Direction: In making decisions about important questions, it is desirable to be able to distinguish between ''Strong'' arguments and ''Weak'' arguments insofar as they relate to the question. ''Strong'' arguments are those which are both important and directly related to the question. ''Weak'' arguments are those which are of minor importance and also may not be directly related to the question or may be related to a trivial aspect of the question.
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Statement:
Should MNCs be allowed to start 100% owned subsidiaries in India?
Arguments:
I. Yes, our neighbours have permitted.
II. No, India 's entrepreneurial system needs protection.
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- if only argument I is strong
- if only argument II is strong
- if either I or II is strong
- if neither I nor II is strong; and
- if both I and II are strong
Correct Option: B
I is an absurd argument. It is not necessary that what fits others will fit us. II is a strong argument. India has to balance the competitive environment with some protection to domestic entrepreneurs. Even developed countries change their laws to protect their entrepreneurs.
