When should an entrepreneur reject an idea even if it appears highly profitable?
Answer and explanation
Correct answer: When the idea is against society and law
Profit does not justify violating law, harming people, or creating serious social damage. An illegal or harmful idea can lead to penalties, loss of trust, and long-term harm even if it initially appears profitable. Effort, novelty, and competition are normal business considerations, not automatic reasons for rejection; hence A is correct.
Frequently asked questions
What is the correct answer to this question?
When the idea is against society and law
Why is this the correct answer?
Profit does not justify violating law, harming people, or creating serious social damage. An illegal or harmful idea can lead to penalties, loss of trust, and long-term harm even if it initially appears profitable. Effort, novelty, and competition are normal business considerations, not automatic reasons for rejection; hence A is correct.
Which subject and chapter does this question cover?
This is a Class 11 Business Studies question. Chapter: Social Responsibilities of Business and Business Ethics. Topic: Business Ethics.
