A huge fire broke out in Fancy Fixtures, a small home decorating store. The fire destroyed the store's inventory, and ultimately, the company went out of business. What is most likely the reason this company went out of business?
A) Fancy Fixtures's top management team couldn't come up with a favorable solution to this crisis.
B) Competing home decor stores refused to help Fancy Fixtures restore its operations.
C) All of Fancy Fixtures's managers had to focus on crisis management, so their regular duties were neglected.
D) The owners of Fancy Fixtures decided not to respond to the crisis.
E) Fancy Fixtures didn't have an updated contingency plan to handle such a crisis.

Question

Quizplus · Accepted Answer

In this scenario, Fancy Fixtures most likely didn't have an updated contingency plan to handle this type of crisis. It is estimated that approximately 40 percent of small businesses fail to reopen after a serious disaster.

A Huge Fire Broke Out in Fancy Fixtures, a Small