If a food entrepreneur competes only on low price, what is the long-term risk?

Correct answer: Pressure may increase on quality, hygiene or profit

Low price can attract customers for a short time, but price alone does not create a sustainable food business. If an entrepreneur keeps reducing prices, income per sale may become too small to cover ingredients, labour, rent, equipment, packaging and safe operating practices. The business may then be tempted to use cheaper ingredients, reduce portion or service quality, or accept very little profit. Such compromises can damage reputation and customer trust over time.

Option A is correct because excessive price pressure can affect quality, hygiene and profit. The other choices use unrealistic words such as “always” or “zero.” Customer trust does not automatically rise when price falls, costs cannot become permanently zero, and food safety never improves by itself. A sound enterprise should consider value, quality, costs and customer needs while setting a sustainable price. Thus, the supplied answer A is verified.