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What does Rohit's Bakery illustrate about business risk?

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Question

What does Rohit's Bakery illustrate about business risk?

Options

  • Risks never occur in established businesses.

  • All risks lead to business failure.

  • Uncertainties like fewer customers or expensive ingredients are inherent business risks.

  • Risks only affect new businesses.

MCQ
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Solution

Uncertainties like fewer customers or expensive ingredients are inherent business risks.

Explanation:

Rohit's Bakery demonstrates that business risks,such as fluctuating demand and rising costs,are natural parts of business operations, and success comes from managing them effectively.

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