Dear Readers, Here we have given Practice English Reading Comprehension quiz and questions for SBI Clerk and IDBI Executive 2018 Exams with detailed explanation. Candidates those who are preparing for Upcoming Bank Exams can make use of it.
Click “Start Quiz” to attend these Questions and view Solutions
Daily Practice Test Schedule | Good Luck
|Topic||Daily Publishing Time|
|Daily News Papers & Editorials||8.00 AM|
|Current Affairs Quiz||9.00 AM|
|Logical Reasoning||10.00 AM|
|Quantitative Aptitude “20-20”||11.00 AM|
|Vocabulary (Based on The Hindu)||12.00 PM|
|Static GK Quiz||1.00 PM|
|English Language “20-20”||2.00 PM|
|Banking Awareness Quiz||3.00 PM|
|Reasoning Puzzles & Seating||4.00 PM|
|Daily Current Affairs Updates||5.00 PM|
|Data Interpretation / Application Sums (Topic Wise)||6.00 PM|
|Reasoning Ability “20-20”||7.00 PM|
|English Language (New Pattern Questions)||8.00 PM|
|General / Financial Awareness Quiz||9.00 PM|
Directions (Q1-10): Read the following passage carefully and answer the questions given below it.
When markets in foreign countries offer a higher profit potential than your home market, it makes sense to expand internationally. When markets in foreign countries offer a higher profit potential than your home market, it makes sense to expand internationally. As you prepare your expansion and research target markets in other countries, you will often find that the legal structures and ethical frameworks differ substantially from those in the United States.
Expanding business overseas means reaching new clients or customers and potentially boosting profits. If your aim is to be competitive globally, you must have a team in place that’s up for the challenge. One fundamental consideration is the structure of your organization and the location of your teams.
For instance, will your company be run from one central headquarters? Or will you have offices and representatives “on the ground” in key markets abroad? If so, how will these teams be organized, what autonomy will they have, and how will they coordinate working across time zones? If not, will you consider hiring local market experts who understand the culture of your target markets, but will work centrally?The structure of your business, nationality, and level of expertise of your team will vary depending on your industry, product, and the size of your business. Along with getting your company structure in place, gaining a comprehensive understanding of the local laws and regulations governing your target markets is key. From tax implications to trading laws, navigating legal requirements is a central function for any successful international business.
Beyond abiding by official laws, engaging in international business often requires following other unwritten cultural guidelines. This can be proved challenging especially in emerging markets with ill-defined regulations or potential corruption. In response, companies doing business in the United States must abide by the Foreign Corrupt Practices Act, which aims at eliminating bribery and unethical practices in international business.
Wages and the working environment in overseas locations are often inferior to those in the United States, even when you fulfill all local legal requirements. If you hire workers there, you face the issue of what pay levels and working conditions are acceptable. An effective approach is to develop company standards which protect workers while fitting into the local economy. Your standards have to guarantee a living wage, protect the safety of your workers and establish a reasonable number of hours for the work week.
International accounting will also be counted as the important legal area to consider when it comes to doing international business. Different tax systems, rates, and compliance requirements can make the accounting function of a multinational organization significantly challenging. Accounting strategy is key to maximizing revenue, and the location where your business is registered can impact your tax liability. Mitigating the risk of multiple layers of taxation makes good business sense for any organization trading abroad. Being aware of tax treaties between countries where your business is trading will help to ensure you’re not paying double taxes unnecessarily.
Setting the price for your products and services can present challenges when doing business overseas and should be another major consideration of your strategy. You must consider costs to remain competitive, while still ensuring profit. Pricing can come down to how you choose to position your brand — should the cost of your product reflect luxury status? Or will low prices help you to penetrate a new market? Swedish furniture giant Ikea, known in Europe for its low-cost value, struggled initially in China due to local competitor costs of labor and production being much cheaper. By relocating production for the Chinese market and using more locally sourced materials, the company was able to successfully cut prices to better reflect its brand and boost sales among target consumers.
The proliferation of international e-commerce websites has made selling goods overseas easier and more affordable for businesses and consumers. However, payment methods that are commonly accepted in your home market might be unavailable abroad. Determining acceptable payment methods and ensuring secure processing must be a central consideration for businesses who seeks to trade internationally.
While price setting and payment methods are major considerations, currency rate fluctuation is one of the most challenging international business problems to navigate. Monitoring exchange rates must therefore be a central part of the strategy for all international businesses. However, global economic volatility can make forecasting profit especially difficult, particularly when rates fluctuate at unpredictable levels.
1) According to the passage, which of the following can influence the tax liability of international business?
a) annual income from business
b) annual production of business
c) registered location of business
d) amount of debt
e) total overheads of the business
2) According to the passage, how did Swedish furniture giant Ikea regain its position in Chinese market?
a) by raising the price of product
b) by analyzing the market
c) analyzing competitors’ strategy
d) by using locally supplied material
e) by taking loan
3) According to the passage, which of the following aspects do you feel are not important to consider in international business setup?
a) Foreign laws and regulations
b) International company structure
c) Supply chain complexity
d) Currency rates
e) International accounting
4) According to the passage, which of the following points will you not consider while hiring the workers in United States?
a) standard of living wages
b) safety of workers
c) physical and mental fitness
d) number of hour for work week
e) working condition
5) According to the passage, in United States, what do the companies do to avoid the unethical practices in international business?
a) follow the official guidelines of US
b) follow the cultural guidelines
c) follow the laws of international business
d) follow the trading law
e) follow the foreign corrupt practices act
6) According to the passage, the structure of your international business will depend on–
a) global demand of the product
b) size of business
c) International market
d) international trade law
e) Proficiency of your team
7) Choose the word which as same meaning as the word penetrate
8) Choose the word which as same meaning as the word compliance
9) Choose the word which as opposite meaning as the word boosting
10) Choose the word which as opposite meaning as the word proliferation
1) Correct Answer is: c)
Explanation: according to the passage, location where your business is registered can impact your tax liability of international business.
2) Correct Answer is: d)
Explanation: it is clearly mentioned in the passage that by using locally sourced materials, Swedish furniture giant Ikea was able to establish itself in Chinese market.
3) Correct Answer is: c)
Explanation: according to the passage, “supply chain complexity” will not be considered in international business setup as it is not mentioned in the passage.
4) Correct Answer is: c)
Explanation: According to the passage, If you hire workers in United states, you will not consider the physical and mental fitness as it is not mentioned in the passage.
5) Correct Answer is: e)
Explanation: It is clearly mentioned in the passage that companies doing business in the United States must follow the Foreign Corrupt Practices Act in order to eliminate the unethical practices in international business.
6) Correct Answer is: b)
Explanation: It is mentioned in the passage that the structure of your international business will depend on the product and size of your business.
7) Correct Answer is: d)
Explanation: the meaning of the “penetrate” is “enter / break in / pierce”.
8) Correct Answer is: c)
Explanation: the meaning of “compliance” is “fulfillment / conformity / acquiescence”
9) Correct Answer is: d)
Explanation: the meaning of “boosting” is “increasing” and its opposite is “declining / stagnating.”
10) Correct Answer is: d)
Explanation: the meaning of “proliferation” is “propagation / rise/ increase” and its opposite is “scarcity/ lack / dearth”.