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Introduction to Business (MGT211)                                                 

Spring, 2016                                       

Graded Discussion Board # 01

Due Date: May 17, 2016

Total Marks: 10

Topic: Scope of the Business

Objective

To make the students familiar with the basic concept of the scope of business.

Learning outcome of the activity

After this activity, students will be able to take better decision while initiating a new business.

Case study

Mr. Ali is a Government officer by profession and worked for 20 years in income tax department in Lahore. Through his contacts with certain business people and research, he came to know the rising trends of business in Pakistan. He searched different business ideas and found that there is a huge opportunity of starting poultry farm business due to the increased demand of chicken in the market.  He has enough capital to start the business but is lacking the business skills. He has never engaged in any business earlier and doesn’t have a slight idea of how to start a business. He has gathered information about franchising of a well-known poultry business in order to reduce the chances of failure and got guidance from the franchisers in all affairs of the business. The overall cost of franchising is too high and he will have to give a proportionate profit to franchiser every year which reduces the attractiveness of this business for him. Moreover, one of his friends who has previously worked in agri-business sector, is also willing to start the same business but has not enough capital. He had many discussions with Mr. Ali and offered him to become a partner. Mr. Ali is reluctant to partnership as there are no effective regulations to control the partnership activities.

Requirement

 Looking into the above scenario, which mode of business you would suggest Mr. Ali to go for? Whether to start the new business solely or opt for a partnership or franchise? Justify your answer with logical reasons.

Important:

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Deadline:

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  • Any submission made via email after the due date will not be accepted.

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  • It is advised to compose your document in MS-Word format.
  • You may also compose your assignment in Open Office format.
  • Use black and blue font colors only.

 

Referencing Guidelines:

Rules for Marking

Please note that your assignment will not be graded or graded as Zero (0), if:

  • It is submitted after the due date.
  • The file you uploaded does not open or is corrupt.
  • It is in any format other than MS-Word or Open Office; e.g. Excel, PowerPoint, PDF etc.
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