Which of the Following Is a Key Driver of Business

question 14

Multiple Choice

Which of the following is a key driver of business sustainability?

• A) Climate change.
• B) Economic globalisation.
• C) Connectivity and communication.
• D) All the options are key drivers of business sustainability.

Appreciate the link between economic activities and income creation.

Understand the role of competitive capital markets in directing resources towards wealth-creating projects.

Analyze the factors influencing the purchase behavior of individuals post-graduation.

Comprehend the impact of time and interest rates on the net present value of future sums of money.

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Definitions:

Shortage Costs

The costs incurred when demand exceeds supply, including lost sales, expedited shipping fees, and decreased customer satisfaction.

Disrupted Production

Interruptions in the normal flow of manufacturing processes due to unforeseen events, leading to delays and potential financial losses.

Lost Sales

The potential revenue that a company misses out on due to being out of stock, having insufficient capacity, or other reasons for not fulfilling customer demand.

Quantity Discounts

Price reductions applied to bulk purchases, incentivizing buyers to increase the volume of their purchase.