Scenario 1-2. Franky Ferguson has just reached a turning point in his business. He can no longer retain quality employees because he cannot meet his payroll, he does not have an adequate cash flow to pay his current bills, and he is three months behind in his loan payment to the bank. He must close the doors of this business.
-In Scenario 1-2, what is the primary reason Franky has failed?
A) inadequate management
B) lack of a quality product
C) no target market
D) inadequate advertising

Question

Quizplus · Accepted Answer

The primary reason for Franky's failure is inadequate management, as indicated by his inability to meet payroll, manage cash flow, and stay current on loan payments. These are all management issues rather than product, market, or advertising issues.