Question

Beatrice owns and operates a food truck in a large city. Competitors are many, and competition is fierce. Due to her small business's size, she cannot realistically influence her business environment. However, Beatrice can and does take steps to adapt to the environment, including:__________.

Answer 1

Answer: e. hiring part-time help and maintaining extra inventory for peak periods (buffering)

Explanation:

In the large city described, Beatrice operates from a food truck which means that her business is small scale. Because of this, she cannot hope to influence the market which has so many fierce competitors. Her best option therefore is to work on her small business with the resources she has.

Out of the options listed, the most realistic is to hire a part-time help and practice buffering so that when demand picks up in peak season, she can take advantage of the situation as best she can. This will build customer loyalty when they are sure they can always get food from her and thus give her a little more of the market share.

Everything else listed will be too expensive for her current level and so should be avoided.