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Why is market research important for an entrepreneur?

Answer and explanation

Correct answer: To understand customer needs and preferences

Market research gathers and analyses information about customers, competitors, demand, prices, and market conditions. It helps an entrepreneur decide what to offer, whom to serve, how to position the product, and which risks deserve attention. It is not primarily shop decoration, holiday scheduling, or a method of reducing tax. Therefore, understanding customer needs makes option A correct.

Related tags

Market-ResearchCustomer-NeedsBusiness-PlanningEntrepreneurship DevelopmentMsme And Business EntrepreneurshipBusiness StudiesClass 11 Mcq

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