Under Which of the Following Situations Might It Make Better

question 20

Multiple Choice

Under which of the following situations might it make better sense to undertake a part-time business first?

• A)You are buying an existing business
• B)You want to gain basic experience
• C)You are opening a franchise
• D)There is too much competition

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Definitions:

New Product

A good, service, or concept that is newly introduced to the market, offering innovation or improvement over existing options.

Vertical Integration

A business strategy where a company expands its operations into different stages of production within the same industry, often to increase control over the supply chain.

Upstream Price Discrimination

The practice of varying prices for goods or services at an earlier stage in the supply chain based on different buyers' willingness to pay.

Arbitrage

The practice of buying and selling the same asset in different markets to profit from price differences.