Question

Choose any small business of your choice. Using relevant management theory, engage with the management and staff of the business and find out the following information:

3. How do they make use of a various factors of production to produce their goods and services? (12)

Answer 1

Owners of small scale businesses use various factors of production to produce their goods and services such as:

1. Produce as per order or demand
2. Optimize use of resources i.e. manpower, material and investment
3. Have strong relations within the company and outside
4. Concentrate on improving the processes i.e. apply several lean management tools and techniques
5. Personally oversee the operations
6. Interact with staff and works directly
7. Continuously concentrate on improving productivity
8. Concentrate and work on customer feedback