Asked by Dustin Hansen on Apr 28, 2024

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The ability to build a business beyond a sole proprietor business to one that can grow with the right resources and people while building equity for you and your investors is known as ____.

A) leveraging
B) strategic differentiation
C) scalability
D) break-even analysis

Sole Proprietor

A business owned and run by one individual where there's no legal distinction between the owner and the business entity.

Scalability

The capability of a system, business model, or product to handle a growing amount of work or to be enlarged to accommodate that growth.

Equity

The value of an ownership interest in property or businesses, after deducting debts and liabilities.

  • Comprehend the concept of scalability in business growth and its importance for entrepreneurs and investors.
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Verified Answer

BS
Bhawardeep SinghApr 30, 2024
Final Answer :
C
Explanation :
Scalability refers to the ability of a business to grow beyond a small operation to something bigger with the help of resources and people while building equity for investors. Leveraging involves using borrowed funds to make a business more profitable, while strategic differentiation refers to setting a business apart from its competition. Break-even analysis is a financial calculation used to determine the point at which a business generates enough revenue to cover its expenses.