Question detail
StyleHub serves small retailers while taking a loan; the case evidence includes capacity utilisation of ?6,527, sales of 752 units, and a 30% change in costs or demand. Which option best applies Explain why business success can be measured by more than profit?
Try the question, check the answer, then read the explanation to understand the curriculum point.
At a glance
MCQ
Type
practice
Style
Topic
Setting business aims and objectives
Question
- A. Use business, success, more, measured to judge customer retention, shareholders impact, and the business objective in Changing objectives and success measures.
- B. Give only a definition of Setting business aims and objectives without using the case evidence.
- C. Treat efficiency and productivity 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 business, success, more, measured to judge customer retention, shareholders impact, and the business objective in Changing objectives and success measures.
Explanation
This is the best-supported choice because Use business, success, more, measured to judge customer retention, shareholders impact, and the business objective in Changing objectives and success measures. The case evidence gives ?8,027, 752 units, and 30%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse efficiency and productivity, miss the shareholders, or ignore the business objective.
Common mistake
Changing objectives and success measures common mistake 1
Giving a vague answer instead of directly addressing: Explain why business success can be measured by more than profit..
Answer by clearly explaining how to explain why business success can be measured by more than profit..
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