Instructions

Read the following scenario and answer the THREE questions that follow.

Dhan, a poor but enterprising 15-year-old, resided in the world’s largest slum in a metropolitan city, along with her widowed mother. The densely packed slum housed about a million people, mostly in rickety one room tenements, connected by labyrinthine lanes and by-lanes. Dhan’s mother worked intermittently as a daily wager in a small savoury factory. For a 15-year-old, Dhan’s life was hectic. She spends two hours every day in fetching water for the household, packing breakfast and lunch for her mother. In addition, she had to prepare supper. On her mother’s insistence, Dhan also attended an evening bridge school run by an NGO. Dhan’s dream was to provide a comfortable life to her mother and take her family out of poverty. Of late, Dhan observed that the customers to a nearby tea-cum-savoury stall (TCS), were mostly the slum dwellers, who thronged the stall for its low prices and lack of alternatives. Further, Dhan gathered that the TCS could not cater to all of its customers, and the owner still made a neat Rs.800 profit per day. Dhan saw that a probable first step towards her family’s economic independence could be to own her own TCS.

Question 44

Within two years of establishment, Dhan’s TCS is not only outcompeting its nearest rivals in the slum but has also earned a goodwill for the quality and taste of its products. Hence, it has become famous within the slum as “Dhan Dhana Dhan” brand. Dhan now aspires to expand the reach of her savouries into the metropolitan region. Dhan wishes to scale up her savoury production from 100 kg to 1000 kg per day while maintaining quality. Dhan realizes that her establishment does not have the space for expansion on its own.

Which of the following options will BEST help Dhan to scale up production with least investment, tightly control quality, and also protect her business interests?

Solution

Option E is the correct answer as it allows Dhan to scale up production while maintaining quality control. By involving willing women in the slum as business partners, she can expand the reach of "Dhan Dhana Dhan" brand without significant investment in additional space or outsourcing. This decentralized model not only fosters community participation but also empowers local women, providing a sustainable and inclusive approach to scaling up the savoury production.

Option A may limit scalability and doesn't leverage external resources efficiently.
Option B risks compromising the quality and uniqueness of Dhan's savouries.

Option C involves additional costs and logistics, potentially affecting quality control.

Option D may alienate the existing customer base in the slum, impacting goodwill.


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