BUSINESS STUDIES (859)

Aims
1. To enable candidates to understand the modern 4. To acquaint candidates with the various aspects
business environment and to create awareness of Human Resource Management.
about various entrepreneurial opportunities. 5. To provide knowledge and understanding of
2. To awaken a spirit of enterprise amongst communication in modern business.
candidates. 6. To identify the various sources of business
3. To provide an insight into the recent trends in finance and the role of regulators and
business. intermediaries.

CLASS XI

There will be two papers in the subject: 2. Entrepreneurship

Paper I - Theory: 3 hours ……80 marks (i) Introduction to Entrepreneur.
Paper II- Project Work ……20 marks Meaning and definition of entrepreneur;
PAPER – I (THEORY): 80 Marks Classification of entrepreneurs:
Part I (20 marks) will consist of compulsory short independent and spin-off; types of
answer questions testing knowledge, application entrepreneurs as given by Clarence Danhof:
and skills relating to elementary/ fundamental Innovative, Imitating, Fabian and Drone.
aspects of the entire syllabus. (ii) Introduction to Entrepreneurship.
Part II (60 marks) will consist of eight questions, out Meaning, definition and characteristics of
of which candidates will be required to answer any entrepreneurship. Characteristics of
five questions, each carrying 12 marks. successful entrepreneur: forward looking,
hardworking, passionate, opinionated,
1. Business Environment confident, resourceful, positive; Factors
(i) Introduction to the concept of business affecting entrepreneurship: political,
environment. statutory (legal and taxation), capital
Meaning and definition of business availability, availability of required labour,
environment. availability of required raw material; Types
of entrepreneurship: small business,
(ii) Features and importance of business scalable startup, large company, social.
environment.
Features: dynamic, relative, inter related, (iii) Intrapreneurship
complex, uncertain, totality of internal and Meaning, definition and characteristics of
external forces, general and specific forces, intrapreneurship; Differences between
universality, various stakeholders; entrepreneurship and intrapreneurship;
Need to understand business environment: Classification of intrapreneurs: venture and
first mover advantage, early warning project; factors affecting entrepreneurship;
signals, business strategies, competitive management support, resource availability,
advantage, customer confidence and public organization structure, risk taking capacity,
image, coping with change, customer needs, reward.
keeping pace with consumerism. PESTLE (iv) Enterprise
analysis and Porter’s five factor analysis in
understanding the business environment. Meaning and definition; steps in setting up
an enterprise: selecting the line of business,
(iii) SWOT Analysis choosing the form of ownership, locating the
Meaning and importance of SWOT analysis. appropriate site to set up the business,
Components of SWOT. financing the proposition (identifying

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 capital requirements and its sources), authority; Centralization and
setting up the physical layout and the decentralization of authority; Distinction
facilities, acquiring required human between delegation and decentralization of
resource. Compliance with statutory authority.
requirements, launching the business). Five
(iv) Change management.
phases of a business: expansion, peak,
recession, trough, recovery. Meaning and definition of change
management; Types of change:
Startup business – meaning only.
developmental, transitional,
(v) Business risks and causes of failure. transformational.
Meaning of business risks. Types of business Need for change: Internal forces (need for
risks: strategic risks, financial risks, improving productivity, need to reduce
operational risks, compliance risks, costs, need for improving quality of work
competition and market risks, environmental life, Domino effect, deficiency in the existing
risks, reputational risks, credit risks, system, to enhance innovation); External
innovation risks: a brief explanation of each. forces (change in market situations -
national and international, changes in
Causes of business failure: internal causes
technology, changes in population
(poor management, premature scaling,
dynamics, changes in the political scenario,
funding shortfall, inadequate profits, labour
changes in the legal system).
problems, small customer base) and external
forces (economy fluctuations, market Resistance to change: reasons for resistance
fluctuations, non-availability of credit, to change - Individual reasons (habits and
change in technology, change in government conventions, fear of unknown, zero
policies and laws, natural disasters, lack of tolerance to change (status quo), fear of
availability of raw material). economic loss, redundancy of skills, egoistic
attitude, peer pressure, emotional resistance
Methods of managing business risk: accept
to change in social groups); Organizational
and absorb, avoid, transfer, mitigate, exploit
reasons (fear of the unknown, costs
(clear understanding of the methods).
involved, management’s lack of faith in
3. Managers and Managerial Roles change, constraints of organizational
(i) Introduction structure).
Overcoming resistance to change: Brief
Meaning and definition of a Manager.
explanation of Kurt Lewin’s model of
(ii) Managerial roles change and ADKAR model of change.
Managerial roles as given by Mintzberg: 4. Automation at Workplaces
informational (monitor, disseminator,
spokesperson), interpersonal (figurehead, (i) Introduction
leader, and liaison), and decisional Meaning and definition of mechanization
(entrepreneur, disturbance handler, and automation; distinction between the
resource allocator, negotiator): brief two; evolution from mechanization to
explanation of these roles. automation; merits and demerits of
(iii) Authority, responsibility, and mechanization; merits and demerits of
accountability. automation.

Meaning and definition of authority, (ii) Productivity enhancement tools and

responsibility, and accountability; their facilities at different workplaces.
interrelationship; authority distinguished • Banks: ATM, passbook printing kiosk,
from power; sources of authority: formal, cheque/ cash depositing machine, SMS
acceptance, competence; delegation of alerts
authority; Principles of delegation of

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 • Retail Industry: barcode scanner and 4. Explain how promotion of startups contributes to
POS machine (Point of Sale), card the economic growth of the country. Consider
swipe machine different aspects such as:
• Corporate Office: Biometric system, • Employment generation
photocopy machine, LED Projector, • Mobility of labour
scanners, laptops, smartphones. Video
conferencing, intercom, internet and • Capital formation
wi-fi, VoIP (voice-over internet 5. Select one firm each from any two different
protocol). industries (e.g. banking, retail, hotel,
• Airports: self check-in kiosk, CUTE pharmaceuticals, tourism, automobile, cement,
workstations, automated backdrop, steel). Analyse the business risks for each of the
AODB solutions, Airport hub wireless, two firms selected by you. As an efficient
Advanced ATS. manager, how would you mitigate such risks?
A basic understanding of role of each of the 6. List any two businesses in different industries
above in enhancing productivity (details of that have failed drastically and study the reasons
functioning not required). for their failure. You may consider aspects such
as, Finance, Marketing, Operational
PAPER II - PROJECT WORK: 20 Marks inefficiency, Managerial inefficiency, etc.
7. Your organization is revamping its processes
Candidates will be expected to have completed two from manual to automated mode. There is a lot
projects from any topic covered in Theory. of resistance from the workers. As a senior
Mark allocation for each Project [10 marks]: manager, state how would you overcome this
resistance. Discuss on the basis of the following
Overall format 1 mark
points:
Content 4 marks • The nature of business
Findings 2 marks • Changes that you would propose in the
process
Viva-voce based on the Project 3 marks
• Positive and negative points for the
stakeholders
A list of suggested Projects is given below: • Benefits of the change to the employees
1. Study the importance of changes in the business • Unfreeze Change and Refreeze model for
environment. Examine any two companies that your change management
had first mover advantage in Indian business • Retention policies
environment and how they reacted to entry of
• Conclusion
global competition.
8. Bring out in detail the upcoming innovations in
2. Study and compare SWOT analysis of two any two industries e.g. automobile, education,
leading public sector companies from different retail, aviation, hospitality, tourism.
industries.
9. Make a list of various productivity enhancement
3. As a fresh graduate, select a business tools and facilities available to banking industry
opportunity and prepare a business plan for a and retail business. Study two banks and two
startup business giving the following: departmental stores and examine if they are
• Details of the business idea using the facilities available to them. Evaluate
the benefits availed by the firm and the
• Products and/or services customers.
• Finance and its sources 10. Study the productivity enhancement tools and
facilities used by corporate world. Examine how
• Marketing plan it has helped the corporate world perform and
serve better.

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 CLASS XII
There will be two papers in the subject: (iv) Staff Selection.
Paper I - Theory: 3 hours …… 80 marks Meaning and definition of staff selection;
Selection procedures (preliminary
Paper II - Project Work …… 20 marks screening, application blank, selection test,
PAPER - I (THEORY): 80 Marks Group discussion, final interview, medical
test, reference check, final approval,
Part I (20 marks) will consist of compulsory short placement; brief explanation and
answer questions testing knowledge, application and importance of each step of the selection
skills relating to elementary / fundamental aspects of procedure); distinction between recruitment
the entire syllabus. and selection.
Part II (60 marks) will consist of eight questions, out (v) Staff Training.
of which candidates will be required to answer
Meaning and definition of training;
any five questions, each carrying 12 marks.
distinction between training, education and
1. Human Resource Management development; types of training (induction,
job, remedial, safety, promotional,
(i) Introduction to Human Resource refresher- brief explanation of each.);
Management. methods of training: on the job and off the
Meaning and definition of Human Resource job (vestibule, apprenticeship, internship,
Management; Characteristics of Human classroom); Distinction between on the job
Resource Management: people oriented, and off the job training. Hindrances to
comprehensive function, staff function, training: brief explanation. Benefits of
pervasive, challenging, continuous, training to employer and employees.
individual oriented, development oriented, (vi) Staff Morale.
action oriented, future oriented, Meaning, definition and characteristics of
interdisciplinary, art as well as science, staff morale; Morale Productivity Matrix
young discipline; Importance of human (brief explanation of the four situations);
resource management. factors influencing morale (morale
(ii) Job and Manpower planning. depressants and stimulants: an
understanding of how the same factor may
Meaning, relevance and difference between lower or boost morale); methods of raising
the following: Job Analysis, Job morale; indicators of low and high morale;
Specification, Job Description, Job advantages of high morale; disadvantages
Enrichment and Job Enlargement, of low morale.
Manpower Estimation.
(vii) Staff Motivation.
(iii) Staff Recruitment.
Meaning, definition and characteristics of
Meaning, definition and characteristics of staff motivation; difference between
staff recruitment; sources of recruitment: motivation and morale; importance of staff
internal sources (promotion, transfer, ex- motivation to the employer and the employee
employees, recommendation by employees); ; factors influencing motivation: monetary
external sources (advertisements, campus and non-monetary incentives; differences
recruitment, casual callers, gate hiring, between monetary and non-monetary
employment exchanges, placement agencies, incentives; Maslow’s theory of the
labour contractors). Differences between Hierarchy of Human Needs (explanation of
internal and external sources of recruitment, the theory with the help of the pyramid,
their merits and demerits; e-recruitment: assumptions and criticism of the theory);
concept, benefits and limitations; sources of Herzberg’s Two-factor Theory (Motivation
e-recruitment: internet and intranet (their and Hygiene Factors).
benefits and limitations).

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(viii) Staff Remuneration. seniority-cum-merit (brief explanation of
each and the advantages, disadvantages,
Meaning and definition of Staff
comparison between seniority basis and
remuneration, Methods of wage payment –
merit basis.)
Time Rate and Piece Rate System (An
explanation of the two systems along with Staff Transfer: Meaning, definition and need
their merits, demerits and suitability, for transfer; Types of transfers:
differences between the two); Pay Slip and replacement, versatility, remedial,
Payroll - Meaning, Differences, production (meaning and relevance of each
Components, Specimens of both. Various type).
staff benefits: Employee Provident Fund,
(xii) Staff Separation.
National Pension System, Group Insurance
(medical and life), encashment of leave, Meaning of Staff separation; means of staff
gratuity, (basic understanding only). Types separation: Retirement (Compulsory and
of leaves (casual, medical/sick, earned / Voluntary), Lay off, Retrenchment,
privilege, maternity/ paternity, sabbatical/ Resignation, Suspension (Meaning and
study, leave without pay: basic distinction only), Dismissal: grounds for
understanding only) dismissal, procedure for staff dismissal.
(ix) Staff Leadership. Exit Interview-Meaning and importance.
Meaning and definition of staff leadership; (xiii) Emerging trends in Human Resources.
Distinction between Leadership and Flexible Hours, Permanent part time, Work
Management; Leadership styles: Autocratic, from home, Retainership, Virtual teams,
Democratic, Laissez-Faire (brief Self-managing teams (SMTs) - only meaning
explanation, advantages, disadvantages and
of the above terms.
comparison between each style);
Leadership continuum (brief description); 2. Business Communication and
Situational leadership (brief description); Correspondence
Blake & Mouton Managerial Grid (brief (i) Business Communication
explanation).
Meaning and definition of communication;
(x) Staff Appraisal. importance of communication in business,
Meaning and definition of Performance elements of the Communication Process,
Appraisal and Potential Appraisal; Methods of communication: Oral, Written,
Distinction between the two; Objectives and Gestural, Visual (Meaning, advantages and
importance of Performance Appraisal, disadvantages of all these methods),
Methods of Performance Appraisal - merit Difference between oral and written
grading, appraisal by results, appraisal by communication, Types of communication:
superior staff: self-appraisal; 360° On the basis of area of operation (Internal
appraisal (brief explanation of each method and External), on the basis of relationship
and their respective advantages and (Formal and Informal), on the basis of
disadvantages). direction (Horizontal, Vertical-upwards and
downwards, Diagonal), Meaning,
(xi) Staff Promotion and Transfer. Advantages and Disadvantages of each;
Staff Promotion - Meaning, definition, distinction between - Internal and External;
benefits and limitations of promotion; Open Formal and Informal; Horizontal and
and Closed policy of promotion (meaning Vertical Communication; Barriers to
and differences); a brief understanding of Communication (Semantic, Physical and
the concept of Dry promotion and upgrading Mechanical, Organisational, Socio-
and distinction between the two; Psychological: meaning only, detailed
requirements of a sound promotion policy; explanation not required); overcoming the
Basis of promotion: seniority, merit, barriers to communication.

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 (ii) Business Correspondence 4. Globalisation and recent trends in Business
Need and functions of business (i) Globalisation.
correspondence.
Meaning, nature, opportunities and threats
Business Letters of globalization for business; brief
understanding of how globalization has
Elements and contents of various business
been instrumental in transforming the
letters; types of letters: solicited and
manner in which Business is conducted.
unsolicited letters of application for a job,
along with drafting of biodata; Interview (ii) e-Business.
letter, Offer of Appointment, Letter of
Meaning, nature and importance of
resignation, Letter of enquiry, Quotation
e- business to the buyer and to the seller.
letter, Order letter, Complaint letter, Reply
to Complaint letter). (iii) Outsourcing.
NOTE: Candidates should be able to draft Concept of outsourcing; Parties involved –
all of the above types of letters, using the the outsourcer, the outsourced and the
appropriate format. service provider – the respective advantages
and disadvantages of each of the above.
Reports
(iv) Types of Outsourcing.
Meaning and definition of Reports; types of
reports: statutory, non- statutory, private, Business Process Outsourcing (BPO),
public, informational, interpretative, Knowledge Process Outsourcing (KPO),
routine/periodic, special; brief explanation and Business Legal Process Outsourcing
of each type of report; differences between (LPO).
statutory and non-statutory, private and Basic understanding of the above.
public, informational and interpretative,
routine/periodic and special report. Format (v) Online means of conducting business.
of report (report writing not required). Business to Consumer (B2C), Consumer to
(iii) Current trends in Business Communication: Consumer (C2C), Business to Business
e-mail and video conferencing. (B2B), Intra Business (Intra B) and,
Business to Government (B2G), Government
Meaning and uses of e-mail and video
to Business (G2B).
conferencing.
Basic understanding of the above with a few
3. Business Size and Finance examples.
(i) Various business entities. 5. Business Regulators and Intermediaries
Meaning, definition and distinction between (i) Regulators and Intermediaries.
sole proprietorship, partnership, private
limited company and public limited Meaning of the terms Regulators and
company. Intermediaries.
(ii) Sources of business finance (ii) Role of Regulators and Intermediaries.
A basic understanding of the following: (a) Reserve Bank of India (RBI): Indian
Equity and preference shares, debentures banks, foreign banks, Non-Banking
and bonds, retained profits, public deposits, Financial Companies (NBFC).
loans, trade credit, discounting of bills of (b) Securities and Exchange Board of India
exchange, global depository receipt, Angel (SEBI): stock exchanges, stock brokers,
investors, venture capitalists, crowd merchant bankers, depositories, mutual
funding, peer to peer funding, factoring. funds and credit rating agencies.

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 (c) Insurance Regulatory and Development 3. Study any two business organizations (one Multi
Authority of India (IRDA): insurance National Company and one Indian Company)
companies, insurance agents and with regards to their Policies of Compensation
insurance brokers. (Increment policy, Incentive policy, Bonus and
(d) Food Safety and Standards Authority of reward policy, retirement benefits).
India (FSSAI): food processors, food 4. Study the various types of leaves made available
packers. to employees. Leaves can be considered as
(e) Bureau of Indian Standards (BIS): ISI financial cost to the organization. What other
mark given to industrial goods, tangible and non-tangible benefits does the
consumer electrical goods, steel organization stand to gain from incurring this
manufacturers. cost? Do the benefits justify the cost?
Only a basic understanding of the roles of 5. Consider any two successful business leaders.
the above regulators and intermediaries. Give a brief account of their leadership styles.
Explain the impact of their leadership styles in
the achievement of the organizational goals of
PAPER II – PROJECT WORK: 20 Marks their respective organisations.
Candidates will be expected to have completed two 6. Analyse the emerging trends in human resource
projects from any topic covered in Theory. management and discuss their implementation in
India (Comparative study of five organisations).
The project work will be assessed by the teacher
and a Visiting Examiner appointed locally and 7. Make a comparative study of any two
approved by the Council. E-Businesses in terms of their Nature, Size,
Products and Services offered, Functioning and
Mark allocation for each Project [10 marks]: Policies.
Overall format 1 mark 8. Select any two companies and study their
Content 4 marks sources of finance with respect to the amount
procured and advantages and disadvantages of
Findings 2 marks each source of finance
Viva-voce based on the Project 3 marks
9. Select any BPO or KPO and explain the
outsourced functions that it performs. Discuss
A list of suggested Projects is given below: the impact of outsourcing in general and
specifically on the profitability of the
1. Analyse the recruitment process in any two outsourcing organization.
companies of your choice. List the loopholes if
any and give suggestions for improving the 10. Study any one regulator and the intermediaries
process. (You may also make a comparative under it. Give an account of their functions and
study of the recruitment process). how it helps the common man.

2. Evaluate the selection process of any two firms

NOTE: No question paper for Project work will be
from the corporate world and discuss their
set by the Council.
benefits and drawbacks vis-a-vis each other.

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 SAMPLE TABLE FOR PROJECT WORK

S. Unique PROJECT 1 PROJECT 2 TOTAL

No. Identification MARKS
Number
(Unique ID) A B C D E F G H I J
of the
Teacher Visiting Average Viva- Total Teacher Visiting Average Viva- Total (E + J)
candidate
Examiner Marks Voce by Marks Examiner Marks Voce by Marks
Visiting Visiting
(A + B ÷ Examiner (C + D) (F + G ÷ Examiner (H + I)
2) 2)
7 Marks* 7 Marks* 7 Marks 3 Marks 10 Marks 7 Marks* 7 Marks* 7 Marks 3 Marks 10 Marks 20 Marks

1
2
3
4
5
6
7
8
9
10

*Breakup of 7 Marks to be awarded separately by

the Teacher and the Visiting Examiner is as Name of Teacher:
follows:
Signature: Date
Overall Format 1 Mark
Content 4 Marks Name of Visiting Examiner
Findings 2 Marks
Signature: Date
NOTE: VIVA-VOCE (3 Marks) for each Project is to be conducted only by the Visiting Examiner, and should be based on the Project only

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