Which of the following is a common reason for small businesses to fail due to external factors? a. ineffective staffing b. overlooking competition c. lack of desirability for the product or service d. insufficient first capitalisat

The common reason for small businesses to fail due to external factors among the options provided is: b. overlooking competition This reflects how external market dynamics, like competitive pressure, can significantly impact a small business's chances of success. While the other options may also contribute to failure, they often pertain more to internal management issues or product-market fit rather than directly being external factors. Update (2024-10-23): The most common reason for small businesses to fail due to external factors is: **b. overlooking competition** This reason highlights how external market dynamics and the presence of competitors can significantly impact a small business's chances of success. While the other options can also contribute to failures, they are typically more related to internal management or operational issues. Update (2024-11-07): b. overlooking competition Overlooking competition is a common external factor that can lead to the failure of small businesses. If a business does not account for its competitors and fails to differentiate its offerings or adjust its strategies accordingly, it may struggle to attract and retain customers.