensure harmony of efforts of the employees for smooth functioning of organisation. |
| Area of function | It includes instructing, guiding, inspiring, communicating and motivating the human resources. | It includes integration of efforts of top level, middle level and lower level. |
| Factors | Directing is concerned directly with internal factors i.e. human resources. | It is harmonisation of human resources. |
| Order | It follows organising and staffing for execution of planning. | It is an important element of organizing which follows planning. |
| Resources | It gives direction to the employees regarding use of other resources. | It is related to human resources. |
(2) Road transport and Rail transport:
| Points | Road transport | Rail transport |
| Speed | Road transport has limited speed due to bad road condition, accident etc. | It has considerable speed since it runs on tracks which rarely gets disturbed. |
| Carrying capacity | It has limited carrying capacity. | It has huge carrying capacity. |
| Cost | Jt requires limited capital investment in terms of construction of roads, vehicles and there maintenance. | The cost of construction of trains, railway tracks is high. Also the maintenance of trains, tracks and stations is high. |
| Distance | Recommended for short distance. | Recommended for both short and long distance. |
| Charges | Transport charges are not fixed due to increased fuel prices. | Transport charges are relatively low and are fixed according to the distance. |
| Door to door service | It provides door to door services. | It does not provide door to door services. |
(3) Bonded warehouse and Duty paid warehouse
| Points | Bonded Warehouse | Duty Paid Warehouse |
| Meaning | Bonded Warehouse is the warehouse where imported goods on which duty is not paid are stored. | Duty Paid Warehouse is the warehouse where imported goods on which duty is already paid are stored. |
| Location | They are located within the dock area. | They are located in a port-town outside the dock area. |
| Markets | The imported goods stored here are mostly re-exported. | The imported goods stored here are mostly for the domestic markets. |
| Supervision | The customs authority closely supervises the working of these warehouses. | These warehouses are not supervised by the customs authority. They are supervised by the port authority. |
| Delivery | Delivery of goods is done after payment of import duty. In case of re-export, the import duty need not be paid, only rent and service charges need to be paid. | Delivery of goods can be obtained after payment of the rent charges of the warehouse. |
| Purpose | The main purpose would be either the importer needs to re-export the goods or the importer may not be in a position to pay import duty. | The main purpose would be that the importer does not have suitable warehousing facility. Also, he may not require immediate delivery of goods. |
(4) District commission and State commission.
| Points | District Commission | State Commission |
| Meaning | A consumer dispute redressal forum at the district level established by the State Government is known as District Commission. | A consumer dispute redressal forum at the State Level established by the State Government is known as State Commission. |
| President | A person who is sitting or retired or qualified to be District Judge. | A person who is sitting or retired or Judge of High Court, shall be appointed by the State Government as the President of State Commission. |
| Member | Not less than two and not more than such number of members as may be prescribed, in consultation with the Central Government. | Not less than four or not more than such number of members as may be prescribed in consultation with the Central Government. |
| Membership Tenure | The members can have the membership for a term of five years or upto the age of sixty five years, whichever is earlier. | The members can have the membership for a term of five years or upto the age of sixty seven, whichever is earlier. |
| Area covered | It covers particular district. | It covers particular state. |
| Monetary Jurisdiction | To entertain complaints where the value of the goods or services paid as consideration does not exceed ₹ one crore. | To entertain complaints where the value of the goods or services paid as consideration, exceeds ₹ one crore, but does not exceed ₹ ten crore. |
Question 5.
Answer in brief (Any TWO): (8)
(1) Explain any four principles of management of Henry Fayol.
(2) Explain any four characteristics of an entrepreneur.
(3) Explain advantages of Business Process Outsourcing (BPO).
Answer:
(1) While achieving goal of an individual or an organisation, it is always important to use different systems or techniques. Some of these techniques are accepted universally, hence, they are called as principles. It provides guideline to manager to conduct all organisational activities on specific bases. “Principle is defined as a fundamental truth or proposition that serves as the foundation for a system of belief or behaviour or for a chain of reasoning.”
(1) Principle of Division of Work :
According to this principle, the work is divided into different kinds such as technical financial, commercial, security operations, accounting and managerial It is assigned to employees as per their qualities and capabilities. It helps in improving efficiency and expertise of employees which are ultimately turns into expected productivity level.
(2) Principle of Authority and Responsibility :
Authority is the right to take decisions. It is necessary to get the things done appropriately from subordinates. Authority always comes with the responsibility. If the manager is given the authority to complete a task within a given time, he should be held responsible if he does not complete the work in given time. Manager should have proper authorities to take managerial decision on his own in respect to the goal.
(3) Principle of Discipline :
According to Fayol, discipline is the most essential thing in the organisation. Employees must obey and respect the rules that govern the organisation. Discipline helps to achieve the goals in the organisation. Good discipline is the result of effective leadership. There must be a clear understanding between the management and workers regarding the organisation’s rules. Basic discipline should be observed at all levels of management.
(4) Principle of Unity of Command:
Each member of organisation should receive orders from only one superior. This principle helps in managing conflicts and solving disputes among people in organisation. It also helps in avoiding confusion. If an employee receives commands from more than one authority, he will get confused and will not be able to take decision about whose orders should be followed. This is wrong approach. For this organisational hierarchy should be well defined. Each employee should know his immediate superior and should receive orders from him only.
2. The word ‘entrepreneur’ comes from the French verb entreprendre, it means ‘to undertake’. An entrepreneur is ‘a person who starts a business and is willing to risk loss in order to make money’ Entrepreneurs are the people who have the courage to offer and to share an idea or a product or a service with the world.
Following are the Four characteristics of an entrepreneur.
(1) Intellectual Capabilities:
An entrepreneur is a creative thinker and has reasonably good intelligence. He has ability to analyse business situations. This ability will help him to take proper decisions.
(2) Future Vision:
The entrepreneur has a good foresight about future market situation. He should also have the knowledge about external business environment. This will help him to take proper decisions according to the situations and changes in the market. So, he can take timely actions for the same.
(3) Hard Work:
An entrepreneur is ready to work hard. It is more necessary when a new venture is started. He has to work for long hours. Many a times he has to handle the main areas of business independently. This wilt m’ake him successful
(4) Technical Knowledge:
An entrepreneur has good technical knowledge about his business. The entrepreneur has the ability to update himself with the latest knowledge about the product, process and technology.
3. Business Process Outsourcing (BPO) is a subset of outsourcing that involves the contracting of the operations and responsibilities of specific business process to a third party service provider. BPO refers to the outsourcing of peripheral activities of the organisation to an external organisation to minimise cost and increase efficiency.
Advantages of BPO are as follows:
- Productivity improvement: Educated or skilled people perform the task efficiently and thus improve productivity.
- Optimum utilisation: BPO enables optimum utilization of scarce resources.
- Reduction in cost: Cost saving can be significant to any business. BPO not only helps to reduce cost but also increase productivity and increase revenue.
- Improved human resources: Improved human resources is another great advantage of BPO. Outsourcing gives a company the ability to get access to skilled and trained man power at low rates.
Question 6.
Justify the following statements (Any TWO): (8)
(1) Management principles are helpful in optimum utilization of resources.
(2) It is easy to set up E-business as compared to traditional business.
(3) Business should allow participation of workers in management.
(4) There is a need of branding to get recognition among the consumers.
Answer:
(1) Management principles are helpful in optimum utilisation of resources:
- While achieving goal of an individual or an organisation, it is always important to use different systems or techniques. Some of these techniques are accepted universally, hence, they are calLed as principles. “Principle is defined as a fundamental truth or proposition that serves as the foundation for a system of belief or behaviour or for a chain of reasoning.”
- In every organisation two types of resources are used i.e. physical resources (material, machines, money etc.) and human resources (manpower).
- The basic function of management is to make proper balance between these resources by putting them to optimum use and control on wastage of resources.
- While maintaining discipline and healthy working environment management always uses techniques and principles. It helps in establishing cordial relationship between management and employees which increases the efficiency level of employees and also affects the effective administration.
Hence, management principle are helpful in optimum utilisation of resources.
(2) It is easy to set up E-business as compared to traditional business:
- E- business or electronic business, is the administration of conducting business via the internet This would include the buying and selling of goods or services, along with providing technical or customer support through the internet.
- In traditional business, time is required to travel, to convince, to negotiate, and to interact with the customers. In such a process a lot of time, energy, and money are wasted. While in e-business required information is provided and accepted with terms and conditions more instantly.
- In traditional business large, physical space is needed, to arrange and display a variety of goods. It needs a large amount of capital to have the infrastructure, staff and other required facilities, e-business can be started, managed, and operated with the help of the internet from any place or even from one’s own home. Naturally, it requires very little capital.
- The formation of traditional business is difficult, whereas e-business is relatively easy to start. Hence it is easy to set up E-business as compared to traditional business.
(3) Business should allow participation of workers in management:
- Business cannot function in isolation. It depends upon the society for its input and output. It is conducted with the help of various interest groups such as investors, owners, employees etc. Employees are human resource to the organisation. They must be treated with dignity and respect.
- The workers must be encouraged to take part in management by forming workers committee.
- Suggestion schemes, profit sharing can be encouraged by management. It will raise their morale and give them a sense of belonging.
- Workers’ participation in management enables the organisation to win the confidence of employees./lt creates and maintains a good, healthy, and improved relationship between labour and management which is necessary for the success of any organisation.
Hence, Business should allow participation of workers in management.
(4) There is need of branding to get recognition among the consumers.
- Marketing is a key function of modern management. We are exposed to marketing of products and services and ideas almost every day. “Marketing is a societal process by which individuals and groups obtain what they need and want through creating, offering and freely exchanging products and services of value with others”.
- Every businessman wants to have special identity in the market for his product Branding is a process of giving special identity to a product through unique brand name to differentiate it from competitor’s products.
- In simple words giving of distinct name to one’s product is called as branding. Registered brands are known as Trademarks. Trademarks can not be copied.
- Branding helps to get recognition among the consumers. It can help to get new business and increase brand awareness in the market.
Hence, there is need of branding to get recognition among the consumers.
Question 7.
Answer the following (Any TWO): (10)
(1) Explain the importance of planning.
(2) Explain E-banking service.
(3) Explain rights of consumers.
Answer:
(1) Planning is the basic function of management. Every function of management is based on planning. It includes, deciding the things to be done in advance. Planning is an intellectual process of logical thinking and rational decision making. It focuses on organisation’s objectives and develops various courses of action.
James Stoner:
“Planningisthe process of establishing goals and a suitable course of action for achieving these goals.”
Importance of planning are as follows:
(1) Helps to set clear objectives:
Planning is concerned with setting objectives, targets, and formulating plans to achieve them. It helps managers to analyse the present condition of the organisation and on that basis to identify the ways of attaining the.desired position in future. .
(2) Provides path of action:
Planning ensures that the goals or objectives are clearly stated. They act as a guide and they provide direction for doing the right things at the right time with right way. It helps employees to know what organisation has to do and what they must do for achieving the goals.
(3) Planning improves performance:
It helps managers to improve future performances of employees by establishing objectives and selecting a course of action. It is beneficial for the organisation. Planning leads to efficient » working of the employees. Due to proper planning, the employees can work according
to timely guidelines. This improvement in performances results into higher profitability of the organisation.
(4) Minimises the risk:
Planning is based on forecasting technique. It is the process of looking into the future and anticipating the future changes. By deciding in advance the tasks to be performed, planning shows the way to deal with changes and uncertain events. Changes or risks cannot be eliminated totally but they can be anticipated and can be tackled with preventive measures. It minimises the risk of future or uncertainties of future.
(5) Planning leads to optimum utilisation of resources:
Organisational plans are prepared by taking into consideration the availability of resources and proper allocation of resources for various activities. It also facilitates optimum utilisation of resources which brings higher efficiency and better results. One can avoid wastage of resources by proper planning.
(6) Helps in decision making:
There are various alternatives in front of the management. For achieving goals planning helps the management to select the best alternative by considering all positive and negative outcomes of all the alternatives. Decisions are taken after selecting alternative courses of action to achieve a predefined goaL It helps the manager to take rational decisions.
(2) E-banking stands for Electronic banking it is also called ‘Virtual Banking’. E- banking is the result of the development in the field of electronics and computers. Under E- banking, the banking operations are computerised.
Some of the elements of E- banking are as follows:
(1) Automated Teller Machine:
The ATMs are electronic machines which are operated by the customer on his own to withdraw or deposit money. It can be used for other banking transactions also such as balance enquiry, transferring money, request for cheque book or bank statements etc Nowadays, ATM also provides facility of cash deposits through CDM (Cash Deposit Machines.)
(2) Credit Cards:
A credit card is a payment card. It is a physical card that lets you borrow money from a financial institution to make purchases, pay bills on withdraw cash. It allows the cardholder to pay for different transactions he performs. The issuing bank creates a revolving account and grants a line of credit to the customer or user. Credit card offers convenience to customers as customer need not carry cash.
(3) Debit Cards:
Most of the banks nowadays offer debit card as soon as account is opened by account holder. Through debit card payments, the amount gets deducted from account holder’s account Some banks offer personalised debit and credit cards as per the requirement of customer.
(4) NEFT:
NEFT stands for National Electronic Fund Transfer. Under this system, funds are transferred electronically from one branch to another branch or one bank to another bank in the country. The client has to give details of NEFT code of branch and account number of beneficiary to whom the money is to be transferred.
(5) Net Banking and Mobile Banking:
With the introduction of net banking, the client is able to transact banking operations with the help of computers, laptop and other gadgets. The internet banking services enable a client to check various transactions, facilitates payments of various things, transferring funds etc. Mobile banking refers to the use of banking services with the help of mobile phones. The client registers with the bank for this facility and gets a unique code for transactions. The client can perform various transactions such as request for balances, transfer of funds, stop payment, issue of cheque book etc.
(3) The word ‘Consumer’ is derived from the Latin word ‘Consumere’ which means, to eat or to drink. The consumer is the one who consumes or uses any commodity or service available from natural resources or through a market.
Right of Consumers:
The success of any campaign depends on the consciousness and awareness of the people for whose cause the movement is organised. Consumer’s rights play an important role in their protection and safety.
(1) Right to Safety:
This right protects consumers against products, production processes and services which are hazardous to health or life. It includes concern for consumer’s long¬term interests as well as their immediate requirements. According to this right, consumer must get full safety and protection to his life and health. This safety should be in relation to medicines, electrical appliances, food etc. The GOI has given safety standards in the form of AGMARK, ISI, BIS, Hallmark etc.
(2) Right to Information:
According to this right, consumer should be provided with adequate information about all aspects of goods and services like price, name of manufacturer, contents used, batch number if any, date of manufacture and expiry date, user manual and safety instruction etc. This right also enables consumer to select right product or service. It is applicable to food products, medicines, spare parts or any other consumer products or services.
(3) Right to Choose:
The choices available to Indian consumers across the basket of goods and services have multiplied like telecom-munications, travel and tourism, banking, electronics, fast moving consumer goods (FMCG) etc. According to this right, consumer should be given full freedom to select an article as per his requirement, liking and purchasing capacity. The right to choose is related to the concept of free market economy. As per this right, the seller cannot compel consumer to buy particular product and hence monopoly is prevented.
(4) Right to be heard:
Every business organisation should listen and solve the complaints of consumers. According to this right, consumers have opportunity to voice their complaint to the consumer forum. Consumers also give suggestions to manufacturer or trader on certain matters such as quality, quantity, price, packaging etc. Now a days, consumers can file online complaints through portal or mobile applications.
(5) Right to Consumer Education:
Every consumer has the right to know about consumer rights and solutions to their problems. This right creates consumer awareness. An aware consumer can make rational choice of goods and services and protect his rights and interests from the exploitation of unscrupulous businessmen. Thus, consumer education becomes a priority concern. It is necessary to give education and training regarding prevailing acts and legal processes. The government, media and NGOs play vital roles in this regard. E.g. ‘Jago Grahak Jago’ campaign.
Question 8.
What is insurance? Explain types of life insurance policies. (8)
OR
What is Marketing Mix? Explain 7Ps of Marketing Mix.
Answer:
(1) Insurance is a means of protection from financial loss. It is a form of risk management primarily used to hedge against the risk of a contingent or uncertain loss. Insurance is a contract between the insurer and the insured, whereby the insurer agrees to compensate the insured against loss. The insured has to pay a certain fixed sum of money on timely basis to the insurer.
It is a contract between insurer and insured whereby, the insurer agrees to compensate the insured a certain sum on the expiry of certain period or on death whichever is earlier for a consideration.
Types of life Insurance are as fallows:
(1) Whole Life Policy:
Under this policy whole life of a person is insured. The insured cannot receive money from insurance company till he is alive. The rate of premium is normally low. The money becomes payable on the death of insured person to the nominee or the legal heir of the deceased policy holder.
(2) Endowment Insurance Policy:
Insurance is taken for specific period under this policy. The sum assured along with bonus is given on the death of the insured to dependents or on the expiry of the specific period, to the insured.
(3) Term Insurance Policy:
Term insurance policy is taken for a specific period. Term insurance policy has lowest premium among all insurance policies. Premium is fixed and does not change during the term of the policy. In case of untimely death, the dependents will receive the benefit amount specified in the term life insurance agreement.
(4) Annuity Policy:
The insured has to pay the premium in lump sum or in instalments over a certain period of time. The insured will receive back a specific sum periodically from specified date onwards, either for life or for a fixed number of years. It is like pension payment scheme.
(5) Money-back Policy:
Money-back policy provides a regular percentage of the sum assured during the life time of the policy and also guarantees the benefit of full sum assured in the event of the death of the insured to the dependents of the insured. Generally, the money back policy is available for four terms-12 years, 15 years, 20 years, 25 years etc.
(6) Child Insurance:
A child insurance policy is a saving cum investment plan that is designed to meet child’s future financial needs. A child insurance policy allows kids to live their dreams. Child insurance policy gives you the advantage to start investing in the children’s plan right from the time the child is born and provisions to withdraw the savings once the child reaches adulthood. Some child insurance policies allow intermediate withdrawals at certain intervals.
(7) Retirement Plans:
A savings and investment plan that provides insured an income during retirement is called Retirement Plan. On maturity, this corpus is invested for generating a regular income stream which is referred to as pension orannuity.
(8) UUP Policy:
ULIP stands for Unit Linked Insurance Policies. ULIP policies are very popular as they combine the benefits of life insurance policies with mutual funds.
OR
(2) Marketing Mix is the combination of different marketing variables that the firm blends and controls to achieve the desired result from the target market In simple words the marketing mix is putting the right product at the right time, at the right price in the right place. It is one of the important tools of the marketing. The 4P’s of marketing mix were introduced by E. Jerome McCarthy in 1960. It was further extended by Booms & Bitner in 1981 by adding 3 new elements to the 4 Ps Principle.
7Ps of Marketing Mix are as follows:
(1) Product:
Product refers to the goods or services that are offered to the customers for sale and are capable of satisfying the needs of the customer. The product can be intangible or tangible, as it can be in the form of services or goods. The business need to decide the right type of product through extensive market research. Success of the business depends on the impact of the product in the minds of the customer.
(2) Price:
The price of the product is basically the amount that a customer pays for the product. Price plays an important role in creating demand for the product The business needs to take utmost care to decide the price of the product Cost of the product and willingness of the customer to pay for the product play an important role in pricing the product. Too high price may affect the demand for the product and pricing too low may affect the profitability of the business. While deciding the prices, the value and utility of the product to its customers are to be considered.
(3) Place:
Place is also known as distribution channel Placement or distribution is a very important part of the marketing. Making a right product at the right price is not enough. Businessman needs to make the product available to potential customer at the right place too. Business needs to distribute the product in a place that is accessible to potential buyers. It covers location, distribution and ways of delivering the product to the customer. Better the chain of distribution higher the coverage of the product in the market.
(4) Promotion:
Promotion is an important element of marketing as it creates brand recognition and sales. Promotion is a tool of marketing communication which helps to publicise the product to the customer. It helps to convey product features to the potential buyer and inducing them to buy it. Promotion mix includes tools such as advertising, direct marketing, sales promotion, personal selling, etc. Combination of promotional strategies depend on budget the message business wants to communicate and the target market
(5) People:
People inside and outside of the business have directly or indirectly influence the business. People comprise of all the human beings that play an active role in offering the product or service to the customer. The people include employees who help to deliver services to the customer. Right people at right place add value to the business. For the success of the business, it is necessary to recruit right people, train them, develop their skill and retain them.
(6) Process:
Process refers to the steps involved in delivering products and services to the customer. Processes are important to deliver a quality service. Good process helps to ensure same standard of service to the customer as well as save time and money by increasing efficiency.
The advancement of technology helps businesses in effective monitoring of the process of the business and take corrective action wherever is necessary,
(7) Physical Environment:
Physical Environment refers to the marketing environment wherein the interaction between customer and firm takes place. Since services are intangible in nature service providers try to incorporate certain tangible elements into their offering to enhance customer experience. In the service market, the physical evidence is important to ensure that the service is successfully delivered. Through physical evidence, customers know the brand leaders in the market Physical evidence affects the customer’s satisfaction. It includes location, layout interior design, packaging, branding, dress of the staff and how they act waiting area etc.