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

Question 312

Multiple Choice

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 knows a lot about marketing, but not much about the legal or financial aspects of starting a new business. He wants to consult with a lawyer and accountant, but his budget is tight with all of the expenses involved in getting Peppy's Pizzazzeria up and running. Peppy should:


A) delay talking with a lawyer and accountant until the business has established a positive cash flow for at least one year.
B) trust his basic instincts and try to put it together without the advice of lawyers and accountants.
C) consult with a lawyer and accountant even though the budget is tight.
D) immediately hire full-time lawyers and accountants for his staff.

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