CIMA Exam CIMAPRA19-E03-1 Topic 7 Question 78 Discussion

Actual exam question for CIMA's CIMAPRA19-E03-1 exam

Question #: 78
Topic #: 7

F is an entrepreneur who runs a chain of health food shops in Country M. There are no other similar health food shops operating in Country M and the chain has rapidly grown over the lastthreeyears. F wishes to continue to grow his chain of shops but is aware that he lacks the funds to enable him to grow at the pace which the market is demanding. He is also concerned that continued rapid growth will result in him losing control over the strong brand reputation and identity that he has built up for the chain of shops.

Which of the following would be the most feasible strategy for F to adopt to continue to grow his business?

AAcquisition

BJoint venture

CFranchising

DLicensing

Show Suggested Answer

Suggested Answer: A, D

by Elke at Dec 23, 2023, 02:00 AM

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Keneth

2 months ago

Hmm, Franchising, huh? I wonder if they come with a side of fries and a large soda?

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Linwood

14 days ago

User 3: I don't think they come with fries and soda, but it's a smart business move.

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Nathan

16 days ago

User 2: Yeah, it could help him grow his business without losing too much control.

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Vincent

20 days ago

User 1: Franchising could be a good option for F to expand his health food shops.

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Alverta

2 months ago

Acquisition? Wouldn't that just make F the one losing control of his own brand? Seems risky.

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Mignon

22 days ago

C) Franchising

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Silva

1 months ago

B) Joint venture

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Latia

1 months ago

A) Acquisition

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Shalon

2 months ago

I'm not sure Licensing is the best idea. F might lose too much control over the brand, and the quality could suffer.

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Fabiola

20 days ago

User 3: Franchising might be a good choice for F to grow the chain of health food shops without losing too much control over the brand.

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Alex

24 days ago

User 2: Joint venture could also be a good strategy for F to expand the business while maintaining some control.

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Hubert

2 months ago

User 1: I think Acquisition could be a good option for F to get the funds needed for growth.

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Pilar

2 months ago

Joint venture could be a good option too. F can find a partner with the necessary funds and expertise to help grow the business.

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Aracelis

27 days ago

D) Licensing could also be a feasible strategy. F can license out his brand and recipes to others in exchange for royalties.

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Shawana

1 months ago

C) Franchising might work well for F. He can expand his chain by allowing others to open their own health food shops under his brand.

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Janey

2 months ago

B) Joint venture could be a good option too. F can find a partner with the necessary funds and expertise to help grow the business.

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Elvis

2 months ago

A) Acquisition sounds like a good idea. F can buy out a competitor to expand his business.

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Erinn

2 months ago

I disagree. I think acquisition would be the best strategy for F to quickly grow his chain of health food shops.

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Virgilio

2 months ago

I agree with Luann. Franchising would allow F to expand his business while maintaining control over the brand.

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Luann

3 months ago

I think F should consider franchising.

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Shay

3 months ago

Franchising seems like the way to go. F can maintain control over the brand while still expanding rapidly to meet market demand.

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Georgene

2 months ago

I agree, franchising seems like the best option for F to continue growing his business.

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Sharee

2 months ago

Franchising would allow F to expand quickly while still keeping control over the brand.

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Tyra

2 months ago

I agree, franchising seems like the best option for F to continue growing his business.

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Lezlie

2 months ago

Franchising would allow F to expand quickly while still keeping control over the brand.

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Lemuel

3 months ago

I disagree, I think acquisition would be the best option for F to quickly grow his business.

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Cassie

3 months ago

I agree with Geraldo, franchising would allow F to expand while maintaining control over the brand.

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Geraldo

3 months ago

I think F should consider franchising.

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