Question

Gloria wants to open her own restaurant. She has already purchased a building and raised enough cash to purchase the furniture, tools, and equipment required. She has also hired waitstaff and some cooks. However, she is unable to find a person who will be able to come up with interesting recipes every day. What type of factor of production is Gloria lacking?
A. entrepreneurship
B. human capital
C. land
D. physical capital

Answer 1

In the question "Gloria wants to open her own restaurant. She has already purchased a building and raised enough cash to purchase the furniture, tools, and equipment required. She has also hired waitstaff and some cooks. However, she is unable to find a person who will be able to come up with interesting recipes every day. What type of factor of production is Gloria lacking?" The correct answer is human capital.

Answer 2

The correct answer is:

Human Capital.

Explanation:

In the question "Gloria wants to open her own restaurant. She has already purchased a building and raised enough cash to purchase the furniture, tools, and equipment required. She has also hired waitstaff and some cooks. However, she is unable to find a person who will be able to come up with interesting recipes every day. 
Human Capital Theory views humans and individuals as economic units acting as their own economy. Therefore, Gloria is lacking the human capital which is the most important part of her business, which give a rise to her sales and economy of her business. Normally more than 60% of businesses fail due to this factor, without even knowing what they actually need, despite of having everything needed to run a restaurant.