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Questions and Answers
What are the economic factors affecting June's decision to raise capital for expansion?
Unemployment, high average incomes, rapid slowdown in economic growth, higher world prices of energy and raw materials, increasing inflation rate, rising interest rates, and forecasted depreciation of the currency.
How does the closure of the multinational business' factories in Country A impact the economy?
It contributes to the forecasted rapid slowdown in economic growth.
What challenges does the forecasted depreciation of Country A's currency pose for June's restaurant?
It may lead to increased costs for imported goods and potential impact on profit margins.
What is the cost of the first strategy option for expanding the restaurant?
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What type of organizational structure does June's small business use?
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What is June considering for the end of the year in terms of corporate responsibility?
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What is the risk associated with keeping the restaurant as it is?
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What economic factors should June consider before deciding to raise capital for expansion?
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How might the closure of the multinational business' factories in Country A affect June's restaurant?
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What impact do higher world prices of energy and raw materials have on June's decision to raise capital for expansion?
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What are the two alternative strategies June is considering for expanding her restaurant?
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What is the potential advantage of the larger expansion strategy for June's restaurant?
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What is the primary concern associated with the smaller extension strategy for June's restaurant?
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What does June risk if she chooses to keep her restaurant as it is?
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