Business Studies Grade 12 KZN Prelim 2019 Question Paper

education Department: Education PROVINCE OF KWAZULU-NATAL NATIONAL SENIOR CERTIFICATE GRADE 12 | " BUSINESS STUDIES : PREPARATORY EXAMINATION “ | “ SEPTEMBER 2019 : ¢ MARKS: 300 TIME: 3 hours This question paper consists of 18 pages.

Downloaded from hlayiso.com Business Studies September 2019 Preparatory Examination NSC INSTRUCTIONS AND INFORMATION Read the following instructions carefully before answering the questions. do This question paper consists of THREE sections and covers all broad topics. SECTION A: COMPULSORY SECTION B: Consists of FIVE questions. Answer any THREE of the FIVE questions in this section. SECTION C: Consists of FOUR questions. Answer any TWO of the FOUR questions in this section. a Read the instructions for each question carefully and take particular note of what is required. 3. Number the answers correctly according to the numbering system used in this question paper. NO marks will be awarded for answers that are numbered incorrectly. 4. Except where other instructions are given, answers must be in full sentences. oy Use the mark allocation and the 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 | TIME (minutes) A: Objective type questions COMPULSORY 1 40 7 2 60 30 B: FIVE direct/indirect type 3 60 30 questions (CHOICE: Answer 4 60 30 any THREE) 5 60 30 6 60 30 7 40 30 C: FOUR essay type questions 8 40 30 (CHOICE: Answer any TWO) 9 40 30 10 40 30 TOTAL: 300 180 7. Begin the answer to EACH question on a NEW page, e.g. QUESTION 1 — new page, QUESTION 2 — new page, etc. Cy You may use a non-programmable calculator. 9. Write neatly and legibly. Copyright Rese-ved Please Turn Over

Business Studies Downloaded from hlayiso.com September 2019 Preparatory Examination nae SECTION A: (COMPULSORY) QUESTION 1: MULTIPLE CHOICE 1.41 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 (1.1.1 to 1.1.10) in the ANSWER BOOK, e.g. 1.1.11 D. 1.1.1. Ownership, management and control are pillars of this Act. vouD Labour Relations Act, 1995 (Act 66 of 1995) Broad-Based Black Economic Empowerment Act, 2003 (Act 53 of 2003) Basic Conditions of Employment Act, 1997 (Act 75 of 1997) Skills Development Act, 1998 (Act 97 of 1998) 1.1.2 Concentric diversification strategy refers to... A B- when the business adds a new product or service that is unrelated to existing products and which may appeal to existing customers. when a business acquires or merges with a business that is at the same production stage, but may offer a different product. when the business adds a new product or service that is related to existing products and which will appeal to new customers. when the business adds new products or services that are unrelated to existing products which may appeal to new group of customers. 1.1.3. An over-insured building implies that it is insured for ... vows equal to its book value less than its actual value more than its market value less than its replacement value 1.1.4. Tammy invested R4 000 in Money Bank at 10% per annum simple interest for three years. Money Bank will pay out ...... after three years when the investment matures. A ® Cc dD Copyright Reserved R5 200 R4 400 R5 324 R1 200 Please Turn Over

Downloaded from hlayiso.com Business Studies September 2019 Preparatory Examination NSC 1.1.5 Which ONE of the following is an advantage of corporate social responsibility in a business? A-- Detailed reports must be drawn up B Increases financial risks Cc Projects must be constantly monitored (D’ Good publicity to improve reputation 1.1.6 Gomez Ltd is not only concerned about their financial position, but also about their social and environmental successes. They therefore report on...... performance. A social B profitability Cc triple bottom line D sales 1.1.7 The right of employees to join trade unions is known as freedom ... A speech. B expression. Cc movement. D association. 1.1.8 Team dynamic theories helps businesses to ... A allocate tasks to team members with similar personalities. B establish good relationships with teams € promote total satisfaction. D allocate tasks according to the roles of team members. Pee procedure matches the requirements of a post with the strengths of a candidate. & remuneration B recruitment C~- placement D induction 1.1.10 Total Quality Management requires the involvement of ... only the supervisors. only top level and middle- level managers. everyone in the organization. only the bottom level workers. (10 x 2) (20) Cour Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Business Studies 5 September 2019 Preparatory Examination nian 1.2 Complete the following statements by using the words 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. ten; interview; internal; RAF; charismatic; UIF; workplace forums Consumer Council; external; CCMA; autocratic; eight; induction. 1.2.1. Workers are allowed to work a maximum of ... hours overtime per week, oa (1 1.2.2 Workers with low morale can be inspired by the insight and personality of ... leaders. serra ey ig 1.2.3 Jane was unfairly discriminated by her manager. She referred her dispute to the ... for resolution. ye by bcs ried ‘\ 1.2.4 Jack Trading Enterprise used the ... method of recruitment when they advertised a vacant post on the notice boards. TA Asn ews 1.2.5 The... is a formal procedure conducted between the shortlisted candidates and the employer to fill a vacant post. (5 x 2) (10) Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Business Studies 6 September 2019 Preparatory Examination NSC 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 COLUMN B 1.3.1 National Skills Development A has triangles within a circle Strategy ee B return on investment at a financial institution 1.3.2 National credit regulator ¢, Cc excludes sharing of information amongst all levels of 1.3.3 Bargraph = management D guides the work of SETAs 1.3.4 Dividends ; = collects information relating to the Credit ratings of individuals 1.3.5 Peoples based management | F return on an investment in shares ' @B oversees compliance with the National Credit Act, 2005 (Act 34 of 2005) credit W human resource development strategy 4 a set of figures shown as a series of rectangles J keeps staff informed of latest quality standards (5 x 2) (10) TOTAL SECTION A: 40 Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Business Studies September 2019 Preparatory Examination nce SECiwn Db Answer ANY THREE questions from this section. NOTE: Clearly indicate the QUESTION NUMBER of each question that you choose. The answer to EACH question must start on a NEW page, e.g. QUESTION 2 on a NEW page, QUESTION 3 on a NEW page, etc. QUESTION 2: BUSINESS ENVIRONMENTS 2.1. List any FOUR components of the PESTLE analysis. (4) 2.2 Outline the role of SETAS. (8) 2.3. Read the scenario below and answer the questions that follow: DUDU’S SUPERMARKET (DS) Maureen Khoza is the sales manager at DS. She is entitled to 21 working days annual leave and overtime pay for working on public holidays. 2.3.1 Identify the Act that was applied by DS. Motivate your answer by quoting from the scenario above. (3) 2.3.2 Explain the purpose of the Act identified in QUESTION 2.3.1 (8) 2.4 Describe THREE types of defensive strategies. (9) 2.5 Explain how business could apply following forces from Porters FIVE forces model. 2.5.1 Power of suppliers (4) 2.5.2 Bargaining power/ Buyer power (4) Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Business Studies September 2019 Preparatory Examination nso 2.6 Read the scenario below and answer the questions that follow. WASHESHA BUS SERVICES (WBS) Ben and Mandy established the Washesha Bus Services to transport people to various destinations. They want to obtain a loan from the bank to finance their newly established business. The interest rate has increased by 0.5%. WBS employees are frequently absent from work. The business has lost clients to Johnny's Bus Service due to their lower prices and excellent quality services. 2.6.1 Name the business sector in which WBS operates. Motivate your answer by quoting from the scenario above. (3) Use the table below as a guide to answer the question 2.6.2, 2.6.3 and 2.6.4 below. Challenges Business environment Extent of control (2.6.2) (2.6.3) (2.6.4) 2.6.2 Quote THREE challenges that is affecting WBS (3) 2.6.3 Classify EACH challenge identified in QUESTION 2.6.2 according to their business environments. (3) 2.6.4 State the extent of control WBS has over EACH business environment mentioned in Q2.6.3. (3) 2.7 | Recommend ways in which a business can comply with the Compensation for Occupational Injuries and Diseases Amendment Act (COIDA) 1997 (Act 61 of 1997) (8) {60} Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Business Studies September 2019 Preparatory Examination NSC QUESTION 3: BUSINESS VENTURES 3.1. Name FOUR factors that should be considered when making an investment decision. (4) 3.2 Read the scenario below and answer the questions that follow: NDIMANDE’S SUPERMARKET (NS) Mr Ndimande owns a supermarket that is not insured. He approaches you to advise him on insurance as he wants to insure his business against fire and theft. 3.2.1 Identify the type of insurance that is applicable to the scenario above. (2) 3.2.2 Give TWO reasons why insurance is important for businesses. (4) 3.2.3. Explain the type of insurance that Mr Ndimande should consider to protect his dependants when he dies. (4) 3.3 Discuss the following principles of insurance: (a) Insurable Interest (4) (b) | Utmost Good Faith (4) 3.4 — Explain the functions of the Johannesburg Securities Exchange (JSE). (8) Copyright Reserved Please Turn Over

Business Studies 3.5 Read the scenario below and answer the questions that follow: Downloaded from hlayiso.com September 2019 Preparatory Examination Nec VUSI TRANSPORT (PTY) LTD The management of Vusi Transport (PTY) Ltd wants to expand the business but do not have sufficient capital to achieve this goal. 3.5.1 Name the form of ownership that is applicable to the scenario above. (2) 3.5.2 Describe how the following factors may influence the success and or failure of the form of ownership mentioned in QUESTION 3.5.1: (a) (b) Management Division of profits 3.6 Discuss the advantages of a state-owned company. 3.7 Evaluate the effectiveness of a bureaucratic leadership style. 3.8 Suggest THREE reasons why the employees may prefer the laissez-faire or free-reign leadership style Copyright Reserved (6) [60] Please Turn Over

Downloaded from hlayiso.com Business Studies onl September 2019 Preparatory Examination ner QUESTION 4: BUSINESS ROLES 41 4.2 4.3 4.4 45 Copyright Reserved Name any FIVE types of problem-solving techniques. Read the scenario below and answer the questions that follow: (5) MONTOBELLO MOTOR HOUSE (MMH) MMH specialises in selling motor vehicles to the public. A recent investigation by a journalist revealed the following: e Second hand vehicles are advertised as new. e Submission of incorrect vat returns to the South African Revenue Services. « Employees are taking longer than normal lunch breaks. 4.2.1 \dentify THREE types of unethical / unprofessional business practices from the scenario above. Motivate your answer by quoting from the scenario. Use the table below as a guide to answer question 4.2.1. (9) Types of unethical / unprofessional lotivation 4.2.2 Recommend ONE way in which MMH can address EACH of the unethical/unprofessional business practice identified in QUESTION 4.2.1. Explain how businesses can apply King Code principles of transparency and accountability to improve their ethical business practices. Discuss the impact of Corporate Social Responsibility (CSR) on businesses. Suggest THREE ways in which businesses could contribute to the wellbeing of employees. (6) (8) (6) (6) Please Turn Over

Downloaded from hlayiso.com Business Studies 12 September 2019 Preparatory Examination NSC 4.6 Identify the problem solving steps that are presented by each of the following statements. 4.6.1 Different options are considered before a decision is taken. (2) 4.6.2 The business is using the identified strategies to solve the problem. (2) 4.6.3 The reason for employee's poor performance is due to lack of skills. (2) 4.6.4 Checking whether the strategy is successful in solving the problem or not. (2) (8) 4.7 Discuss the advantages of creative thinking in the workplace (6) 4.8 Suggest strategies that businesses may use to protect the environment and human health. (6) [60] Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Busir--- S-#=- 13 QUESTION 5: BUSINESS OPERATIONS 5.1 5.2 5.3 5.4 5.5 5.6 5.7 State FIVE aspects that should be included in an induction programme. Outline the legal requirements of the employment contract. Read the scenario below and answer the questions that follow: September 2019 Preparatory Examination (5) (6) OTTAWA CONSTRUCTION (OC) Abel is the employee Ottawa Construction. Abel is remunerated according to the number of hours spent at worked and Brian according to the number of houses built. Abel’s employment contract has recently been terminated due to regular absence from work. 5.3.1 Identify the method of salary determination applicable to Abel and Brian. Motivate your answer by quoting from the scenario above. Use the table below as a guide to answer this question. (6) Method of salary woe Employee determination Motivation Abel Brian 5.3.2 Quote the reason for the termination of Abel's contract from the scenario above. (1) 5.3.3 Explain FOUR other reasons for terminating an employment contract. (8) Explain screening as part of the selection procedure. Elaborate on the meaning of quality management. Distinguish between quality control and quality assurance. Discuss impact on businesses if TQM is poorly implemented. Copyright Reserved (6) (4) (8) (6) Please Turn Over

Downloaded from hlayiso.com 14 NSC Business Studies September 2019 Preparatory Examination 5.8 Read the scenario below and answer the questions that follow: TRUBEL DESIGNERS (PTY) LTD Truman and Bell started a shirt design company. They agreed on sharing of duties. Truman will be in charge of buying all the raw materials whilst Bell will Control the selling and distribution of the shirts. 5.8.1 Identify the TWO business functions applicable to the scenario. Motivate your answer by quoting from the scenario above. (6) Use the table below as a guide to answer this question BUSINESS FUNCTION MOTIVATION ie 2. 5.8.2 Suggest TWO quality indicators of ONE business function identified in QUESTION 5.8.1 (4) [60] Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Business Studies September 2019 Preparatory Examination NSC QUESTION 6: MISCELLANEOUS TOPICS BUSINESS ENVIRONMENTS 6.1. Outline any THREE steps that businesses may use in strategy formulation. (6) 6.2 Analyse the impact of the Labour Relations Act, 1995 (Act 66 of 1995) on businesses. (8) BUSINESS VENTURES 6.3. Read the scenario below and answer the questions that follow: RAINBOW CONCEPTS (RC) Andile has recently completed a diploma in media relations. Rainbow Concepts (RC) has tasked him to design a multimedia presentation. The management also expects Andile to compile a written report as well as graphs illustrating comparative analysis of sales figures. 6.3.1 Identify TWO examples of non-verbal presentations from the scenario above. (2) 6.3.2 Outline the aspects that Andile should consider when designing a multimedia presentation. (8) 6.4 Discuss the role of personal attitude in successful leadership. (6) BUSINESS ROLES 6.5 List any FOUR economic rights of employees in the workplace. (4) 6.6 Outline the benefits of diversity in the workplace. (6) 6.7 Distinguish between professional and ethical behaviour in the workplace. (6) Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Business Studies September 2019 Preparatory Examination nse BUSINESS OPERATIONS 6.8 Identify the total quality management (TQM) element illustrated in EACH 6.9 statement below. 6.8.1 Employees are regularly trained to use the latest technology. 6.8.2 The CEO participates in decision- making at all levels of the company. 6.8.3 The management of Glenmore Bakery ensures that customer complaints are handled within 24 hours. 6.8.4 Sufficient capital and equipment are available to render quality services. _ (8) Elaborate on the implications of the Employment Equity Act, 1998 (Act 55 Of 1998) for the human resources function. (6) [60] TOTAL SECTION B: 180 Copyright Reserved Please Turn Over

Downloaded from hlayiso.com Business Studies September 2019 Preparatory Examination NSC SECTION C Answer ANY TWO questions. NOTE: Clearly indicate the QUESTION NUMBER of each question chosen. The answer to EACH question must start on a NEW page, e.g. QUESTION 7 on a NEW page, QUESTION 8 on a NEW page, etc. QUESTION 7: BUSINESS ENVIRONMENTS (STRATEGIES) Businesses operate in the dynamic environment that consists of many challenges. They are forced to develop strategies to overcome the challenges of market and macro-environment. All implemented strategies must be constantly reviewed. As an expert on business strategies, write an essay on the following aspects: Describe the strategic management process. Differentiate between market development and product development. Discuss diversification strategies. Advise businesses on the steps that should be considered when evaluating strategies. [40] QUESTION 8: BUSINESS VENTURES (PRESENTATIONS) Sipho is a young marketing manager at a large company. He has been requested by the CEO to make a sales presentation to the directors. Sipho decided to make use of slides and handouts to support his verbal presentation. Keep the scenario in mind and write detailed notes on the following aspects: Outline factors that must be considered when preparing for a presentation. Evaluate the effectiveness of PowerPoint presentations and hand-outs. Explain to Sipho how he should respond to feedback in a professional manner. Suggest ways in which Sipho can improve his next presentation. [40] Copyright Reserved . Please Turn Over

Downloaded from hlayiso.com Business Studies September 2019 Preparatory Examination Nsc QUESTION 9: BUSINESS ROLES (TEAM PERFORMANCE, CONFLICT MANAGEMENT AND PROBLEM SOLVING) TOGETHER WE ACHIEVE MORE The criteria for successful teams guide teams on how to go through the different stages of team development. Team leaders must be able to resolve conflict within teams in an effective manner. They must also be able to deal with difficult personalities in the workplace. With reference to the above statement, write an essay on the following aspects: Explain FOUR stages of team development. Discuss any THREE criteria for successful teams. Advise team leaders on how to handle conflict in the workplace. Suggest ways in which businesses can deal with the following types of difficult personalities in the workplace: 6 6. 6 o Indecisive o Aggressive [40] QUESTION 10: BUSINESS ROLES (HUMAN RESOURCE) JACKY ENTERPRISE Lesley is the human resource manager at Jacky Enterprise. He used the external recruitment method to advertise the vacant position. Lesley has to prepare for interviews with the shortlisted candidates. He is also mindful of the fact that his recruitment policies need to comply with the Skills Development Act (SDA), 1998 (Act 97 of 1998). Write an essay in which you address the following aspects: Outline the recruitment procedure as a human resource activity. Discuss the role of the interviewer when preparing for an interview. Analyse the impact of external method of recruitment. « Advise Lesley on the implications Skills Development Act on his department. [40] TOTAL SECTION C: 80 GRAND TOTAL: 300 Copyright Reserved

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