Question detail
BeanBarn serves health-conscious consumers while cutting delivery times; the case evidence includes cash inflow of ?3,931, sales of 396 units, and a 20% change in costs or demand. Which option best applies Explain why entrepreneurs embark on running businesses despite risk?
Try the question, check the answer, then read the explanation to understand the curriculum point.
At a glance
MCQ
Type
practice
Style
Topic
Competitive environment
Question
- A. Use risk, entrepreneur to judge average order value, employees impact, and the business objective in Uncertainty and risk.
- B. Give only a definition of Competitive environment without using the case evidence.
- C. Treat revenue and profit as identical and ignore the effect on employees.
- D. Choose the largest sales figure without checking costs, finance, or context.
Answer
The correct option is: Use risk, entrepreneur to judge average order value, employees impact, and the business objective in Uncertainty and risk.
Explanation
The answer is commercially strongest because Use risk, entrepreneur to judge average order value, employees impact, and the business objective in Uncertainty and risk. The case evidence gives ?5,431, 396 units, and 20%, so the answer must explain the commercial effect rather than repeat a definition. The distractors are weaker because they confuse revenue and profit, miss the employees, or ignore the business objective.
Common mistake
Uncertainty and risk common mistake 1
Giving a vague answer instead of directly addressing: Explain why entrepreneurs embark on running businesses despite risk..
Answer by clearly explaining how to explain why entrepreneurs embark on running businesses despite risk..
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