Question

Scaling up of a business requires a firm to take care of following things:
(A) Hiring, retaining and motivating qualified employees
(B) Finding investors who share same goals
(C) Time management and work assignment ability
(D) Adequate market potential and opportune time
(E) Business idea experiencing
Choose the correct answer from the options given below:

• A. (A), (B), (D) and (E)
• B. (B), (C) and (D) only
• C. (A), (B), (C) and (D) only
• D. (C), (D) and (E) only

Answer 1

The Correct Option is C

To effectively scale up a business, it is essential to address several critical components. Let's examine each component mentioned in the options:

1. Hiring, retaining, and motivating qualified employees: A strong team is the backbone of any organization. Hiring qualified employees ensures the necessary skill sets are present, retaining them helps in maintaining continuity, and motivating them boosts productivity and creativity.
2. Finding investors who share the same goals: Securing capital is vital for scaling. Investors who share the company's vision and goals are more likely to provide not only financial support but also valuable resources and advice for sustainable growth.
3. Time management and work assignment ability: Efficient time management and delegation are crucial to handle increased workload and maintain efficiency as the business grows.
4. Adequate market potential and opportune time: Identifying a market with potential for growth and choosing the right time to expand are vital to capitalize on business opportunities. Evaluating market trends can provide insights into the best time to scale.
5. Business idea experiencing: While testing and validating a business idea is important during its initial stages, it may not directly relate to scaling.

Examining each option:

• (A), (B), (D) and (E): Option (E) is more about the initial setup rather than scaling, hence not the most appropriate choice.
• (B), (C) and (D) only: This option excludes the critical aspect of human resource considerations, which is part of scaling.
• (A), (B), (C) and (D) only: This option correctly includes all crucial elements for scaling a business.
• (C), (D) and (E) only: This option fails to consider the importance of both skilled labor and investors, which are crucial for scaling.

The correct answer is (A), (B), (C) and (D) only, as it includes all necessary elements crucial for scaling up a business: a skilled and motivated workforce, supportive investors, effective time and task management, and recognition of a viable market at the right time.