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Paul Has Recently Quit His Job as an Investment Banker

Question 65

Multiple Choice

Paul has recently quit his job as an investment banker.He plans to open a restaurant.He has two options: he can either start his own new restaurant from scratch or purchase a franchise from an already established restaurant or fast food chain.His wife Lisa supports the former plan.Which of the following statements strengthens the argument in favor of Lisa's choice of opening a restaurant independently?


A) It is easier and faster to build a business from scratch.
B) It is easier to reach the break-even point through an independent business.
C) It is more difficult to attract customers in a franchise business as the entrepreneur has to personally build the brand appeal.
D) It is easier and more flexible to make and execute decisions in an independent business.
E) It is easier to succeed in a business built from scratch as the products and the business format are already proven.

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