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An entrepreneur wanted to sell a benefits package of employees to owners of small businesses. She estimated that she

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by BTGmoderatorDC » Mon Oct 18, 2021 7:28 pm

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An entrepreneur wanted to sell a benefits package of employees to owners of small businesses. She estimated that she would make sales to one or two percent of the 14 million small businesses in the United States. Therefore, she based her business plan on having at least 140,000 customers.

Which of the following, if true, would be most likely to cause her plan to fail?


A. Over 11 million of the Small businesses in the United States are sole proprietorships with no employees

B. There are approximately 17 million small businesses in the United States rather than the 14 million on which the entrepreneur based her estimate.

C. About three percent of a sample of small businesses employing between two and ten people indicated interest in the employee benefits package.

D. No competing supplier of employee-benefits package is operating on a national level.

E. Small business with employees tend to be more profitable than small businesses that are sole proprietorships without employees.


OA A

Source: GMAT Prep
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