Question detail
PeakPods serves tourists while improving quality control; the case evidence includes average order value of ?6,415, sales of 755 units, and a 8% change in costs or demand. Which option best applies Explain how proximity to the market can influence business location?
Try the question, check the answer, then read the explanation to understand the curriculum point.
At a glance
MCQ
Type
practice
Style
Topic
Business location
Question
- A. Use location to judge gross profit margin, shareholders impact, and the business objective in Location factors.
- B. Give only a definition of Business location without using the case evidence.
- C. Treat cash flow and profit as identical and ignore the effect on shareholders.
- D. Choose the largest sales figure without checking costs, finance, or context.
Answer
The correct option is: Use location to judge gross profit margin, shareholders impact, and the business objective in Location factors.
Explanation
This answer fits the scenario because Use location to judge gross profit margin, shareholders impact, and the business objective in Location factors. The case evidence gives ?7,915, 755 units, and 8%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse cash flow and profit, miss the shareholders, or ignore the business objective.
Common mistake
Location factors common mistake 1
Giving a vague answer instead of directly addressing: Explain how proximity to the market can influence business location..
Answer by clearly explaining how to explain how proximity to the market can influence business location..
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