Question

Raunaq, while studying at the university, felt that there should be a food joint in the university campus to provide food to students round the clock. After passing out of college, he set up 'Hunger Point,' a food joint with a varied menu ranging from burgers, pizzas, street food, and much more, in the university campus. For this, he obtained necessary permissions from the university administration. Since he was the first one to recognize the need for a food joint for all the students in an environment where students study day and night, it soon became a popular eating joint. Within six months, 'Hunger Point' started earning good profits.
Identify the point of importance of business environment discussed in the above case:

• A. It enables the firm to identify opportunities and get the first mover advantage.
• B. It helps the firm to identify threats and early warning signals.
• C. It helps in assisting in planning and policy formulation.
• D. It helps in improving performance.

Hint:

Early identification of market needs helps businesses gain a competitive edge and establish themselves as industry leaders.

Answer 1

The Correct Option is A

Step 1: Understanding Business Environment
The business environment consists of external factors that influence decision-making and strategy formulation. Recognizing market needs and acting upon them promptly provides a competitive edge.
Step 2: Identifying the Relevant Point
- Raunaq identified a gap in the market—students needed a round-the-clock food joint.
- By acting on this opportunity first, he gained an early advantage, making 'Hunger Point' successful.
- This aligns with Identifying opportunities and getting the first mover advantage.
Conclusion: The correct answer is (mathbf{(A)}), as Raunaq capitalized on an emerging business opportunity.