INTRODUCTION TO ENTREPRENEURSHIP
IMPORTANCE OF ENTREPRENEURSHIP IN ECONOMIC DEVELOPMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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The business can go bankrupt
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The business can be fined
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The business can lost its license
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All of the above
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Detailed explanation-1: -The loss of a business license or permit can devastate a company, as it can prevent them from operating legally. In some cases, it may also lead to the revocation of their insurance policies. As a result, businesses that fail to follow the rules and regulations risk losing everything they have worked so hard to build.
Detailed explanation-2: -Company shut down Failure to comply is considered as illegal and the governing bodies may take any relevant action on the organization. Governing authorities may sometimes order companies to shut down or completely dissolve them in case of serious non-compliance issues.
Detailed explanation-3: -An organization’s failure to comply with applicable laws and regulations can affect its revenue, which can lead to loss of reputation, business opportunities and valuation.
Detailed explanation-4: -Financial Penalties – Failing to adhere to statutory compliance will lead to imposition of heavy fines and indirect losses to organizations. 4. Imprisonment – Severe cases of non-compliance may result in imprisonment of the organization’s CEO/Directors/Board members.