NCERT Solutions for Class 11 Business Studies- Chapter 11- International Business

Students who are looking for answers to the questions listed in Chapter 11 of NCERT Class 11 Business Studies textbook can access them on Extramarks. India’s leading online learning platform, Extramarks, offers NCERT Solutions for Class 11 Business Studies Chapter 11 that are prepared by subject matter experts. The answers are written in a simple and easy to comprehend language. Students can use these solutions as last-minute study material or to revise Chapter 11.

Class 11 NCERT Solutions Business Studies – Chapter 11

Access NCERT Solutions for Class 11 Business Studies Chapter 11 – International Business

NCERT Solutions for Class 11 Business Studies- Chapter 11- International Business

Chapter 11 International Business introduces students to the differences between international trade and business, their advantages, export and import business, how to secure export payments, and many more related topics.

There are questions given at the end of the chapter in NCERT textbook to help students gauge their understanding of the concepts studied. NCERT Solutions for Class 11 Business Studies Chapter 11 help students in finding the right answers to these questions. 

Significance of Class 11 Chapter 11

Chapter 11 of Class 11 Business Studies focuses on International Business and various significant aspects associated with the trade. The chapter explains the opportunities and necessities of International Business and how one can start a business globally. The chapter is of vital importance from the examination perspective as well as to enhance the knowledge of students about international business. 

International Business

International Business is the trading system between two or more nations. In this trading system, the goods are traded between two or more countries and monetary transactions are involved. The trading is done in the currency of the country that is importing the goods. There are legal procedures and restrictions involved in international business.

There are three types of international business:

  • Export
  • Import 
  • Re-export

Need for International Business

There are many reasons why international business is a need in today’s world.

  • Not all countries can produce the items they require at a cheaper cost.
  • Every country is not equally enriched with natural resources.
  • The amount and quantity of labour, capital, and raw material vary in different countries.
  • All countries are different in terms of socio-economic, political, and demographic scenarios.

Scopes and Benefits

International business carries ample scope and benefits in –

  • Exportation and importation of services and materials.
  • Franchise and licence
  • Foreign investments like portfolio investments and direct investments

Modes of Entering

There are several ways to enter the world of international business with each having its own advantages and disadvantages. Let us have a look at the various mediums of entering into International Trade.

  • Contract manufacturing
  • Joint business ventures
  • Creating owned subsidies
  • Licencing and franchising 

India has reached new heights in international trade with the help of a New Economic Policy of globalisation and liberalisation. The foreign currency exchange in GDP has seen a massive hike. Along with these, export and import businesses also have experienced lucrative changes. The percentage of exports has increased remarkably.

Solved Examples

  1. Which mode of entry amongst the options given below  has a higher risk involved?
  2. Licensing
  3. Franchising
  4. Joint venture
  5. Contract manufacturing

Ans. Contract manufacturing

  1. Which country amongst the options given below is not a major trading partner of India?
  1. USA
  2. UK
  3. Germany
  4. New Zealand

Ans. New Zealand

FAQs (Frequently Asked Questions)

International Business is the trade among two or more countries in exchange for foreign currencies. The business activities involve capital, transportation, services, international production, etc. The taxation system and different currencies play a crucial role in global businesses.

The benefits of international businesses include:

  • High production rate
  • Upgraded standard of living
  • Optimum use of the natural and other resources

  1. Textiles
  2. Oil and Petroleum
  3. Rice 
  4. Franchising 

Ans. Franchising does not come under one of India’s major export items.

Domestic business refers to the trade that is operated within the boundaries of a country. The monetary transaction takes place in the country. The currency used in the trade is the country’s currency. In brief, domestic business is synonymous with internal business. 

If you are looking for NCERT Solutions for Class 11 Business Studies Chapter 11, you can rely on Extramarks. The solutions are prepared by subject matter experts, which ensure their accuracy and adherence to the guidelines laid by CBSE. As these solutions are written in simple language, students find it easy to understand the answers.