Yogurt Ice Cream Store After "A" level Exam - PDG 03/12 Group 1

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Opportunity Cost

Investments

The funds needed to set up the store restricts the investment in stock market/housing developments, which may bring in considerable amount of earnings as compared to the revenue earned from the yogurt business

bonding with loved ones

Devoting time to setting up this business meant the loss of opportunity to spend time with your loved ones. Hence these cherished family ties might deteriorate over time.

Job opportunities

Unable to take up any part time jobs or internships at any companies/firms.Thus lack of job experience and hence lower pay

Further studies

The money used for investing on the business could otherwise be used to further your studies (whether abroad or local).

scarcity

Supply

Since most of singapore's supply come from trade, problems overseas (e.g Natrual disasters, economy downturn, revolutions, political changes etc) could easily affect singapore

Natrual disasters such as flooding which have become more common nowsadays may disrupt supply chains. e.g Japanese Earthquake cum Tsunami have caused disruptions in the supply chains of automakers

Labor

Small business may have difficulty attracting skilled workers because of competition from established companies, who can offer better pay and more security.

Cash Scarcity

Shop rent

High demand

Higher price rents

Expensive, especially in Singapore

Banks and venture capital companies tend to avoid companies with no track record. Like this one.

As there is no guarantee of the capabilities or success of the venture

One needs to invest in equipment and supplies before generating meaningful sales.

e.g Freezer, Ice blenders