Developing Critical Thinking Skills


Suppose that you are a person who has always dreamed of owning a business but never had the money to open one. Since you were old enough to read a recipe, your mother allowed you to help in the kitchen. Most of all, you enjoyed baking and decorating cakes. You liked using your imagination to create cakes for special occasions. By the time you were in high school, you were baking and decorating wedding cakes for a fee. After high school, you started working full time as an adjuster for an insurance company. Your schedule now allows little time for baking and decorating cakes. Recently, you inherited $250,000, and changes at your job have created undue stress in your life. What should do?

1. Discuss the following points:

a. What options are available to you?

b. What specific factors must you consider in starting your business versus working for another firm?

c. What form of ownership would be best for your business?

d. What advantages and disadvantages apply to your preferred form of business ownership?

2. Prepare a two-page report summarizing your findings.

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