New entrepreneurs entering the field of medium industry for the first time can have market studies with the subsidiary of ______________.

 Options:

A. 75% of the cost or Rs.15000 whichever is less. B. 75% of the cost or Rs.15000 whichever is high C. 50% of the cost or Rs.15000 whichever is less. D. 50% of the cost or Rs.15000 whichever is high

The Correct Answer Is:

A. 75% of the cost or Rs.15000 whichever is less.

Let’s break down the correct answer and then address why the other options are incorrect.

The correct answer Explanation A: “75% of the cost or Rs.15000 whichever is less.”

This means that new entrepreneurs entering the medium industry can conduct market studies with the subsidiary, where they will be covered for 75% of the cost of the study, or up to a maximum of Rs.15000, whichever is lower.

This incentive is likely provided to encourage and support new businesses in conducting market research, which is crucial for understanding their target audience, competitors, and overall market dynamics.

The correct answer, A, stands out as the most beneficial option for new entrepreneurs entering the medium industry. By offering to cover 75% of the cost or up to Rs.15000, whichever is less, this subsidy strikes a balance between providing substantial financial support and ensuring the affordability of market studies.

This arrangement empowers startups to conduct comprehensive research without being limited by a fixed maximum amount, fostering an environment where emerging businesses can gain valuable insights into their market landscape, consumer behavior, and competitive positioning, ultimately enhancing their chances of success in the industry.

Now, let’s delve into why the other options are not correct:

B. “75% of the cost or Rs.15000 whichever is high.”

This option presents an inconsistency in the phrase “whichever is high.” The correct comparative term should be “whichever is higher” to accurately denote the comparison between the two amounts.

Additionally, this choice contradicts the principle of offering support to new entrepreneurs by selecting the higher amount, which could potentially inflate the subsidy beyond what is necessary for market studies.

The intent of such subsidies is typically to provide adequate but controlled financial assistance, which this option fails to achieve due to its contradictory wording.

C. “50% of the cost or Rs.15000 whichever is less.”

This option significantly reduces the subsidy offered to new entrepreneurs from 75% to 50% of the cost. This reduction might not sufficiently assist startups in conducting comprehensive market studies, potentially limiting their ability to gather crucial insights necessary for informed business decisions.

While maintaining the maximum cap of Rs.15000, the decrease in the percentage covered could pose financial constraints for new businesses aiming to conduct extensive or detailed market research.

D. “50% of the cost or Rs.15000 whichever is high.”

Similar to option B, this choice contains the erroneous phrase “whichever is high” instead of “whichever is higher.” Furthermore, it diminishes the percentage of the cost covered for new entrepreneurs from 75% to 50%, potentially hampering startups in their pursuit of conducting thorough market studies.

This reduction might lead to limitations in the depth or breadth of the research conducted, hindering the ability of new businesses to acquire essential market insights necessary for making informed strategic decisions.

In essence, options B, C, and D deviate from the intended goal of offering substantial but controlled financial support to new entrepreneurs for market studies.

They either contain contradictory wording, significantly reduce the percentage of the cost covered, or mistakenly compare amounts using imprecise language, which could impede the effectiveness of the subsidy in aiding startups’ market research efforts.

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