# Business Studies Grade 12 NSC Supplementary 2016 Memo (Eng) > Grade 12 Business Studies memorandum from the NSC Supplementary Exam 2016 (English), 52 pages. Read online or download the free PDF. - Page: https://www.hlayiso.com/library/business-studies-feb-march-2016-memo-eng/5f028fc5-6bbc-4b6a-9820-bdd6f535dfe7 - Updated: 2026-09-27 - Subject: Business Studies - Grade: Grade 12 - Document type: Memorandum - Year: 2016 - Exam period: NSC Supplementary Exam - Curriculum: CAPS - Pages: 52 Breadcrumbs: [Home](https://www.hlayiso.com/) › [Library](https://www.hlayiso.com/library) › [Grade 12](https://www.hlayiso.com/library/grade-12) › [Business Studies](https://www.hlayiso.com/library/grade-12/business-studies) › [Business Studies Grade 12 NSC Supplementary 2016 Memo (Eng)](https://www.hlayiso.com/library/business-studies-feb-march-2016-memo-eng/5f028fc5-6bbc-4b6a-9820-bdd6f535dfe7) ## About this document Business Studies · Grade 12 · NSC Supplementary Exam · 2016. Memorandum, 52 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 12 BUSINESS STUDIES FEBRUARY/MARCH 2016 MEMORANDUM MARKS: 300 This memorandum consists of 52 pages. Copyright reserved Please turn over ### Page 2 Downloaded from hlayiso.com Business Studies 2 DBE/Feb.–Mar. 2016 NSC – Memorandum NOTES TO MARKERS PREAMBLE The notes to markers are provided for quality assurance purposes to ensure the following: (a) Fairness, consistency and reliability in the standard of marking (b) Facilitate the moderation of candidates' scripts at the different levels (c) Streamline the marking process considering the broad spectrum of markers across the country (d) Implement appropriate measures in the teaching, learning and assessment of the subject at schools/institutions of learning 1. For marking and moderation purposes, the following colours are recommended: Marker: Red Senior Marker: Green Deputy Chief Marker: Brown Chief Marker: Pink Internal Moderator: Orange DBE moderator Turquoise 2. Candidates' responses must be in full sentences for SECTIONS B and C. However, this would depend on the nature of the question. 3. A comprehensive memorandum 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 memorandum • comes from another source • original • a different approach is used. NOTE: There is only one correct answer in SECTION A. 4. Please 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.) 5. The word 'sub-max' is used to facilitate the allocation of marks within a question or sub-question. 6. The purpose of circling marks (guided by 'max' in the breakdown of marks) on the right-hand side is to ensure consistency and accuracy in the marking of scripts as well as for calculation purposes. 7. 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. Copyright reserved Please turn over ### Page 3 Downloaded from hlayiso.com Business Studies 3 DBE/Feb.–Mar. 2016 NSC – Memorandum 8. In an indirect question, the theory as well as the response must be relevant and related to the question. 9. Incorrect numbering of answers to questions or subquestions in SECTIONS A and B will be severely penalised. Therefore, correct numbering is strongly recommended in all sections. 10. No additional credit must be given for repetition of facts. Indicate with a 'R'. 11. Please note that no marks will be awarded for indicating Yes/No in evaluation type questions requiring substantiation or motivation. (Applicable for Sections B and C.) 12. The differentiation between 'evaluate' and 'critically evaluate' can be explained as follows: 12.1 When 'evaluate' is used, candidates are expected to respond in either a positive/negative manner or take a neutral (positive and negative) stance, e.g. Positive: 'COIDA eliminates time and costs spent√ on lengthy civil court proceedings.'√ 12.2 When 'critically evaluate' is used, candidates are expected to respond in either a positive/negative manner or take a neutral (positive and negative) stance. In this instance candidates are also expected to support their responses with more depth, e.g. 'COIDA eliminates time and costs spent√ on lengthy civil court proceedings√, because the employer will not be liable for compensation to the employee for injuries sustained during working hours as long as it can be proved that the business was not negligent.'√ NOTE: The above could apply to 'analyse' as well. 13. The allocation of marks must be informed by the nature of the question, cognitive verb used, mark allocation in the memorandum and the context of each question. Cognitive verbs, such as: 13.1 Advise, devise, name, state, mention, recommend, suggest, (list not exhaustive) do not usually require much depth in candidates' responses. Therefore, the mark allocation for each statement/answer appears at the end. 13.2 Describe, explain, discuss, elaborate, justify, analyse, evaluate, critically evaluate (list not exhaustive) require a greater depth of understanding, application and reasoning. Therefore, the marks must be allocated more objectively to ensure that assessing is conducted according to established norms so that uniformity, consistency and fairness are achieved. Copyright reserved Please turn over ### Page 4 Downloaded from hlayiso.com Business Studies 4 DBE/Feb.–Mar. 2016 NSC – Memorandum 14. SECTION B 14.1 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 'MAX'. NOTE: This applies only to questions where the number of facts is specified. 14.2 If two facts are written in one sentence, award the candidate FULL credit. Point 14.1 above still applies. 14.3 If candidates are required to provide their own examples/views, brainstorm this at the marking centre to finalise alternative answers. 14.4 Use of the cognitive verbs and allocation of marks: 14.4.1 If the number of facts are specified, questions that require candidates to 'describe/discuss/explain' may be marked as follows: • Fact 2 marks (or as indicated in the memorandum) • Explanation 1 mark The 'fact' and 'explanation' are given separately to facilitate mark allocation. 14.4.2 If the number of facts required is not specified, the allocation of marks must be informed by the nature of the question and the maximum mark allocated in the memorandum. 14.5 ONE mark may be awarded for answers that are easy to recall, requires one word answers or is quoted directly from a scenario/case study. This applies to SECTION B and C in particular (where applicable). 15. SECTION C 15.1 The breakdown of the mark allocation for the essays is as follows: Introduction Content Maximum: Conclusion 32 Insight 8 TOTAL 40 Copyright reserved Please turn over ### Page 5 Downloaded from hlayiso.com Business Studies 5 DBE/Feb.–Mar. 2016 NSC – Memorandum 15.2 Insight consists of the following components: Layout/Structure Is there an introduction, body, proper paragraphs and 2 a conclusion? Analysis and Learners' ability to break down the question/interpret it 2 interpretation correctly to show understanding of what is being asked. Synthesis Are there relevant decisions/facts/responses made 2 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 (Zero–'-S') NOTE: If there are no '-S' award a maximum of TWO (2) marks. Originality Examples, recency of information, current trends and 2 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 and CONCLUSION are not supported by an explanation. 15.3 Indicate insight in the left-hand margin with a symbol e.g. ('L, A, S and/or O') 15.4 The breakdown of marks is indicated at the end of the suggested answer/marking guidelines to each question. 15.5 Mark all relevant facts until the SUBMAX/MAX mark in a subsection has been attained. Write 'SUBMAX'/'MAX' after maximum marks have been obtained. 15.6 At the end of each essay indicate the allocation of marks for facts and marks for insight as follows: (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 Copyright reserved Please turn over ### Page 6 Downloaded from hlayiso.com Business Studies 6 DBE/Feb.–Mar. 2016 NSC – Memorandum 15.7 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 subheadings are encouraged and contribute to insight (structuring/logical flow/sequencing) and indicate clarity of thought. (See MARK BREAKDOWN at the end of each question.) 15.8 If the candidate identifies/interprets the question INCORRECTLY, then he/she may still obtain marks for layout. 15.9 If a different approach is used by candidates, ensure that the answers are assessed according to the mark allocation/subheadings as indicated in the memorandum. 15.10 15.10.1 Award TWO marks for complete sentences. Award ONE mark for phrases, incomplete sentences and vague answers. 15.10.2 With effect from November 2015, the TWO marks will not necessarily appear at the end of each completed sentence. The ticks(√) 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. Copyright reserved Please turn over ### Page 7 Downloaded from hlayiso.com Business Studies 7 DBE/Feb.–Mar. 2016 NSC – Memorandum SECTION A QUESTION 1 1.1 1.1.1 D√√ 1.1.2 B√√ 1.1.3 C√√ 1.1.4 B√√ 1.1.5 A√√ 1.1.6 D√√ 1.1.7 D√√ 1.1.8 A√√ 1.1.9 B√√ 1.1.10. C√√ (10 x 2) (20) 1.2 1.2.1 ten√√ 1.2.2 charismatic√√ 1.2.3 forward√√ 1.2.4 consensus√√ 1.2.5 Video conferencing√√ (5 x 2) (10) 1.3 1.3.1 E√√ 1.3.2 G√√ 1.3.3 A√√ 1.3.4 H√√ 1.3.5 B√√ (5 x 2) (10) BREAKDOWN OF MARKS QUESTION 1 MARKS 1.1 20 1.2 10 1.3 10 TOTAL 40 TOTAL SECTION A: 40 Copyright reserved Please turn over ### Page 8 Downloaded from hlayiso.com Business Studies 8 DBE/Feb.–Mar. 2016 NSC – Memorandum SECTION B Mark the FIRST THREE answers. QUESTION 2: BUSINESS ENVIRONMENT 2.1 Porter's Five Forces 2.1.1 Threat of substitution√√ 2.1.2 Power of buyers√√ 2.1.3 Threat/Barriers to new entry√√ 2.1.4 Power of supplier√√ 2.1.5 Competitive rivalry√√ (5 x 2) (10) 2.2 Legislation 2.2.1 National Credit Act, 2005 (Act 34 of 2005)/NCA/National Credit Act √√ (2) 2.2.2 TWO categories of information - Adverse listing√ - Paid-up judgements√ (2 x 1) (2) 2.2.3 FOUR examples of adverse listing - Delinquent√ - Default√ - Slow-paying√ - Absconded√ - Not-contactable√ consumers NOTE: Mark first FOUR (4) only. Any (4 x 1) (4) 2.2.4 Rights of the credit providers if consumers fail to pay their debts - Right to take legal action.√ - Right to hand the consumers over to debt collectors.√ (2) 2.2.5 Requirements of credit assessments - Verifying of income disclosed by consumers.√ - Obtaining of credit reports.√ - Approving credit timeously.√ (3) 2.3 Employment Equity Act 2.3.1 Purpose of the EEA - This Act states that employees who do the same work (work of equal value)√ must be paid equally (equal pay).√ - No discrimination√ on grounds of gender in the workplace.√ - Promotes equal opportunity√ and fair treatment in the workplace.√ Copyright reserved Please turn over ### Page 9 Downloaded from hlayiso.com Business Studies 9 DBE/Feb.–Mar. 2016 NSC – Memorandum - Protects employees from victimisation√ if they exercise the rights given to them by the EEA.√ - Provides for employees to refer unresolved disputes√ to the CCMA.√ - Any other relevant answer related to the purpose of the EEA. Max (8) 2.3.2 Actions regarded as discriminatory by the EEA - Not employing a young woman because she will want to have children.√√ - Refusing to employ a person because he/she has strong religious beliefs/has a disability.√√ - Doing HIV testing unless justified by the Labour Court.√√ - Denying people access to the workforce based on gender/race/culture/etc. and treating them unfairly.√√ - Any other relevant actions that can be regarded as discriminatory by EEA. NOTE: Mark the first THREE (3) only. - Any (3 x 2) (6) 2.3.3 Impact of EEA on businesses Positives - Promotes equal opportunities√ and fair treatment in employment.√ - Encourages consultation√ between employer and employees.√ - Motivates employees√ because the workforce is more diverse/representative/ inclusive.√ - Prevents unfair discrimination√ as it ensures that the workforce represents the demographics of the country/promotes diversity in the workplace.√ - Creates a framework√ of acceptable employment practices/affirmative action measures.√ - Promotes the implementation of affirmative action√ to address the imbalances of the past.√ - Any other relevant answer related to the positive impact of EEA on businesses. AND/OR Negatives - Increased administration burden√, as businesses must compile/submit employment equity reports every two years.√ - Expensive to train/employ someone√ who knows little about the Act.√ - Other groups may not respect the knowledge/skills/experience of an EE appointment√ and may lead to conflict.√ - Fines/Penalties for non-compliant businesses√ may be expensive for the business.√ - Employers have to appoint one or more senior managers to ensure the implementation of the plan√, which increases salary expenditure.√ - Businesses must submit a compliance certificate√ before they can conduct business with state businesses.√ - Businesses are sometimes pressurised to appoint an unsuitable EE person√ to meet EE requirements.√ - Often positions go unfilled√ because there are no suitable EE candidates.√ - Any other relevant answer related to the negative impact of the EEA on businesses. Max (10) Copyright reserved Please turn over ### Page 10 Downloaded from hlayiso.com Business Studies 10 DBE/Feb.–Mar. 2016 NSC – Memorandum 2.4 Business Strategies 2.4.1 Divestiture - When a business sells divisions√ that are not profitable.√ - Process used to withdraw its investment√ in another business (divesting).√ - An action forced by creditors√, to sell assets/business units that no longer contribute to the financial success of the business.√ - Businesses may also sell off divisions/product lines√ with slow/growth potential.√ - Any other relevant explanation related to the meaning of divestiture. Max (4) 2.4.2 Intensive strategies - Market penetration√√ • Piet Car Dealers may use aggressive marketing campaigns, e.g. low prices, to attract competitors' clients/attempt to persuade consumers that are already buying their products to continue supporting them.√ • Increase the market share of existing products/Promote new products that have become well established.√ • Piet should do market research on existing clients to decide how to improve his marketing mix.√ • Reduce prices to increase sales.√ • Embark on an intensive advertising campaign to increase awareness and customer loyalty.√ • Employ more sales staff to improve sales services.√ • Any other relevant answer related to a discussion of market penetration with regard to Piet Car Dealers. Strategy: 2 Discussion: 1 Submax (3) - Market development√√ • It is a growth strategy where businesses aim to sell its existing products in new markets.√ • Piet Car Dealers can target consumers in a potential market that is outside of its normal target market.√ • Find new ways of selling cars to other customers/in other areas.√ • Restructure pricing policies to cater for customers of all income levels.√ • Any other relevant answer related to a discussion of market development with regard to Piet Car Dealers. Strategy: 2 Discussion: 1 Submax (3) Copyright reserved Please turn over ### Page 11 Downloaded from hlayiso.com Business Studies 11 DBE/Feb.–Mar. 2016 NSC – Memorandum - Product development √√ • It is a growth strategy where businesses aim to introduce new products into existing markets.√ • Businesses generate new ideas/develop a new products/services.√ • Piet Car Dealers may conduct test marketing/market research to establish whether new products will be accepted by existing customers.√ • New products may be different/of a higher quality than those of competitors.√ • Any other relevant answer related to a discussion of product development with regard to Piet Car Dealers. Strategy: 2 Discussion: 1 Submax (3) NOTE: Mark the first THREE (3) strategies only. Max (9) [60] BREAKDOWN OF MARKS QUESTION 2 MARKS 2.1 10 2.2.1 2 2.2.2 2 2.2.3 4 2.2.4 2 2.2.5 3 2.3.1 8 2.3.2 6 2.3.3 10 2.4.1 4 2.4.2 9 TOTAL 60 Copyright reserved Please turn over ### Page 12 Downloaded from hlayiso.com Business Studies 12 DBE/Feb.–Mar. 2016 NSC – Memorandum QUESTION 3: BUSINESS VENTURES 3.1 Presentation 3.1.1 Factors to be considered when preparing for a presentation - Clear purpose/intentions/objectives√ and main points of the presentation.√ - Main aims√ captured in the introduction/opening statement of the presentation.√ - Information presented√ should be relevant and accurate.√ - Fully conversant√ with the content/objectives of the presentation.√ - Background/Diversity/Size/Pre-knowledge of the audience√ to determine the appropriate visual aids.√ - Prepare a rough draft of the presentation√ with a(n) logical structure/format/ introduction, body and conclusion.√ - Conclusion shows a summary of the key facts√ and how it relates to the objectives/shows that all aspects have been addressed.√ - Create visual aids/graphics√ that will consolidate the information/facts to be conveyed to the audience.√ - Find out about the venue for the presentation√, e.g. what equipment is available/ appropriate.√ - Consider the time frame for presentation√, e.g. fifteen minutes allowed to complete the presentation.√ - Rehearse√ to ensure a confident presentation/time was used effectively.√ - Prepare for the feedback session√, by anticipating possible questions/ comments.√ - Any other relevant answer related to the factors that must be considered when preparing for a presentation. Max (8) 3.1.2 Responding to questions - Understand each question/comment before responding.√√ - Listen carefully to each question and then respond.√√ - Address questions and not the person.√√ - Acknowledge good questions.√√ - Remain professional, polite, calm and open.√√ - Ability to answer the questions and follow up on it.√√ - Rephrase questions if uncertain/ensure that you understand what is being asked.√√ - Do not get involved in a debate/argument.√√ - Do not allow one member of the audience to dominate the discussion/session and ask all the questions.√√ - Avoid answering difficult questions when the answer is not known.√√ - Apologise for the error and promise to provide everyone with the correct details.√√ - Address the whole audience and not only the person asking the question.√√ - Any other relevant answer related to aspects to keep in mind when responding to questions in a non-aggressive and professional manner after the presentation. NOTE: Mark the first FOUR (4) only. Any (4 x 2) (8) Copyright reserved Please turn over ### Page 13 Downloaded from hlayiso.com Business Studies 13 DBE/Feb.–Mar. 2016 NSC – Memorandum 3.2 Forms of ownership 3.2.1 Disadvantages of Partnerships - Unlimited liability√√ o Partners are jointly and severally liable for all business debts.√ o Wrongful actions of one partner will affect all other partners.√ - Limited capital√√ o Amount of capital that can be invested is limited by partners' savings/ creditability.√ - Lacks continuity√√ o If one partner dies/moves away a new partnership agreement has to be established/a new partnership is formed.√ - Uneven distribution of duties/responsibilities/contribution√√ o Some partners may do more work/spend more time in the business than others.√ o Partners may not all contribute equally.√ - Different personalities√√ o Personalities/Opinions of partners may lead to conflict/disagreement.√ - Any other relevant answer related to the disadvantages of partnerships. NOTE: Award marks if the fact is integrated in the explanation. Disadvantage (2) Explanation (1) Max (3) 3.2.2 Public company.√ (1) 3.2.3 Success factors of a public company Factor Success (a) Capital - Can raise large amounts of capital√ as shares/ debentures can be sold to the public/shareholders.√ - Share capital clause in the Memorandum of Incorporation (MOI) may be changed√ to issue more shares.√ - May attract financially strong investors√ if share value increases/remain stable.√ - Any other relevant answer related to the contribution of capital to the success of a public company. Submax (2) Copyright reserved Please turn over ### Page 14 Downloaded from hlayiso.com Business Studies 14 DBE/Feb.–Mar. 2016 NSC – Memorandum (b) Division of - Profits could be split√ between company and share- profits holders.√ - Shareholders receive return on investment√, when dividends are paid out according to the type and number of shares held in the company.√ - Large profits√ may be used for expansion/kept in a reserve fund for future growth.√ - Any other relevant answer related to the contribution of the division of profits to the success of a public company. Submax (2) Max (4) 3.2.4 Functions of the JSE - Gives opportunities to financial institutions such as insurance companies√ to invest their funds in shares.√ - Serves as a barometer/indicator√ of economic conditions in South Africa.√ - Keeps investors informed on share prices√ by publishing the share prices daily.√ - Acts as a link√ between investors and public companies.√ - Shares are valued√ and assessed by experts.√ - Small investors are invited to take part in the economy of the country√ through the buying of shares.√ - Venture capital market√ is made possible.√ - Orderly market for securities√ serves as a disciplined market for securities.√ - Encourages√ new investments.√ - Mobilises the funds√ of insurance companies and other institutions.√ - Raises √ primary capital.√ - Regulates market√ for dealing with shares.√ - Plans, researches and advises√ on investment possibilities.√ - Ensures that the market√ operates in a transparent manner.√ - Provides protection√ for investors.√ - Encourages√ short-term investment.√ - Facilitates√ electronic trading of shares/STRATE.√ - Any other relevant answer related to the functions of the Johannesburg Securities Exchange (JSE.) Max (8) Copyright reserved Please turn over ### Page 15 Downloaded from hlayiso.com Business Studies 15 DBE/Feb.–Mar. 2016 NSC – Memorandum 3.3 Insurance 3.3.1 Amount insured x damages √ Market value 800 000 √ x 30 000√ 1 000 000 = R24 000√ NOTE: 1. Award full marks (4) if the answer is correct and no workings are shown. 2. If workings (process/procedure) demonstrate understanding of the concept, but the final answer is wrong, award a maximum of TWO (2) marks. 3. If there are no workings shown and the answer is incorrect, award a ZERO mark. Max (4) 3.3.2 Reasons for not qualifying for the full amount of damages - Mahlori insured his house for less (R800 000)√ than the market value (R1 000 000).√ - He was underinsured√ so the average clause had to be activated.√ - He will only receive R24 000 for damages√, and not the full amount of the claim (R30 000).√ - Any other relevant answer related to the reason for an amount being paid out that is lower than the value of the damage. Max (4) 3.4 Differences between dividends and interest Dividends Interest - Return on an investment√ in - Return on an investments√ at a shares.√ financial institution.√ - Proportional share of company - Is usually calculated as simple or profits paid to shareholders√ based compound interest (based on a on the number of shares held in formula) over a specified period√ as a the company.√ percentage of the amount invested.√ - It will only be paid out√ if it is - Investor will receive interest annually/ declared/decided by the directors.√ when the investment matures√/as agreed upon with financial institution.√ - Only some types of preference - Every investor will receive interest.√ shareholders√ may receive a fixed Date and amount are determined by dividend per year.√ investment agreement.√ - Any other relevant answer related - Any other relevant answer related to a to a description of dividends. description of interest. Submax (2) Submax (2) NOTE: 1. Mark first TWO (2) only. 2. The differences must be clear. Max (4) Copyright reserved Please turn over ### Page 16 Downloaded from hlayiso.com Business Studies 16 DBE/Feb.–Mar. 2016 NSC – Memorandum 3.5 Leadership 3.5.1 '... usually changes her leadership style to fit the task at hand.'√ (1) 3.5.2 Transactional leadership√ Motivation - She offers incentives to motivate employees to meet weekly targets and deadlines.√√ - If deadlines/targets are not met, employees may not receive all their incentives.√√ - Any other relevant answer related to the transactional leadership style. Leadership style: 2 Motivation: 1 Max (3) 3.5.3 Impact of transactional leadership on business operations Positives - Encourages employees to work hard√ as they will receive rewards.√ - Improves employees' productivity/morale√ as they feel motivated/good about themselves.√ - Business goals/objectives√ may be achieved.√ - Employees know exactly√ what is expected of them.√ - Disciplinary procedures√ are well communicated.√ - Any other relevant answer related to the positive impact of a transactional leadership style. AND/OR Negatives - Employees may become bored√ as they have to follow less creative rules/procedures.√ - Monitoring of employees' work performance√ may be time consuming.√ - Some employees may be demoralised/unmotivated√ if they fail to reach/meet targets despite having worked very hard.√ - Style not suitable for team work√, as all team members may be punished for poor performance of one team member.√ - Any other relevant answer related to the negative impact of a transactional leadership style. Max (6) 3.6 Application of the bureaucratic leadership style in the workplace Positives - Managers ensure that government policies/business rules/procedures√ are always followed accurately.√ - Tight control measures implemented/followed√ ensure high quality service delivery.√ - Ensures accountability√ to the general public/community.√ - Improves health and safety in dangerous workplaces√, e.g. mines, construction sites.√ - Any other relevant answer related to positives of a bureaucratic leadership style. AND/OR Copyright reserved Please turn over ### Page 17 Downloaded from hlayiso.com Business Studies 17 DBE/Feb.–Mar. 2016 NSC – Memorandum Negatives - Complicated/Involving/Official rules√ may seem unnecessary/time consuming.√ - Leaders/Directors may acquire power√ and can disregard/ignore inputs from others.√ - Very little room for error√, so workers feel they are not treated as humans.√ - Lack of creativity/innovation/self-fulfilment√ may lead to stagnation/decrease in productivity.√ - Any other relevant answer related to negatives of a bureaucratic leadership style. Max (6) [60] BREAKDOWN OF MARKS QUESTION 3 MARKS 3.1.1 8 3.1.2 8 3.2.1 3 3.2.2 1 3.2.3 4 3.2.4 8 3.3.1 4 3.3.2 4 3.4 4 3.5.1 1 3.5.2 3 3.5.3 6 3.6 6 TOTAL 60 QUESTION 4: BUSINESS ROLES 4.1 Ethics 4.1.1 Unfair prices in the rural area/High prices of products in the village.√ (1) 4.1.2 Ways to deal with unfair prices in rural areas - Moyeni may lobby with other businesses in the area to convince Government to improve infrastructure in the rural area.√√ - Charge fair/market related prices for goods and services.√√ - Avoid unethical business practices to attract customer loyalty.√√ - Investigate cost-effective ways of transporting products/Hire a large truck to combine deliveries to shop-owners in the same area.√√ - Work together with suppliers to share delivery costs to remote rural areas.√√ - Any other relevant recommendation related to addressing unfair prices in rural areas as an unethical business practice. Max (6) Copyright reserved Please turn over ### Page 18 Downloaded from hlayiso.com Business Studies 18 DBE/Feb.–Mar. 2016 NSC – Memorandum 4.1.3 OTHER ways to conduct business professionally, responsibly and ethically - Moyeni Supermarket should not start other business ventures at the expense of others.√√ - They should pay fair wages.√√ - All employees should be treated equally.√√ - Moyeni Supermarket should pay tax regularly.√√ - Appoint honest/trustworthy accountants with a good reputation.√√ - Staffing and other processes should be open and transparent.√√ - Draw up a code of ethics.√√ - Managers must set the tone for professional/responsible/ethical behaviour.√√ - There must be adequate internal control systems in place.√√ - There should be honesty in all relationships/transactions in the business.√√ - Employees should understand ethical business practices through effective communication/training.√√ - Seminars on business ethics should be held for managers and the employees to help them understand the importance of the ethical work culture of the business.√√ - Management must consider the impact of their decisions/actions on all stakeholders.√√ - Regulations applicable to environmental protection should be taken seriously.√√ - Any other relevant recommendation related to how Moyeni Supermarket can conduct business professionally, responsibly and ethically. Max (8) 4.2 CSI Yes/Positives - May attract experienced employees/increase the pool of skilled labour√ which could increase productivity.√ - JJ Trading & Development may have a good public image/reputation√ as they look after their employees/conduct themselves in a responsible way.√ - The business may have a competitive advantage√, resulting in good publicity and an improved reputation.√ - Promotes customer loyalty√ resulting in increased sales/profit/more consumers.√ - CSI projects may be used as a marketing strategy√ to promote products/ services.√ - CSI projects promote teamwork√ amongst JJ's employees.√ - CSI helps to attract investors√ which may lead to expansion/growth.√ - JJ may enjoy tax advantages√, e.g. tax reduction/rebates.√ - Assist in addressing socio-economic issues√ e.g. poverty.√ - If the corporate sector gets voluntarily involved in CSI√, it is less likely that government will enforce the issue through legislation.√ - Employees feel like they are making a difference√ in working for this business.√ - It helps to retain staff/lower staff turnover√ as employees' health/safety is considered.√ - Improves the health of its employees√ through focussed CSI projects.√ - JJ may become more community-based√ by working closely with the community to roll out skills development projects.√ - Any other relevant answer related to the positives of CSI projects for JJ Training & Development. AND/OR Copyright reserved Please turn over ### Page 19 Downloaded from hlayiso.com Business Studies 19 DBE/Feb.–Mar. 2016 NSC – Memorandum No/Negatives - The community may not support JJ√, e.g. may not use their products as it only meets the needs of a small proportion of the community.√ - Difficult to comply with legislation√ that governs CSI projects.√ - JJ may find it difficult to implement CSI projects√ due to financial constraints.√ - CSI activities can distract JJ's employees√ from their core business functions/ duties.√ - Social involvement is paid from their profits√ which may have been used to lower their prices to benefit their customers.√ - Detailed reports must be drawn up√ which may be time consuming.√ - Social spending reduces JJ's economic efficiency√ and they may become less competitive.√ - It can increase financial risk√, as programmes cost money and may impact negatively on profits.√ - Company directors are usually accountable to shareholders√, not to communities.√ - Difficult to accurately measure√ the effectiveness of social investment/exact needs of communities.√ - Most managers are not trained/lack experience√ to handle CSI projects.√ - Some shareholders/investors might withdraw their support from JJ√, as they feel that social issues should be the government's responsibility.√ - Provide goods/services that meet the needs of consumers, according to some stakeholders√, is already socially responsible.√ - Some CSI projects will be regarded as a public relations stunt√, and may harm JJ's image if projects are not sustainable.√ - Shareholders may suffer√ as their profits are spent on CSI.√ - Any other relevant answer related to the negatives of CSI projects for JJ Training & Development. Max (10) 4.3 Procedure for dealing with grievances in the workplace - An aggrieved employee must verbally report the incident/grievance to his/her supervisor/manager√, who needs to resolve the issue within 3 to 5 working days.√ - Should the employee and supervisor not be able to resolve the grievance√, the employee may take it to the next level of management.√ - The employee may move to a more formal process√ where the grievance must be lodged in writing/completes a business grievance form.√ - He/She must receive a written reply√ in response to the written grievance.√ - A grievance hearing/meeting√ must be held with all relevant parties present.√ - Minutes of the meeting must be recorded√ and any resolution passed must be recorded on the formal grievance form.√ - Should the employee not be satisfied√, then he/she could refer the matter to the highest level of management.√ - Top management should arrange a meeting√ with all relevant parties concerned.√ Copyright reserved Please turn over ### Page 20 Downloaded from hlayiso.com Business Studies 20 DBE/Feb.–Mar. 2016 NSC – Memorandum - Minutes of this meeting should be filed/recorded√ and the outcome/decision must be recorded on the formal grievance form.√ - Should the employee still not be satisfied, he/she may refer the matter to the CCMA√ who will make a final decision on the matter.√ - Any other relevant answer related to the correct procedure to deal with grievances in the workplace. NOTE: The procedure may be in any order. Max (8) 4.4 Address issues of diversity in the workplace 4.4.1 Language - A business may specify that all communications must be in one specific language only and would expect employees to have a certain level of fluency in that language.√√ - It may sometimes be necessary to employ an interpreter so that everyone can fully understand what is being said in a meeting.√√ - All business contracts should be in easy-to-understand language and should be available in the language of choice for the parties signing.√√ - Any other relevant answer related to how businesses should address language as a diversity issue in the workplace. Max (2) 4.4.2 Age - Promotions should not be linked to age, but rather to specific skills set.√√ - A business must not employ children aged 15 or younger.√√ - The ages of permanent workers should vary from 18 to 65 to include all age groups.√√ - A business may employ a person who is older than the normal retirement age provided that person is the most suitable candidate.√√ - Businesses must encourage older employees to help young employees to develop their potential.√√ - Young employees must be advised to respect and learn from older employees.√√ - The business should encourage employees to be sensitive to different perspectives of various age groups.√√ - Any other relevant answer related to how businesses should address age as a diversity issue in the workplace. Max (2) 4.4.3 Disability - Provide employment opportunities for people with disabilities.√√ - Accommodate people with disabilities by providing facilities/ramps for wheel- chairs√√, etc. - Ensure that workers with special needs are not marginalised/feel excluded from workplace activities.√√ - Business should be well informed with how to deal with disabled employees.√√ - Policies and programs should accommodate the needs of people with disabilities.√√ Copyright reserved Please turn over ### Page 21 Downloaded from hlayiso.com Business Studies 21 DBE/Feb.–Mar. 2016 NSC – Memorandum - Create an organisational culture and climate that is conducive for people with disabilities.√√ - Employees should be trained to deal with colleagues with disability.√√ - Bringing in external experts to help with disability and accommodation issues.√√ - Ensure that employees with disabilities are treated fairly.√√ - Focus on job skills/work performance of the disabled, rather than their disability/ possible problems they may pose in the future.√√ - Any other relevant answer related to how businesses should address disability as a diversity issue in the workplace. Max (2) 4.5 Principles of ethical business conduct Accountability - Businesses should be accountable/responsible√ for their decisions/actions.√ - Businesses should present accurate annual reports to shareholders√ at the Annual General Meeting (AGM).√ - Top management should ensure that other levels of management are clear about their roles and responsibilities√ to improve accountability.√ - Any other relevant answer related to accountability as a principle of ethical business conduct. Submax (6) Transparency - Decisions/Actions must be clear√ to all stakeholders.√ - Businesses should give details of shareholders' voting rights to them√ before/at the Annual General Meeting (AGM).√ - Business dealings/transactions√ must be open/honest.√ - Business policies and processes√ must be clear and understood by all stakeholders.√ - The board of directors must report on both the negative and positive impact√ of the business on the community/environment.√ - Any other relevant answer related to transparency as a principle of ethical business conduct. Submax (6) Max (8) 4.6 Forced-field analysis 4.6.1 Forced-field analysis FORCES FOR FORCES AGAINST - Increased demand for building - Noise levels.√ material.√ - Air pollution.√ - Employment opportunities for the - Crime in the community.√ community.√ - Bursaries for tertiary education will be offered to learners in local schools.√ - They no longer have to travel so far to buy building materials.√ - Entrepreneurial programmes for young, upcoming entrepreneurs.√ Max (7) Copyright reserved Please turn over ### Page 22 Downloaded from hlayiso.com Business Studies 22 DBE/Feb.–Mar. 2016 NSC – Memorandum 4.6.2 Justification - Establishing a new factory in Thula Town has more advantages/'forces for'√ than disadvantages/'forces against'.√ - It will uplift/increase the standard of living for the community√, as there are more opportunities available.√ - Any other relevant answer related to the justification of the establishment of a new factory for Tonie's Factories Ltd in Thula Town. Max (2) 4.7 Effectiveness of the Delphi technique in solving business problems Positives - 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 positive evaluation related to the use of the Delphi technique in solving business problems. AND/OF Negatives - It is an expensive technique to use√ due to high administrative costs.√ - May be time consuming and complicated to analyse data√ received from experts.√ - Not all experts are willing/interested√ to give feedback/complete questionnaires.√ - Some experts might not have an in-depth knowledge√ of certain topics.√ - Questionnaires may be completed by experts without giving it much thought√, so solutions might not be suitable/applicable.√ - This technique may not be suitable to all types of business problems√ and may not always be reliable.√ - Any other relevant negative evaluation related to the use of the Delphi technique in solving business problems. Max (4) [60] Copyright reserved Please turn over Text truncated here. 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