An entrepreneur is encouraged to adopt division of labour in production because it

Analyze the question: It asks why an entrepreneur (a business owner who wants profit) would be encouraged to use division of labour. So we need the benefit that matters to the producer.

Concept: Division of labour (specialisation) means breaking a production process into separate tasks, with each worker doing one task they are good at. For example, in a bread bakery in Lagos, one person mixes the dough, another bakes, another packages, and another sells.

Advantages to the entrepreneur:

• Workers become more skilled and faster through repetition, so output rises.
• Less time is wasted moving between tasks.
• Machines can be introduced for simple tasks.
• More units are produced with the same resources, so average cost per unit falls.

Evaluate the options:

• A. More employment opportunities: not the main reason. Division of labour is about efficiency, and it can even reduce the number of workers needed once machines come in.
• B. Increased output and lower cost of production: this is the core benefit and the entrepreneur's motivation.
• C. Equal cost and employment opportunities: this makes no economic sense.
• D. Increased cost and lower output: this is the opposite of what happens.

Answer: B. Division of labour increases output and lowers the cost of production per unit, which raises profit.

Exam tip: Whenever you see "division of labour" or "specialisation" in a question about why a producer adopts it, think higher productivity, higher output, lower unit cost. Remember the disadvantages too (monotony, over-dependence on others, unemployment if a task becomes obsolete), because WASSCE often asks about those.