Mini-Case
Peppy Roaney believes that pizza is a much more versatile dish than most people realize. As the national marketing manager for Pizza Guys, he observed how consumers were delighted with barbecue pizza, Hawaiian pizza, Mexican pizza and other unique combinations. His suggestions for other unusual pizzas, however, were met with a negative response by his superiors. Even some of his colleagues laughed at his ideas. Peppy's confidence in his ability to understand the market has led him to focus on planning a business of his own. Peppy realizes that he will take a risk when he leaves his job with Pizza Guys and embarks upon a new venture: Peppy's Pizzazzeria. Peppy is excited about the potential of profitably catering to the unmet desires of pizza consumers.
-Peppy has inquired about the possibility of obtaining a microloan from the SBA. This type of loan is awarded primarily on the basis of the:

Question

Quizplus · Accepted Answer

Microloans from the SBA are primarily awarded based on the borrower's integrity and the soundness of the business idea, rather than collateral, credit history, or age. Peppy's Pizzazzeria is a new venture, so his credit history and record of previous business success may not be relevant. Instead, the SBA will be more interested in the viability of Peppy's business idea and his ability to carry it out successfully.

Mini-Case Peppy Roaney Believes That Pizza Is a Much More Versatile