When Starting a Small Business, It's Important to Remember

question 124

Multiple Choice

When starting a small business, it's important to remember

• A) an affinity for taking large amounts of risk is the critical factor in achieving small business success.
• B) doing things differently from previous entrepreneurs is the real key to success.
• C) learning from others and gaining relevant business experience improves the odds for success.
• D) to avoid burnout, limit the number of hours you work each week as you adapt to the rigors of self-employment.

---

Definitions:

Large Firms

Businesses that operate on a significant scale, typically having extensive operational capacities, manpower, and financial resources.

Profit-maximizing

The strategy or point at which a business makes the highest amount of profit at a given level of production, taking into account its cost structure.

Output

The total amount of goods and services produced by an economic system, company, or machine within a specific period.

Legal Barriers

Regulations or policies implemented by governing bodies that limit or control the entry of new firms into certain markets or industries.