Questions
1. What advantage, if any, does Lynn have over a professional lawn care service?
2. Lynn would like to increase her profits, but she doesn’t believe that it would be wise to raise her prices considering tire current state of the local economy. Instead, sire has given some thought to increasing productivity.
a. Explain how increased productivity' could be an alternative to increased prices.
b. What are some ways that Lynn could increase productivity?
3. Lynn is thinking about the purchase of new equipment. One piece of equipment would be power sidewalk edgers. She believes edgers will lead to an increase in productivity. Another piece of equipment would be a chain saw, which would be used for tree pruning. What trade-offs should she consider in her analysis?
4. Lynn has been fairly successful in her neighbourhood and now wants to expand to other neighbourhoods, including some that are five kilometres away. What would be the advantages and disadvantages of doing this?
5. Lynn does not have a mission/vision statement or goals. Which one of the following positions is correct? Explain.
a. Lynn doesn’t treed a formal mission/vision statement and goals. Many small businesses don’t have them.
b. She definitely needs a mission/vision statement and goals. They would be extremely beneficial.
c. These may be of some benefit to Lynn’s business, and she should consider developing them.