This is from the MPNP brochure:
Step #8 Establish your Eligible Business and Ask for a Refund of Deposit
You must establish your business and fulfill the investment requirements as outlined in your
Deposit Agreement within two years of landing.
Once your investment in the business area you proposed has been verified, your CDN$75,000
Cash Deposit will be returned to you.
Their FAQ:
Q18. May I change my plans for my business venture after I arrive in Manitoba?
A. You may do so only with the approval of the program's Business Settlement Office. You will be required to contact the Business Settlement Office for counseling and guidance as soon as you think you may have difficulty fulfilling, and/or need to change, your business plans.
Q19. What if I need more time than the two years after landing to establish my business?
A. An extension may be granted depending on your circumstances and what kinds of activities you had undertaken within the two-year period. Extensions are not automatically granted unless requested for with an adequate explanation as to why the extension should be granted.
Q20. What if I am unable to proceed with my business venture in Manitoba?
A. If the business intent or project does not go ahead, or another approved project involving comparable levels of investment and employment is not undertaken, your CDN$75,000 deposit may be retained by the Province of Manitoba.
See, it doesn't actually say that he will lose his PR if he doesn't fulfil the business part of the agreement. Just that he might lose his deposit. However, he has only been in Manitoba for 7 months. He still has a lot of time left to establish a business. They may handle it differently if he actually tried and failed than if he actually didn't try much and gave up right away.
He should phone MPNP, see
http://www.gov.mb.ca/ctt/invest/pnp-b/contact.html for their contact info. He doesn't have to give his name if he doesn't want to, just ask a general question of what happens to his PR if he doesn't go ahead with the business as planned.