Question

6 - case study: small business: success or failure?
learning objective: examine mismanagement and why businesses fail.
to prevent failure, mariam should put in place an internal ________ review process that guarantees all major decisions at amma are grounded in solid data and have cross-departmental verification.
a.) public relations (pr)
b.) audit
c.) production management
d.) marketing

Explanation:

Analyze the sentence context

The sentence asks for an internal review process that ensures major decisions are grounded in solid data and have cross-departmental verification. We need to find a term that fits "internal ________ review process".

Evaluate the options

• public relations (PR): This is an external-facing function focused on managing public perception, not an internal decision-verification process.
• audit: An audit is an official inspection or review of an organization's accounts, processes, or decisions to ensure accuracy, compliance, and reliability. An "internal audit review process" perfectly matches the need for data grounding and cross-departmental verification.
• production management: This focuses on the manufacturing or service delivery processes, not overall corporate decision-making verification.
• marketing: This deals with promoting and selling products or services, which is external-facing.

Connect to business management

Using the Small Business Management knowledge point, establishing internal controls and structured review mechanisms like an audit helps prevent mismanagement and operational failure by ensuring objective oversight.

Answer:

• a.) public relations (PR)
• b.) audit (Correct answer)
• c.) production management
• d.) marketing