The following Business Case is constructed properly. "In business unit A there are too many flashlight returns and flashlight sales have decreased by 25 percent."

Question

Options

• ATrue
• BFalse

• A
  20% (5)
• B
  80% (20)

Explanation

Option B is correct because the statement describes two observations - excessive returns and a 25% sales decline - but does not constitute a properly constructed Business Case. A valid Business Case must go beyond identifying symptoms; it needs to include a clear problem statement, the business impact, proposed solutions or alternatives, and a cost-benefit justification for taking action. The statement lacks all of these elements and reads more like a situation summary or needs statement than a Business Case.

Option A is wrong because labeling two loosely connected data points as a "Business Case" conflates problem identification with a formal decision-support document - they are not the same thing.

Memory tip: Think of a Business Case as a courtroom argument, not just evidence. You need the facts (problem, data), the consequence (impact), and the recommendation (what to do about it) - the statement above only brings evidence to court and walks out.

No community discussion yet for this question.