Question 18.

Within two years of establishment, Dhan’s TCS is not only outcompeting its nearest rivals in the slum but has also earned a goodwill for the quality and taste of its products. Hence, it has become famous within the slum as “Dhan Dhana Dhan” brand. Dhan now aspires to expand the reach of her savouries into the metropolitan region. Dhan wishes to scale up her savoury production from 100 kg to 1000 kg per day while maintaining quality. Dhan realizes that her establishment does not have the space for expansion on its own.
Which of the following options will BEST help Dhan to scale up production with least investment, tightly control quality, and also protect her business interests?
A
Buy additional space within the slum and establish own manufacturing unit
B
Outsource the production, along with secret recipes, to a mass savoury production unit outside the slum
C
Lease space in the metropolitan region and establish a manufacturing unit of TCS
D
Stop catering to the slum dwellers and start serving the metropolitan region exclusively

Question Explanation

Text Explanation
Option E is the correct answer as it allows Dhan to scale up production while maintaining quality control. By involving willing women in the slum as business partners, she can expand the reach of "Dhan Dhana Dhan" brand without significant investment in additional space or outsourcing. This decentralized model not only fosters community participation but also empowers local women, providing a sustainable and inclusive approach to scaling up the savoury production.
Option A may limit scalability and doesn't leverage external resources efficiently.
Option B risks compromising the quality and uniqueness of Dhan's savouries.
Option C involves additional costs and logistics, potentially affecting quality control.
Option D may alienate the existing customer base in the slum, impacting goodwill.
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