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In which situation should an entrepreneur consider discontinuing a product?

Answer and explanation

Correct answer: When demand remains low and losses continue even after improvement

An entrepreneur should consider discontinuing a product only after examining evidence such as sales, costs, customer response, and the results of corrective measures. If demand remains consistently low and the product continues to cause losses even after reasonable improvements, continuing it may waste scarce resources. A single suggestion or a first launch is not sufficient evidence, while positive market research supports continuation rather than discontinuation.

Related tags

EntrepreneurshipProduct-ManagementEntrepreneurship DevelopmentMsme And Business EntrepreneurshipBusiness StudiesClass 11 Mcq

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