Answer to Question #249008 in Microeconomics for Fizz

Question

If you are a petty shopper how can you utilize the limited resources to fulfill your needs

Answer 1

Petty shopping involves making a significant deal out of limited resources that exist. Petty shoppers can perform well in sparsely populated areas such as in the villages.

The size of the shop is small and occupies a limited amount of space and therefore does not require wider ground for its structuring.

The amount of stock in the shop must not necessarily be large. More specifically, it is stocked with only basic goods and necessities that people use frequently.

The amount of capital required to start and run a petty shop is quite small and it can be afforded through borrowing from friends and relatives or by acquiring a small loan from a microfinance lending institution.

Management is easily carried out by a person as a sole proprietor. There is no cost of hiring employees or laborers to perform tasks as the situation is in big businesses. Petty shopper can act as a source of continous flow of income to the jobless individuals in the society.