Question detail
FreshFork serves price-sensitive customers while using retained profit; the case evidence includes break-even output of ?2,255, sales of 315 units, and a 8% change in costs or demand. Which option best applies Explain how businesses may face conflict between stakeholder objectives?
Try the question, check the answer, then read the explanation to understand the curriculum point.
At a glance
MCQ
Type
practice
Style
Topic
Stakeholders
Question
- A. Use businesses, conflict, face, between to judge gross profit margin, shareholders impact, and the business objective in Stakeholder impact, influence and conflict.
- B. Give only a definition of Stakeholders without using the case evidence.
- C. Treat gross and net 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 businesses, conflict, face, between to judge gross profit margin, shareholders impact, and the business objective in Stakeholder impact, influence and conflict.
Explanation
This is the best-supported choice because Use businesses, conflict, face, between to judge gross profit margin, shareholders impact, and the business objective in Stakeholder impact, influence and conflict. The case evidence gives ?3,755, 315 units, and 8%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse gross and net profit, miss the shareholders, or ignore the business objective.
Common mistake
Stakeholder impact, influence and conflict common mistake 1
Giving a vague answer instead of directly addressing: Explain how businesses may face conflict between stakeholder objectives..
Answer by clearly explaining how to explain how businesses may face conflict between stakeholder objectives..
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