# Business Studies Grade 11 KZN November 2018 Paper & Memo

> Grade 11 Business Studies question paper and memo from the KZN November Exam 2018, 36 pages. Read online or get the free PDF download.

- Page: https://www.hlayiso.com/library/business-s-nov-qp-and-memo/35a64fff-fe9f-41c8-8c2d-b2c46de29458
- Updated: 2026-09-27
- Subject: Business Studies
- Grade: Grade 11
- Document type: Question paper and memo
- Year: 2018
- Exam period: KZN November Exam
- Curriculum: CAPS
- Pages: 36

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Business Studies · Grade 11 · KZN November Exam · 2018. Question paper and memorandum, 36 pages. Read online or download the PDF.

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education

Department:
Education
REPUBLIC OF SOUTH AFRICA

(— BUSINESS STUDIES >

GRADE 11

2018 - NOVEMBER EXAMINATION

NN /

EXAMINER : R NAIDOO MARKS : 300
MODERATOR : R GOVENDER DURATION : 3 hrs

This question paper consists of 13 pages.

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INSTRUCTIONS AND INFORMATION

Read the following instructions carefully before answering the question
1. This question paper consists of THREE sections :
e SECTION A : COMPULSORY

e SECTION B : CONSISTS OF FIVE QUESTIONS
CHOOSE ANY THREE QUESTIONS FROM THIS SECTION

e SECTION C ; CONSISTS OF FOUR QUESTIONS
CHOOSE ANY TWO QUESTIONS FROM THIS SECTION

2. Read the instructions carefully for each question and take particular note of what is required -

3. Number the answers correctly according to the numbering system used in the question
paper.

4, Except where the instructions are given, answers must be in full sentences.

5. Use the mark allocation and the nature of each question to determine the length of an
answer.

6. START EACH QUESTION ON A NEW PAGE.

7. Use the table below as a guideline for marks and time allocation when answering each
question and TICK the questions that you have chosen

SECTION QUESTION MARKS TIME

A. COMPULSORY ONE 40 24 min.

B. Five direct TWO 60 36 min.
Questions. THREE 60 36 min.
CHOOSE ANY FOUR 60 36 min.

THREE QUESTIONS FIVE =O 36 min,
SIX 60 36 min.

Cc. ESSAY Questions SEVEN 40 24 min.

CHOOSE ANY EIGHT 40 24 min.
TWO QUESTIONS NINE 40 34 min.
TEN 40 24 min.

TOTAL 300 180 min. (3hrs)

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SECTION A: COMPULSORY
QUESTION ONE : (40 marks)

Ld. Various options are provided as possible answers to the following questions. Choose the correct
answer and write only the letter next to the question number. E.G 1.1.11 B

1.1.1 Challenge of the micro environment :
A Competition
B_ Lack of vision and mission
C Changes in consumer behaviour
D Political changes
1.1.2 __ lending refers to granting small loans to people who cannot get credit from banks.
A Micro
B Market
C Macro
D Primary
14:3 Intermediaries operate in the sector of the economy.
A market
B_ primary
C secondary
D_ tertiary
1.1.4 Business is often defined as managing the triple bottom line.
A success
B sustainability
C profitability
D productivity

1.1.5 A partnership has

A limited liability and limited continuity

B_ unlimited liability and unlimited continuity
C limited liability and unlimited continuity

D_ unlimited liability and limited continuity

1.6 An advantage of using own funds as a source of funding for a business :

A No interest is paid on the funds

B_ Low interest is paid on the funds
C_ Low interest can be negotiated

D_ No interest is paid in the first year

PTO: /1.7

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1.1,7 The ____ theory argues that business processes need to be improved in order to deal
effectively with change.

A Kaizen model
B John Kotter’s change model
C Total quality management
D Business process re-engineered
1.1.8 The Belbin’s role theory is organised in three categories, namely
A cerebral, action and co-ordinator
B cerebral, action and people
C planter, specialist and monitor-evaluator
D shaper, implementer and completer-finisher.
1.1.9 The Act protects employees from unfair working conditions in the workplace.
A Basic Conditions of Employment
B Employment Equity
C Labour Relations
D Compensation for Occupational Injuries and Diseases
1.1.10 is the calculation to see how many units a business must make and sell before a profit is
made.
A Profit
B Total cost
C Cost per unit
D Break even analysis

(10 x 2) = 20

1.2 Complete the following statements by using the word(s) in the list below. Write only the word(s’ :
the answer book.

| Aeaulstion Belbin’s Role ‘Letter of appointment
| Ten Alliance Jungian
| Employment contract Eight Mortgage loan

1.2.1 An takes place when one business buys some or all of another business.

4.2.20 are loans used to finance the purchase of property.

1.2.3 team dynamics theory is based on the four functional types, namely thinking, feeling,
sensation and intuition.
1.2.4 Employees can only work a maximum of ____ hours of overtime a week.
1.2.5 is a written offer of employment made to the successful candidate.
(5x 2)=10

P.T.O.../1.3

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1.3 Match the terms in Column A with the correct description in Column B. Write only the correct

letter next to the question number. E.g 1.3.6 J

COLUMN A

COLUMN B

1.3.1 Strategic alliance agreement
1.3.2 Bank overdraft

| 1.3.3 Conflict

1.3.4 Globalisation

1.3.5 Internal recruitment

G

H

J

An example of group consensus
An example of power relations

The movement between countries of more and more
people, goods, capital and ideas.

Elimination of unfair discrimination

Short term loan from a bank

Finding employees from outside the business
An example of zoning

A disagreement between people

Long term loan from a bank

Finding employees from inside the business.

|
|
|
|
|
|
|
|
|
|
|
i
J

(5x2) =10

TOTAL SECTION A : 40

P.T.O..../SECTION B

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SECTION B

This section consists of FIVE QUESTIONS. Choose ANY THREE QUESTIONS from this section.
START EACH QUESTION ON A NEW PAGE.

QUESTION TWO : BUSINESS ENVIRONMENTS

2.1 Identify the term from the textbox for the statements/descriptions below.

Lobbying Acquisition Takeover
_Merger Alliance BEE

2.1.1 Is an agreement between businesses to pool their expertise.

2.1.2 It is a specific type of acquisition.

2.1.3 When two businesses join together to function as a new business.

2.1.4 Is a process where a business intentionally sends out a representative to influence high-level
decision-makers.

2.1.5 Is a form of affirmative action that businesses must comply with when employing and promoting
people. (5)

2.2 Read the scenario below and answer the questions that follow

RELIABLE COMPUTERS (RC)
RC specialises in the manufacturing of quality computers in Mtubatuba. Their suppliers are often unable to
deliver parts on time. The unfavourable exchange changes rates increased costs of production.
Management feels time spent on improving employees skills is a waste as it decreases profitability.

2.2.1 Identify the business sector in which RC operates. Motivate your answer by quoting from the
scenario above. (3)

2.2.2 Identify RC’s challenges according to the scenario and then classify them into the THREE(3)
Business environments. State the extent of control RC has over each business environment.

Draw the table below in the ANSWER BOOK to present your answer. (9)
CHALLENGE BUSINESS ENVIRONMENT EXTENT OF CONTROL 4
(a)
[(b) —
| {c) ae om

2.3 ‘The PESTLE Analysis is one of the tools used in environmental scanning to overcome challenges.’

2.3.1 Identify the business environment to which the PESTLE Analysis belong to. (1)
2.3.2 State any FOUR(4) challenges of the environment identified in 2.3.1 (4)
2.3.3 List the components of the PESTLE Analysis (6)

2.4 ‘Globalisation is the process where regional economies form a global economy. Although
Globalisation offers many advantages, it also presents many challenges.’

2.4.1 Explain FIVE(5) challenges of Globalisation (10)
PT.0v0/2.5

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2.5 Identify the SEVEN(7) criteria on the BEE Scorecard which is used to rate business on being BEE
Compliant (7)

2.6 Read the scenario below and answer the questions based on it

Big Bear Ranch is a cattle farm in Limpopo. They recently opened the OneStop Meat Butchery which
manufactures their own sausages. All Needs Stores sells a wide range of products to both business and
customers

2.6.1 Identify the business sectors which the various business enterprises mentioned above belong to.
Motivate your answer by quoting from the scenario. Copy and complete the table below. (9)

BUSINESS SECTOR REASON

BIGBEAR RANCH

ONESTOP MEAT BUTCHERY
ALL NEEDS STORE

2.6.2 Explain the business links/interrelationship between each sector. (6)

TOTAL : [60 marks}

QUESTION THREE : (BUSINESS VENTURES)
3.1 Identify the FORM OF OWNERSHIP referred to in each of the descriptions below:

3.1.1 Profits are shared according to the members percentage interest in the business.

3.1.2 Pay dividends to shareholders and is fisted on the JSE.

3.1.3 A group of people joining together to share resources and infrastructure.

3.1.4 Owners are jointly and severally liable for the debts of the business.

3.1.5 Owner takes all profits and is responsible for all debts. (5)

3.2 Read the scenario below and answer the questions that follow

SISAYA (PTY) LTD
| Sisay owns a manufacturing business called SISAYA (PTY) LTD. Due to business growth and the need for
' more capital, he decided to change his form of ownership. He registered his new form of ownership as

| SISAYA LTD.

3.2.1 Identify the new form of ownership that Sisay registered. Motivate your answer by quoting from
the scenario above. (3)

3.2.2 Tabulate FIVE(5) differences between his old form of ownership (SISAYA (PTY)LTD) and his
new_ form of ownership (SISAYA LTD) (10)

3.3 ‘The marketing manager of Broadway Bank has been invited to make a presentation on their
new marketing strategies.’

3.3.1 Identify any THREE(3) visual aids that can be used to enhance the presentation. (3)
3.3.2 Discuss the factors that need to be considered before making a presentation. (10)
P.T.O..../3.4

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3.4 Study the GANTT CHART below and answer the questions that follow

ACTIVITIES wki |wk2 |wk3 |wka [wks |wk6 |WKk7
BRICKWORK _

ROOFING
PLASTERING
ELECTRICAL
PLUMBING
3.4.1 What is the projected completion date? (1)
3.4.2 How long will the brickwork take? (1)
3.4.3 How long will the roofing take? (1)
3.4.4 Explain what is a GANTT CHART? (2)
3.4.5 Explain the benefits of an ACTION PLAN (8)
3.4.6 Is there a period when more than one activity is taking place? Identify and explain this

type of activity (4)
3.5 State SIX(6) factors to consider when setting up a business (6)

3.6 ‘In every business there is always ways to do things better, cheaper and more effective.’
Explain the action plan that can be used on the following areas for improvement :

3.6.1 Debt collection
3.6.2 Stock Control
3.6.3 Marketing (6)

TOTAL : [60 marks]

QUESTION FOUR : (BUSINESS ROLES)
4.1 State the problem-solving technique represented in each of the statements below:

4.1.1 Carl gives his employees the opportunity to suggest ideas randomly which are then written
on a flipchart.

4.1.2 The management of Tony’s Consulting have listed the forces for and the forces against changing
their business structure.

4.1.3 The employees of Shoba Fashions have been requested to quietly generate as many ideas as
possible and then to share them with the others.

4.1.4 The director of Jimmy’s Financial Services pretends to be sitting with someone when he makes
his own decisions. (8)

P.T.0..../4.2

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4.2 Read the scenario below and answer the questions that follow
Unleash Creativity in your Business

Make your organisation work better by encouraging creativity amongst everyone in the business.

Establish an environment which allows staff to be more involved in choosing the tasks that they will be
undertaking or at least how they will fulfil them. A staff member will become more creative when he/she
takes ownership of the task. It is vital that no ideas are crushed. Office hours are flexible so staff may
choose their own working hours, as long as they meet their deadlines.

Leading entrepreneurs will never say NO to an idea. They will encourage and grow ideas to suit the

business.
Make time for creativity. Lack of finance, lack of resources, poor working conditions, low morale and lack

of skilled employees hampers creativity

4.2.1 Quote a strategy from the scenario above that shows how creativity is encouraged. (2)
4.2.2 State any FOUR(4) barriers, from the scenario, which may prevent a business from engaging in
Creative Thinking (4)
4.3 Describe THREE(3) benefits of social investment for companies (6)
4.4 Explain FIVE(5) steps that management should follow when resolving conflict in the workplace (10)

4.5 ‘If stress is not managed effectively, it can get out of control, decrease productivity and
cause staff health issues.’

4.5.1 List FIVE(S) causes of stress in the workplace (5)
4.5.2 Identify FIVE(5) ways to manage stress (5)

4.6 ‘Industrial Relations is a term that refers to the relationship between employers and
employees and their representative bodies.’

4.6.1 Identify the ACT that outlines the relationship between employer and employee. (2)
4.6.2 List FOUR(4) forms of Industrial Action that employees and employers can embark on. (4)
1.6.3 Discuss the role of trade unions in the workplace. (10)

4.7 State FOUR(4) ways in which professional, responsible and ethical business practice should

be conducted (4)
TOTAL : [60 marks]

QUESTION FIVE : (BUSINESS OPERATIONS)
5.1 List the SEVEN(7) P’s of marketing (7)

5.2 Identify the marketing activity that applies to each of the following statements :

5.2.1 The safekeeping of products until the consumers need them.

5.2.2 Obtaining reliable information about the consumers to which the business is selling its products.
5.2.3 Covering the business against losses the business might suffer because of human, physical and

economic. (6)
P.T.O.../5.3

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5.3 Differentiate between ADVERTISING and PUBLICITY. Provide an example for each. (6)

5.4 ‘Branding distinguishes the goods of one manufacturer from another.’

5.4.1 What is a brand mark? (2)
5.4.2 Distinguish between PRIVATE LABEL BRANDS and MANUFACTURER BRANDS and give an
example for each. (6)

5.5 Read the scenario below and answer the questions based on it

RED TIN (PTY) LTD
Red Tin (Pty)Ltd manufactures large numbers of identical tins using a mass production system. They use
single-purpose machines. The machines need to be balanced so that there is continuous flow of goods and

effective use of the floor space in the factory.

5.5.1 Identify FOUR(4) characteristics of mass production from the scenario above. (4)
5.5.2 Explain the advantages of MASS PRODUCTION (10)
5.5.3 Recommend precautionary measures that RED TIN (Pty)Ltd should take with machinery (6)
5.6 Explain the difference between PIECEMEAL and TIME-RELATED salary determination system (4)
5.7 Identify THREE(3) employee benefits a company may offer (3)

5.8 Recommend ways in which business can comply with the Occupational Health and
Safety Act (Act No. 85 of 1993) (6)

TOTAL : [60 marks}

QUESTION SIX : (MISCELLANEOUS)

BUSINESS ENVIRONMENTS

6.1 List Porter’s Five Forces (10)

6.2 State how businesses form Power Relations (4)

BUSINESS VENTURES

6.3 Read the scenario below and answer the questions based on it
MEGA TRADERS |

Mega Traders uses flyers to advertise their products to the public. Dube is the owner and his main reasons |
| for the use of flyers is that it is inexpensive and he can design the flyers himself.

6.3.1 Quote TWO(2) reasons, from the scenario, why Dube decided to use flyers to advertise Mega

Traders products to the public . (2)
6.3.2 Mention THREE(3) guidelines that Dube should keep in mind when composing a flyer. (6)
6.4 Discuss the advantages of LEASING. {6)

P.T.O.../BUSINESS ROLES
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BUSINESS ROLES

6.5 Identify the stage of team development which is applicable to each of the following statements
below

6.5.1 During this stage the team members get to know each other.
6.5.2 The stage where the true character starts to show.
6.5.3 Team members are motivated and are working together. (6)

6.6 Identify the socio-economic issue which is applicable to each scenario below :

6.6.1 An increase in the price of fuel, fertiliser and agricultural products.

6.6.2 Mr Green sends sexual images to a female colleague.

6.6.3 Only the owner of intellectual property has the right to produce and copy.

6.6.4 Sometimes other countries will bring their excess, cheap products to the South African markets.

6.6.5 NUMSA affiliated members refuse to work in an effort to pressure employers to give in to
their demands. (10)

BUSINESS OPERATIONS
6.7 List FOUR(4) components of the marketing communication policy. (4)
6.8 State THREE(3) types of packaging. (3)

6.9 Read the scenario below and answer the questions that follow
CLEAR WATER LTD

Clear Water Ltd bottles and distributes bottled water. The total cost to produce 10 000 bottles
of water is R40 000.

Calculate the following :

6.9.1 Production cost per bottle (3)

6.9.2 Selling price per bottle if they want to make 40% profit on cost price (3)

6.9.3 Profit if they sell all 10 000 bottles (3)
TOTAL : 60

TOTAL SECTION B : 180

P.T.O.../SECTION C

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SECTION C - ESSAY

Answer ANY TWO QUESTIONS from this section. Start each question on a NEW PAGE.

QUESTION SEVEN : (BUSINESS ENVIRONMENTS)

Innovation changes the world. Think of something as simple as the shape of Toilet Duck or disposable
pepper grinders. Think of mobile phones. Brands like Apple and Virgin have built their businesses on the
idea that change can be very, very good for business. Our ability to adapt and evolve to a changing
environment will propel us forward. Business are faced by many challenges from all three environments.

| These environments change constantly and new challenges present themselves all the time. :

Bearing this statement in mind, you are required to :

© Identify any FIVE(S) Challenges in the Micro environment and explain how business can adapt to
each challenge

® identify any THREE(3) Challenges in the Market environment and explain how business can adapt
to each challenge

e Explain any THREE(3) Challenges posed by technological advances

@ Discuss any TWO(2) Solutions to Piracy
[40 marks]

QUESTION EIGHT : (BUSINESS VENTURES)

SNOWY BAKERY

Rick and Jacob have been running a bakery for the past five years. They both agree that they want to
expand their business. Rick suggests that they open more branches in other towns. Jacob thinks it would
be better to register their business as a franchise. They decided that they need more information about a
franchise business.

Snowy Bakery contacted you as an independent business advisor to provide them with more informatio:
Your report must include the following :

e Elaborate on the meaning of a franchise
e Explain the advantages and disadvantages of a franchise
e@ Discuss the TWO parties involved in a franchise

e Advise Snowy Bakery on the contractual obligations of a franchise
[40 marks]

P.T.O.../QUESTION NINE

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QUESTION NINE : (BUSINESS ROLES)

TINY TOTS MANUFACTURERS (TTM) a

Cameron is the manager of Tiny Tots Manufacturers (TTM). He has noticed that many conflicts have been
experienced by many of his staff over the last few weeks.

After much investigation in to the problem, he has found that the cause of the conflicts arose from
workload due to the recent retrenchment and lack of communication.

i}
|
|

Cameron wants to enlighten/train his supervisors on how to deal with the problem. He has decided to do
the following:

° List the steps to the problem-solving cycle.
° Identify any FIVE(5) characteristics of difficult people.
e Explain ways in which supervisors can approach/deal with the difficult people/staff you have
identified.
e Discuss the steps to the grievance procedure,
[40 marks]

QUESTION TEN : BUSINESS OPERATIONS

“Joe is the human resource manager of Spring Water Ltd. He is responsible for the selection and induction
of new employees. Spring Water Ltd has to appoint a new bookkeeper within the confines of the
Employment Equity Act (EEA) (Act no. 55 of 1998) _ |

As a human resource consultant/specialist, address the following aspects :
e Briefly outline the contents that should appear in the employment contract
¢ Mention the advantages of an induction programme.
e Explain the recruitment process that Joe must follow when appointing the new bookkeeper
e Discuss the selection process that Joe must follow in order to find the most suitable candidate
[40 marks]

TOTAL SECTION C : 80

GRAND TOTAL : 300

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KZN — DEPARTMENT OF EDUCATION
GREENBURY SECONDARY SCHOOL
2018 - FINAL EXAMINATIONS
BUSINESS STUDIES — GRADE 11

SPECIAL ANSWER SHEET

300

NAME : Wiemo +  OUGGESTED ANSWERS

GR./DIV.

FOR EDUCATORS USE ONLY :

QUESTION TICK THE | MARKS | LEARNER’S

QUESTION MARK

ANSWERED
ONE 40
TWO 60
THREE 60
FOUR 60
FIVE 60
SIX 60
SEVEN 40
EIGHT 40
NINE 40
TEN 40
MODERATOR
CHECKER

GREENBURY SECONDARY SCHOOL
GR DEPARTMENT OF COMMERCE
Page 1 of 2 &

H.O.Y Pi

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SECTION A
QUESTION ONE
14
1.1.1 B 7
1.1.2 A v/
113 Dw
114 BY
115 D wv
11.6 A w
117 A vw
1.1.8 Bow
11.9 A W
1.1.10 D w
1.2
1.2.1. ACQUISITION i
1.2.2. MORTGAGE LOAN W/
1.2.3. JUNGIAN a
1.2.4 TEN uf

1.2.5 LETTER OF APPOINTMENT ¥/

1.3
131 B 7)
132. £ Y
13.3 H Y
134 CC Ww
135 J W

40

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SECTION B

QUESTION TWO

2.1
2.1.1 Alliance v
2.1.2 Takover

2.1.3 Merger Vv
2.1.4 Lobbying / &
2.1.5 BEE v
2.2
2.2.1 Secondary Sector. W/
“RC specialises in the manufacturing of quality computers in Mtubatuba. Vv 3
2.2.2
CHALLENGE BUSINESS ENVIRONMENT EXTENT OF CONTROL
(a) Suppliers are often unable to deliver parts on Market J Partial control
time v
(b) The unfavourable exchange rates increased Macro J No control
costs of production
(c) Management feels time spent on improving Micro Full control
employee skills is a waste as it decreases v Vv
profitability. 1
2.3
2.3.1 Macro environment V i
2.3.2 CHALLENGES IN THE MACRO ENVIRONMENT
e Changes in income levels v
e Political changes v
e Contemporary legal legislation V
® Micro lending v
e Globalisation
e Social values and Demographics
e Socio-economic issues 4Al = 4
° Technological advances ANY _—
waclis ceocernts Gattel veal: Legal: Envirk, G
2.3.3 Political; Economic; Social; Technological; Legal; Environmental —_

2.4

2.4.1_ CHALLENGES OF GLOBALISATION

A level of competition at disadvantages some developing countries

Countries taking loans*that they struggle to pay back

Strong nations advancing their interests’at the cost of | Neaker nations

Foreign investors taking advantage of exchange rates‘at the cost of locals

Financial crisisspreading all over the globe v

The rapid spread of dangerous diseases

The spread of invasive alien plants and animals lo
_—

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2.5 PILLARS OF BBBEE

e Ownership v
e Management 7
e Employment equity ¥
e Skills development v
e Preferential procurement ¥ 7
e Enterprise development ¥ =
e Socio-economic development ¥
2.6
2.6.1
BUSINESS SECTOR REASON
BIGBEAR RANCH Primary Ww BigBear Ranch is a cattle farm. v
ONESTOP MEAT BUTCHERY Secondary OneStop Meat Butchery manufactures their
W own sausages. v
ALL NEEDS STORE Tertiary AllNeeds Stores sells a wide range of
wW - 4 4
products to business and customers a
2.6.2 LNKS BETWEEN EACH SECTOR Vv
e The primary sector is, dependent on the secondary sector for equipment and on the tertiary

sector for services. v Vv
e The secondary sector is Bepeacent on the primary sector for raw materials and on the

tertiary sector for services. v
e The tertiary sector is dependent on the secondary sector for technology such as office

equipment and vehicles. /

TOTAL : 60

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UESTION THREE

3.1

3.1.1
3.1.2
3.1.3
3.1.4
3.1.5.

3.2
3.2.1

3.2.2

Close corporation
Public Company
Co-operatives
Partnership

Sole Trader

WSN

Public Company. ¥/
“He registered his new form of ownership as SISAYALTD.” / 32

SISAYA (PTY) LTD SISAYA LTD

Private company v e Public company v

Name ends with (Pty) Ltd Vv e Name ends with Ltd /
Not listed on the JSE v e ListedontheJSE Vv
Does not issue a prospectus and does e Issues a prospectus and invites the

not invite the public to buy shares v public to buy shares ¥ ;
Min. 1 director v e Min. 3 director v io

3.3

3.4
3.4.1

3.4.2

EXAMPLES OF VISUAL AIDS

Overhead projector Vv

Data projector /

Flip charts J

Whiteboard

Interactive whiteboard ANY 3
Video conferencing —
FACTORS TO CONSIDER BEFORE A PRESENTATION 7 Tics have + be used -
Who is your audiencé? Who is the tavqet market”? yecouse oF Me arty
Where will the presentatidn take place’ oO" Ppa ed -

Which part of the information*will be of particular interest to the recipients -

How can a arrange the materiaMo that it is easily understood”

How long“will the presentation be

Will it be verbal or done in another form io

What aids can be used to make the presentation more meaningful

GANTT CHART
An illustration of the duration of different activities on one timeline.

to

BENEFITS OF AN ACTION PLAN y,
Allows projects to achieve’a specified time frame. .

Allows the person responsible for achieving particular goals to be organised.

Acts asa gontml measure’as it sets a standard to which performance can be measured
against. * y ;

Activities can be prioritised according to its importance” g

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\-

3.4.3 Week 7
3.4.4 5 weeks v +
3.4.5 4 weeks v _
3.4.6 Yes. _ J

Parallel Activities. J aan

Activities can be done at the same time as other activities are being carried out.

3.5 FACTORS TO CONSIDER WHEN SETTING UP BUSINESS
Size of the business

The training needed for staff MA

The culture, morals and ethics of the business /

The approach to customer service f

The risk associated with the business /

The macro environment v b
The constant need for market research

3.6
3.6.1 DEBT COLLECTION J J
e Consider a new debt collection system and payment cycle.

3.6.2 STOCK CONTROL
e Anew software computer programme to help control the flow of stock.

\o

3.6.3 MARKETING ,
e Make use of other marketing methods, such as a website

TOTAL : 60

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QUESTION FOUR

4.1
4.1.1 Brainstorming vw

4.1.2 Force Field Analysis = W
4.1.3. Nominal Group Technique YW 9
4.1.4 Empty Chair Technique v/ =

4.2
4.2.1 “Establish an environment which allows staff to be more involved in choosing the tasks

that they will be undertaking or at least how they will fulfil them.” vy 2

4.2.2 Lack of finance; resources; poor working conditions; low morale; lack of skilled
employees. &
4.3 BENEFITS OF SOCIAL INVESTMENT J
e Upliftment programmes*can alleviate poverty

e Establishment of a social network in communities which increases the social integration of
the business in thes og communities

e Gaining of the trust*of investors

e Increasing of the appeal‘as an gmployer J

e Promotion of the communities‘in which they are active. J 3k2 = b

4.4 STEPS TO CONFLICT RESOLUTION J
Set the scene by ai and summarising the problem J

e Gather information'by listening to each party during,a meeting

e Establish apomman understanding of the problemvand identify the causes of the problem

e Brainstorm“possible solutions J io

e Find and negotiate a solution’ Auith both parties that can be implemented. —
4.5

4.5.1 CAUSES OF STRESS

Work overload

Unrealistic targets

Lack of power or influence 7

Long working hours = ¥

Lack of finances, human resources or physical resources J

Changes in job description

Changes in technology

Inadequate training ANY &

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4.5.2 WAYS TO MANAGE STRESS

4.6
4.6.1

4.6.2

4.6.3

Be aware of what creates stress for you v

Predict stressful situations and make changes where possible “
Apply good time-management skills v

Set realistic goals and targets ¥

Avoid conflict v

Get enough sleep

Eat healthy meals

Exercise regularly

Find an alternative relaxation technique

Follow a balanced lifestyle

(w

Labour Relations Act CL2R&) W

FORMS OF INDUSTRIAL ACTION
Go -slow ¥

Picketing ¥

Strikes

Lockouts 7

\~

ROLE OF TRADE UNIONS

Protect the interest Of its members v .

Advancing the interests"Of its members A

Negotiating agreements with gmployers ‘on pay and working conditions

Providing legal ang, financial advice J lo

Providing benefitsY’and education facilities to its members

4.7 PROFESSIONAL, RESPONSIBLE AND ETHICAL BUSINESS

Treat all employees equally v

Pay fair wages v

Don't start a business at the expense of another business”
Pay tax regularly v

Business actions must be transparent to all stakeholders
Business must be accountable for their decisions

FF

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QUESTION FIVE

5.1 7 P’s OF MERSETING
Price

5.2

5.2.1
5.2.2
5.2.3

5.3

Place Vv

Product v¥
Promotion ¥

People

Process

Physical environment Jv

IN

Storage wW
Locating the consumer/Market research WV
Insurance W/

\o-

ADVERTISING PUBLICITY

Is a paid and non-personal marketing e Isa free non-personal form of
communication tool - “/ communication that business can receive
EXAMPLE : adverts on TV, Internet through mass media

; e EXAMPLE : a newspaper reports a ,/
3 company dumping waste in the river. L L

5.4
5.4.1

5.4.2

BRAND MARK

Is the unique symbol or logo. WJ 2

PRIVATE LABEL BRANDS MANUFACTURER BRANDS

Are produced and solely owned by the e Are controlled aad produced by
retailer manufacturers and sold through different

E.G SPAR BRAND Vv retailers // E.G Koo ¥ 2

2.3
5.5.1

5.5.2

Manufactures large numbers of identical tins V

Use single-purpose machines

The machines need to be balanced so that there is a continuous flow of goods W
Effective use of the floor space in the factory. V

|=

ADVANTAGES OF MASS PRODUCTION J Vv
Products are manufactured ata lower cost*of production per unit
Division of labour"is possible

Handling of materialsYare restricted v

The production control pyocess is simple

Labourers can specialise’ in certain tasks v we

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5.5.3 REQUIREMENTS OF SAFE USE OF MACHINERY

5.6

All machinery and equipment must be correctly installed and safe to use. Wf

Workers must be properly trained on how to use machinery and must be informed of risks
when using the machinery W/

Regular safety checks must be carried out and machinery should be maintained and
serviced regularly W

Workers need to wear protective clothing and gear such as overalls, safety helmets, masks
and gloves when working with machinery and equipment. b
Develop a culture of safety in the workplace aa
Familiarise employees with safety procedures

PIECEMEAL Z TIME-RELATED L

Is work where the employee is paid’for / Is where the employee is paid’for the
the number of items he /she completes number of hours worked.

{=

5.7 EMPLOYEE BENEFITS

Medical aid Vv
Pension v
Travel allowance ¥
Cellphone allowance
UIF contributions

|b

5.8 COMPLIANCE WITH OCCUPATIONAL HEALTH AND SAFETY ACT

The Act requires every business to establish and maintain’a safe work environment.

The Act outlines the duty and the role‘of the safety representative of the business. v
The Act specifies that in the event of a dangerous situationYemployees must be informed
and precautionary measures must be put in place. ‘

All employees must co-operate and must follow the instructions given by the safety

representative.
Employees are also expected to report any unsafe situations to the safety representative. &

TOTAL : 60

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QUESTION SIX
BUSINESS ENVIRONMENTS

6.1 PORTER'S FIVE FORCES

e Power of buyers
e Power of suppliers “/
e Threat of new entry v/
e Threat of substitution v/ Ic
e¢ Competitive rivalry J/
6.2 POWER RELATIONS
e Strategic alliance agreements v
e Persuasion of large investors v ,
e Influence of a company representative / +
e Employee empowerment
BUSINESS VENTURES
6.3
6.3.1. He can design the flyers himself v 2
It is inexpensive f
6.3.2 FACTORS TO CONSIDER WHEN COMPOSING A FLYER
e Know your audience - design the flyer to suit them oe
e Use a catchy headline to attract attention
e Keep message simple, mentioning only crucial information ——~
e Use legible fonts and easy to read language
e Use “you” in the message to establish direct contact b
e Proofread the copy several times ~

6.4 ADVANTAGES OF LEASING

The lessor is usually a specialist in the field v J

Technicians are always on standby to offer advice and training.

Maintenance is carried out by qualified personnel’on a regular basis, according to the
contract.

The reputation of the company that leases the asset is at stake and it will ensure
that the lessee receives the best after-sales service.

Leasing costs are tax deductable.

The asset is used only until it is needed or until the end of the lease term.

It is easier to find finance for a lease agreement than for the purchasing of an 6
expensive asset, due to huge costs.

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BUSINESS ROLES

6.5

6.5.1 Forming stage ¥/ b
6.5.2. Storming Ww
6.5.3 Performing W/
6.6
6.6.1 Inflation W
6.6.2. Sexual harassment v/
6.6.3 Copyright vy 10
6.6.4 Dumping WwW =
6.6.5 Strikes Mf
BUSINESS OPERATIONS
6.7 COMPONENTS OF COMMUNCATION POLICY
e Sales promotion
e Advertising Vv
¢ Publicity v fas
e Personal selling v
6.8 TYPES OF PACKAGING
© Speciality packaging v
e Kaleidoscope packaging « Vv
e Re-usable packaging
e Multiple packaging/combination packaging
e Packaging for double use
6.9
6.9.1 PRODUCTION COST PER BOTTLE
f
40 000/49 a = R4 per bottle” a
6.9.2 SELLING PRICE PER BOTTLE
R4 x 4/100 = R1,60
Jo 3
R4+R1,60 = R5,60
6.10 PROFIT
Vv v v 3
R1,60 x 10000 = R16 000 ~

oR y /
jo000 KRS/60 = RSLeov - R4o0oo = Ri CoD

TOTAL :60

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SECTION C

QUESTION SEVEN : BUSINESS ENVIRONMENTS

7.1 INTRODUCTION
e The micro environment has the most impact on a business and is also the environment that

the business has the most control over.
e Business is faced with challenges from the micro, market and macro environment and has a

to adapt to these challenges.

7.2. CHALLENGES IN THE MICRO ENVIRONMENT AND BUSINESS'S ADAPTATION

CHALLENGE BUSINESS ADAPTATION
DIFFICULT EMPLOYEES v/ e Understand that this is often as a result‘of
unhappiness and frustration. /
e Improve conditions where possible and motivate
workers. LZ

LACK OF VISION AND MISSION uf e Establish clear strategic goals to give purpose that
directs their use of resources, as well as their

corporate culture.

LACK OF ADEQUATE MANAGEMENT e Ensure that management yadergoes constant

SKILLS ¥y training and development in specific tasks as well
as interpersonal skills v

TRADE UNIONS vf ® Communicate with trade unions’and be aware of
the legal rights of their workers. y

STRIKES AND GO-SLOWS v/ ° Deal with employees’ dissatisfaction as this could
disrupt daily operations. /

OUTDATED GOALS e Test that organisational goals are relevant to the
market and macro environments.

LACK OF TASK-SPECIFIC SKILLS e Ensure that workers are trained and their skills are
kept up-to-date with industry developments

INCREASED DEPARTMENTALISATION e Business functions become separate departments

as a business grows. Ensure that these
departments communicate and work together

SUB May (ic) towards organisational goals Sup max Cio
MAX. 20

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7.3 CHALLENGES IN THE MARKET ENVIRONMENT AND BUSINESSES’ ADAPTATION

CHALLENGE BUSINESS ADAPTATION

COMPETITION W « Be aware of competitors and their prices,”
influences and operations. '

e Consider the potential impact of competitors
raising or lowering prices and put strategies in
place to ensure that they do not lose customers

SHORTAGES OF SUPPLY V/ e Ensure that there are adequate supplies to carry

out their functions.

CHANGES IN CONSUMER TASTES AND e Be aware of and understand and adjust to

HABITS WV changes in demand‘and the behavioural patterns
of consumers.

DEMOGRAPHICS AND e Be aware of the diversity of the market’ and the

PSYCHOGRAPHICS WwW cultural and social influences on the choices
people make. °

SOCIO-CULTURAL FACTORS ¥4/ e Be aware of the social trends“and influential
campaigns that promote buying.

AWARENESS OF MARKET e Advertise the good or service through appropriate
channels

REGULATORS G ¢ Conform to the requirements of regulations in

SUB Max their industry. SUB MAC )
max. Gz)

7.4 CHALLENGES OF TECHNOLOGICAL ADVANCES
e Technological advances has led to job losses V//

e Anincrease in pollution Ww b
e Has resulted in expensive investments WV max 2

7.5 SOLUTIONS TO PIRACY

COPYRIGHT v/
e Refers to the exclusive rights granted to the creator of an original work.
e Copying of copyrighted work is illegal as the government wants to protect the copyright

holder and to prevent organised crime. sSubth)

PATENTS / V
e Is an exclusive right granted to an inventor for a limited period of time.

e It means the inventor can use or sell the patented product or process and other people
cannot. Sub Max C+)

TRADEMARKS ¥/ J
e Isasymbol, name or expression that shows the product comes from a particular b Wax oD)
manufacturer.“ This differentiates them from other products produced by other >

manufacturers. Max G)

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7.6 CONCLUSION
e The closer the environment to the business, the more impact it has on the business and the

greater the control that the business has over it. v/ a

BREAKDOWN OF MARK ALLOCATION

Details Max | Total
Introduction 2

Challenges of the micro environment and business 20
adaptation

Challenges of the market environment and business
adaptation |2 | Max 32

Challenges in technological advances 6
Solutions to piracy 4

Conclusion 2
INSIGHT

Layout

Analysis, interpretation
Synthesis
Originality/Examples
TOTAL MARKS

BININININ

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QUESTION EIGHT : BUSINESS VENTURES

8.1 INTRODUCTION

Other than starting a business from scratch or buying a business outright, there are
different ways of acquiring a business such as buying a franchise or leasing. \
These need to be carefully investigated and researched to minimise risk. v a

8.2 MEANING OF FRANCHISE

Franchising is the creation of an ongoing relationship wherexa franchisor sells the right to
use business concept that is already being used elsewhere to a franchisee for use in a

particular area.
A franchise is a right granted to an individual or group to market a business's goods or i

services within a certain area.

8.3 ADVANTAGES OF A FRANCHISE J

Lower‘initial start up cost needed.
It is easier to obtain financeY The reputation of the franchise helps secure finance from

banks. / /

The business will be able to use a recognised brand name and trademark.
The franchisor gives the business support“in the form of training, setting up the business,
how to operate the business and advice. “ ;

The business can communicate and share ideas‘with and receive support from other
franchisees in the network. “

Reduced"financial and business risk.”

Accounting records have to be audited giving the business financial creditability.

Running costs are lower due to centralised buying by the franchisor.

Any other relevant answer related to the advantages of a franchise. SuB MAX. 12

8.4 DISADVANTAGES OF A FRANCHISE J

The cost may be highemthan expected.

The initial costs of buying the franchise as well as royalties and the business may have to
agree to buy products from the franchise.

There may be restrictions in the franchise agreement ‘on how you can operate the business.
The franchisor may go out of business, Vv /
Other franchisees could give the brand bad name/reputation. V

It may be difficult to sell the business’together with the franchise.

A percentage of sales‘is usually shared with the franchisor.

Any other relevant answer related to the disadvantages of a franchise. WB Max, 12

MAX. 2b

8.5 PARTIES INVOLVED IN A FRANCHISE

FRANCHISOR v/ /
e The party who owns the rights and trademarks’ of a business and which grants the rights to

operate a branch of the business to another party‘in exchange for a fee and a portion of
the profits. v SUB Max. 4

FRANCHISEE v//
° The party who pays for a franchise in fees and a portion of the profits/ the person buying

the franchise. V §UB Max. 4
MAX. §

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8.6 CONTRACTUAL IMPLICATIONS OF A FRNACHISE

* The contract is between the franchisor and the franchisee

e The franchisee receives a licence to sell the goods or services in a specific area for a
specific period of time. Af

e The franchisee is obligated to follow the policies of the franchisor and the franchisor has
responsibilities to the franchisee V/

e The franchisee either pays a flat fee or a share of the profits WV
The franchise agreement also stipulates the pricing policy and the initial training of the
franchisee and staff 4/

e Any other relevant answer related to the contractual implications of a franchise. _— lo

8.7 CONCLUSION
e A franchise remains one of the most successful ways to start a business. V,/

e Any other relevant conclusion relating to a franchise.

\rs

BREAKDOWN OF MARK ALLOCATION

_ Details Max _| Total
Introduction 2
Meaning of Franchise 4
Advantages and disadvantages of a franchise 24 Max 32
Parties 8
Contractual implications \o
Conclusion 2
INSIGHT
Layout 2
Analysis, interpretation 2
Synthesis 2
Originality/Examples 2
TOTAL MARKS 40

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QUESTION NINE : BUSINESS ROLES

9.1 INTRODUCTION
e Conflict is a state of struggle or disagreement over an issue. d
e Managers need to ensure that conflict between employees does not impact on the 2
productivity of the business. =

9.2 STEPS TO THE PROBLEM-SOLVING CYCLE
Identify the problem Ww

Define the problem WwW

Formulate the strategy WwW

Decide to implement the strategy “/

Allocate resources W

Monitor the solving of the problem “/ ih
Evaluate to what extent the problem has been solved WwW

9.3 DEALING WITH DIFFICULT PEOPLE

CHARACTERISTIC WAYS TO APPROACH THE PERSON ”
Vv

e LAZY W/ e Give them short tasks“with tight deadlines
Constantly follow up,on their progress

Constantly reinforce the positive ”
Motivate them and praise them for good work

e NEGATIVE/INSECURE //

Find opportunities’for them to work in teams vo

Link them with team members that are outgoing and
inclusive

e Give tasks that do not involve being the centre of
attention

e WITHDRAWN uf

e INDISCRETE(GOSSIP) v/ e Ensure ui do not share’confidential information

with them ‘

e Reinforce the importance of discretion and
confidentiality, i

Give short taske”with tight deadlines‘
Constantly follow up on their progress
Give very few options for selection
Avoid open-ended questions

e INDECISVE yy

Address their behaviour in a mature and professional
way.

Do not confront them in front of others

Try to show them how their aggression affects others

e AGGRESSIVE

Make them see the positive in the change
Give them time to process each step of the change
process

e RESISTANT TO CHANGE

Give short tasks with tight deadlines to limit opportunity
for manipulation

Constantly follow up on their progress

Give few options for selection

e MANIPULATIVE

Give short tasks with tight deadlines
Give clear instructions and follow up on progress

e DISORGANISED

Constantly reinforce the positive
Motivate and praise them for good work max. 10

e OVERLY CRITICAL
Max. 10

e@ e|e ele

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9.5 GRIEVANCE PROCEDURE

Explain the grievance to the team leader, manager or supervisor who should work hard to

resolve the problem within a few days:
If the grievance js not resolved,“set up a meeting with the head of Human Resource

department. J V
The HR department should deal wine problem within 10 days 5
If the grievance is still not resolved,”a formal grievance form must be completed in writing.

A formal hearing“will be held with rejevant parties.
If the grievance is still not resolved’the employee can take the matter to CCMA and lodge

a dispute.

If still not resolved, matter can be taken to Labour Court. max . 12,

9.6 CONCLUSION

Listening respectfully and remaining calm and trying to understand the reason for people’s
behaviour are some of the guidelines to follow when dealing with difficult people. We

BREAKDOWN OF MARK ALLOCATION

Details Max_| Total
Introduction 2

Steps to the problem-solving cycle 14
Characteristics of difficult people 10

Ways to approach difficult people 10 Max
Grievance procedure 12
Conclusion 2

INSIGHT

Layout 2
Analysis, interpretation 2
Synthesis 2
Originality/Examples 2
TOTAL MARKS 40

|N

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QUESTION TEN : BUSINESS OPERATIONS

10.1 INTRODUCTION
e The human resource manager is responsible for recruiting and appointing competent and

skilled employees

e Itis important that the HR apne follows correct and fair procedures in recruiting,
selecting and interviewing.

e Any other relevant introduction

2

10.2 CONTENTS IN AN EMPLOYMENT CONTRACT
e The personal details of the employee
The details of the business or employer ¥

The title of the position v
A description of what the job entail v
The hours and conditions of work Vv

The salary package

The benefits

The overtime arrangements

The leave the employee is entitled to max. S
How to terminate the contract

10.3 ADVANTAGES OF AN INDUCTION PROGRAMME Ad

It allows new employees to settle in quickly and become productive and efficient employees
It increases motivation and enthusiasm vW/

It reduces staff turnover, lateness and absenteeism W/

It develops leadership and guidance

It ensures that all rules and regulations are known and understood

It reduces the need for long-term training and skills development wax. 8

10.4 RECRUITMENT PROCEDURE

Analysing the job W e Create a job description and specify the
characteris, istics and skills the applicant will
require

Deciding on the recruitment source J/ e Decide whether the company wants to fill the

position through internal or external
recruitment

Composing the advertisement W e Include the type of person needed, the skills
required, how to apply and the closing date of
application VW

Placing the advertisement Jl e Advertisements can be placed in appropriate

SVB. MAX. & places SUB. MAX. 4

Max . 12

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10.5 SELECTION PROCEDURE

Gathering and reading applications /

Va
The applicants’ skills must be compared to
those required by the advertisement’

Comparing a shortlist Vv

The interviewer should decide’on the most
suitable applicants

Conducting a preliminary interview and
relevant tests cA

Medical, personality and/or skills-based tests
may be conducted /

Conducting the main interview J

The intepviewer and the interviewee eae the
chance ‘to ask more in-depth questions

Choosing the most appropriate candidaty

The interviewer must identify the persorYbest
suited for the advertised job/

Consulting contactable referees and
checking other references Vv

Checks must be performed to confirm
character, skills and qualifications as provided
by the best applicant

Offering the job to the chosen candidate

An offer HENS sent to the applicant who has
been chosen BB. MAY. 14

BB MALT

10.6 CONCLUSION

MAX. 21

e The goals and objectives of businesses cannot be achieved without qualified and skilled

employees. VI
e Any other relevant conclusion.

BREAKDOWN OF MARK ALLOCATION

Details Max _| Total
Introduction 2

Contents of an employment contract 5

Advantages of an induction programme 8

Recruitment procedure 12 Mar 32
Selection procedure 21
Conclusion 2

INSIGHT

Layout 2
Analysis, interpretation 2
Synthesis 2
Originality/Examples 2
TOTAL MARKS 40

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