PAPER 1

SECTION A

(a) 2 marks Paper 1

(a) Define the term ‘opportunity cost’. [2]​

 (a) Define the term ‘leadership’. [2]

(a) Define the term ‘motivation’. [2]

(a) Define the term ‘workforce planning’. [2]

(a) Define the term ‘contract of employment’. [2]

(a) Define the term ‘redundancy’. [2]

(a) Define the term ‘training’. [2]

(a) Define the term ‘customer (market) orientation’. [2]

 (a) Define the term ‘market segmentation’. [2]

 (a) Define the term ‘random sampling’. [2]

(a) Define the term ‘price discrimination’. [2]

(a) Define the term ‘price elasticity of demand’. [2]

(a) Define the term ‘intellectual capital’. [2]

(a) Define the term ‘productivity’. [2]

(a) Define the term ‘job production’. [2]

(a) Define the term ‘venture capital’. [2]

(b) 3 marks Paper 1

(b) Explain two reasons why many new businesses fail in their first year of operation. [3]

(b) Explain two advantages that a business in the public sector may have that a business in the private sector may not. [3]

(b) Explain two qualities of a good leader. [3]

(b) Explain two benefits to a business of having motivated employees. [3]

(b) Briefly explain two benefits to a business of workforce planning. [3]

(b) Explain two advantages to an employer of using a person specification. [3]

(b) Briefly explain two advantages to employees of having a contract of employment. [3]

(b) Briefly explain two benefits to a business of training employees. [3]

(b) Explain two limitations of niche marketing. [3]

(b) Briefly explain two reasons why a business might segment its market [3]

(b) Explain two advantages to a business of using primary (field) market research data. [3]

(b) Briefly explain two benefits to a business of using quota sampling as a method of collecting data. [3]

(b) Explain two disadvantages to a business of using price discrimination. [3]

(b) Briefly explain two reasons why price elasticity of demand might be useful to a business when making pricing decisions. [3]

(b) Explain two functions of an operations management department. [3]

(b) Explain why a business might choose flow production as a method of operation. [3]

(b) Explain two reasons why a business may use equity finance. [3]

(b) Briefly explain the distinction between short-term and long-term sources of business finance. [3]

(b) Explain two ways that venture capitalists might help a business. [3]

(b) Briefly explain two reasons why cost information is useful for monitoring the financial performance of a business. [3]

5 marks Paper 1

Explain why the objectives of a business may change over time. [5]

Explain how the interests of two stakeholder groups could affect the decisions of a business. [5]

SECTION B

(a) Analysis 8 marks Paper 1

(a) Analyse the impact of social enterprises on the development of a country. [8]

 (a) Analyse the difference between autocratic and laissez-faire leadership. [8]

(a) Analyse the benefits of a labour-intensive production process for a business. [8]

(a) Analyse the benefits to a business of introducing computer-aided design (CAD). [8]

(a) Analyse the possible problems that a new business might experience when trying to raise finance. [8]

(b) Discuss 12 marks Paper 1

(b) Discuss why the shareholders of a public limited company might not support corporate social decisions responsibility (CSR) as a business objective. [12]

Discuss the view that a public limited company should prioritise the aims of its shareholders rather than those of other stakeholder groups. [12]

(b) Discuss the factors which could influence the successful operation of Just-in-time (JIT) inventory management. [12]

Discuss 20 marks Paper 1

(b) Discuss the likely impact on the marketing mix of a bank that decides to make increasing use of the Internet to provide its services. [20]

PAPER 2

(a)(i) 2marks Paper 2

Define the term ‘break even’. [2]

Define the term ‘cash flow’.[2]

(a)(ii) 3 marks Paper 2

Explain the term ‘industrial markets’ . [3]

Explain the term ‘brand’ . [3]

(b)(i) 2 marks Paper 2

b (i) Refer to Table 1.1. Calculate the rate of labour turnover for department A in 2020. [3]

(b) (i) Refer to Fig. 1.1. Calculate the number of shoppers who would like to see a Mexican style café in the capital city mall. [3]

(b) (i) Refer to Table 1. Calculate BIG’s working capital. [3]

b (i) Calculate the profit AA will make from production line A if it sorts, packages and sells 140 000 avocados in a month.

b (i) Refer to Table 1.1. Calculate the value of X. [3]

(b)(ii) 3 marks Paper 2

b (ii) Explain one suitable way, other than market share, to measure the size of F5G. [3]

b (ii) Explain one disadvantage for RHZ of having high labour turnover. [3]

(b) (ii) Explain one factor influencing the supply of the retro cycle.[3]

(b)(ii)Explain one benefit of Nativity Trees marketing its products to industrial markets [3]

b (ii) Explain one way in which EMB can use the Internet to increase sales. [3]

b (ii) Explain one benefit of NT holding inventory. [3]

(b)(ii) Explain one internal source of finance available to F5G to finance a new marketing campaign. [3]

(b) (ii) Explain one reason why AA needs accurate cost data.  [3]

b (ii) Explain one reason why EMB’s liquidity is forecast to change. [3]

(c) Analysis 8 marks Paper 2

(c) Analyse two qualities that Gordon will need to be a successful entrepreneur. [8]

(c) Analyse two ways in which emotional intelligence may help Isabel be an effective leader. [8]

(c) Analyse one method of primary market research and one source of secondary market research that the Marketing Director could use to help develop a new variety of natural yogurt. [8]

(c) Analyse two methods HC could use to extend the product life cycle of the Retro Cycle. [8]

c) Analyse one above the line promotional method and one below the line promotional method which F5G could use to gain new customers. [8]

(c) Analyse two ways in which AA adds value to its products. [8]

(c) Analyse two factors that may have affected the location of NT. [8]

(c)  Analyse one internal source of finance and one external source of finance Gordon could use to finance his start-up costs. [8]

(d) Evaluation Paper 2

(d) Evaluate the likely impacts on the local community if EFF changes from a co-operative to public limited company. [11]

(d) Evaluate the likely impact on the stakeholders of AA of the planned expansion. [11]​

(d) Recommend which of Mintzberg’s management roles is likely to be the most important for the new Managing Director of NT. Justify your recommendation. [11]

(d) Discuss the likely impact on the morale and welfare of HC’s employees if the Retro Cycle is produced using mass customisation [11]

d) Recommend changes EMB could make to its marketing mix to achieve its growth objective [11]

PAPER 3

10 marks (q1)

1. Analyse the likely impact on E Ventures’ profit of intervention by governments in the car market [10]

1. Analyse the benefits to FS of continuing with a centralised structure as the business develops. [10]

12 Marks (q2/4)

2(b) Refer to 2(a) and any other information. Recommend whether potential investors should purchase shares in E Ventures. Justify your recommendation. (12)

4. Assess the effectiveness of E Venture’s approach to human resource management (HRM). [12]

2. (b) Evaluate the usefulness of the elasticity concept to FS when planning its marketing strategy. [16]

 4(c) Refer to your answers to 4(a) and 4(b) and any other information. Discuss whether the sushi stall project is likely to improve profitability for FS.

16 Marks (q3/5)

3. Evaluate whether E Ventures will need to change its marketing strategy to increase sales of electric delivery vehicles (EDVs) to online retailers. [16]

5. Evaluate whether E Ventures should subcontract production of electric delivery vehicles (EDVs) to solve the problem of insufficient capacity [16]

3. Evaluate the benefits to FS of using budgets. [16]

5. Recommend ways in which Niko might solve the current quality problems in some SF restaurants. Justify your recommendation. [16 ]

20 Marks (q6/7)

6.       Evaluate the usefulness of strategic analysis techniques in identifying future growth strategies for E Ventures. [20]

7.       Evaluate the importance of business planning to E-Ventures’ future profitability. [20]

 6. Evaluate the usefulness of the information in Appendix 4 for Niko as she makes the choice strategic choice between Option 1 and Option 2.  [20]

7.       Evaluate the importance of business planning to E-Ventures’ future profitability. [20]