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Explain two possible reasons why Bethany wants the business to remain small. (IGCSE style)

User Robby Smet
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In the context of an IGCSE-style business studies question, Bethany's desire to keep her business small may be influenced by various factors. Here are two possible reasons why Bethany wants her business to remain small:

Control and Personal Involvement: One reason Bethany may want her business to remain small is the desire for greater control and personal involvement. In a small business, Bethany can oversee and manage all aspects of the operation herself or with a small team. This level of control allows her to make decisions quickly and maintain a hands-on approach to all aspects of the business. Bethany may have a strong passion for her business and may be reluctant to delegate control to others, fearing that the quality of the products or services might diminish if the business grows too large. By keeping the business small, Bethany can maintain a close connection with her customers and ensure that her vision and values are consistently upheld.

Risk Aversion and Limited Resources: Another reason for Bethany's preference for a small business could be risk aversion and limited resources. Growing a business often requires significant financial investments, increased operational complexities, and exposure to more substantial risks. Bethany may want to avoid taking on additional debt or external investments to fund expansion, as this could lead to financial stress and increased business risks. By keeping the business small, she can work within her existing financial means and minimize the exposure to potential economic downturns or market fluctuations. This approach may also allow her to maintain a better work-life balance, which is important for her well-being and personal life.

These reasons illustrate that Bethany's desire to keep her business small may be driven by her personal preferences, management style, and considerations related to risk and resources.

User Adrian Tanase
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Answer:
Bethany may have a couple of reasons for wanting her business to remain small. First, she might value personal control and autonomy. In a small business, she can make decisions independently, maintain a hands-on approach, and have a direct influence on its operations. This allows her to align the business with her vision and values without the complexity of managing a larger organization.

Secondly, Bethany may prioritize maintaining a strong sense of customer intimacy and personal relationships. In a smaller business, she can provide more personalized attention to her customers, understand their specific needs, and build trust and loyalty. This close connection with customers can be challenging to sustain in a larger business, making it a compelling reason for her to keep the business small.

User Ehsan Keshavarzian
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