pea, Stanmorephysics.com x) S GAUTENG PROVINCE EDUCATION =) REPUBLIC OF SOUTH AFRICA BUSINESS STUDIES P1 IN 0 C2721E TIME: — 2 hours MARKS: 150 11 pages X10 WIN Please turn overBUSINESS STUDIES PERE Downloaded from Stanmorep! INSTRUCTIONS AND INFORMATION Read the following instructions carefully before answering the questions. 4. This question paper consists of THREE sections and covers TWO main topics. SECTION A: | COMPULSORY SECTION B: Consists of THREE questions. a Answer any TWO of the three questions in this section. SECTION C: Consists of TWO questions. ; ‘Answer any ONE of the two questions in this section. 2. Read the instructions foreach question carefully and take note of what is required. Note that ONLY the answers to the firstiTWO questions selected in SECTION B and the answer to the FIRST ques! SECTION C will be marked. 3. Number the answers cor paper. NO marks will be al cording to the numbering system used in this question for answers that are numbered incorrectly. 4. Except where other inst ‘are given, answers must be written in full sentences. 5. Use the mark allocation and nature of each question to determine the length and depth of an answer, 6. Use the table below as a guide for mark and time allocation when answering each question. SECTION QUESTION | MARKS anata) ‘A: Objective-type questions COMPULSORY i ae 20 B: THREE directlindirect-type 2 40 questions CHOICE: 3 40 70 Answer any TWO. 4 75 G: TWO essay-type questions 3 a CHOICE: 30 Answer any ONE. 6 40 TOTAL 150 120 7. Begin the answer to EACH question on a NEW Beatie Sign EACH Page, ¢.9. QUESTION 1 — new page, 8. You may use a non-programmable calculator. 9. Write neatly and legibly.Downloaded from Stanmore, |? | SECTION A: (COMPULSORY) QUESTION 1 1.4. Various options are provided as possible answers to the following questions. ‘Choose the answer and write only the letter (A D) next to the question numbers (4.1.1 to 1.1.5) in the ANSWER BOOK, e.g,, 1.1.6 D. 44:4 “Employees are granted 1 day of paid ... leave for every 26 days worked during the first 6 months of employment. A annual ™) 1.1.2. Businesses co weaknesses. A SWOT” B PESTLE C SCAMPER D Porter's Five Forces model 4.1.3 Olivia Bank operates in the ... sector. A primary B__ secondary C tertiary D_— micro The ... has implications on the human resources function because it promotes orderly negotiations and employee participation in decision-making in the workplace. 144 Skills Developme ) (Act 55 of 1998) o ensure that all departments work 115 andards. (6x2) (10)Downloaded from Stanmore, 4.2 Complete the following statements by using the word(s) provided in the list below. Write only the word(s) next to the question numbers (1.2.1 to 1.2.5) in the ANSWER BOOK. induction; marketing; National Credit Regulator; selection; Broad Based Black Economic Empowerment; production; fringe benefits; Basic Conditions of Employment; National Consumer Commission; _UIF 1.2.1. Josi Interiors violated the ... Act by engaging in fronting practices to benefit certain individuals: 1.22 Businesses are enabled) disputes fairly through the ... 1.2.3 Rosemary Enterpl ainad the roles and expectations of the job tonew s. employees during 1.2.4 The quality indical .. funetion ensures that high-quality services are provided according to Mangethe and Sons uses ... to attract experienced employees who may 1.25 positively contribute to the business goals. (5x2) (10)Downloaded from Stanmore RY SINGSS SAP IES [= | 1.3 Choose a description from COLUMN B that matches a term in COLUMN A. Write only the letter (A — J) next to the question numbers (1.3.1 to 1.3.5) in the ANSWER BOOK, e.g., 1.3.6 K COLUMN A Piecemeal Total client satisfaction COIDA Concentric dive COLUMN B ‘continuously promotes @ positive company image establishes the CCMA for dispute resolutions businesses grow into new products and new markets. continuously improves the products and services of the business ‘employees are paid for the number of items produced establishes a framework of acceptable employment practices promotes health and safety in the workplace 2) (10) TOTAL SECTION A: 30Downloaded from Stanmore, AESSCSTUDIES (PAPER 1) SECTIONB Answer ANY TWO questions in this section. NOTE: Clearly indicate the QUESTION NUMBER of each question that you choose. The answer to EACH questo must start on a NEW page, e.g. UESTION 2 ‘on a NEW page, QUESTION 3 on a NEW page. QUESTION 2: BUSINESS ENVIRONMENTS 24 22 23 24 Name any FOUR pillars of the Broad-Based Black Economic Empowerment Act (BBBEE), 2003 (Act 53 of 2003). (4) Outline the rights \s of the Labour Relations Act (LRA), 1995 (Act 66 of 1995) (6) Read the scenario nswer the questions that follow. i 7 MANUFACTURERS (2M) Tea 7 Zara Manufacturers produces ‘handmade mats. ZM encourages employees to improve their skills and to actively engage in learnerships. They provide training material for the skils development facilitators. They also assess the skills of employees to determine the areas in which skils development is needed. 2.3.1 Quote TWO ways in which ZM is complying with the Skills Development Act (SDA), 1998 (Act 97 of 1998). (2) 2.3.2 Advise businesses on how SETAs are funded, (4) Discuss any TWO types of intensive strategies. ©Downloaded from Stanmore, (NESS STWDIES (PAPER 1) 25 26 27 Read the scenario below and answer the questions that follow. OASIS TECH SOLUTIONS (OTS) Oasis Tech Soluti mie Ug rade ay the Porter's Five Forces model to analyse their position software licensing fees ase ht large snrrata dia oa negotiate for lower Sop ere Leonel Feet iy es atid Yate! their technology solutions Seige a with more affordable alternatives. OTS implemented the nagement process to overcome challenges and improve 's Five Forces model that are applicable by quoting from the scenario above. ©) E &.. QUESTION 2.5.1. MOTIVATIONS 2, (4) 2.5.2 Explain the strategic management process. of employment of children and forced labour as Discuss the prohibition ,f Employment Act (BCEA), 1997 (Act 75 of provision of the Basic Conditions o 1997). (4) ‘Advise businesses on actions regarded as non-compliant with the Employment 4) Equity Act (EEA), 1998 (Act 55 of 1998). [40]Downloaded from Stanmore, SS SPUDIES (PAPER 1) Enns QUESTION 3: BUSINESS OPERATIONS 34 3.2 33 34 35 36 37 3.8 ‘State any FOUR examples of employee benefits in the workplace. (4) Outline the selection procedure as a human resource activity. (6) Read the scenario below and answer the questions that follow. ‘CLAUDIA SUPPLIERS (CS) Claudia Suppliers established an’employment contract for both the employer and the employees in the bussiness. The contract includes a code of conduct and @ a qual opportunities in the workplace. CS ‘can be renegotiated during the course of code of ethics. I explained that the 3.3.1 scenario above 2) pe 3.3.2 Explain other legal requirements of an employment contract. @) ‘Advise businesses on the roles of the interviewer during the interview. (4) Outline the differences between quality control and quality assurance. 4) Read the scenario below and answer the questions that follow. ‘SAFETY FIRST TOURS (SFT) Safety First Tours provides reliable transport services. The management of SFT San atford market research to gather information about their clients. This is done to achieve total quality management within the business. 3.6.1. Identify the total quality management (TOM) element applied by SFT in the scenario above. 2) 3,62 Explain other advantages of the TQM element identified in QUESTION 3.6.1 (4) (6) Discuss the benefits of a good quality management system. Advise businesses on the roles of quality circles as part of the continuous (4) improvement to processes and systems. (40)Downloaded from Stanmore, SSCITUDIES PER 1) QUESTION 4: MISCELLANEOUS TOPICS BUSINESS ENVIRONMENTS 4.1 Listany FOUR consumer rights according to the Consumer Protection Act (CPA), 2008 (Act 68 of 2008). (4) 4.2” Describe any TWO types of defensive strategies. ©) 4.3 Read the following scenario and answer the questions that follow. services to communities in int on strike over disagreements about the annual performai to close earlier on Fridays due to the rising crime rate. A. als & Posies, started offering cheaper (3) 4.3.2. Classify BF's challenges according to the THREE business environments. 8) (4)Downloaded from Stanmore, BUSINESS OPERATIONS 4.5 State any FOUR sources of external recruitment. 4.6 Read the scenario below and answer the questions that follow. The HR manager of Mageba Traders has appointed Tara as an accountant. She was offered an employment contract that included hours of work, a tour of the premises and a probation period. 4.6.1 Quote TWO aspects of the employment contract from the scenario above. i . 46.2 Explain the the termination of an employment contract. 47 Discuss the impact of 1 only implemented by businesses. 4,8 Advise businesses on the quality indi¢ators of the purchasing function. TOTAL SECTION B: Se ampoES (4) (2) @) 6) (4) [40] 80Downloaded from Stanmore SECTION C Answer ANY ONE question in this section. Clearly indicate the QUESTION NUMBER of the chosen questi c question. The answer to the question must start on a NEW page, e.g. IN QUESTION 6 on aNEW page. Seep ae he QUESTION 5: BUSINESS ENVIRONMENTS (BUSINESS STRATEGIES) Businesses must regularly evaluate their Strategies to remain aligned with their goals in the ever-changing bu: e Integration strategies are vital for progress as well as de) sustainable in the market. External PESTLE factors can pre: 1ges to businesses. Businesses need to be proactive in order to deal Write an essay on business. in which you include the following aspects: + Outline the steps in strategy evaluation. + Explain THREE types of integration strategies. Discuss how the following PESTLE factors pose challenges to businesses: ©. Legal © Political o Environmental Recommend ways in which businesses can deal with the challenges posed by the PESTLE factors above. QUESTION 6: BUSINESS OPERATIONS (HUMAN RESOURCES FUNCTION) [40] Businesses should follow the correct recruitment procedure to find suitable candidates. They compile a job analysis to determine their recruitment needs. Human resources managers understand that their goals and objectives can only be achieved hin the business. They are also mindful of the Act on the human resources function. tment on businesses. ployment Equity Act (EEA) (Act 55 of 1998) on [40] TOTAL SECTIONC: 40 TOTAL: 150 ENDDownloaded from Stanmorephysics.com GAUTENG PROVINCE spacer PEPE OE LOT APRA MARKING GUIDELINES 32 pagesNOTES TO MARKERS PREAMBLE The notes to markers are provided for quality assurance purposes to ensure the following: (a) Fairness, consistency and reliability in the standard of marking (b) Facilitate the moderation of candidates’ scripts at the different levels (c) Streamline the marking process considefing the broad spectrum of markers across the province (4) Implement appropriate measures in the teaching, learning and assessment of the subject at schools/institutions of learning 1. For marking and moderation purposes, the following colours are recommended: Marker: Red DH: ‘Green District Moderator: Orange Provincial Moderator: Pink DBE Moderator: Turquoise 2. Candidates’ responses must be in full sentences for SECTIONS B and C. However, this would depend on the nature of the question. 3. Comprehensive marking guidelines have been provided but this is by no means exhaustive. Due consideration should be given to an answer that is correct, but: Uses a different expression from that which appears in the marking guidelines Comes from another credible source Is original A different approach is used NOTE: There is only ONE correct answer in SECTION A. 4. Take note of other relevant answers provided by candidates and allocate marks accordingly. (In cases where the answer is unclear or indicates a measure of understanding, part-marks should be awarded, for example, one mark instead of the maximum of two marks.) 5. The word ‘Submax' is used to facilitate the allocation of marks within a question or subquestion. 6. The purpose of circling marks (guided by ‘max’ in the breakdown of marks) on the right-hand side is to ensure consistency and accuracy in the marking of scripts as. well as for calculation and moderation purposes.10. 11. 12. ‘Subtotals to questions must be written in the right-hand margin. Circle the subtotals as indicated by the allocation of marks at the end of each question. This, must be guided by ‘max’ in the marking guidelines. Only the total for each question should appear in the left-hand margin next to the appropriate question number. In an indirect question, the theory as well as the response must be relevant and related to the question. Correct numbering of answers to questions or subquestions is recommended in SECTIONS A and B. However, if the*numbering is incorrect, follow the sequence of the candidate's responses. Ci 's will be penalised if the latter is not clear. No additional credit n for the repetition of facts. Indicate with an 'R'. The differentiation betweer ate’ and ‘critically evaluate’ can be explained as follows: 11.1. When ‘evaluate” is used, candidates are expected to respond in either a Positive/negative manner or take a neutral (positive and negative) stance, e.g. Positive: ‘COIDA eliminates time and costs spent ¥ on lengthy civil court proceedings.’ ¥ 14.2. When ‘critically evaluate’ is used, candidates are expected to respond in either a positive/negative manner or take a neutral (positive and negative) stance. In this instance candidates are also expected to support their responses with more in depth information, e.g. 'COIDA eliminates time and costs spent ¥ on lengthy civil court proceedings “, because the employer will not be liable for compensation to the employee for injuries sustained during working hours, as long as it can be proved that the business was not negligent ¥ NOTE: 1. The above could apply to ‘analyse’ as well 2. Note the placing cfitheltick (V) in the allocation of marks. ied by the nature of the question, the nin the marking guidelines and the context @, state, outline, motivate, recommend, suggest, (list not ¢) do not usually require much depth in candidates’ responses. Therefore, the mark allocation for each statementanswer appears at the end.13. 14. 14.4 14.2 14.3 14.4 14.5 12.2. Define, describe, explain, discuss, elaborate, distinguish, differentiate, compare, tabulate, analyse, evaluate, critically evaluate (list not exhaustive) require a greater depth of understanding, application and reasoning, Therefore, the marks must be allocated more objectively to ensure that assessment is conducted according to established norms so that uniformity, consistency and fairness are achieved. Mark only the FIRST answer where candidates offer more than one answer for SECTION B and C questions that require one answer. SECTION B If for example, FIVE facts are required, mark the candidate's FIRST FIVE responses and ignore the restof the responses. Indicate by drawing a line across the unmarked portion. NOTE: 1. This applies only to questions where the number of facts is specified. b 2. The above also applies to responses in SECTION C (where applicable). If two facts are written in one sentence, award the candidate FULL credit. Point 14.1 above still applies. If candidates are required to provide their own examples/views, brainstorm this at the MSM to finalise possible alternative answers. Use of the cognitive verbs and allocation of marks: 14.4.1 Ifthe number of facts are specified, questions that require candidates to ‘describe/discuss/explain' may be marked as follows: Fact: 2 marks (or as indicated in the marking guidelines) © Explanation: 1 mark (two marks will be awarded in Section C) ‘The ‘fact’ and “explanation! are given separately in the marking guidelines to facilitate mark allocation. — If the number offects required is not specified, the allocation of marks must be informed by the nature of the question and the maximum. mark(s) allocated in the marking guidelines. ONE mark may be awarded for answers that are easy to recall, require one- word answers or is quoted directly from a scenario! case study. This applies specifically to SECTIONS B and C (where applicable).Downloaded from USINESS STUDIES s /BuSINE 1) Sneary SECTION C 15.1 The breakdown of the mark allocation for the essays is as follows: Introduction Maximum: Content eau: 32 Conclusion Insight 8 TOTAL 40 15.2. Insight consists of the following components: Layout/Structure jon, a body and a conclusion? Analysis and s x e to break down the question into Interpretation a adings/interpret it correctly to show d what is being asked? allocated using this guide: js addressed: 1 (ONE ‘A’) tion (16 to 32 marks): 1 (ONE ‘A’) Synthesis ‘Are there relevant decisions/facts/responses made based on the questions? Option 1: Only relevant facts: 2 marks (No '-S') Where a candidate answers 50% or more (two to four subquestions) of the question with only relevant facts; no “-S' appears in the left margin. Award the maximum of TWO (2) marks for synthesis Some relevant facts: 1 mark (One '-S') Where a candidate answers less than 50% (only one subquestion) of the question with only one OR some relevant facts; one '-S' appears in the left margin. Award a maximum of ONE (1) mark for synthesis. Some relevant facts: 1 mark (One '-S') Where a candidate answers FOUR subquestions, but one/two/three subquestion/s with no relevant facts; one '-S’ appears in the left margin. Award a maximum of ONE (1) mark for synthesis. No relevant facts: 0 marks (Two '-S') Where a candidate a one subquestion) of relevant facts; two “S' a Award a ZERO mark fof Originality Is there evidence of one or two exampl years, that are based on recent infonmé developments? TOTAL MARKS FOR ESSAY (8 + 32)NOTE: 15.3 15.4 15.5 15.6 15.7 15.8 15.9 No marks will be awarded for content repeated from the introduction and conclusion. 2. The candidate forfeits marks for layout if the words INTRODUCTION and CONCLUSION are not stated. 3. No marks will be allocated for layout, if the headings INTRODUCTION and CONCLUSION are not supported by an explanation. Indicate insight in the left-hand margin with a symbol e.g. (‘L, A, -S and/or 0’). The breakdown of marks is indicated at the end of the suggested answer! marking guidelines to each question. Mark all relevant facts until the SUBMAX/MAX mark in a subsection has been attained. Write ‘SUBMAX)/MAX’ after the maximum marks have been obtained but continue to read for originality ‘O' y At the end of each Sssay indicate the allocation of marks for facts and marks for insight as follows: (= Layout, A — Analysis, S — Synthesis, O — Originality) as shown in the table below. CONTENT MARKS. Facts 32 (max.) When awarding marks for facts, take note of the sub-maxima indicated, especially if candidates do not make use of the same subheadings. Remember, headings and subheadings are encouraged and contribute to insight (structuring/logical flow/sequencing) and indicate clarity of thought. (See MARKS BREAKDOWN at the end of each question.) If the candidate identifies/interprets the question INCORRECTLY, then he/she may still obtain marks for layout Ifa different approach is used by candidates, ensure that the answers are assessed according to the mark allocation/subheadings as indicated in the marking guidelines.15.10, 15.11 15.10.1 Award TWO marks for complete sentences. Award ONE mark for phrases, incomplete sentences and vague answers. 15.10.2. With effect from November 2015, the TWO marks will not necessarily appear at the end of each completed sentence. The ticks (v) will be separated and indicated next to each fact, e.g. ‘Product development is a growth strategy v, where businesses aim to introduce new products into existing markets.’ ¥ This will be informed by the nature and context of the question, as wellias the cognitive verb used. With effect! , the maximum of TWO (2) marks for facts shown as heat the marking guidelines, will not necessarily apply to each question. This id also depend on the nature of the question.Downloaded from ‘SECTION A (COMPULSORY) QUESTION 1 1 1.2 11 Byy 41.2 Ave VAC VV 114 BYY 11.5 Dv (5x2) (10) 1.2.1 Broad Based 1.2.2 National Consumé 1.2.3. induction vv 1.2.4 production vv" al (5x2) (10) 135 BYY (5x2) (10) TOTALSECTIONA: 30 BREAKDOWN OF MARKS QUESTION 1 MARKS 141 10 42 10 43 10 TOTAL 30SECTION B Mark the answers to the FIRST TWO question only. QUESTION 2: BUSINESS ENVIRONMENTS 24 rs of BBBEE - Management control v - Ownership ” - Enterprise and Supplier Developmént(ESD) v - Skills development ¥ - Socio-economic development/Soeial responsibility ~ NOTE: Mark the first FOUR,(4) only. (4x1) (4) 2.2. Rights of employees in terms of the Labour Relations Act/LRA - Employees may joina trade union of their choice. vv - Embark on legal strikes as a remedy for grievances. vv - Refer unresolved workplace disputes to the CCMA. vv - Refer unresolved CCMA disputes to the Labour Court on appeal. - Request trade union representatives to assist/represent employees in the grievance/disciplinary hearing. vv - Trade union representatives may take reasonable time off work with pay to attend to trade union duties. vv” - Establish a workplace forum, where a business has 100 or more employees, to resolve work-related issues. vv" Any other relevant answer related to the rights of employees in terms of the LRA. Max. (6)23 24 Skills Development Act 2.3, 23.2 Funding of SETAs Typ 1+ ~ Compliance with the Skills Development Act from the scenario - ZM encourages employees to improve their skills and to actively engage in leamerships. ¥ - They also assess the skills of employees to determine the areas in which skills development is needed. ~ NOTE: 1. Mark the first TWO (2) only. 2. Only award marks for responses that are quoted from the scenario, (2x1) (2) Skills Developmentievies are paid by employers to SARS as a collecting agency for the goverment. vv - Employers who have a salary bill that exceeds R500 000 per annum, should pay one percent (1%) of their annual salaries as a levy. “Vv - The different SETAs receive eighty percent (80%) of the levy for organisational expenses and the remaining twenty percent (20%) is paid to the National Skills Fund. vv - Donations/Grants are received from the public/businesses/CSI programmes. v - Surplus funds received from government institutions. vv - Funds received from rendering their services. vv Any other relevant answer related to how SETAs are funded. Max. (4) es of intensive strategies Market penetration vv Any New products penetrate an existing market at a low price, until it is well known to the customers and then the price increases. ¥ Businesses focus on selling existing products into existing markets to increase their market share. ¥ Businesses use marketresearch on existing clients to decide on how to improve their marketing imix. v = ‘campaigns such as lowering/reducing prices are used to ay -does not modify existing/current products or launch new products during market penetration. ¥ Embark on an intensive advertising campaign to increase awareness and Employ more sales staff to improve sales/services. ” other feleVantanswer related to market penetration as a type of intensive strategy. - = Strategy (2) Discussion (1) Submax (3) 10Downloaded from USINESS STUDIES (PAPER 1) Sneary Market development vv - Itis.@ growth strategy where businesses aim to sell their existing products in new markets. “ - Businesses target consumers in a potential market that is outside of its normal target market. ~ | Increasing sales of existing products by finding new ways to develop new markets. ~_Prices are restructured/reviewed to cater for customers/consumers of all income levels. v Any other relevant answer related to market development as a type of intensive strategy. Strategy (2) Discussion (1) ‘Submax (3) Product development - Itis a growth strategy where businesses aim to introduce new products into existing markets/modifies an existing product. v - Businesses generate new ideasidevelop new products/services for existing/current markets. “ - Businesses conduct test marketing/market research to establish whether new products will be accepted by existing customers. New products may be different/of a higher quality than those of competitors. Any other relevant answer related to product development as a type of intensive strategy. Strategy (2) Discussion (1) Submax (3) NOTE: Mark the first TWO (2) only. Max. (6) 25 25.1 — Porter's Five Forces model Porter's Five Forces model from the scenario PORTE'S FIVE FORCES MOTIVATIONS MODEL T. Bargaining power of They assessed how large corporate buyers/Power of buyers v¥"_| clients can negotiate for lower software licensing fees. “ 2. The threat of substitution’ —_| They also evaluated whether their substitutes vv technology solutions can be easily replaced with more affordable alternatives. v Submax (4) Submax (2) NOTE: 4. Mark the first TWO (2) only. 2. Award marks for Porter's Five Forces model even if the motivations were incomplete. 3. Do not award marks for motivations if the Porter’s Five Forces model was incorrectly identified. Max. (6) "Downloaded from USINESS STUDIES (PAPER 1) Sneary 2.5.2 Strategic management process OPTION 1 - Have a clear vision/mission statement/measurable/realistic objective “ in place. v - _ Identify opportunities/weaknesses/strengths/threats “ by conducting environmental scanning/situational analysis. v - Tools available for environmental scanning ¥ may include a SWOT analysis/Porter's Five Forces model/PESTLE analysis/industrial analysis tools. ¥ - Formulate alternative strategies v’ to respond to the challenges. v = Develop (an) action plan(s), v including the tasks to be done/deadiines. to be met/resources toybe procured. - _ Implement selected strategies v by communicating it to all stakeholders/organising business resources/motivating staff. - Continuously evaluate/monitor/measure strategies ~’ in order to take corrective action. Any other relevant er related to the strategic management process. . OR OPTION 2 Review/Analyse/Re-examine v their vision/mission statement. - Conduct an environmental analysis v using models such as SWOT/ PESTLE/Porter's Five Forces. ¥ - Formulate a strategy, “ such as defensive/retrenchment strategy. v - Implement a strategy, using a template such as an action plan. ¥ = Control/Evaluate/Monitor the implemented strategy v to identify gaps/ deviations in implementation. = Take corrective action v’ to ensure goals/objectives are met. Any other relevant answer related to the strategic management process. Max. (4) 2.6 Prohibition of the employment of children and forced labour as a provision of the Basic Conditions of Employment Act. ~ Itis illegal to employ a child v younger than 15 years of age. ¥ - Its also illegal v to force someone to work. ¥ - Businesses may employ children over the age of 15 years, v if employment is not harmful to their health/well-being/education/moral and social development ¥ - Children/Minors under 18 years of age may not do dangerous work ¥ meant for an adult. ¥ Any other relevant answer related to the Prohibition of Employment of Children and Forced Labour as a provision of the Basic Conditions of Employment Act. Max. (4) 12Downloaded from U USINESS STUDIES ELINES (PAPER 1) IGR12 062: Actions regarded as non-compliance with the Employment Equity Act (EEA), 1998 (Act 55 of 1998). Denying people access to the workplace based on gender/race/culture/etc. and treating them unfairly in the workplace. v = Treating workers unfairly and incorrectly promoting affirmative action in the workplace. v7 -_Refusing to employ a young woman because she would want to have children in future. vv - Doing HIV testing unless justified by the Labour Court. vv - _ Refusing to employaiperson beeause of strong religious/cultural beliefs, or because of a disability. - Harassing and victimisation an employee in any way is regarded as discriminatory according tothe EEA. vv Any other relevant answer related to any actions regarded as non-compliance according to the Employment Equity Act. _ QUESTION 2 | MARKS] MARKS: 24 4 2.2 6 2.3.1 2 4 6 6 4 4 4 40 2.3.2 24 25.1 2.5.2 2.6 2.7 TOTAL 13Downloaded from USINESS STUDIES s /BuSINE 1) Sneary QUESTION 3: BUSINESS OPERATIONS 3.1. Examples of employee benefits in the workplace Medical Aid Fund/Health Insurance Fund v Pension Fund “ Provident Fund ~ Funeral benefits Car/Travel/Housing/Cellphone/Clothing allowance ¥ Performance based incentives v Issuing of bonus shares ~ Staff discount/Free or low-cost meals/Canteen facilities v Any other relevant answer rel ples of employee benefits in the workplace. NOTE: Mark the fi UR (4x1) (4) 3.2 Selection procedure as a resources activity OPTION 1 Determine fair assessment criteria on which selection will be based. vv Applicants must submit the application forms/curriculum vitae and certified copies of personal documents/IDs/proof of qualifications. vv Sort the received documents/CVs according to the assessment/selection criteria. vv Screen/Determine which applications meet the minimum job requirements and separate these from the rest. vv Preliminary interviews are conducted if many suitable applications were received to identify suitable applicants. vv Reference checks/vetting process should be made/followed to verify work experience/ criminal recor’s/credltecords/qualifications on the CV. vv \didates identified. vv jected to various types of selection tests such applicants about the outcome of thei application ‘Some te the deadline for informing only successful Any other relevantahswer related to selection procedure as a human resources activity. OR 143.3 Downloaded from JUSINESS STUDIES (PAPER 1) OPTION 2 Receive documentation, such as application forms and sort it according to the criteria of the job. v“ Evaluate CVs and create a shortlis’Screen the applicants. v“ Check information in the CVs and contact references. vv" Conduct preliminary sifting interviews to identify applicants who are not suitable for the job, although they meet all requirements. v Assess/Test candidates who have applied for senior positions to ensure the best candidate is chosen. vv Conduct interviews with shortlisted candidates. vv Offer employment in writing fo the selected candidate(s). vv Any other relevant answer related to the selection procedure as a human resources activity, NOTE: The procedure can be in any order. Max. (6) Legal requirements of an employment contract 3.3.1 Legal requirements of an employment contract from the scenario. - The contract includes a code of conduct and code of ethics. v - CS explained that the employment contract can be renegotiated during the course of employment. v NOTE: 1. Mark the first TWO (2) only. 2. Only award marks for responses that are quoted from the scenario. (2x1) (2) 3.3.2 Other legal requirements of an employment contract. - Employer and employee must agree ” to any changes to the contract. v - No party may unilaterally change v aspects of the employment contract. - The employer and employee v must both sign the contract. v - The employer must explain the terms and conditions v of the employment contract to the employee. v - It may not contain any requirements that conflict “ /do not comply with the BCEA. v - Conditions of employment/duties/responsibilities of the employees ~ must be clearly stipulated. “ - The remuneration package, including benefits, v must be clearly indicated. ¥ - All business policies, procedures and disciplinary codes/rules v can form part of the employment contract. ” - The employer must allow the employee to thoroughly read through the contract ¥ before itis signed. v Any other relevant answer related to other legal requirements of an employment contract. NOTE: Do not award marks for responses that were quoted in QUESTION 3.3.1. Max. (4) 1534 35 The roles of the interviewer during the interview - Allocate the same amount of time to each candidate. v“ Introduce members of the interviewing panel to each candidate/interviewee. vv - - Make the interviewee feel at ease. v~ ~ Explain the purpose of the interview to the panel and the interviewee. vv ~ | Record interviewees’ responses for future reference. vv =~ Do not misinform/mislead the interviewee. vv ~—Provide an opportunity for the interviewee to ask questions. vv - Close the interview by thanking the interviewee for attending the interview. vv - Pose the same set of questions to all candidates/interviewees. vv Any other relevant answer related tolthe Toles of the interviewer during the interview. Max. (4) Differences between quality control and quality assurance QUALITY CONTROL QUALITY ASSURANCE |- System that ensures the desired quality is met by inspecting the final product. vv" - Checks carried out during and after the production process. vv - Ensures that finished products meet the required standards. vv ~ Ensures that required standards have been met at every stage of the process. vv - Process of ensuring that products are consistently manufactured to high standards. vv" - Processes put in place to ensure that the quality of products/ services/systems adhere to preset standards with minimal defects/delays/shortcomings. vv = Checks raw materials/employees! machinery/workmanship/products to ensure that high standards are maintained. vv = Ensuring that every process is aimed to get the product ‘right the first time’ and prevents mistakes from happening, vv” - Includes setting targets/ measuring performance and taking corrective measures. vv" = The ‘building in’ of quality as opposed to ‘checking of quality. vv Any other relevant answer related to quality control. Any other relevant answer related to quality assurance. Submax. (2) Submax. (2) NOTE: 1. The answer does not have to be in a tabular format. 2. The difference does not have to link but must be clear. 3. Award a maximum of TWO (2) marks if the difference is not clear/Mark either quality control or quality assurance only. Max. (4) 163.6 37 Downloaded from USINESS STUDIES (PAPER 1) Sneary TQM elements 3.6.1. TQM element applied by SFT in the scenario Adequate financing and capacity vv Max. (2) 3.6.2 Other advantages of adequate financing and capacity - Large businesses have sufficient financing v to test everything before implementing. ~ - They can afford to have systems in place v to prevent errors in processes/defects in raw materials/products. - Large businesses can afford high paid specialists v to conduct advanced training with employees. “ Can afford to purefase quality raw materials v and equipment. v Any other relevantanswWer rélafed to the advantages of adequate financing and capacity as a TQM element on large businesses. NOTE: Do not award marks for a response that is quoted from the scenario. Max. (4) Benefits of a good quality management system - Effective customer services are rendered, v resulting in increased customer satisfaction. ¥ - Time and resources v are used efficiently. - Productivity increases ¥ through proper time management/using high quality resources. v - _ Products/Services are constantly improved “resulting in increased levels of customer satisfaction. - _ Vision/Mission/Business goals v may be achieved. “ - Abusiness has a competitive advantage “ over its competitors. ¥ - Regular training will continuously improve v the quality of employees’ skills/knowledge. ¥ - Employers and employees will have a healthy working relationship v resulting in happy/productive workers. v - Increased market share/financial sustainability as more customers improves profitability. v Improves business image ¥ as there are less defects/retums. “ Any other relevant answer related to the benefits of a good quality management system. Max. (6) 73.8 Downloaded from U USINESS STUDIES LINES (PAPER 1) CRPIr Roles of quality circles as part of continuous improvement to processes and systems - » Solve problems related to quality and implement improvements. vv ~ — Investigate problems and suggest solutions to management. vv +, Ensure that there is no duplication of activities/tasks in the workplace. ““ - Make suggestions for improving systems and processes in the workplace. vv - Improve the quality of products/services/productivity through regular reviews of quality processes. vv - Monitor/Reinforce strategies to improve the smooth running of business operations. vv - Increase employees’ maotale/motivation to boost the team spirit in achieving organisational goals. vv - Contribute towards the improvement and development of the organisation. v-” - _ Reduce costs of redundaney\and wasteful efforts in the long run. vv - _ Increase the demand for products/services of the business. vv - Create harmony and high performance in the workplace. vv - Build a healthy workplace relationship between the employer and employee. v - _ Improve employees’ loyalty/commitment to the organisational goals. vv - Improve employees’ communication at all levels of the business. v “ - Develop a positive attitude/sense of involvement in the decision making processes of the services offered. vv ‘Any other relevant answer related to the role of quality circles as part of continuous [40] improvement to processes and systems. Max. BREAKDOWN OF MARKS QUESTION 3 | MARKS) 3.4 4 3.2 6 3.3.4 2 3.3.2 4 3.4 4 3.5 4 3.6.1 2 3.6.2 4 37 6 3.8 4 TOTAL 40 18Downloaded from JUSINESS STUDIES (PAPER 1) QUESTION 4; MISCELLANEOUS TOPICS BUSINESS ENVIRONMENTS 44 42 Rights as stipulated in the Consumer Protection Act/CPA Right to choose ¥ Right to privacy v Right to fair and honest dealings v Right to information about products and agreements/Right to disclosure and information ¥ Right to fair/responsiblé marketin@/prdmotion ¥ Right to fair value/good quality and Safety ~ Right to accountability by suppliers Right to fair/just and reasonable terms and conditions ~ Right of equality in the consumer market place ~ NOTE: Mark the first FOUR (4) only. (4x1) (4) Types of defensive strategies Divestiture vv Disposing/Selling some assets/divisions that are no longer profitable/productive. v Selling off divisions/product lines with slow growth potential. v Decreasing the number of shareholders by selling ownership. Paying off debts by selling unproductive assets. v Withdrawing/Divesting their investment share in another business. ~ Any other relevant answer related to divestiture as a type of defensive strategy. Strategy (2) Description (1) Submax (3) Retrenchment v ” Terminating the employment contracts/Letting go of employees for operational reasons/to reduce costs/expenses. v Decreasing the number of product lines/Closing certain departments may result in some workers becoming redundant. v Any other relevant answer related to retrenchment as a type of defensive strategy. Strategy (2) Description (1) Submax (3) 19Liquidation vv - Selling all assets/Bringing the business activities to an end to pay creditors due to lack of capital. ~ Selling the entire business in order to pay shareholders a fair price for their shares.v = Allowing creditors to apply for forced liquidation in order to have their claims settled. Any other relevant answer related to liquidation as a type of defensive strategy. Strategy (2) Description (1) Submax (3) NOTE: Mark the first TWO (2) only. Max. (6) 4.3. Challenges in the business environments CHALLENGES BUSINESS 43.1) ENVIRONMENTS _ |____(4.3.2) 1. Recently, their employees went on strike over Micro 7 disagreements about the annual performance bonus. ¥ 2. BF has to close earlier on Fridays due to the rising crime Macro 7 rate. 3. Anew competitor, Petals & Posies, started offering Market 7 cheaper flower arrangements. ‘Submai Submai NOTE: 1. Mark the first THREE (3) only. 2. Do not award marks for challenges that are not fully quoted from the scenario. 3. Do not award marks for the business environment if it is not correctly linked to the challenge. Max. (6) 20Downloaded from USINESS STUDIES LINES (PAPER 1) 44 Penalties for non-compliance with the National Credit Act =. The National Credit Regulator (NCR) may impose a fine/penalty on the business for non-compliance. ¥ + Businesses/credit providers may not charge any fee/interesVother charges under that specific credit agreement. vv The court may declare the granting of credit by the business as reckless, and may order consumers not to repay the credit/or part thereof to the business. v Businesses may not demand payment, sue or attach the clients/consumer's salaries/assets to repay debt. vv The business bears allicosts of removing the negative information of clients! consumers who were blacklis result of granting credit recklessly. Vv” The business lice ed for reckless granting of credit and gross violations contravenin Any other relevant ans\ ies for non-compliance with the National Credit Act. Max. (4) BUSINESS OPERATIONS. 4.5 Sources of external recruitment Printed media, e.9. newspapersif¥yers/magazines!/posters “ Electronic media, e.goradi fomevBusinass websites v 0 sources of external recruitment. NOTE: Mark the first FOUR (4) only. (4x1) (4) 246 47 Downloaded from USINESS STUDIES (PAPER 1) Sneary Employment contract 4.6.1. Aspects of the employment contract - Hours of work = Probation period v NOTE: Only award marks for responses that are quoted from the scenario. (2x1) (2) 4.6.2 Reasons for the termination.of.an employment contract - The employer may dismiss.an employee for valid reason(s), v .g., unsatisfactory job performance, misconduct, etc. - Employer may no longer have work v for redundant employees/cannot fulfil the contractlis restructuring. v - The employer may retrench some employees ~ due to insolvency/may not be able to pay the employees. v - Employees may decide to leave v and resign voluntarily for better job opportunities. ¥ - An employee may have reached the pre-determined age v for retirement.v - Incapacity of an employee to work due to iliness/injuries. v - By mutual agreement v between the employer and employee. The duration of the employment contract “ expires/comes to an end. v Any other relevant answer related to the reasons for the termination of an employment contract. Max. (4) Impact of TQM if poorly implemented by businesses - Employees may not be adequately trained v resulting in poor quality products. “ - Decline in productivity v, because of stoppages. ¥ - Businesses may not be able to make necessary changes to products/services v to satisfy the needs of customers. v - Businesses’ reputation/image may suffer v because of poor quality/defective goods. “ - Setting unrealistic deadlines ithat may not be achieved. -lavestors might withdraw invesiment ~ if there is a decline in profits. ¥ -| Customers will have many alternatives to choose from and the impact could be devastating oC - Declinein sales, as mor is are returned by unhappy customers. ¥ - High staff tumover “, ‘of poor skills development. ¥ - Undecum Icontrolled quality control processes/systems v could result in ovo aay rom pre-set quality standards. Any other (een ‘answer related to other impacts of TQM if poorly implemented by businesses.) Max. (6) 2248 Downloaded from U USINESS STUDIES LINES (PAPER 1) CRPIr Quality indicators of the purchasing function -_ Buy raw materials in bulk at lower prices. vv - Ensure that there is no break in production due to stock shortages. vv ~ Have a thorough understanding of supply chain management. v ¥ = Maintain optimum stock levels to avoid overstocking/reduce out-dated stock. Vv + Monitor and report on minimum stock levels to avoid stock-outs. vv ~_Required quantities should be delivered at the right time and place. = Implement and maintain stock control systems to ensure the security of stock. v ~ - Effective use of storage space and maintenance of product quality while in storage. vv ~ Select reliable suppliers thatF@ncerithe best quality raw materials/capital goods at reasonable prices.¥¥ - Place orders timeously and do regular follow-ups to ensure that goods are delivered on time. vv | - Effective co-ordination purchasing and production departments so that purchasing staff inceand requirements of the production process. vv - Involve suppliers in st planning/product design/material selection the quality control process. vv & - Establish relationships with suppliers so that they are in alignment with the business's vision/mission/values. vv Any other relevant answer(s) related to quality indicators of the purchasing function. Max. (4) [40] BREAKDOWN OF MARKS QUESTION 4 | MARKS 44 4 42 6 434 3 43.2 3 44 4 45 4 4.6.1 2 4.6.2 4 47 6 48 4 TOTAL 40 TOTAL SECTION B: 80 23SECTION C Mark the answers to the FIRST question only. QUESTION 5: BUSINESS ENVIRONMENTS (BUSINESS STRATEGIES) 5.1 5.2 Introduction - Evaluating @ business strategy is crucial to determine its effectiveness and keep up with ongoing changes..” - Companies can grow and improve their market position through different integration strategies. v - Businesses encodnter challenges from diverse PESTLE factors that can cause interruptions in their daily proGesses. ¥ - To address these challenges, businesses must remain informed and embrace sustainable practices. % Any other relevant introduction related to steps in strategy evaluation/types of integration strategies/PESTLE factors posing challenges to businesses/ways in which businesses can deal with challenges posed by the PESTLE factors. Any (2x1) (2) Steps in strategy evaluation - Examine the underlying basis of a business strategy. vv - Look forward and backwards into the implementation process. v - Compare the expected performance with the actual performance. vv - Determine the reasons for deviations and analyse these reasons. vv - Take corrective action so that deviations may be corrected. vv - Set specific dates for control and follow up. vv - Draw up a table of the advantages and disadvantages of a strategy. vv - Decide on the desired outcome as envisaged when strategies were implemented. v - Consider the impact of the strategic implementation in the intemal and external environments of the business. vv Any other relevant answer related to the steps in strategy evaluation. NOTE: Accept steps in any order. Max. (10) 24JUSINESS STUDIES Forward vertical integration v - Abusiness combines with or takes over its distributors “ down the supply chain/production chain. v/The business merges with businesses that were once their customers ¥, while still maintaining control of the initial/primary business activity. ¥ ~__ Involves expansion of business activities “ to gain control over the direct distribution of the products/services. ¥ - The business takes over the distribution system v and sells products/services directly to consumers/customers.1¥” - Increases profitability as the intermediary/distributor/middleman is excluded. “ Any other relevant answer related to forward vertical integration. > Strategy (2) Discussion (2) Submax (4) y Backward vertical integration v ~ - The business combines with/mergesitakes over its suppliers “ up the supply chain/production chain. v/The business expands its role to fulfil activities/tasks that were formerly/previously completed by suppliers. ¥ - Aims at decreasing the business's dependency v on the supplier. - Enables businesses to cut costs ’ and have influence over the prices/quality/quantity of raw materials. ” Any other relevant answer related to backward vertical integration. Strategy (2) Discussion (2) Submax (4) Horizontal integration vv - Abusiness takes control offincorporates other businesses v in the same industry/which produces/sells the same/similar goods/services. v / It is the acquisition/takeover of a related business “that operates at the same level of supply chain in the industry v - The aim is to reduce v the threat of competition/substitute products/services. - Increases the market snapepepesroe ¥ and enhances production/ distribution. - The business can streng production/distribution, - Suitabiaforbusinossos thal rate in multiple geographical areas v through joint vente oneal Any other relevant answer related to horizontal integration. pand its market share/position v and enhance Strategy (2) Discussion (2) | ‘Submax (4) Max. 25 (PAPER 1) Sneary (12)Downloaded from he jUSINESS STUDIES LINES (PAPER 1) 5.4 PESTLE factors posing challenges to businesses 5.44 6.4.2 543 Legal - Certain Acts may have a direct impact v on a business, e.g., the CPA/BCEA. “ = Legal requirements for operating certain types of businesses ¥ are time- consuming. ¥ - High legal costs involved in obtaining a licence/trademark/patent v may hinder some establishments. v Legalities of business contracts may limit business operations. v ‘Any other relevant answer related to how the legal PESTLE factor poses challenges for businesses! \ Submax. (4) Political - Some goverment policies v may affect businesses. v - Consumer rights organisations may prevent businesses from selling products ¥ if they do not meet certain requirements. “ - Trade agreements may prevent businesses from importing v some medicines/products. ¥ Any other relevant answer related to how the political PESTLE factors pose challenges for businesses. Submax. (4) Environmental - Chemicals/Ingredients in business’ products “ may be harmful to customers. v - Measures to dispose of business waste v may be expensive. v - Packaging of some products may not be environmentally friendly v and may not be recyclable. ¥ - The business may not be aware that its current practices v are environmentally unsustainable/contribute to environmental degradation. Any other relevant answer related to how the environmental PESTLE factor pose challenges for businesses. Submax (4) Max. (12) 5.5 Ways in which businesses can deal with challenges posed by the PESTLE factors 55.4 Legal - Comply with all relevant legislation that may impact on businesses. v7 - Comply with the legal requirements for operating businesses, e.g. licence/ trademark registration/patents. vv - Budget for high legal establishment costs. vv Businesses must know the legalities of business contracts so that they comply with all the requirements. vv Any other relevant answer related to the ways in which businesses can deal with the challenges that are posed by legal PESTLE factor. Submax (4) 2655.2 Political ~ , Research recent government policies. vv + Network and lobby with the NGOs and all consumer rights organisations. vv = Trade only with countries that have favourable trade agreements with the government. vv Any other relevant answer related to the ways in which businesses can deal with the challenges that are posed by political PESTLE factors. Submax (4) 5.5.3 Environmental - Chemicals/ingredieints Should be clearly indicated on labels/packaging to inform customers about possible side effects/correct use of products. v¥ - Implement cost effect\ve measures to dispose of medical waste. vv - Implement recycling measures to prevent pollution of the environment/Use packaging that is re-usable/recyclable. v¥ - Engage in envi tally sustainable practices such as the conservation’ preservation of natural resources. vv Any other relevant answer related to the ways in which businesses can deal with the challenges that are posed by environmental PESTLE factors. Submax. (4) Max. (12) 5.6 Conclusion - Evaluating a business strategy is crucial for ensuring that a company's plans remain effective and adaptable in a constantly changing environment. - By implementing different integration strategies, businesses can enhance their growth and strengthen their market position. v ¥ - Businesses must also identify challenges posed by various PESTLE factors, which can disrupt operations. vv - To effectively manage these challenges, businesses need to stay informed about external changes, adopt sustainable practices, and implement proactive strategies. vv Any other relevant conclusion related to steps in strategy evaluation/types of integration strategies/PESTLE factors posing as challenges/ways in which businesses can deal with challenges posed by the PESTLE factors. Any (1x2) (2) 27Downloaded from er eS auayass ST (PAPER 1) QUESTION 5: BREAKDOWN OF MARK ALLOCATION DETAILS MAXIMUM_|_TOTAL Introduction 2 Steps in strategy evaluation. 10 Types of integration strategies 12 PESTLE factors posing as challenges to businesses: o Legal 12 Max. 32 © Political o Environmental Ways in which businesses can deal with challenges posed by the PESTLE factors " Conclusion INSIGHT ] Layout Analysis, interpretation ‘Synthesis Originality/Examples TOTAL MARKS 40 LASO — For each component: Allocate 2 marks if all requirements are met. Allocate 1 mark if only some of the requirements are met. Allocate 0 marks where requirements are not met at all. NI ny) ny] ny} 28