Exam-style question
Try this first
During a period of high inflation and rising interest rates, a fictional restaurant, 'The Hungry Pelican', is experiencing reduced customer spending. Which response would be most appropriate for 'The Hungry Pelican' to maintain its profitability?.
- A.Significantly increase all menu prices to cover rising costs.
- B.Expand its menu to include more luxury and high-priced items.
- C.Introduce cost-cutting measures, such as reviewing supplier contracts and optimising staff rotas, while potentially offering value meals.
- D.Take out a large bank loan to open several new branches immediately.
Answer and explanation
Attempt the question first, then reveal the model answer and explanation.
Common mistake
No common mistake is linked to this question yet.