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How did the trade… (Class 10 Social Science 2025, Q27)

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Social ScienceCBSE Class 10 · Board exam 2025, set 32/4/1 · 3 marks · Short answer

CBSE Class 10 Social Science 2025: question 27

Set in the CBSE Class 10 board exam of 2025, paper 32/4/1, section C, question 27, for 3 marks. Try it first; the hints and our step-by-step solution are below.

Q27 · 3 marks · Short answerGlobalisation and the Indian Economy

How did the trade policy implemented in 1991 stimulated the globalization in India? Explain with example.

Source: official question paper from cbse.gov.in (PDF). See it in the full 2025 board paper, set 32/4/1.

Hints

Open one hint at a time and try again before the next.

Hint 1

What happened to restrictions on imports and exports after 1991?

Hint 2

Name Indian companies that became multinationals.

Hint 3

Think of Special Economic Zones and the IT sector.

Step-by-step solution

Each step shows the marks it earns, as an examiner would award them. Checked by an independent re-solve from the question paper.

  1. The 1991 policy removed barriers on foreign trade and investment, so businesses could freely import and export. It encouraged MNCs to invest in India, for example in cell phones, automobiles, soft drinks and fast food.

    1 mark

  2. Indian companies were pushed to compete with producers across the globe. Collaboration with foreign firms helped some firms become multinationals themselves, for example Tata Motors and Infosys.

    1 mark

  3. Infrastructure improved and Special Economic Zones were set up to attract foreign investment. New opportunities opened for service companies, for example IT.

    1 mark

Answer: Liberalised trade policy removed barriers, attracted MNCs and investment, and helped Indian firms such as Tata Motors and Infosys go global, which stimulated globalisation.

Where the marks are

  • Removal of trade barriers and MNC investment with example (1 mark)
  • Competition and collaboration with example (1 mark)
  • SEZs, infrastructure and services with example (1 mark)

Revise the chapter

Practise this chapterBoard-style questions from Globalisation and the Indian Economy, one at a time, marked against the answer key and marking points.Back to the full paper2025 board paper, set 32/4/1: every question, by section.

The question is transcribed from the official paper; figures are described in words. The solution, hints and chapter tag are ours. Spotted an error? Write tosupport@questionbuddy.in.