Question

List two environmental barriers faced by entrepreneurs.

Hint:

Legal hurdles and resource scarcity can block new businesses.

Answer 1

One common environmental barrier for entrepreneurs is government rules and regulations.
Strict licensing procedures, complex tax policies, and frequent legal changes can make it difficult to start or expand a business.
Another barrier is the lack of raw materials and resources.
Sometimes entrepreneurs struggle to access good quality raw materials at reasonable prices, which affects production and profits.
Such external factors are often beyond an individual’s control but must be managed with planning and adaptability.