Dear Readers,
Mahendras has started special quizzes for IBPS & SBI Exam so that you can practice more and more to crack the examination. This IBPS & SBI Exam special quiz series will mold your preparations in the right direction and the regular practice of these quizzes will be really very helpful in scoring good marks in the Examination. Here we are providing you the important question of reasoning ability for the IBPS & SBI Exam.
Q1-10 Read the following passage carefully and answer the questions.
The decade started slowly for the FMCG industry with just 6 percent growth between 2001 and 2005. The stock market wrote off the industry as a defensive play. Working for FMCG companies was no longer aspirational for IIM graduates. All of this has changed. Growth has accelerated to 17 percent and the industry has doubled in the last five years to reach Rs 1.3 lakh crore, The FMCG sector has been 2005 and 2010, many players outpaced the market, as the table on the right shows.
Significant changes in the Indian economic and industrial landscape have led to this change of fortune-reduced levels of taxation, easier import of materials and technology, reduced barriers to entry of foreign players, growing organizational maturity of Indian players, growth of media and, of course, the growing affluence and appetite for consumption of the Indian consumer.
Relatively few companies dominated the industry 10 years ago – Hindustan Unilever, Nestle, Britannia, Nirma. The Goldman Sachs BRIC report was a milestone event – it pulled India onto the front pages of global financial publications and onto the central agenda of global corporates. Today almost every global FMCG company makes significant investments in India. And they compete with aggressive Indian companies which have grown in size and organizational capabilities. The last decade has seen the emergence of several significant players in the Indian market – Dabur, Marico. Emami, CavinKare, L’ Oreal, Reckitt Benckiser, Pepsi, Coca-Cola, Parle.
Growth strategies are more complex. Companies have grown through acquisition widening their presence in D & E markets outside India, widening their portfolio. A typical Indian FMCG major has about 20-30 percent of its business from outside India, makes an acquisition once a year or once in two years, has a broad portfolio covering personal care, health care, foods and beverages and maybe home care. MNCs focus on their global categories – but increasingly adapt their offerings to compete more effectively.
Retail infrastructure has improved hugely with modern trade making fresh investments after pressing the ‘Stop’ button in 2008/09. We are also seeing the emergence of specialty retailers in categories such as cosmetics and meat products. This is enabling growth of products such as chilled and frozen food and prestige cosmetics and perfumes.
Q1 Which event pulled India onto the front page of Global financial publications and onto the Central agenda of global corporates ?
01. The industry growth which doubled in the last five years.
02. Significant changes in the Indian economy.
03. The Goldman Sachs BRIC report.
04. Significant changes in the industrial landscape have led to reduce the taxation.
05. None of these
Q2 Which of the following statement(s) is/are true according to the passage ?
01. FMCG growth was 5 percent between 2001 and 2004.
02. 10 years ago there were many companies, at least 10 which dominated the Indian market.
03. Today almost every global FMCG company makes significant investments in India
04. Both (1) and (2)
05. All of the above
Q3 Which of the following statement/(s) is/ are not true according to the passage ?
01. “Dabur” is the biggest market player today.
02. There were 9 companies which have emerged during the last decade.
03. The Goldman Sachs BRIC report was a milestone event.
04. Today the growth strategies are more complex.
05. There is an increase in the retail products such as cosmetics and meat products.
Q4 Significant changes in the Indian economic and Industrial landscape have led to what ?
01. Reduced level of taxation
02. Easier import of materials.
03. Easier import of technology.
04. Reduced barriers to entry of foreign players.
05. All of the above.
Q5 Which company dominated the industry 10 years ago ?
01. Nestle
02. Britannia
03. Compact
04. Hindustan Unilever
05. Only 1, 2 and 4
Q6 Which of the following categories require specialty retailers ?
01. Meat products and health
02. Meat products and cosmetics
03. Medicine and health
04. Frozen food and medicine
05. None of these
Q7 Why was the stock apprehensive about the FMCG industry ?
01. Because of the low profit.
02. Because of the government policies.
03. Because of the raw-material availability.
04. Because of the 6 percent growth.
05. Because of the low Market rates.
Q8 Why the FMCG sector was re-rated by the stock market ?
01. Because of the recession.
02. Because of the 17 percent growth.
03. Because of the doubled profits in the last 5 years.
04. Both 2 and 3.
05. None of these
Q9 How many global FMCG company makes significant investments in India ?
01. 12 Global FMCG company.
02. Almost every Global FMCG company.
03. Only 5 Global FMCG companies.
04. Some of the Global FMCG companies.
05. Both (1) and (3).
Q10 What should be the overall outcome of the paragraph concerning the growth of Indian FMCG companies?
01. Positive
02. Negative
03. Both 1 and 2
04. Extremely negative
05. None of these
Answers:-
Q.1 (3)
Q.2 (3)
Q.3 (1)
Q.4 (5)
Q.5 (5)
Q.6 (2)
Q.7 (4)
Q.8 (4)
Q.9 (2)
Q.10 (1)
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