1. The owner of a small business felt an obligation to pay $15,000 to a subcontractor, even though, because of an oversight, the subcontractor had never submitted a bill. Can willingness to pay under these circumstances be reconciled with the profit goal of a business in a free enterprise system? Explain your answer.

2. What are the obstacles to adopting a consumer orientation in a small firm?

3. Why are strategic alliances helpful to many small businesses? What factors should an entrepreneur consider when looking for strategic allies?