Identify and discuss challenges faced by local, regional, and national businesses

What will be an ideal response?

The most common challenge for both local and regional businesses is managing money. Poor financial planning, as well as unfavorable economic conditions, can lead to bankruptcy. Undercapitalization occurs when a business owner cannot gain access to adequate funding. The business can then no longer afford to produce goods or provide services, and it goes bankrupt. Even with adequate funding, there is always a chance that the current economy will not support the business. National companies also have to manage their finances, but they also must be aware of state laws in every state in which they do business. Also, by virtue of their size, national companies are likely to have more complex supply chains than those of regional businesses.