CIE IGCSE Topical Past Paper 1
1.5 Business objectives and stakeholder objectives
0450/11/O/N/2024
FSW is a multinational company with operations in 6 countries. It manufactures steel for use in the construction industry. Quality assurance is used to ensure quality production. FSW has many stakeholder groups who are interested in its activities. The Managing Director knows FSW’s business creates external costs. She is aware that pressure groups try to influence business decisions.
(b) Identify one objective each of the following stakeholder groups might have:
Employees:
Customers:
045/12/M/J/2024
Nicky wants to be a successful entrepreneur. She plans to start up a travel business specialising in walking holidays. Nicky will be operating in a niche market. She is preparing a business plan to help with her decision-making. Nicky has been told government support is available for business start-ups. She knows building customer relationships will be important.
Explain one way each of the following sections in the business plan might be helpful to Nicky. [6]
Business objectives:
Explanation:
Data about the market:
Explanation:
045/11/M/J/2024
CFG is a social enterprise. It buys cocoa beans from local farmers and then uses the beans to make chocolate. Being ethical is important to the business. CFG has developed a new chocolate bar. The Marketing Manager plans to use skimming as its pricing method, and retailers as its distribution channel for the new product. He knows there are many legal controls over marketing that might affect a business.
(a) Define ‘social enterprise’. [2]
045/12/F/M/2024
TCH is a small bakery producing pastries and cakes. It operates in the secondary sector. The added value of TCH’s products has increased since it opened 3 years ago. TCH uses non-financial methods to motivate its 6 employees. TCH’s business objectives have changed since it started up. One of
its new objectives is to expand. Many businesses use external recruitment when they expand.
(c) Outline two reasons why TCH’s business objectives might have changed. [4]
Reason 1:
Reason 2:
045/11/O/N/2023
Desmond wants to be a successful entrepreneur. He has decided to leave his office job to start up a gardening business cutting grass and planting flowers. It will be an unincorporated business. Desmond is aware that a new business is at greater risk of failure than an established business.
He has identified his business objectives for the first year. Desmond has calculated he will need $750 for his start-up capital.
(b) Identify two objectives a new business might have. [2]