1. Which one of the following is an example of a reward from business activity? Select one answer - Edexcel - GCSE Business - Question 1 - 2020 - Paper 1

The correct answer is B. The proportion of sales in a market made by one business. This indicates the extent to which a business controls sales within its market.

A unique selling point (USP) can significantly differentiate a small business from its competitors. It helps to attract customers by highlighting what is special about the products or services offered. This differentiation can lead to increased sales and customer loyalty, as clients are more likely to choose a business that offers something distinctive.

One major advantage of using trade credit is that it allows a small business to purchase inventory or supplies without immediate cash outflow. This arrangement can help maintain cash flow levels, allowing the business to invest in other areas or cover operational expenses while awaiting payment from customers.