NCERT · Class 11 · Business Studies · Small Business and EnterprisesWhat type of business usually operates with personal savings and borrowings from friends and family?
Step-by-Step Solution
Small businesses and cottage industries predominantly rely on personal savings and informal sources of credit due to limited access to capital markets.
Detailed Options Breakdown
Option : Multi-national corporation
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Small Business and Enterprises.
Option 1: Government enterprise
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Small Business and Enterprises.
Option 2: Small business enterprise (Correct Answer)
Correct choice. Refer to the step-by-step verified solution guidelines above for details.
Option 3: Public limited company
Incorrect choice. This distractor represents a common misunderstanding of the core principles of Small Business and Enterprises.
💡 Study Guide: This question tests core syllabus concepts from Small Business and Enterprises. For formulas, key summaries, and mock exam reference guides, read the full Small Business and Enterprises Revision Notes.