When Frank is worried about his reputation and business networking, he is focusing on what aspect of his business?

Study for the Penn Foster Principles of Management (BUS 110) Test. Review core concepts with flashcards and multiple-choice questions, each offering hints and explanations. Prepare effectively for your exam!

Frank's concern about his reputation and business networking highlights the importance of social capital. Social capital refers to the networks, relationships, and social interactions that facilitate cooperation and collaboration within a society or organization. It encompasses the connections and goodwill that can enhance one's ability to access resources, opportunities, and information through those relationships.

In the context of Frank's situation, his focus on reputation ties directly to how others perceive him and the trust they place in him, which are foundational elements of social capital. Business networking, on the other hand, involves forming connections that can lead to partnerships, referrals, and other opportunities, all of which are critical for personal and business growth.

The other aspects listed—financial capital, human capital, and operational capital—focus on different resources. Financial capital refers to funds available for business use, human capital involves the skills and expertise of employees, and operational capital relates to the resources and processes needed for day-to-day operations. While these are vital to a business's success, they do not directly address the significance of reputation and networking, which is why social capital is the correct answer in this scenario.

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