Business Studies Multiple Choice Question – 25 May 2021

UK High Street retailer, Mothercare, announced in 2019 that it was closing down all of its UK retail outlets.

This is MOST LIKELY due to an increase in….?

Select ONE answer:

1. competition
2. supplier credit terms
3. cash flow
4. turnover

Show the workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Business Studies KS4 & KS5 classes

The answer is 1

1. Correct – Correct – Definition of competition e.g. rivalry among sellers or a substitute business in the same market. More competition may lead to Mothercare losing customers to its competitors. Therefore Mothercare may have had to close its stores due to fewer customers and lower sales, and thus less profits
2. Not correct
3. Not correct
4. Not correct

This work is licensed under a Creative Commons Attribution 4.0 International License.

Author: stuart001uk2014

Referral marketing, business, economics and accounting s​pecialist & corporate mentor View all posts by stuart001uk2014