Directions (1-5):Read the following passage and answer the questions as directed.
The year 2018 has been a watershed for Indian startups and the venture capital industry. With landmark deals led by the Walmart-Flipkart acquisition, increased investments by the likes of SoftBank and Alibaba and a surge in young professionals wanting to become entrepreneurs, India continues to consolidate its position as the world’s third-largest startup ecosystem. Now there is no looking back. We should now strive to become the world’s largest and the best startup ecosystem. These are not just lofty, feel-good goals but ones that can transform our country at multiple levels.
Consider the conventional role and responsibilities of a venture capitalist (VC). At present, the VC sits at the centre of a universe that has investors at one end and founders at another, managing the funds of the former and guiding the latter to scale so that there are handsome returns for everyone who has skin in the game. While this remains the primary reason for a VC’s existence, there are two more stakeholders in this domain—the government and the average citizen. As a VC originating from and based in India, I believe we also have a responsibility towards those who govern us and my fellow Indians. As part of a larger ecosystem, VCs have a significant responsibility to facilitate dialogue and cooperation with the government so that policymaking is realistic, enabling, and also creates a conducive framework to encourage the spirit of entrepreneurship in India. We need to ensure that progress is not derailed by sudden jolts such as the “angel tax" and the new e-commerce policy. We need continuity and ------- at both the planning and execution stages at the policy level, combined with a robust involvement of the stakeholders in the entire decision-making process.
Q1. Which of the following statements is/are incorrect as per the passage above?
A. The year 2018 has been a turning point for Indian startups and the venture capital industry.
B. India continues to consolidate its position as the world’s third-largest startup ecosystem.
C. The VC manages the funds of the investors and guides the founders to scale.
D. VCs also have a significant responsibility to facilitate dialogue and cooperation with the government.
E. All are correct
All are correct as per the given passage.
Q2. In the passage above, a phrase has been used "have skin in the game". What is the meaning of this phrase?
A. To have a personal investment in an undertaking, and therefore a vested interest in its success.
B. To have a rivalry with an undertaking, and therefore a vested interest in its failure.
C. To have a vigour to work hard to make your life successful.
D. To have a loss in an undertaking or organisation dueto fraudulent activities and take action against it.
E. None is correct.
"Have skin in the game" means have a personal investment in an organization or undertaking, and therefore a vested interest in its success.
Q3. Which of the following can replace the word given in bold " SURGE" in the passage?
E. Both A and B
Surge: increase suddenly and powerfully.
Q4. Which of the following is/are the responsibilities of a Venture Capitalist in context with the passage above?
VCs have a significant responsibility to facilitate dialogue and cooperation with the government.
They have a responsibility to create a conducive framework to encourage the spirit of entrepreneurship in India.
To ask questions and talk to people at all levels in an organization.
A. Only I
B. Only III
C. Both I and II
D. Both II and III
E. All of the Above
Both (I) and (II) are correct. Refer second paragraph.
Q5. Which of the following words can fill in the blank to make it meaningful?
E. Both C and D
'Stability' means the state of being stable and it correctly fits in the blank in the paragraph.