HILLCREST HIGH SCHOOL
BUSINESS STUDIES EXAMINATION
GRADE 10 JUNE 2014
MARKS: 200 TIME: 2 HOURS
EXAMINER: MRS D KENNY
MODERATOR: MRS C EDY
1
INSTRUCTIONS:
Read the following instructions carefully before answering the questions:
30 This question paper consists of THREE sections: SECTION A,
SECTION B and SECTION C.
SECTION A: COMPULSORY
SECTION B: Consists of THREE questions. Answer TWO questions only.
You must answer ALL the parts of the questions which you
choose.
SECTION C: Consists of TWO essay topics. You must select ONE topic
only from this section.
2. Consider the time allocation when answering the questions.
3. Read the instructions carefully for each question.
4. Number the answers correctly according to the numbering system used in
this question paper.
5. Except where other instructions are given, answer in full sentences.
6. Use the table below as a guide for marks and time allocation for each
question.
QUESTION SECTION MARKS TIME
A: COMPULSORY 40 30 mins
1 Multiple choice
Matching items
True or false
B: Answer TWO questions 120 60 mins
2 Socio-economic issues 60 30 mins
3 Management and business functions 60 30 mins
4 Business sectors and environments 60 30 mins
C: Answer ONE essay question. 40 30mins
5 Forms of ownership 40 30 mins
6 Business Functions 40 30 mins
TOTAL 200 120 mins
2
SECTION A (COMPULSORY)
QUESTION 1
1.1 Four options are provided as answers to the following questions. Choose
the correct answer and write only the letter (A-D) next to the question, for
example 1.6 B
1.1.1 Middle management make………… decisions.
A Strategic
B Operational
C Tactical
D Routine
1.1.2 The growing importance of the teen market is a challenge which presents
itself in the ……….. environment.
A micro
B market
C macro
D internal
1.1.3 The availability of water, electricity, roads, transport et cetera is known
as..................
A infrastructure
B capital layout
C investment
D assets
1.1.4 The maximum number of shareholders in a public company is
A 10
B 20
C 50
D None of the above
1.1.5 Controlling is a management task which involves ……….
A motivating workers
B evaluating results
C planning actions
D determining roles
1.1.6 Which of the following is NOT a parastatal company?
A Eskom
B SAA
C Transnet
D MNET
3
1.1.7 Which of the following is a public company?
A Toy Traders
B Toy Shop CC
C Toy Town (Pty) Ltd
D Tons of Toys Ltd
1.1.8 The sector which contributes most to the South African GDP is the …….
A Informal sector
B Primary sector
C Secondary sector
D Tertiary sector
1.1.9 Which of the following does NOT form part of long-term financing?
A Creditors
B Mortgage Bond
C Debentures
D Shares
1.1.10 The business function which includes selling the right product, at the right
price in the right place at the right time is….
A Human resources
B General management
C Public relations
D Marketing
(10 x 2 =20)
1.2 State whether the following statements are TRUE or FALSE. If the
statement is false, change only the underlined word(s) to make it TRUE.
1.2.1 Labour is a factor of production.
1.2.2 Vision and strategy are part of the market environment.
1.2.3 Variable costs are the costs which stay the same every month and have
no direct relationship to the number of units produced.
1.2.4 Counterfeiting is the illegal copying of books, CDs, DVDs or the copying of
trademarks.
1.2.5 Aspects such as age, gender, and occupation are examples of
demographic market segmentation.
(5 x 2 = 10)
4
1.3 In each case choose the correct concept from Column B, which matches
the information given in Column A.
COLUMN A COLUMN B
Keeps in touch with the outside public and promotes
1.3.1 A Administration
the image of the business.
1.3.2 A way to ensure that products reach consumers. B Management
The process used in business to plan activities,
1.3.3 organise resources, co-ordinate functions and lead C Leadership
the business to achieve its goal
Assists in running the business and handling
1.3.4 D Distribution channel
information.
The way in which an individual can influence the
1.3.5 behaviour of others towards accomplishing the E Public relations
objectives of the organisation.
(5 x 2 = 10)
SECTION B: CHOOSE 2 QUESTIONS
This section consists of THREE questions. Answer TWO of these questions only.
QUESTION 2
Read the extract below and answer the following questions.
Workers were increasingly reporting for duty at the stoppage hit operations of Anglo
American Platinum ( Amplats), as incidents of violence and intimidation against non-
striking employees subsided, minority unions said.
More than 90 percent of members belonging to smaller trade union Uasa are at work,
Franz Stehring, its head of mining said on Friday.
The Association of Mineworkers and Construction Union ( Amcu), the main labour
organization at the world’s largest platinum producer called a strike on January 23 that
halted most of the Anglo American’s unit’s operation. Less than half of Uasa’s
members went to work immediately after the strike was called, Stehring said.
The world’s three biggest producers have lost R 17 billion in revenue because of the
strike, now in its 16th week, while employees have forfeited R7,6billion in wages,
according to a website run by the companies.
By Andre Janse van Vuuren Sunday Tribune 8 May 2014
5
2.1.1 What is a strike? (2)
2.1.2 Write down in point form, the procedure to be followed before employees can
legally strike. (6)
2.1.3 In your opinion, what causes strikes to become violent? (2)
2.1.4 What impact does violence have on business operations and productivity? (2)
2.1.5 Discuss the following contemporary socio-economic issues facing business
today.
[Link] HIV/Aids
[Link] Poverty
[Link] Crime
[Link] Gambling
[Link] Piracy (5 x 6 = 30)
2.1.6 In which business sector does Amplats operate? (2)
2.1.7 What is a trade union? (2)
2.1.8 “ Social responsibility means to be ethical as an individual or organization in
dealing with the environment, the stakeholders and community-at-large.”
[Link] What is Corporate social responsibility? (4)
[Link] Why do businesses engage in CSR? (4)
[Link] Briefly explain how businesses can implement CSR? (4)
[Link] Provide TWO examples of CSR in South Africa? (2)
[60]
QUESTION 3
3.1 Name and explain the four management tasks. (16)
3.2 Name and briefly describe the eight business functions. (20)
3.3 Differentiate between the three levels of management and give an example of
each level. (12)
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3.4.1 Mr. P Ncube is the Chief executive Officer of Basa Ltd, a large public company.
Use ANNEXURE A to complete an organizational chart which displays the
organisational structure of the top management of this enterprise. (10)
3.4.2 What name do we give to an organisational chart? . (2)
[60]
QUESTION 4
Sara, an insurance broker and her friend, Tumi, who owns a small clothing factory, form
part of different sectors of the country’s industry. These sectors are known as the
production chain or production stages.
4.1 Identify and give examples of the THREE sectors that form part of the production
chain. (3X6 = 18)
4.1 The owners of the businesses are commonly referred to as entrepreneurs. They
are the driving force behind the most successful business enterprises in South
Africa. Identify FIVE characteristics of an entrepreneur. (5x2 = 10)
4.3.1 Products in the consumer market can be divided into four categories. What would
Tumi’s product be classified as? (2)
4.3.2 List the other THREE categories of the products and provide an example of
each. (3x2= 6)
4.4 Name the FIVE forces ( factors) that affect competition in a business. (5x2=10)
4.5 Sometimes an entrepreneur like Tumi needs some advice and information
about business decisions.
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Read through the extract below and answer the following questions. Some of
the answers may be found in the extract itself.
Management consultants under the magnifying glass
In a country that faces huge challenges due to globalisation, it is nearly impossible for
any industry to escape the speed of transformation. Management consultants are no
exception. The consultant industry arose from the need for support and help concerning
knowledge, especially when businesses went through uncertain times. However, this
industry has had to pull up its socks during the past five years. International competition
and increasing internationalisation of South African business enterprises have
demanded a lot from consultation services.
When competitive multinational companies overshadowed South African markets,
corporate advisors had to present local businesses with technical and technological
skills. Mr Martin Westcott, managing director of PE Corporate Services, said that
although large South African consultant companies had meaningful international ties in
the past, they still had to learn to use these ties productively. Issues like world standards
and the latest modern technology were not quite relevant in our previously closed
economy.
Pierre Tredoux, MD of Deloitte Consulting Services, reasons that companies coming to
South Africa for the first time expect the same quality services that they receive in their
own countries. South African companies that spread their wings overseas, expect the
same.
Adapted from Sunday Times – Business Times SURVEY
4.5.1 Name ONE business career that is mentioned in this extract and
list TWO companies that employ such persons. (6)
4.5.2 Explain the term globalisation. (2)
4.5.3 How does globalisation challenge management consultants? (4)
4.5.4 What should South African consultants do to compete on an international
level? (2)
[60]
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SECTION C: CHOOSE ONE QUESTION
Choose ONE of the following topics and write an essay/report on it.
TOPIC 1: FORMS OF OWNERSHIP
A friend has approached you for some advice as he wants to set up his own business. At
the meeting he said to you: “I don’t want anything to be formal, I just want to keep it
simple. I have a friend who wants to join me, but I’m not sure if I want him to participate
in the business or not. He mentioned something about a shelf CC and liability. I have no
idea what he is talking about.”
Write a report in which you outline the three simplest forms of ownership that could suit
his business. For each one, you must briefly describe the ownership characteristics,
advantages and disadvantages of that type of ownership. You must also clearly explain
the concepts of unlimited and limited liability. [40]
TOPIC 2: BUSINESS ENVIRONMENT
Organisations in South Africa are classified as part of the formal or informal sector.
Provide a brief description of each sector and then compare the two sectors with
reference to the characteristics, economic activities, as well as advantages and
disadvantages of each sector. [40]
