question_answer

Mr. X is working in a company. He believes that he generates a revenue of more than 5 lakh per month for the company however, company pays him a salary of only 50,000. He decides to start his own business believing that he will enjoy the entre cake himself. Is he right in his approach?

Answer:

Ans.     No, he is not right. If an employee is generating a revenue of rupees 5 lakh for a company, it is not an individual effort but team effort. All departments and employees contribute to it in their own ways. There are costs as well in terms of raw material, electricity, stationery and other things and hence if he feels that this entire amount is his right, he is wrong in his approach. Moreover, when he will start his own business, he will not have to give only his labour but also needs to invest capital. He would also have to take risk and bear uncertainty. Therefore, he must carefully compare the pros and cons of job and business and then he should decide, x