What is the main risk if production starts without knowing customer preferences?
Answer and explanation
Correct answer: The product may be difficult to sell
Customer research helps an entrepreneur match features, quality, price, and quantity with actual demand. Without that information, the product may not solve a meaningful problem or may be offered in an unsuitable form, leading to weak sales and unsold stock. The other choices are unrealistic, so A states the main risk.
Frequently asked questions
What is the correct answer to this question?
The product may be difficult to sell
Why is this the correct answer?
Customer research helps an entrepreneur match features, quality, price, and quantity with actual demand. Without that information, the product may not solve a meaningful problem or may be offered in an unsuitable form, leading to weak sales and unsold stock. The other choices are unrealistic, so A states the main risk.
Which subject and chapter does this question cover?
This is a Class 11 Business Studies question. Chapter: MSME and Business Entrepreneurship. Topic: Entrepreneurship Development.
