Question

(a)what are three major options in attempting to manage environmental uncertainty and its potential impact
(B) what does the expression lifting the corporate veil means and in what circumstances does it occur.
(C) Outline any five rights of a customer.

Answer 1

A) Environmental uncertainty:- It is something which affects the organisation internally or externally causing the organisation to react to the change.

The three major options in attempting to manage environmental uncertainty is :-

1) Change

2) Complexity

3) Need for resources

The organisation should be able to cope up with the change happening and accept it to have a successful business , the problem is, uncertainty means lack of information and it is very hard to overcome uncertainty which is the major impact on any organisation.

B) Lifting the corporate veil :-

- It is a concept that separates the nature of a organisation from the nature of its share holders and helps them from being personally responsible for company's decline or other obligations.

- It says that the shareholder is held responsible for the corporation's decline or debt despite the rule of limited liability and separate personality.

There are two circumstances where lifting the corporate veil can occur

1) Alter-ego :- it says if there is any nature of constraints between the corporation and its shareholders.

2) Instrumentality Theory :- it benefits the owner rather than corporation by examining the use of a corporation by its owners.

C) Five rights of a customer :-

1 ) Right to safety :- They have the right to be protected against any fraud or illegal marketing of goods and services which can violate the rules and put them into trouble.

2) Right to be informed :-They have the right to know about the quantity , quality and price of the goods and services they are going to buy.

3) Right to choose :- They have the right to choose what kind of goods or services are they going to get at competitive price , , they have the right to be assured of good quality and service.

4) Right to be heard :- The customer needs must be met and they must be provided with a satisfying service.

5) Right to seek Redressal :- if in case any customer is been cheated or exploited , the producer must be in favor to the customer and rectify the loss caused to the customer.