The people who discoverd the product is asking for 80000 investment and it constitutes 15%of the shares,therefore we can calculate the total asset is 533333 which is quite enough.And the dragon who asked more,and entrepreneur promised 35% of the shares which might be 228571 and the quickest in the market,develop the market range,finally,got the offer.Another dragon who gives the 5% each year 5 years.
The entrepreneur is 19 years old who finished A-level,also had the experience doing export and import between China.
In my personal opinion,the idea is quite good,but I donnt think it has a market in China,even exporting products to China,on the one side,it might be less competitive compared to the similar products in China,and asking 80000 which is large amount of money,most of the retailers in UK such as WHSMITH prefer the products produced from China.
Diseconomies of scale
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Diseconomies of scale occur when a business grows so large that the costs
per unit increase. As output rises, it is not inevitable that unit costs
will fa...
7 years ago