# Business Studies Grade 12 Paper 2 Mpumalanga Mock 2025 Memo > Grade 12 Business Studies Paper 2 memorandum from the Mpumalanga Mock Exam 2025, 31 pages. Read online or download the free PDF. - Page: https://www.hlayiso.com/library/business-studies-grade-12-nsc-p2-memo-september-2025-mpumalanga/c4a1c821-283b-4e67-953b-7523f8a29517 - Updated: 2026-09-27 - Subject: Business Studies - Grade: Grade 12 - Document type: Memorandum - Year: 2025 - Exam period: Mpumalanga Mock Exam - Paper: 2 - Curriculum: CAPS - Pages: 31 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 Paper 2 Mpumalanga Mock 2025 Memo](https://www.hlayiso.com/library/business-studies-grade-12-nsc-p2-memo-september-2025-mpumalanga/c4a1c821-283b-4e67-953b-7523f8a29517) ## About this document Business Studies · Grade 12 · Mpumalanga Mock Exam · 2025. Memorandum, 31 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 education MPUMALANGA PROVINCE REPUBLIC OF SOUTH AFRICA NATIONAL SENIOR CERTIFICATE GRADE 12 BUSINESS STUDIES P2 SEPTEMBER 2025 MARKING GUIDELINE MARKS: 150 Copyright reserved This marking guideline consists of 31 pages Please turn over ### Page 2 MDE/September 2025 NOTES TO MARKERS PREAMBLE The note to markers are provided for quality assurance purpose 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 makers across the country (d) Implement appropriate measures in the teaching, learning and assessment of the subject at school/institution of learning 1. For marking and moderation purpose, the following colours are recommended: Marker: Red Senior Marker: Green Deputy Chief Marker: Orange Chief Marker: Pink Internal Moderation: Black/Blue DBE Moderation 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 marking guidelines have 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 guidelines - Comes from another source Is original - Adifferent approach is used NOTE: There is only ONE correct answer in SECTION A. 4. Take note of other answers, provided by candidates, which relate to a particular question 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 and moderation purposes. t 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 the marking guideline. 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 10. 11. 12. 13. MDE/September 2025 In an indirect question, the theory as well as the response must be relevant and related to the question. Correct numbering of answers to questions or sub-questions is recommended in SECTIONS A and B. However, if the numbering is incorrect, follow the sequence of the candidate's responses. Candidates will be penalized if the latter is not clear. No additional credit must be given for repetition of facts. Indicate with an ’R’. The differentiation between ‘evaluate’ and ‘critically evaluate’ can be explained as follows: 1.1.1. 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: ‘The autocratic leadership style provides strong leadership \ which makes new employees feel confident and safe’. ¥ 1.1.2. 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. 'The autocratic leadership style provides strong leadership which makes new employees feel confident and safe V, as expectations/roles are clearly explained to avoid confusion’. V NOTE: 1. The above could apply to ‘analyse’ as well. 2. Note the placing of the tick (V) in the allocation of marks. The allocation of marks must be informed by the nature of the question, cognitive verb used, mark allocation in the marking guidelines and the context of each question. Cognitive verbs, such as: 12.1. Give, name, state, outline, quote, identify, motivate, recommend, suggest, advise (list not exhaustive) do not usually require much depth in candidates' responses. Therefore, the mark allocation for each statement/answer appears at the end. 122. Define, describe, explain, discuss, elaborate, distinguish, differentiate, compare, tabulate, 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. Mark only the FIRST answer where candidates offer more than one answer for SECTION B and C questions that require one answer. Copyright reserved Please turn over ### Page 4 MDE/September 2025 14. SECTIONB 14.1. 14.2 14.3 14.4. 14.5. 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. NOTE: 1. This applies only to questions where the number of facts is specified. 2. The above also applies to responses in SECTION C (where applicable). If two facts are written in one sentence, award the candidate FULL credit. Point 14.1 above still applies. If candidates are required to provide their own examples/views, brainstorm this at the marking centre and refer to the DBE internal moderator to finalise the alternative answers in consultation with the UMALUSI external moderators. 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: e Fact 2 marks (or as indicated in the marking guidelines) e Explanation 1 mark (two marks will be allocated in Section C) The ‘fact’ and ‘explanation’ are given separately in the marking guidelines 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 marking guidelines. 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 SECTIONS B and C in particular (where applicable). 15. SECTIONC 15.1 The breakdown of the mark allocation for the essays is as follows: Introductions Maximum : Content 32 Conclusions Insight 8 TOTAL 40 Copyright reserved Please turn over ### Page 5 MDE/September 2025 16.2 Insight consists of the following components: Layout/Structure Is there an introduction, paragraphs and a conclusion? 2 Analysis and Is the candidate able to break down the question into interpretation headings/subheadings/interpret it correctly to show understanding of what is being asked? 2 All headings addressed: 1 (One 'A’) Interpretation (16 to 32 marks): _1 (One 'A') Synthesis Are there relevant decisions/facts/responses made based on the questions? Marks to be allocated using this guide: Option 1 Only relevant facts: 2 marks (No'-S') Where a candidate answers 50% or more (two to four sub-questions) of the question with only relevant facts; no '-S' appears in the left margin. Award the maximum of TWO (2) marks for synthesis. Option 2 Some relevant facts: 1 mark (One '-S') Where a candidate answers less than 50% (only one sub-question) of the question with only OR some relevant facts; one '-S' appears 2 in the left margin. Award a maximum of ONE (1) mark for synthesis. Option 3 Some relevant facts: 1 mark (One '-S') Where a candidate answers FOUR questions, but one sub-question of the questions with no relevant facts; one '-S' appears in the left margin. Award a maximum of ONE (1) mark for synthesis. Option 4 No relevant facts: 0 mark (Two '-S') Where a candidate answers less than 50% (only one sub-question) of the questions with no relevant facts; two '-S' appears in the left margin. Award a ZERO mark synthesis. Originality Is there evidence of one examples in any TWO of the four sub-questions, not older than two (2) years, which are 2 based on recent information, 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. 7 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. Copyright reserved Please turn over ### Page 6 15.3 15.4 15.5 15.6 15.7. 15.8. 15.9. 15.10 15.11. Copyright reserved MDE/September 2025 Indicate insight in the left-hand margin with a symbol e.g. ('L, A, -S and/or O'). The breakdown of marks is indicated at the end of the suggested answer/ marking guidelines to each question. Mark all relevant facts/responses until the SUBMAX/MAX mark in EACH of the four subsection has been attained. Write SUBMAX/MAX after maximum marks have been obtained but continue reading for originality ‘O’. 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 Ss 2 {eo} 2 TOTAL 40 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.) If the candidate identifies/interprets the question INCORRECTLY, then he/she may still obtain marks for layout. 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. 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 (V) will be separated and indicated next to each fact, e.g. ‘Inflation rate refers to a general increase in the price of goods and services over a period of time, ¥ resulting in a decrease in the value of money. V This will be informed by the nature and context of the question, as well as the cognitive verb used. 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. Please turn over ### Page 7 SECTION A QUESTION 1 Ted Aad VAG 1.1.3 1.1.4 1.1.5 1.2 1.2.1 1.2.2 1.2.3 1.2.4 1.2.5 1.3 1.3.1 1.3.2 1.3.3 1.3.4 1.3.5 Cw BV BvV ANN Dw democratic Vv stokvel vv social responsibility VV creative thinking VV accountability VV Jv Dvv vv BW GW Copyright reserved MDE/September 2025 (5X2) (10) (5X2) (10) (5X2) (10) TOTAL SECTIONA 30 BREAKDOWN OF MARKS QUESTION 1 MARKS 1.1, 10 1.2. 10 1.3. 10 TOTAL 30 Please turn over ### Page 8 SECTION B Mark the FIRST TWO answers only QUESTION 2: BUSINESS VENTURES MDE/September 2025 2.1 Factors that should be considered when making investment decisions. - Return of investment (ROI). ¥ - Risk. V - [Investment term/period. V - Inflation rate. V - Taxation. ¥ - Liquidity. V NOTE: Mark the first FOUR (4) only. 2.2 Differences between simple interest and compound interest. Simple interest Compound interest - Interest earned on the original Interest earned on original amount amount V and not on the interest invested, V as well as interest earned accrued. ¥ in previous period(s). V - The principal amount remains the The principal amount grows Y with same \ over the entire period of the addition of interest to it. V investment. V - The interest is kept separate V Interest is calculated on the higher unless it is reinvested. V ae amount V and again added to it. - _ Yields less return \ on investment. V Yields high return V on investment. V - Total amount of interest earned Von Total amount of interest earned V on investment is less. V investment is high. V - Any other relevant answer related to Any other relevant answer related to simple interest. compound interest. Sub max 2 Sub max 2 Max NOTE: 1. The answer does not have to be in a tabular format 2. The difference does not have to link, but must be clear. 3. Award a maximum of TWO (2) marks if the difference is not clear/ Mark either the simple or compound interest only. 2.3 The type of shares applicable to Mr Martin at EIS and motivation. TYPE OF SHARES MOTIVATION 1. Founders’ Shares. VV paid. ¥ Mr Martin who is one of the shareholders at EIS, receive dividends after all other shareholders were NOTE: incorrectly identified. Copyright reserved Max Do not award marks for the motivation, if the type of shares was Please turn over (4) (4) (3) ### Page 9 MDE/September 2025 2.4 The impact of fixed deposit as a form of investment. Positives/Advantages Interest is earned at a fixed rate regardless of changes ¥ in the economic climate. ¥ The period of investment can be over a short/ ¥ medium/long term. V Investors can choose the investment period ¥ that suits them. V Principal amount plus interest earned is paid out Vv on the maturity date. ¥ Ensures financial discipline as investors cannot withdraw their funds V before the maturity date. V Investors earn a better return on investment V than on an ordinary savings account. ¥ The higher the principal amount/the longer the investment period, \ the higher the interest rate offered by a financial institution. V It has a low risk as investors are guaranteed V of the final payment. V Any other relevant answer related to the positive impact of fixed deposit as a form of investment. AND/OR Negatives/Disadvantages The investor cannot withdraw their funds \ before the maturity date.V May not outperform the effect of inflation ¥ over long term. Low returns ¥ compared to other investments. V Any other relevant answer related to the negative impact of fixed deposit as a form of investment. Max (6) 2.5 The importance of insurance for businesses. Transfers the risk from businesses/insured \ to insurance companies/an insurer. V Transfer of risk is subject to the terms and conditions \ of the insurance contract. V Protects businesses against theft/loss of stock \ and/or damages caused by natural disasters such as floods/storm damage.v Businesses will be compensated for insurable losses, V such as the destruction of property through fire. V Business' assets such as vehicles/equipment/buildings need to be insured V against damage and/or theft. V Businesses are protected against the loss of earnings, such as strikes by employees ¥ which may result in losses worth millions. ¥ Protects businesses \ against dishonest employees. V Life insurance can be taken on the life of partners in a partnership V to prevent unexpected loss of capital. v Should the services of key personnel be iost due to accidents/death, \ the proceeds of an insurance policy can be paid out to the business/beneficiaries. ¥ Replacement costs for damaged machinery/equipment are very high, V therefore insurance can reduce/cover such costs. V Protects businesses from claims made by members of the public V for damages that businesses are responsible for. V Protects businesses against losses \ due to death of a debtor. V Any other relevant answer related to the importance of insurance. Max (6) Copyright reserved Please turn over ### Page 10 MDE/September 2025 2.6 Aspects that must be considered when designing a multimedia presentation. - Start with the text which forms the basis of the presentation. VV - Select the background to complement/enhance the text. VV - Choose images that may help to communicate the message. VV - Include/Create graphics to assist the information which is conveyed. VV - Add special effects/sound/pictures/animation to make it interesting for the audience. VV - Create hyperlinks to allow quick access to other files/documents/video clips. - Use legible font and font size so that it is easy to see/read. VV - Keep slides/images/graphs/font simple by not mixing different styles/colours. Vv - Make sure there are no language/spelling errors. VV - Use bright colours to increase visibility. VV - Structure information in a logical sequence so that the audience can easily follow the content of the presentation. VV - Limit the information on each slide by using key words and not full sentences.VV - Any other relevant answer related to Aspects that must be considered when designing a multimedia presentation. Max (4) 2.7 The visual aid that Prince used in her presentation and motivation 2.7.1 The visual aid: Flipchart. VV Motivation: He used large pad of paper, bound and turning over at the top to reveal the next page. ¥ NOTE: Do not award marks for the motivation, if the visual aid was incorrectly identified. Max (3) 2.7.2 The positive impact of flipchart as a visual aid. - Mainly used for a small audience \ to note down short notes/emphasise concepts/ideas. V - Presenters can prepare sets of pages in advance \ to save time during the presentation. V - Very effective in brainstorming sessions V as suggestions are summarised or listed. ¥ - Inasales pitch it may be useful during the feedback session V to summarise main facts/aspects that the presenter needs to follow up. V - Presenters can record a summary of responses received \ from the stakeholders/audience. V - Any other relevant answer related to the positive impact of flipchart as a visual aid. Max (4) 2.8 Areas of improvement the financial officer should consider in the next presentation. - The presenter should revise objectives that were not achieved. VV - Use humour appropriately. Vv - Always be prepared to update/keep the information relevant. VV - Reflect on any problem/criticism and avoid it in future presentations. VV Copyright reserved Please turn over ### Page 11 MDE/September 2025 - Any information that the presenter receives as feedback from a presentation should be analysed and where relevant, incorporated/used to update/amend his presentation. VV - Reflect on the time/length of the presentation to add/remove content. VV - Increase/Decrease the use of visual aids or replace/remove aids that do not work well. VV - Reflect on the logical flow of the format/application of visual aids. VV - Any other relevant answer related to the areas of improvement in the next presentation. Max (6) Breakdown of marks QUESTION 2 Marks 2.1 2.2 2.3 2.4 2.5 2.6 2.7.1 2.7.2 2.8 TOTAL Bla]alwlalalajoalala Copyright reserved Please turn over ### Page 12 QUESTION 3: BUSINESS ROLES 3.1 3.2 3.3 MDE/September 2025 THREE practical examples of unprofessional behavior. - Using rude/impolite language. V ~ Abuse of work time. V - Giving some people special favours. V - Sexual harassment. ¥ - Overstating the number of hours worked. y - Unauthorised use of business resources. V Discussing clients’ information/using clients’ information for personal gain. ¥ NOTE: Mark the first THREE (3) only Max The differences between ethical and professional behaviour. Ethical behaviour. Professional behaviour. - Refers to the principles of right and wrong/acceptable in society. VV Refers to what is right/ wrong/ acceptable in a business. ¥ - Conforms to a set of values that are morally acceptable. Vv Professional behaviour is a certain standard of behaviour/specific level of competence that adheres to an ethical code of conduct. vv - Forms part of a code of conduct to guide employees to act ethically. VV Applying a code of conduct of a profession or business. VV - Focuses on developing a moral compass for decision making. VV Focuses on upholding the reputation of a business/profession. vv - Involves following the principles of tight and wrong in business activities/practices/dealings.vV Includes guidelines on employees’ appearance/ communication/ attitude/ responsibility. Vv - Any other relevant answer related to the ethical behaviour. Any other relevant answer related to the professional behaviour. Sub max 2 Sub max 2 NOTE: 1. Ladle Max The answer does not have to be in a tabular format The difference does not have to link, but must be clear. Award a maximum of TWO (2) marks if the difference is not clear/ Mark either the ethical or professional behaviour only. Diversity issues 3.3.1 TWO diversity issues for Barto Printers and motivation. Diversity Issues Motivations 1. Gender. VV BP has more woman than men in their service. V 2. Disability. VV The building doesn’t have facilities for wheelchairs. ¥ Sub max 4 Sub max 2 NOTE: 1. Max Mark the first TWO (2) diversity issues only. 2. Award marks for the diversity issues even if the motivations were incomplete. 3. Do not award marks for the motivations if the diversity issues were incorrectly identified. Copyright reserved Please turn over (3) (4) (6) ### Page 13 MDE/September 2025 3.3.2. Ways in which businesses could deal with any of the above-stated diversity issue in the workplace. (a) ¢ Gender Males and females should be offered equal employment opportunities. vy - Business directors should promote both men and women in managerial positions. Vv - Women should be employed to comply with EEA. VV - Targets may be set for gender equity in the business. VV - New appointments should be based on skills and ability. VV - Introduce affirmative action by ensuring that male and female employees are remunerated fairly/equally. VV - Any other relevant answer related to ways in which businesses could deal with gender as a diversity issues in the workplace. AND/OR (b) Disability/Physically challenged/People living with disability. Business should provide employment opportunities for people who are physically challenged. VV - Accommodate people who are physically challenged by providing facilities/ ramps for wheel-chairs, etc. We - Ensure that workers with special needs are not marginalised/feel excluded from workplace activities. VV - Business should be well informed on how to deal with disabled employees. VV - Policies and programs should accommodate the needs of people with disabilities. VV - Create an organisational culture/climate that is conducive for people with disabilities. VV - Employees should be trained on how to deal with colleagues with disabilities. VV - Business should bring in external experts to help with disability and accommodation issues. VV - Ensure that employees with disabilities are treated fairly. VV - Focus on skills/work performance of the disabled worker, rather than his/her disability/ possible problems he/she may pose in future. VV - Any other relevant answer related to ways in which businesses could deal with disability as a diversity issues in the workplace. Max (4) NOTE: Mark the first diversity issue only. 3.4 Ways in which businesses can contribute time and effort in improving the well- being of communities. - Business should improve the general quality of life V of their community, e.g. invest in education. ¥ - Ensure that the product they supply V do not harm consumers/the environment. - Refrain from engaging in illegal/harmful practices ¥ such as employing children under the legal age/selling illegal substances, etc. - Make ethically correct business decisions, V e.g. not engage in unfair/misleading advertising, etc.V Copyright reserved Please turn over ### Page 14 MDE/September 2025 - Donate money to a community project/run a project V to uplift the community.\ - Provide recreational facilities ¥ to promote social cohesion/healthy activities. V - Any other relevant answer related to ways in which businesses can contribute time and effort in improving the well- being of communities. Max (4) 3.5 The differences between problem-solving and decision making. Problem-Solving Decision Making. - Problems can be solved V by a - Itis often done by one person/a group/ team or an individua! team member of senior management V¥ member. who makes it authoritarian. V - Alternative solutions are generated/ |- Various alternatives are considered ¥ identified V and critically evaluated. V before deciding on the best one. V - Process of analysing a situation to - tis part of the problem-solving cycle identify strategies \ to bring about V as decisions need to be taken in change. V each step.\/ - Any other relevant answer related to }- Any other related answer related to problem solving decision making Sub max 2 Sub max 2 Max (4) NOTE: 1. The answer does not have to be in a tabular format 2. The difference does not have to link, but must be clear. 3. Award a maximum of TWO (2) marks if the difference is not clear/ Mark either the problem solving or decision making only. 3.6 PROBLEM SOLVING TECHNIQUE 3.6.1 Problem Solving Technique Nominal-Group technique. vV Motivation: Each employee in their small groups had the opportunity to give ideas silently with a short explanation. ¥ Max (3) 3.6.2 The impact of the problem solving technique in Question 3.6.1 (a) Advantages. - It provides time to think about the question in silence V before responding. V - Voting on the ideas is anonymous V and may be more reliable/honest. V - Strong technique for preventing conformity \V to group pressure. ¥) - Each team member/director has a chance to participate V without interference from other team members. ¥ - Everyone in the group is given an opportunity to contribute to the discussion, \ while avoiding the likelihood of one person dominating the group process. V¥ Copyright reserved Please turn over ### Page 15 MDE/September 2025 - Enables the group to generate and clarifies a large amount of ideas quickly, V and democratically prioritises them. V - It encourages participants to confront issues V through constructive problem solving. V - Any other relevant answer related to advantages of nominal group technique. AND/OR (b) Disadvantages - Small groups limit participation V and are pre-selected. V - It is time consuming,V as each member must make a presentation. V - Suggestions may not be as creative ¥ as when a group throws ideas around. ¥) - Good ideas can be voted out \ because its potential cannot be developed further. V - It minimises discussion, V and thus does not allow the full development of ideas. V - Ideas/Inputs made by members may not converge V and cannot lead to the same solution (s).v - Itis hard to implement it effectively with large groups V unless very carefully planned beforehand. V - Requires extended advance preparation, ¥ which means that it cannot be a spontaneous technique. V - Any other relevant answer related to disadvantages of nominal group technique. Max (4) 3.7 Communication as a criteria for successful team performance. - Aclear set of processes/procedures for teamwork V ensures that every team member understands his/her role. V - Efficient/Good communication between team members V may result in quick decisions. V - Quality feedback improves the morale V of the team. V - Open/Honest discussions lead to effective solutions V of problems. ¥ - Continuous review of team progress ensures that team members can rectify mistakes/act pro-actively v to ensure that goals/targets are reached. V - Any other relevant answer related to communication as a criteria for successful team performance. Max (4) 3.8 How businesses should handle conflict in the workplace. - Acknowledge that there is conflict in the workplace. Vv - Identify the cause of the conflict. VV - Arrange pre-negotiations where workers/complainants will be allowed to state their case/views separately.vV - Arrange time and place for negotiations where all employees involved are present. VV - Arrange a meeting between conflicting employers/employees. VV - Make intentions for intervention clear so that parties involved feel at ease. VV - Each party has the opportunity to express his/her own opinions/feelings. VV Copyright reserved Please turn over ### Page 16 MDE/September 2025 - Conflicting parties may recognise that their views are different during the meeting. vv - Analyse/Evaluate the cause (s) of conflict by breaking it down into different parts. vv - Blame shifting should be avoided and a joint effort should be made. VV - Direct conflicting parties towards finding/focusing on solutions. VV - Devise/Brainstorm possible ways of resolving the conflict. VV - Conflicting parties agree on criteria to evaluate the alternatives. VV - Select and implement the best solution. VV - Provide opportunities for parties to agree on the best solution. vv - Evaluate/Follow up on the implementation of the solution(s). vv - Monitor progress to ensure that the conflict has been resolved. vv - Source experts on handling conflict from outside the business. Vv - Any other relevant answer related to how businesses shoutd handie conflict in the workplace. Max (4) Breakdown of marks QUESTION 3 Marks 3.1 3 3.2 3.3.1 3.3.2 3.4 35 3.6.1 3.6.2 Si. 3.8 TOTAL a/[P[PO ALP Pig a b r—) Copyright reserved Please turn over ### Page 17 MDE/September 2025 QUESTION 4: MISCELLANEOUS TOPICS BUSINESS VENTURES 4.1 THREE examples of short term insurance. - Property insurance. ¥ - Money in transit. V - Theft. V - Fire. V Burglary. V NOTE: Mark the first THREE (3) only Max 4.2 Principles of insurance 4.2.1 The principle of insurance applicable to KH. PRINCIPLE OF INSURANCE | MOTIVATION - Utmost good faith.vv¥ - They were very honest when entering into the contract by disclosing all the relevant facts. V Sub max 2 Sub max 1 NOTE: Max 1. Mark the first principle (1) only 2. Award marks for the principle of insurance even if the motivations were incomplete. 3. Do not award mark for the motivation if the principle of insurance were incorrectly identified. 4.2.2 Other principle of insurance. (a) Indemnification/Indemnity.VV Usually applies to short-term insurance, as the insured is compensated for specified/proven harm/loss. V Insurer agrees to compensate the insured for damages/losses specified in the insurance contract, in return for premiums paid by the insured to the insurer. v Protects the insured against a specified event that may occur. V Pay-outs from the insurer will only be made, if the insured can prove the amount of the loss/damage/if there is proof that the specified event took place. ¥ The amount of compensation is limited to the amount of provable loss/damage, even if the amount in the policy/insurance contract is higher.¥ The insured must be piaced in the same position as before the occurrence of the loss/damage/The insured may not profit from insurance. Any other relevant answer related to indemnification as a principle of insurance. Sub max 3 (b) Security/Certainty. VV Copyright reserved Applies to long-term insurance where the insurer undertakes to pay out an agreed upon amount in the event of loss of life. ¥ Please turn over (3) (3) ### Page 18 MDE/September 2025 - Apredetermined amount will be paid out when the insured reaches a predetermined age/or gets injured due to a predetermined event. ¥ - Aims to provide financial security to the insured at retirement/ dependents of the deceased. - Any other relevant answer related to security as a principle of insurance. Sub max 3 (c) Insurable interest. VV - Insured must prove that he/she will suffer a financial loss if the insured object is damaged/lost/ceases to exist.V - Aninsurable interest must be expressed in financial terms.V - Insured must have a legal relationship with the insured object in the contract. V - Any other relevant answer related to insurable interest as a principle of insurance. Sub max 3 Max (6) NOTE: 1. Mark the first TWO (2) only 2. Do not award marks for utmost good faith principle. 4.3 The impact of the public company as a forms of ownership. (a) Positive impact of the public company The business has its own \ legal identity. V Easy to raise funds for growth \ through the sale of shares. V Shareholder is only liable vfor the amount which is invested /Shareholders have \ limited liability. V Can appoint a knowledgeable \ board of directors. V Buy and sell ¥ shares freely. V Shareholders can sell/transfer \ their shares freely. ¥ The public has access to the information, v and this could motivate them to buy shares from a company. V Additional shares can be raised \ by issuing more shares or debentures. ¥ Strict regulatory requirements V protect shareholders. V Any other relevant answer related to the positive impact of the public company as a forms of ownership. AND/OR (b) Negative impact of the public company Must disclose \ all financial information. Large amount of funds is spent V on financial audits.V Stocks must be traded V publicly. A full report must be submitted \V to the major shareholders each year. ¥ Difficult and expensive to establish V as the company is subjected to many legal requirements. V The more shareholders, \ the less profit. ¥ Shareholders may be allowed little or no input ¥ into the affairs of the company. V Due to legislation, decisions take longerV and there may be disagreements. Copyright reserved Please turn over ### Page 19 MDE/September 2025 - Financial affairs must be known to publicly, \ this information could be used to competitors’ advantage. V - Any other relevant answer related to the negative impact of the public company as a forms of ownership. Max 4.4 How the legislation could contribute to the success and/or failure of partnerships as a form of ownership. Factor Success AND/OR Failure - Easy and cheap to establish, | - Unlimited liability/ partners \ as partners must draw up are jointly and severally partnership agreement. v liable V for the debts of the business. - Partners are more motivated |- If one partner dies or retires, 5 to make a success V¥ \ the remaining partners = because of their personal need to draw up a new o possessions are at risk. ¥ agreement. > - Noregulatory requirements |- Oral agreements between oa regarding the name V of the partners can cause conflict V business. V between partners. V - Only subjected to the - Apartnership is not a legal provisions of the Income Tax entity Vv and cannot sue or be Act V as compared to sued. V companies. - Any other relevant answer - Any other relevant answer related to how the legislation related to how the legislation could contribute to the could contribute to the failure success of partnerships as a of partnerships as a form of form of ownership ownership Max NOTE: 1. The answer does not have to be in a tabular format 2. The success and/or failure does not have to link, but must be clear. BUSINESS ROLES 4.5 THREE CSI focus areas. - Community. ¥ - Rural development. V - Employees. V - Environment. V¥ NOTE: Mark the first THREE (3) only Copyright reserved Max Please turn over (4) (4) (3) ### Page 20 MDE/September 2025 4.6 4.6.1 Socio-economic issue affecting YYIC and motivation SOCIO-ECONOMIC ISSUES _| MOTIVATION HIV and AIDS. VV Some of YYIC employees stay absent from work on a regular basis due to illnesses caused by not taking ARV treatment as prescribed. V Sub max 2 Sub max 1 Max (3) NOTE: 1. Mark the first principle (1) socio-economic issue only 2. Award marks for the socio-economic issue even if the motivations were incomplete. 3. Do not award mark for the motivation if the socio-economic issue were incorrectly identified. 4.6.2 Ways in which businesses can deal with the above-stated socio- economic issue - Counselling programmes’ train counsellors’ to provide infected and affected persons/employees. VV - Develop counselling programmes for infected/affected persons/ employees. VV - Conduct workshops on HIV/Aids programmes/campaigns. VV - Roll out anti-retroviral (ARV) treatment programmes (ART) for the infected employees. VV - Encourage employees to join HIV/Aids support groups. VV - Develop strategies to deal with stigma and discrimination. VV - Participate in the HIV/Aids prevention programmes implemented in the community.VV - Support non-governmental organisational/ community-based organisation/ NPC HIV/ Aids initiatives. VV - Any other relevant answer related to ways in which businesses can deal with the above-stated socio-economic issue. Max (4) 4.7 The characteristics of successful team performance. Successful teams share a common goal \V as team members are part of the process of setting goals for the group. There is a climate of respect/trust ¥ and honesty. ¥ Share a set of team values V and implement group decisions. V Successful teams have sound \ intra-team relations. ¥ Teams value the contributions of individual member's V and reach consensus on differences. V Team members enjoy open communication V and deal with items of conflict immediately. V ee accountable and members know the time frame V for achieving their goals. Teams pay attention to the needs V of the individual team members. V¥ Creates an environment where team members are given opportunities to develop V so that team members grow and learn from the experience of working in a team. V Regular reviews of team processes V and progress may detect/solve problems sooner. V Copyright reserved Please turn over ### Page 21 MDE/September 2025 Balance the necessary skills/knowledge/experience/expertise V to achieve the objectives. ¥ Any other relevant answer related to the characteristics of successful team performance. Max (6) 4.8 The benefits of creative thinking in the workplace. Better/Unique/Unconventional ideas/solutions are generated.VV Complex business problems may be solved. VV Improves motivation amongst staff members. VV Management/employees may keep up with fast changing technology which may lead to an increased in market share. VV ao may lead to new inventions which improves the general standard of living. VV May give the business a competitive advantage if unusual/unique solutions/ ideas/strategies are implemented. Vv Productivity increases as management/employees may quickly generate multiple ideas which utilises time and money more effectively. VV Managers/Employees have more confidence as they can live up to their full potential. VV Managers will be better leaders as they will be able to handle/manage change(s) positively and creatively. VV Managers/Employees can develop a completely new outlook, ¥ which may be applied to any task(s) they may do. VV Leads to more positive attitudes as managers/employees feel that they have contributed towards problem solving. vv Managers/Employees have a feeling of great accomplishment, and they will not resist/obstruct the process once they solved a problem/contributed towards the success of the business. vv Stimulates initiative from employees/managers, as they are continuously pushed out of their comfort zone. VV Creativity may lead to new inventions which improves the general standards of living/attract new investors. VV Businesses can continuously improve on product development by exploring new ways to enhance growth.’ Any other relevant answer related to the benefits of creative thinking in the workplace. Max (4) Copyright reserved Please turn over ### Page 22 MDE/September 2025 Mark allocation breakdown QUESTION 4 Marks 41 4.2.1 4.2.2 4.3 44 4.5 4.6.1 4.6.2 4.7 4.8 Blalolalwlwlalalalwolo TOTAL Copyright reserved Please turn over ### Page 23 MDE/September 2025 SECTION C Mark the answer of the FIRST question only QUESTION 5: BUSINESS VENTURES (INVESTMENT INSURANCE) 5.1 Introduction Management focus on executing tasks and overseeing day-to-day operations whereas leadership focuses on inspiring and motivating people to achieve a shared vision or goal. V Management theories provide frameworks for understanding how organizations operate and how managers can effectively lead teams and achieve goals. V The personal attitude of a leader shapes how leaders approach challenges, interact with their teams, and ultimately influence the overall atmosphere of the work environment. ¥ Charismatic leadership style is characterized by the leader's ability to inspire deep emotional commitment from followers, often resulting in high levels of motivation and loyalty. ¥ Any other relevant introduction related to the meaning of management and leadership, leadership theories, the role of personal attitude in successful leadership as well as situations in which charismatic leadership style can be applied in the workplace. Any (2 x 1) 5.2 The differences between management and leadership. LEADERSHIP MANAGEMENT - _ Influences human behaviour. VV - Guides human behaviour. VV - Communicates by means of - Communicates through management interaction/behaviour/vision/values/ functions, e.g. line function. VV charisma. VV - Innovates/Encourages new ideas to |- Administers plans/programs/tasks to increase productivity. Vv reach targets. Vv - Inspires staff to trust and support - Controls systems and procedures to each another. VV get the job done. VV - Focuses on what and why. vv - _ Focuses on how and when. vv - Focuses on the horizon/long term. VV |- Focuses on the bottom line/short/ mediumi/long term. VV - Leaders are born with natural/ - Aperson becomes a manager instinctive leadership skills. VV because of the position in which he/she is appointed. VV - Guides/Leads people to become - Manages the process of getting active participants. VV things done by exercising responsibility. Vv - Leaders have power/influence - Managers have power because of because of his/her knowledge/skills/ the position of authority into which intelligence. VV they are appointed. - Always trying to find more efficient - Enforce rules on ways of completing tasks. VV subordinates/Ensure that tasks are completed. VV Copyright reserved Please turn over (2) ### Page 24 5.3 MDE/September 2025 - Motivational/Inspirational in their - approach VV Instructional in their approach. VV - People orientated. VV Task orientated. VV - Lead by example/trust/respect. VV Manage by planning/organising/ leading/control. VV - Does things right VV Does the right things VV -__Influences human behaviour. VV Guides human behaviour. VV - Communicates by means of interaction/behaviour/vision/values/ charisma. vv Communicates through management functions, e.g. line function. VV - Innovates/Encourages new ideas to increase productivity. VV Administers plans/programs/tasks to reach targets. Vv - Inspires staff to trust and support each another. VV Controls systems and procedures to get the job done. VV - Focuses on what and why. VV Focuses on how and when. VV - Focuses on the horizon/long term. VV Focuses on the bottom line/short/ medium/long term. VV - Any other relevant answer related to leadership Any other relevant answer related to management Max (12) Sub Max 6 Sub Max 6 NOTE: 1. The answer does not have to be in a tabular format 2. The difference does not have to link, but must be clear. 3. Award a maximum of TWO (2) marks if the difference is not clear/ Mark either the management or leadership only. Theories of management and leadership: 5.3.1 Leaders and followers. - The relationship between the leader and employees has a major impact on the goals \ that the organisation has set out to achieve. V - Employees, as followers of the leader, follow the instructions of the leader \ and collectively work towards the organisation’s goals. ¥ - Leaders allow followers to be creative/innovative and encourage them to explore alternative methods V to increase productivity. V - Leaders lead by example and provide incentives v for positive behaviour. ¥ - Followers take responsibility V for goals/targets not achieved. V - Followers easily accept responsibility ¥ when something doesn’t work out. ¥ - Innovation/Creativity of some followers is stifled as they simply follow the leader V and other followers might just trail along depending on leaders and other followers to pull them through the task.v - Teams achieve great results when there is a sense of understanding V between the leader and the team of followers. V - Followers listen to what is expected of them \ and are willing to work as a team. V Copyright reserved Please turn over ### Page 25 MDE/September 2025 - Leaders motivate employees to devise alternative strategies \ to find more efficient ways to use available resources. V - Any other relevant answer related to leaders and followers as a theory of management and leadership. Sub max 6 5.3.2 Transformational leadership - Suitable for a dynamic environment, ¥ where change could be drastic. V - The passion/vision/personality of leaders inspire followers V to change their ROSES DSC TREAT] to work towards a common goal. - Strategic thinking leaders develop a long-term vision for the organisation \ and sell it to subordinates/employeesV. - Leaders have the trust/respect/admiration \ of their followers/ subordinates. V - Promotes intellectual stimulation/creative thinking/problem solving V which result in the growth/development/success of the business. \ - Followers are coached/led/mentored/emotionally supported through transformation/change \ so that they can share their ideas freely. V - Encourages followers \ to explore/try new things/opportunities. - Leaders lead by example V and make workers interested in their work.V - Leaders have strong, charismatic personalities V and are very good at motivating staff to achieve results. V - Enable employees to take greater ownership for their work V and to know their strengths and weaknesses. V - Any other relevant answer related to transformational leadership as a theory of management and leadership. Sub max 6 Max 5.4 The role of personal attitude in successful leadership. Positive attitude releases leadership potential V for personal growth. A leader's good attitude can influence V the success of the business. Leaders must know their strengths and weaknesses \ to apply their leadership styles effectively.V Great leaders understand that the right attitude V will set the right atmosphere.V Leaders’ attitude may influence employees'/teams’ thoughts/ V behaviour. Leaders should model the behaviour that they want to see V in team members.V Successful leaders consider the abilities/skills of team members \ to allocate tasks/roles effectively.V i produces confidence in a leader ¥ and inspires them to work even harder. A positive attitude is critical for good leadership because good leaders will stay with the task \ regardless of difficulties/challenges. V Successful leaders and employees have a constant desire to work V and achieve personal/professional success. Leaders with a positive attitude know that there is always more to learn/ V space to grow.V Any other relevant answer related to the role of personal attitude in successful leadership. Max Copyright reserved Please turn over (12) (12) ### Page 26 MDE/September 2025 5.5 Situations in which charismatic leadership style can be applied in the workplace. Sell vision and achieve excellent results. vv Motivate employees as the leader is energetic/inspiring. VV The organisation wants to implement changes and uses the leader to get the support of employees. VV Confidence levels of employees are low, and employees need to be inspired/ inspire loyalty/hard work among employees. Vv Ths leader wants to boost the morale of employees, who may be demotivated. vv The aap wants employees to continue the path of high productivity/efficiency levels. Vv Any other relevant answer related to the situations in which charismatic leadership style can be applied in the workplace. Max (10) 5.6 Conclusion Both management and leadership are essential for success, and the best leaders often possess strong management skills, while effective managers exhibit leadership qualities. VV Leadership is not a one-way street effective leaders recognize the value of their followers and create environments where both roles thrive. VV Transformational leadership theory is a dynamic model that encourages leaders to inspire and motivate followers to achieve better results. VV By demonstrating a positive attitude, leaders can create an environment where both individuals and teams thrive and ensures organizational success. VV Any other relevant conclusion related to the meaning of management and leadership, leadership theories, the role of personal attitude in successful leadership as well as situations in which charismatic leadership style can be applied in the workplace.| Any (1x2) (2) [40] Copyright reserved Please turn over ### Page 27 MDE/September 2025 QUESTION 5 BREAKDOWN OF MARK ALLOCATION DETAILS MAXIMUM TOTAL Introductions 2 Outline the difference between management and 12 leadership. Explain the following theories of management and 12 leadership: o Leaders and followers. 32 o_ Transformational leadership MAX Discuss the role of personal attitude in successful 12 leadership. Recommend situations in which charismatic 10 leadership style can be applied in the workplace. Conclusion 2 INSIGHT Layout Analysis Synthesis Originality NINN TOTAL MARKS 40 *LASO - For each component: Allocate 2 marks if all requirements are met. Allocate 1 mark if only some of the requirements are met. Allocate 0 marks where requirements are not met at all. Copyright reserved Please turn over ### Page 28 MDE/September 2025 QUESTION 6: BUSINESS ROLES (ETHICS AND PROFESSIONALISM) 6.1 Introduction Employees' economic rights in the workplace are protected by various laws and regulations. ¥ Diverse workforce brings together individuals with different perspectives, experiences, and ideas, fostering creativity and innovative solutions to challenges. V¥ Employers have a crucial role in ensuring a safe and healthy work environment for their employees by providing a safe workplace. V Businesses can promote cultural rights in the workplace by fostering an inclusive and respectful environment. V Any other relevant introduction related to the economic rights of employees in the workplace, the benefits of diversity in the workplace, the responsibilities of employers in promoting human health and safety in the workplace as well as ways in which businesses could promote social rights and cultural rights in the workplace. Any (2x1) = (2) 6.2 The economic rights of employees in the workplace Free from forced labour. VV Free to accept/choose work. VV Fair wages/Equal pay/Equal pay for work of equal value. VV Reasonable limitation of working hours. VV Fair labour practice. VV Safe/Healthy working conditions. VV Join/Form trade unions. VV Right to participate in a legal strike. VV Any other relevant answer related to the economic rights of employees in the workplace. Max (8) 6.3 The benefits of diversity in the workplace. Workforce diversity improves the ability of a business V to solve problems/ innovate/cultivate diverse markets. V Employees value each other's diversity and learn to connect/communicate ¥ across lines of difference. Vv Diversity in the workforce V improves morale/motivation. V Employees demonstrate greater loyalty to the business V because they feel respected/accepted/understood. V Diversified workforce can give businesses a competitive advantage, \V as they can render better services. Vv Being respectful of differences/demonstrating diversity \ makes good business sense/improves profitability. V Diverse businesses ensure that its policies/practices empower every employee \ to perform at his/her full potential. v Stakeholders increasingly evaluate businesses V on how they manage diversity in the workplace. V Employees from different backgrounds can bring different perspectives \ to the business. V¥ Copyright reserved Please turn over ### Page 29 MDE/September 2025 - Adiversified workforce stimulates debate ¥ on new/improved ways of getting things done. V - Employees represent various groups and are therefore better able to recognise customer needs ¥ and satisfy consumers. V - Businesses with a diverse workforce are more likely to have a good public image ¥ and attract more customers. V - Any other relevant answer related to the benefits of diversity in the workplace. Max (12) 6.4 The responsibilities of employers in promoting human health and safety in the workplace. - Provide and maintain all the equipmenty that is necessary to perform the work.V - Keep the systems to ensure that there will be no harmful impact ¥ on the health and safety of workers. V - Reduce dangers to workers ¥ and provide personal protective clothing. ¥ - Ensure that the workers’ health is not damaged by hazards \ resulting from production /processing/storage/transportation of materials or equipment. V - Employers must know where potential dangers might be V and take measures to eliminate or limit the harm. ¥ - Workers must be informed /instructed/and supervised to limit potential dangers to them/ Emergency exit door signs should be visible to all employees.) - Equipment must be used under the supervision \ of a designated trained worker. ¥ - Comply with safety laws V which seek to promote a healthy working environment. V¥ - Any other relevant answer related to the responsibilities of employers in promoting human health and safety in the workplace. Max (14) 6.5 Ways in which businesses could promote social rights and cultural rights in the workplace. Ways to promote social rights in the workplace: - Businesses should ensure that employees have access to clean water/social security. VV - Encourage employees/Provide opportunities for skills training/basic education.vV - Register workers with UIF to provide adequate protection in the event of unemploymentiillness. VV - Encourage employees to participate in special events, e.g. World Aids day. VV - Provide health care services by establishing site clinics to give employees access to basic medical examinations. VV - Any other relevant answer related to ways to promote social rights in the workplace Sub max 6 Copyright reserved Please turn over ### Page 30 MDE/September 2025 Ways to promote cultural rights in the workplace: Provide the environment in which employees are free to use their own language when interacting with others during their free time. VV Businesses should encourage employees to attend/ participate in cultural activities. VV Allow employees to provide solutions to challenges from their own cultural perspective. VV Regular cultural information sessions will help employees to respect each other's culture in the workplace. VV Make provision for different cultures, such as food served in the canteen/entertainment at staff functions. VV Businesses should employ people from various cultural backgrounds. VV Employees should be trained on cultural tolerance/ Business policies should promote cultural tolerance. VV Have a flexible dress-code policy that allows employees to wear suitable cultural regalia/accessories. VV Any other relevant answer related to ways in which businesses could promote social rights and cultural rights in the workplace Sub max 6 Max (12) 6.6 Conclusion Employers should not violates employees’ economic rights as there are legal mechanisms in place that aims to protect workers and uphold fair labour practices in the workplace. VV Embracing diversity not only strengthens businesses but also contributes to social cohesion and economic growth. VV By prioritizing these responsibilities of employers in promoting human health ane safety, employers contribute to a healthier and more productive workforce. Businesses must partner with cultural organizations or participate in community events to demonstrate a commitment to cultural diversity. VV Any other relevant conclusion related to the economic rights of employees in the workplace, the benefits of diversity in the workplace, the responsibilities of employers in promoting human health and safety in the workplace as well as ways in which businesses could promote social rights and cultural rights in the workplace. Any (1x2) (2) [40] Copyright reserved Please turn over ### Page 31 MDE/September 2025 QUESTION 6 BREAKDOWN OF MARK ALLOCATION DETAILS MAXIMUM | TOTAL Introductions 2 Outline the economic rights of employees in the 8 workplace Discuss the benefits of diversity in the workplace. 12 Explain the responsibilities of employers in promoting Max human health and safety in the workplace. 14 32 Recommend ways in which businesses could promote 12 cultural rights in the workplace Conclusion 2 INSIGHT Layout 2 Analysis 2 Synthesis 2 al Originality 2 TOTAL MARKS 40 *LASO - For each component: Allocate 2 marks if all requirements are met. Allocate 1 mark if only some of the requirements are met. Allocate 0 marks where requirements are not met at all. 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