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If an entrepreneur depends only on capital and does not improve skills, what weakness remains?

Answer and explanation

Correct answer: Lack of skill development

Capital provides money for equipment, materials, workers, promotion, and other business needs, but money alone cannot operate or improve an enterprise. An entrepreneur also needs skills such as planning, communication, problem-solving, production knowledge, financial management, customer understanding, and the ability to adapt. Without learning and practice, available capital may be used inefficiently, products may remain weak, and the business may fail to respond to competition or changing demand.

Option A is correct because depending only on capital leaves a weakness in skill development. More innovation, complete customer satisfaction, and certain success do not automatically follow from having money. Capital and capability support each other: funds provide resources, while skills help use those resources wisely. Therefore the supplied explanation and answer are consistent, though success can never be guaranteed by either capital or skills alone.

Related tags

Home-ScienceEntrepreneurshipSkill-Development

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