Discuss Worldatwork CECP Exam Topic 1 Question 98

What challenge is most likely faced by a business with low market share and high growth potential?

AIts ability to generate profits is unknown.

BIt is in the worst market position and has insufficient resources to continue operations.

CIt is unclear how to best utilize the high cash flow to sustain growth.

DIts excess resources are often used to develop other businesses that may not be mission-critical.

Suggested Answer: A

17 comments · newest first

Alpha 1 month ago

Yeah, C is a real challenge for them.

Cecilia 2 months ago

I lean towards C too. Cash flow management is crucial.

Lamonica 2 months ago

D seems less likely. Focus should be on core business.

Elke 2 months ago

I feel B is too harsh. They might still have potential.

Verdell 2 months ago

True, but C highlights the cash flow issue better.

Denae 2 months ago

Option A could also be a concern. Unknown profits can be risky.

Jesse 2 months ago

I agree, C makes sense. They need a solid plan for growth.

Phung 3 months ago

I think option C is the most relevant. High cash flow but unclear usage is tricky.

Britt 3 months ago

Totally agree with B, they need to focus on their core strengths!

Stefanie 3 months ago

A sounds right too, profits can be really unpredictable in that scenario.

Eura 3 months ago

Surprised that people think it's just about cash flow, isn't it more about resources?

Donte 3 months ago

I think C makes more sense, cash flow issues can be tricky.

Darnell 3 months ago

Definitely B, low market share means tough competition.

Elli 4 months ago

D seems plausible too, especially if they’re spreading resources too thin across non-essential projects.

Chauncey 4 months ago

I feel like C could be relevant since high cash flow management is tricky for growing businesses.

Dalene 4 months ago

I’m not sure, but I think B sounds too extreme. A business can still operate with low market share, right?

Peggie 4 months ago

I remember discussing how low market share can lead to uncertainty in profit generation, so A might be a good choice.

Worldatwork CECP Exam - Topic 1 Question 98 Discussion