what is the least profitable type of new business? (Note, the answer is a recognized business...

what is the least profitable type of new business? (Note, the answer is a recognized business type).

		Microbusinesses including lifestyle businesses
		Ultra-microbusinesses including microstyle
		Miniscule gazelles
		Attractive small firms

Solutions

Expert Solution

Ultra-microbusinesses including microstyle among the others is least profitable. This is because Ultra-microbusinesses does not have enough capital to survive in short run. They run off money very quickly and are not able to supply enough goods as per the demands of consumers.

All the other business such as Microbusinesses including lifestyle businesses, Miniscule gazelle, attractive small firms are profitable because they have enough capital and revenue resources to stay in the market for long period of time. In long run, these type of business provide growth and expansion to business. For example, large social media platforms like google and Facebook started off as a Miniscule gazelles and now are one of the leading social media platform with large revenues.

Rahul Sunny answered 1 year ago

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