On the surface, it could be argued that the benefit of taking the job is not sufficient to offset the opportunity cost of giving up his own business. However consider the points below.
a. The long hours of work reduces the attractiveness of owning one’s own business.
b. The profits have to be shared with his wife and brother. If he takes the job, his wife and brother may then decide to get their own jobs.
c. Although the forecast is that the profits in his own business and his salary will increase at the same rate in the future, each involves its own risks. A downturn in the economy or increasing competition (particularly from other Koreans who open up their own stores) may sharply reduce profits. On the other hand, working for someone else entails the risk of being laid off.
Finally, there is always the argument of the “psychic benefits” that one receives by being his or her own boss. Instructors may wish to discuss this further, particularly in light of the extremely long hours that one work in owning and operating a business.