# Business Studies Grade 11 Eastern Cape November 2017 Memo > Grade 11 Business Studies memorandum from the Eastern Cape November 2017 (English), 35 pages. Read online or download the free PDF. - Page: https://www.hlayiso.com/library/bus-studies-gr11-memo-nov2017-english/60bab868-9084-4ea1-9ef3-41d7ed3f16da - Updated: 2026-09-27 - Subject: Business Studies - Grade: Grade 11 - Language: English - Document type: Memorandum - Year: 2017 - Exam period: Eastern Cape November - Curriculum: CAPS - Pages: 35 Breadcrumbs: [Home](https://www.hlayiso.com/) › [Library](https://www.hlayiso.com/library) › [Grade 11](https://www.hlayiso.com/library/grade-11) › [Business Studies](https://www.hlayiso.com/library/grade-11/business-studies) › [Business Studies Grade 11 Eastern Cape November 2017 Memo](https://www.hlayiso.com/library/bus-studies-gr11-memo-nov2017-english/60bab868-9084-4ea1-9ef3-41d7ed3f16da) ## About this document Business Studies · Grade 11 · Eastern Cape November · 2017 · English. Memorandum, 35 pages. Read online or download the PDF. Read it free online on the page above; download the PDF from there. ## Document text Text extracted from the PDF. Layout, diagrams and tables may not survive extraction. ### Page 1 Downloaded from hlayiso.com NATIONAL SENIOR CERTIFICATE GRADE 11 NOVEMBER 2017 BUSINESS STUDIES MARKING GUIDELINE MARKS: 300 This marking guideline consists of 35 pages. ### Page 2 Downloaded from hlayiso.com 2 BUSINESS STUDIES (EC/NOVEMBER 2017) NOTES TO MARKERS 1. Candidates’ responses for SECTIONS B and C must be in full sentences; however this would depend on the nature of the question. 2. A comprehensive marking guideline has 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 guideline  Comes from another source  Original  A different approach is used NOTE: SECTION A:  There are no alternative answers.  Each question has only one correct answer. 3. Take note of other relevant answers provided by candidates and allocate marks accordingly. (In cases where the answer is unclear or indicates some understanding, part-marks should be awarded, for example, one mark instead of the maximum of two marks.) 4. The word ‘sub-max’ is used to facilitate the allocation of marks within a question or sub-question. 5. 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. 6. In an indirect question, the theory as well as the response must be relevant and related to the question. 7. Incorrect numbering of questions or sub-questions in Section A and B will be severely penalised. Therefore, correct numbering is strongly recommended in all sections. 8. No additional credit must be given for repetition of facts. Indicate with an R. 9. Subtotals to questions must be written in the right-hand margin. Circle the subtotals as indicated by the allocation of marks. This must be guided by ‘max’ in memo. Only the total for each question should appear in the left-hand margin next to the appropriate question number. 10. SECTION B 10.1 If, for example, FIVE facts are required, mark the candidate’s FIRST FIVE responses and ignore the rest of the responses. Indicate by drawing a line across the unmarked portion or use the word ‘Cancel’. NOTE: This only applies to questions where the number of facts is specified. Copyright reserved Please turn over ### Page 3 Downloaded from hlayiso.com (EC/NOVEMBER 2017) BUSINESS STUDIES 3 10.2 If two facts are written in one sentence, award the candidate FULL credit. Point 10.1 above still applies. 10.3 If candidates are required to provide their own examples/views, brainstorm this to come up with alternative answers. 10.4 USE OF THE COGNITIVE VERB AND ALLOCATION OF MARKS 10.4.1 Where the number of facts are specified questions that require candidates to ‘explain/discuss/describe’ will be marked as follows:  Heading 2 marks  Explanation 1 mark (or as indicated in the marking guideline)  The ‘heading’ and ‘explanation’ are given separately to facilitate mark allocation. 10.4.2 If the number of facts is not specified, the candidate must be informed by the nature of the question and the maximum marks allocated. 10.5 ONE mark will be awarded for answers that are easy to recall, requires one-word answers, or is quoted directly from scenario/case study. This applies to SECTIONS B and C in particular. 11. SECTION C 11.1 The breakdown of the mark allocation for the essays is as follows: Introduction Content Maximum: 32 Conclusion Insight 8 TOTAL 40 Copyright reserved Please turn over ### Page 4 Downloaded from hlayiso.com 4 BUSINESS STUDIES (EC/NOVEMBER 2017) 11.2 Insight consists of the following components: Layout/ Is there an introduction, body, proper paragraphs and a 2 Structure conclusion? Analysis and Is the candidate able to breakdown the question into interpretation headings/sub-headings/interpret it correctly to show 2 understanding of what is being asked? Synthesis Are there relevant decisions/facts/responses made based on the questions? Marks to be allocated using this guide: No relevant facts: 0 (Two ‘-S’) Some relevant facts: 1 (One ‘-S’) Only relevant facts: 2 (No ‘-S’) 2 NB: 1. If there is no ‘-S’ allocated, award the maximum of TWO (2) marks. 2. Where a candidate answers less than 50% of the question with relevant facts, no ‘-S’ appears in the left margin. In this case award a maximum of ONE (1) mark. Originality Is there evidence of examples, recency of information, 2 current trends and developments? TOTAL FOR INSIGHT: 8 TOTAL MARKS FOR FACTS: 32 TOTAL MARKS FOR ESSAY (8 + 32) 40 NOTE: 1. No marks will be awarded for contents 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, Conclusion,’ etc. in ‘Insight’ is not supported by an explanation. 4. With effect from November 2017 a candidate will be awarded a maximum of ONE (1) mark for headings/sub-headings and ONE (1) mark for interpretation (16 or more out of 32 marks). This applies specifically to the analysis and interpretation part of insight. 11.3 Indicate insight in the left-hand margin with a symbol e.g. (‘L, A, S and/or O’). 11.4 The components of insight are indicated at the end of the suggested answer for each question. 11.5 Mark all the relevant facts until the MAXIMUM mark in a subsection has been attained. Write MAX after maximum marks have been obtained. Copyright reserved Please turn over ### Page 5 Downloaded from hlayiso.com (EC/NOVEMBER 2017) BUSINESS STUDIES 5 11.6 At the end of each essay indicate the allocation of marks for facts and marks for insight as follow: (L – Layout, A – Analysis, S – Synthesis, O – Originality) as in the table below. CONTENT MARKS Facts 32 (max.) L 2 A 2 S 2 O 2 TOTAL 40 11.7 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 sub-headings are encouraged and contribute to insight (structuring/logical flow/sequencing) and indicate clarity of thought. (See MARKS BREAKDOWN at the end of each question.) 11.8 If the candidate identifies/interprets the question INCORRECTLY, then he/she may still obtain marks for layout. 11.9 If a different approach is used by candidates, ensure that the answers are assessed according to the mark allocation/subheadings as indicated in the marking guideline. 11.10.1 Award TWO marks for complete sentences. Award ONE mark for phrases, incomplete sentences and vague answers. 11.10.2 With effect of from November 2015, the TWO marks will not necessarily appear at the end of each completed sentence. The ticks (√) will be separated and indicated next to each fact, e.g. “Product development is a growth strategy/where businesses aim to introduce new products √ into existing markets.” √ This will be informed by the nature and context of the question, as well as the cognitive verb used. 11.11 With effect from November 2017, the maximum of TWO (2) marks for facts shown as headings in the memo, will not necessarily apply to each question. This would also depend on the nature of the question. Copyright reserved Please turn over ### Page 6 Downloaded from hlayiso.com 6 BUSINESS STUDIES (EC/NOVEMBER 2017) SECTION A (COMPULSORY) QUESTION 1 1.1.1 D √√ 1.1.2 A √√ 1.1.3 D √√ 1.1.4 B √√ 1.1.5 D √√ 1.1.6 A √√ 1.1.7 D √√ 1.1.8 B √√ 1.1.9 C √√ 1.1.10 D √√ (10 x 2) (20) 1.2.1 acquisition √√ 1.2.2 mortgage loans √√ 1.2.3 Jungian √√ 1.2.4 10 √√ 1.2.5 letter of appointment √√ (5 x 2) (10) 1.3.1 B √√ 1.3.2 E √√ 1.3.3 H √√ 1.3.4 C √√ 1.3.5 J √√ (5 x 2) (10) BREAKDOWN OF MARKS 1.1 20 1.2 10 1.3 10 TOTAL 40 TOTAL SECTION A: 40 Copyright reserved Please turn over ### Page 7 Downloaded from hlayiso.com (EC/NOVEMBER 2017) BUSINESS STUDIES 7 SECTION B QUESTION 2: BUSINESS ENVIRONMENT 2.1 Socio-economic issues 2.1.1 Inflation √√ 2.1.2 Sexual harassment √√ 2.1.3 Copyright √√ 2.1.4 Dumping √√ 2.1.5 Strikes √√ (5 x 2) (10) 2.2 Challenges in the micro environment  Difficult employees √√  Lack of vision and mission statement √√  Lack of adequate managerial skills √√  The impact of unions √√  Strikes and go-slows √√  Skills shortages among employees √√  High employee turnover √√  Any other relevant answer related to challenges in the micro environment. NOTE: Mark the first FOUR (4) only. (4 x 2) (8) 2.3 Ways in which businesses can lobby for mutual trust  Processes of influencing √ legislation or parliamentary decision-making. √  Acquiring public support √ for an issue. √  Protesting against √ the enforcement of a new law. √  Grassroots lobbying √ appealing to the public to influence the decision of the government. √  Direct lobbying √ by contracting government directly to try and influence legislation. √  Hedging to try to reduce risk √ when unsure of possible price fluctuation. √  Purchase same or similar product from different markets √ at the same time. √  Bargaining sessions between organisation and trade unions √ to seek win-win situation. √  Adhere to the guidelines √ of regulators and supervisory bodies. √  Any other relevant answer related to ways in which businesses can lobby for mutual trust. Max (10) Copyright reserved Please turn over ### Page 8 Downloaded from hlayiso.com 8 BUSINESS STUDIES (EC/NOVEMBER 2017) 2.4 2.4.1 Tertiary sector √√ (2) Motivation Blue Sky Airlines offer a service to consumers. √ (1) (3) 2.4.2 Classification of challenges and the extent of control Challenge Environment Extent of control Cash flow critical √ Micro Full control √√ Losing bookings to Cape Coast Airlines √ Market Little/Limited control/ influence √√ Increase in fuel costs √ Macro No control √√ Sub max (3) Sub max (6) Max (9) 2.5 Power relations  Build around BBBEE √ and empowerment of employees. √  Ability of a person’s power to influence √ other’s thoughts, actions or choices. √  Every party to a relationship possess a degree of power, √ i.e. power to strike √ /demand payment √/order material etc. √  Strategic alliances/Agreement √ between businesses leading to mutual benefits. √  Strategic allies do not want to lose √ mutual benefits. √  Strategic allies consider suggestions √ made by businesses in the alliance. √  Persuasion of large investors √ has power to influence other businesses. √  Secure goodwill of investors √ and listen to suggestions of investors. √  Influence on company representatives √ through agent or intermediary. √  Intermediary influence customers by handing out free samples √ and by recommendation of certain products by specialists/investors. √  Any other relevant answer related on how businesses form power relations. Max (8) 2.6 Impact of piracy on businesses  The businesses loses √ out on sales and income. √  The businesses loses √ out on productivity and profits. √  Leads √ to job losses. √  Businesses are reluctant to develop new talent √ due to the high risk involve. √  Any other relevant answer related to the impact of piracy on businesses. Max (6) Copyright reserved Please turn over ### Page 9 Downloaded from hlayiso.com (EC/NOVEMBER 2017) BUSINESS STUDIES 9 2.7 Ways to develop a strong relationship with suppliers  Management had to appoint someone reliable, ethical, a good negotiator and communicator. √√  Find and compare different suppliers. √√  Look at availability of suppliers and study their prices, quality service. √√  Deliver goods on time, in right quantities, right qualities at a right price. √√  Choose supplier who is B-BBBEE compliant. √√  Businesses enter into contract with certain supplier of product or service. √√  Ensure suppliers are paid promptly. √√  Not abusing their relationship by consciously returning goods. √√  Any other relevant answer related to ways in which businesses can develop a strong relationship with suppliers. Max (6) BREAKDOWN OF MARKS 2.1 10 2.2 8 2.3 10 2.4.1 3 2.4.2 9 2.5 8 2.6 6 2.7 6 TOTAL 60 [60] Copyright reserved Please turn over ### Page 10 Downloaded from hlayiso.com 10 BUSINESS STUDIES (EC/NOVEMBER 2017) QUESTION 3: BUSINESS VENTURES 3.1 Entrepreneurial characteristics/qualities  Ability to make sound decisions depends on the prior knowledge and experience. √  Ability to think creatively/do things in a new way to solve problems. √  Believe in own abilities so that they can reach their goals. √  Willingness to take risks and to make difficult decisions. √  Takes responsibility for his/her actions and accepts positive and negative outcomes. √  Motivates/directs people to create a positive working environment. √  Concerns for the well-being of the workforce by showing interest in personal issues. √  Has self-discipline and remains focussed. √  Has a positive attitude and will not be discouraged by setbacks. √  Can formulate the mission and vision and links it with the aims of the business. √  Changes difficulties into challenges and has the ability to be resilient. √  Has a clear vision and is able to achieve long term goals. √  Flexible/has the ability to adapt to change. √  Good management √  Communication skills √  Ability to see an opportunity and to change it into a profitable business. √  Good planner and organiser. √  Any other relevant answer related to the characteristics/qualities of a successful entrepreneur. NOTE: Mark the first FOUR (4) only. (4 x 1) (4) 3.2 Forms of ownership 3.2.1 Cooperatives √√ 3.2.2 Personal Liability company √√ 3.2.3 Non-profit company √√ 3.2.4 Private company √√ 3.2.5 Sole trader/Proprietorship √√ (5 x 2) (10) 3.3 Planning tools to transform a business plan into an action plan 3.3.1 Gantt chart  More sophisticated √ types of timelines that shows a work breakdown structure. √  Are bar charts or graphs √ that show the duration of each task against the progression of time. √  Used to identify what needs to be done √ by breaking a project down into smaller parts. √  Any other relevant answer related to Gantt charts. Sub max. (4) Copyright reserved Please turn over ### Page 11 Downloaded from hlayiso.com (EC/NOVEMBER 2017) BUSINESS STUDIES 11 3.3.2 Timelines  A visual representation √ of chronological information. √  A way of displaying √ a list of events in date order. √  A simple tool that lists all the activities that need to be done √ and the date order in which they will be completed. √  Any other relevant answer related to timelines. Sub max. (4) 3.3.3 Project planning  A detailed description of all the activities √ that needs to be completed to execute a project successfully. √  Consists of the actual plan, √ the scheduling of the task √ and risk management to protect the business from financial disaster. √  Any other relevant answer related to project planning. Sub max. (4) Max. (12) 3.4 3.4.1 Reasons for using flyers  Flyers are inexpensive. √  Flyers can be designed by Dube himself. √ NOTE: Mark the first TWO (2) only. (2) 3.4.2 Guidelines when composing a flyer  Write a title that will attract the reader’s attention. √√  Use graphics to attract attention. √√  Focus on the benefits of the products or services. √√  Identify points clearly. √√  Keep it simple with white space. √√  Use text boxes if space allows. √√  Do not use too many words. √√  Let someone proofread the contents. √√  Use bright paper and black text if budget does not allow for colour printing. √√  Offer a discount on the product or service. √√  Any other relevant answer related to the guidelines of composing a flyer. NOTE: Mark the first FOUR (4) only. Max. (8) Copyright reserved Please turn over ### Page 12 Downloaded from hlayiso.com 12 BUSINESS STUDIES (EC/NOVEMBER 2017) 3.5 Handling of feedback in a non-aggressive and professional manner  Stand up √ throughout the feedback session. √  Be polite/confident/courteous √ when responding to questions. √  Ensure that each question/comment is clearly understood √ before responding. √/Rephrase √ questions if uncertain. √  Should first listen √ and then respond. √  Provide feedback as soon as possible √ after the question was asked or after the session. √  Be direct/honest/sincere √ when responding to questions. √  Use simple language √ to support the examples used in the presentation. √  Keep the answer short √ and to the point. √  Encourage questions √ from the audience. √  Always address the question √ and not the person. √  Acknowledge good questions √ to motivate audience to ask more questions. √  Should not get involved in a debate √ when responding to questions. √  Should not avoid the questions √ if he does not know the answer, but rather promise feedback on it. √  Address the full audience √ and not only the person who posed the question.√  Any other relevant answer related to how to handle feedback after a presentation in a non-aggressive and professional manner. Max (10) 3.6 Advantages of leasing  The business gains the use of the asset with less initial expenditure √ than needed if the asset were purchased. √  The business can acquire the latest technology √ without having to invest large amounts of capital. √  The business does not have to carry the risk √ of expensive equipment becoming obsolete. √/The leased items are returned √ to the lessee at the end of the term of the lease. √  For the lessee the lease payments √ are tax deductible. √  Leasing improves the cash flow √ of the business. √  Leasing is regarded as an expense to the lessee √ and therefore is not regarded as debt. √  Leases are usually easier to obtain √ and have more flexible terms than loans for buying equipment. √  The lessor normally covers √ the maintenance and replaces any damaged parts or equipment. √  The asset can be returned √ to the lessor when it is no longer needed. √  Makes budgeting and planning easier √ and it provides better control over cash flow. √  Any other relevant answer related to the advantages of leasing. Max (6) Copyright reserved Please turn over ### Page 13 Downloaded from hlayiso.com (EC/NOVEMBER 2017) BUSINESS STUDIES 13 3.7 Factors considered before starting a business  Culture of the organisation √√  Ensure the code of conduct is in place. √√  Provision for on-going training. √√  Possible environmental changes √√  Possible risk factors √√  Planning and minimising the environmental impact on the business. √√  Action plan to satisfy the needs of customers. √√  Cutting of costs on unnecessary waste and expenditure. √√  The sources of raw materials/suppliers. √√  The sources of funding that the business would use. √√  The forms of ownership that will be used by the business. √√  The registration of the business. √√  The location/business premises to be used. √√  Any other relevant answer related to the factors that must be considered before starting a business. Max (8) BREAKDOWN OF MARKS 3.1 4 3.2 10 3.3 12 3.4.1 2 3.4.2 8 3.5 10 3.6 6 3.7 8 TOTAL 60 [60] Copyright reserved Please turn over ### Page 14 Downloaded from hlayiso.com 14 BUSINESS STUDIES (EC/NOVEMBER 2017) QUESTION 4: BUSINESS ROLES 4.1 Causes of conflict  Lack of proper communication between leaders and members √  Differences in backgrounds/cultures/values/beliefs/language √  Limited business resources √  Different goals/objectives for group/individuals √  Personality differences between group/individuals √  Different opinions √  Unfair workload √  Ill-managed stress √  Unrealistic expectations √  Poor organisation/leadership/administrative procedures and systems √  Confusion about scheduling/deadlines √  Ignoring rules/procedures √  Misconduct/Unacceptable behaviour √  High/Intense competition/Competitiveness √  Poor communication √  Unclear responsibilities √  Distracted by personal objectives √  Constant changes in the workplace √  Unfair treatment of workers/Favouritism by management/Discrimination √  Lack of trust amongst workers √  Any other relevant answer related to the possible causes of conflict in the workplace. NOTE: Mark the first FIVE (5) only. (5 x 1) (5) 4.2 4.2.1 Problem-solving technique Delphi technique √√ (2) Motivation To request a group of business experts to complete questionnaires. √ (1) Max (3) 4.2.2 Advantages of the Delphi technique  A group of experts will be used √ without bringing them together. √  Experts will give clear ideas/solutions √ on how to improve on low productivity/profitability. √  Panel members/Experts can give new information √ on problems. √  Information received from experts √ can be kept confidential. √  It reduces noise levels in an office environment √ since there is no group discussion. √  Panel members/Experts need to reach consensus, √ so that the best solution is found. √  All experts are given an equal opportunity to give their opinions, √ so no-one dominates the process. √  Any other relevant advantages related to the use of the Delphi technique in solving business problems. Max (6) Copyright reserved Please turn over ### Page 15 Downloaded from hlayiso.com (EC/NOVEMBER 2017) BUSINESS STUDIES 15 4.3 Advantages of creative thinking  Starts/Ignites business’s process of problem solving, √ as there are usually more problems and not enough solutions. √  Better/Unique/Unconventional ideas/solutions √ is generated. √  May give a business a competitive advantage √ if unusual/unique solutions/ideas/strategies are implemented. √  Complex business problems √ may be solved. √  Productivity increases √ as business’s management/employees may quickly generate multiple ideas to utilise time and money more effectively.√  Managers/Employees have more confidence √ as they can live up to their full potential. √  Managers will be better leaders √ as they will be able to handle/manage change(s) positively and creatively. √  Managers/Employees can develop a completely new outlook, √ which may be applied to any task(s) they may do. √  Leads to more positive attitudes √ as managers/employees feel that they have contributed towards problem solving. √  Improves motivation √ amongst staff members. √  Managers/Employees have a feeling of great accomplishment √ and they will not resist/obstruct once they solved a problem/contributed towards the success of the business. √  Business’s management/employees may keep up √ with fast changing technology. √  Stimulates brain function of employees/managers, √ as they are continuously pushed out of their comfort zone. √  Creativity may lead to new inventions √ which improves the general standard of living. √  Any other relevant answer related to the advantages of creative thinking in the workplace. Max (10) 4.4 Difference between ethics and professionalism ETHICS PROFESSIONALISM  Set of standards √ of expected  Knowledge and skills √ of a behaviour. √ profession. √  Set of values √ that are morally acceptable. √  Acceptable √ to society/group/  Used for the good √ of the community. √ employees/individuals. √  Forms part of the employees’ √  Apply a code of conduct √ set by the code of conduct. √ profession or business. √  Focus is on developing a moral  Focus is on upholding the reputation √ compass √ to use in decision of the business/profession. √ making. √  Seeks to avoid harm √ while  Conforms to a specific standard in promoting benefit to others. √ terms of quality and competence √ while also being legal and ethical. √  Any other relevant answer related to  Any other relevant answer related to ethics. professionalism Sub max (4) Sub max (4) Copyright reserved Please turn over ### Page 16 Downloaded from hlayiso.com 16 BUSINESS STUDIES (EC/NOVEMBER 2017) NOTE: 1. The differences must be clear. 2. Answer does not have to be in tabular format. 3. Award a maximum of FOUR (4) marks if the differences is not clear./Mark either ethics or professionalism only. 4. Accept paragraph style answer. Max (8) 4.5 4.5.1 Ways in which this project assists orphans and vulnerable children  Established a Child Care Forum. √  Identification of 80 OVC families to become beneficiaries. √  Training of 15 caregivers to be assigned to each of the households to monitor the progress of the children. √ NOTE: Mark the first THREE (3) only. (3 x 1) (3) 4.5.2 Citizenship roles and responsibilities of ABSA  Social responsibility √  Environmental sustainability √  Economic prosperity √  Product stewardship √  Procurement √  Product access √  Dualistic economy, apartheid legacy, poverty and HIV/Aids √  Any other relevant answer related to the citizenship roles and responsibilities that ABSA need to perform within the business environment. NOTE: Mark the first FIVE (5) only. (5 x 1) (5) 4.5.3 Role that ABSA can play in social and economic development of communities  Offering training √ to community members. √  Involvement √ in community upliftment programmes. √  Offering counsellors √ to council HIV and Aids patients and affected families to help them cope emotionally. √  Involvement in feeding schemes √ to distribute food donated by businesses. √  Active role √ in social welfare projects in the community. √  Help to solve √ environmental problems. √  Funding education √ by providing scholarships and bursaries. √  Encouraging employee √ volunteering. √  Educational development √ of staff. √  Funding √ local literacy programme. √  Any other relevant answer related to role that ABSA can play in development of communities. Max (4) Copyright reserved Please turn over ### Page 17 Downloaded from hlayiso.com (EC/NOVEMBER 2017) BUSINESS STUDIES 17 4.6 Theories of ethics 4.6.1 Consequential approach  Is linked to consequence-based √ theory/focuses on the consequences of an action. √  An act should be judged √ based on the effect it has on others. √  Something ‘useful’ needs √ to come from an ethical action. √  If the effect is good, √ the action can be seen as ethical. √  Any other relevant answer related to the consequential approach. Max (4) 4.6.2 The common good approach  It focusses on ensuring that the business’ values and ethical principles are in line √ with the society in which the business operates. √  It recognises that ethics and values vary √ from country to country and area to area. √  Any other relevant answer related to the common good approach. Max (4) 4.7 Strategies businesses can use to deal with affirmative action  Make the appropriate appointments to help previously disadvantages groups to achieve equality. √√  Business should change the proportion of previously disadvantaged people at all levels. √√  Business provides in-house training or sends employees on skill development courses. √√/Support the development process through accelerated coaching and mentoring. √√  Clear goalsetting and communication to ensure adaptation to affirmative action. √√  Business should ensure better understanding of affirmative action by employees with the use of an awareness/understanding session/campaign. √√  Business should not panic, but regain control over the situation. √√  Business should take time to adjust to affirmative action. √√  Business should obtain information about affirmative action and obtain expert advice to apply affirmative action. √√  Any other relevant answer related to strategies businesses can use to deal with affirmative action. Max (8) BREAKDOWN OF MARKS 4.1 5 4.2.1 3 4.2.2 6 4.3 10 4.4 8 4.5.1 3 4.5.2 5 4.5.3 4 4.6 8 4.7 8 TOTAL 60 [60] Copyright reserved Please turn over ### Page 18 Downloaded from hlayiso.com 18 BUSINESS STUDIES (EC/NOVEMBER 2017) QUESTION 5: BUSINESS OPERATIONS 5.1 Components of marketing communication policy  Sales promotion √  Advertising √  Publicity √  Personal selling √ NOTE: Mark the first FOUR (4) only. (4 x 1) (4) 5.2 Marketing activities 5.2.1 Storage √√ 5.2.2 Market research √√ 5.2.3 Insurance √√ (3 x 2) (6) 5.3 Differentiate between advertising and publicity ADVERTISING PUBLICITY  Paid for √ by the business. √  Free of charge √ to the business. √  Has control √ over the messages. √  No control √ over the message. √  Only positive. √  Can be positive or negative. √  Low level of credibility √ done by the  High level of credibility √ done by a business. √ third party. √  Not presented as news √ consumers  Presented as news √ consumers likely to ignore. √ likely to pay attention. √  Any other relevant answer related to  Any other relevant answer related advertising to publicity. Sub max (4) Sub max (4) NOTE: 1. The differences must be clear. 2. Answer does not have to be in tabular format. 3. Award a maximum of FOUR (4) marks if the differences is not clear./Mark either advertising or publicity only. 4. Accept paragraph style answer. Max. (8) 5.4 Importance of trademarks to businesses  Distinguish the business products √ from other manufacturers. √  To identify √ and distinguish it from other products. √  Enjoy legal protection √ and therefore cannot be copied by competitors. √  Trademarks are essential for marketing √ and advertising. √  Ensuring control √ of its market share. √  Trademarks create a good product image √ that can be trusted by consumers. √  Achieve a reputation for quality √ and value. √  The business can extend its product range √ because it is easy to market products under well-known and popular trademark. √  Any other relevant answer related to the importance of trademark to businesses. Max (8) Copyright reserved Please turn over ### Page 19 Downloaded from hlayiso.com (EC/NOVEMBER 2017) BUSINESS STUDIES 19 5.5 5.5.1 Characteristics of mass production from the scenario  Manufactures large numbers √ of identical tins. √  Use single-purpose machines. √  The machines need to be balanced √ so that there is a continuous flow of goods √ and effective use of the floor space in the factory. √ NOTE: Mark the first FOUR (4) only. (4 x 1) (4) 5.5.2 Advantages of mass production  Products are made quickly and in large quantities, √ which results in lower cost per unit. √  More products are made using the same machinery and workers, √ results in larger profits. √  Stock levels are kept low, √ reduces storage and other costs and improves cash flow in the business. √  Machines do most of the work, √ which means consistency, better quality goods and fewer mistakes, damages and losses as a result of human error. √  Workers are skilled to perform repetitive tasks, √ which results in higher productivity. √  Workers and machines are used to optimum levels √ because the production process is standardised. This saves costs and increases profits. √  Most of the work is done by machines, √ which means fewer workers are needed and labour costs are reduced. √  Quality control is easier to perform √ because the production system is continuous and the products are standardised. √  Any other relevant answer related to the advantages of mass production. Max (10) 5.5.3 Requirements of safe use of machinery  All machinery and equipment must be correctly installed and safe to use. √√  Workers must be properly trained on how to use machinery and must be informed about the risks when using the machinery. √√  Regular safety checks must be carried out and machinery should be maintained and serviced regularly. √√  Workers need to wear protective clothing and gear such as overalls, hard hats and safety helmets, ear plugs, masks, heavy-duty safety boots, welding goggles and gloves when working with machinery and equipment. √√  Develop a culture of safety in the workplace. √√  Familiarise employees with safety procedures. √√  Any other relevant answer related to the requirements of the safe use of machinery. Max (8) Copyright reserved Please turn over ### Page 20 Downloaded from hlayiso.com 20 BUSINESS STUDIES (EC/NOVEMBER 2017) 5.6 Differences between piecemeal and time-related salary determination system. PIECEMEAL TIME-RELATED  Remunerated for a specific piece of  Remunerated for the time/period work, √ regardless of hours worked/ worked, √ usually monthly or time taken to produce items. √ weekly. √  Calculation based on √ the piece of  Calculation based on √ an agreed work/number of items produced. √ hourly/daily/weekly/monthly rate. √  Any other relevant answer related to  Any other relevant answer related piecemeal/piece rate/piece work to time related remuneration. remuneration. Sub max (2) Sub max (2) NOTE: 1. The answer does not have to be in tabular format. 2. The differences must be clear. 3. Award a maximum of TWO (2) marks if the differences is not clear./Mark either piecemeal or time-related only. 4. Accept paragraph style answer. Max (4) 5.7 Compliance with Occupational Health and Safety Act  Employers who employ more than twenty employees must appoint at least one health and safety representative for every 100 employees. √√  Ensure health and safety of persons at work and during the use of plants and machinery. √√  Workers must be provided with protective gear to protect themselves against dangerous situations. √√  First aid boxes must be available at the workplace and in the factory. √√  Machinery must be maintained at regular intervals and repaired promptly. √√  Any other relevant answer related ways in which businesses can comply with the Occupational Health and Safety Act. Max (8) BREAKDOWN OF MARKS 5.1 4 5.2 6 5.3 8 5.4 8 5.5.1 4 5.5.2 10 5.5.3 8 5.6 4 5.7 8 TOTAL 60 [60] Copyright reserved Please turn over ### Page 21 Downloaded from hlayiso.com (EC/NOVEMBER 2017) BUSINESS STUDIES 21 QUESTION 6: MISCELLANEOUS TOPICS BUSINESS ENVIRONMENTS 6.1 Macro environment 6.1.1 Technological √√ 6.1.2 Economical √√ 6.1.3 Legal √√ 6.1.4 Political √√ 6.1.5 Social √√ (5 x 2) (10) 6.2 Ways in which businesses can differentiate itself from competitors.  Offering a different product or service. √√  Offering a more personal service. √√  Having a lowest price. √√  Having products of a superior quality. √√  Having well trained and knowledgeable staff. √√  Any other relevant answer related on ways a business can differentiate from its competitors. NOTE: Mark the first TWO (2) only. (2 x 2) (4) BUSINESS VENTURE 6.3 Visual aids 6.3.1 Handouts √√ 6.3.2 Flowchart √√ 6.3.3 Power point √√ 6.3.4 Pie-chart √√ (4 x 2) (8) 6.4 Sources of funding  Equity capital (own funds) √ - Money the owners of a business invest in the business √ - Owner’s savings √ - Shares issued √ - Retained profit √  Debt/loans √ - Money that has been borrowed √ - Loans from family or friends: √ the repayment agreement may be flexible and interest very low or none at all √ - Bank loans: √ the bank want some form of security, the business will be required to make regular interest payments on the loan √ - Mortgage: √ a particular type of bank loan that is used to buy property, usually a long-term loan and requires monthly repayments for the period of the loan √ - Debenture: √ the company borrows money from the public. √ The debenture holders receive a fixed interest rate on their money for a fixed period of time. √ The company must repay the amount of money borrowed at the end of the agreed period √ Copyright reserved Please turn over ### Page 22 Downloaded from hlayiso.com 22 BUSINESS STUDIES (EC/NOVEMBER 2017) - Lease or Hire purchase: √ involves monthly payments by the business for use of vehicles or equipment √ - Overdraft: √ a bank allows a business to take out more money than it has in its bank account √ - Trade credit: √ suppliers who provide goods and services to the business are often willing to wait a certain period for payment √  Other sources √ - Grants: √ money made available by government for small developing businesses √ - Venture capital: √ wealthy business people who want to invest in promising small businesses in return for a profit share in the business √ - Angel funding: √ financing is given for an ownership share in the business at its start-up √ - Any other relevant answer related to the sources of funding. Max (8) BUSINESS ROLES 6.5 Stage of team development 6.5.1 Forming √√ 6.5.2 Storming √√ 6.5.3 Performing √√ (3 x 2) (6) 6.6 Functions of workplace forums to resolve conflict  Prevent unilateral decision made by employers on issues affecting the employees. √√  Encourages workers participation in decision making. √√  Workplace forum has the right to be consulted by employer on: - Restructuring of work methods and new work methods √√ - Restructuring of workers √√ - Retrenching of workers √√ - Mergers and transfer of ownership √√ - Job grading √√ - Criteria for merits and bonuses √√ - Health and safety measures √√ - Measures to establish an affirmative action programme √√ - Partial or total closure of the business √√  To promote the interests of all employees in the workplace. √√  To promote efficiency in the workplace through co-operation. √√  To be consulted by an employer and to reach consensus about working conditions. √√  Any other relevant answer related to the functions of the workplace forum.Max (8) Copyright reserved Please turn over ### Page 23 Downloaded from hlayiso.com (EC/NOVEMBER 2017) BUSINESS STUDIES 23 BUSINESS OPERATIONS 6.7 Types of packaging  Speciality packaging √/packed in a certain way to create a certain image. √  Packaging for immediate use √/Unit packaging √/the package is effortless and easy to use the content. √  Re-useable packaging √/packaging can be used for the same purpose more than once. √  Packaging for double use √/the packaging can be used for something else. √  Kaleidoscopic packaging √/certain part of the packaging changes continuously. √  Combination packaging √/Two related items are packaged together. √  Unique packaging √/Consumer buy the product to obtain the container. √  Packaging for re-sale √/buying products in bulk to sell them separately on in smaller quantities. √ NOTE: Mark the first FIVE (5) only. (5 x 1) (5) 6.8 Calculations 6.8.1 Production cost per bottle 40 000 √ = R 4/bottle √ or √√√ Max (3) 10 000 √ 40 000 √/10 000 √ = R 4/bottle √ or √√√ 6.8.2 Selling price per bottle if they want to make 40% profit on cost price 40 R4 + (R4 x 100) = R4 √ + R1,60 √ = R5,60 √√ or √√√√ Max (4) 6.8.3 Profit if they sell all 10 000 bottles R1,60 (√√) x 10 000 √ = R16 000 √ or √√√√ Max (4) BREAKDOWN OF MARKS 6.1 10 6.2 4 6.3 8 6.4 8 6.5 6 6.6 8 6.7 5 6.8.1 3 6.8.2 4 6.8.3 4 TOTAL 60 [60] TOTAL SECTION B: 180 Copyright reserved Please turn over Text truncated here. 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