# Business Studies Grade 12 Eastern Cape June 2014 QP

> Grade 12 Business Studies question paper from the Eastern Cape June 2014, 16 pages. Read online or get the free PDF download, memo linked when available.

- Page: https://www.hlayiso.com/library/business-studies-june-2014-grade-12-grey/46c9927f-5f52-4df5-9c95-760d385d6932
- Updated: 2026-09-27
- Subject: Business Studies
- Grade: Grade 12
- Document type: Question paper
- Year: 2014
- Exam period: Eastern Cape June
- Curriculum: CAPS
- Pages: 16

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## About this document

Business Studies · Grade 12 · Eastern Cape June · 2014. Question paper, 16 pages. Read online or download the PDF.

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Business Studies                            1                          June 2014 Common Test
                                            NSC

                                  BUSINESS STUDIES

                                     COMMON TEST

                                        JUNE 2014

                                     NATIONAL
                                SENIOR CERTIFICATE

                                        GRADE 12

MARKS: 300

TIME: 3 hours

               N.B. This question paper consists of 12 pages including this page.

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Business Studies                               2                             June 2014 Common Test
                                               NSC

INSTRUCTIONS AND INFORMATION

Read the following instructions carefully before answering the questions.

1.      This question paper consists of THREE sections and covers all broad topics.

        SECTION A: COMPULSORY
        SECTION B: Consists of FOUR questions.
                   Answer any THREE of the FOUR questions in this section.
        SECTION C: Consists of FOUR questions.
                   Answer any TWO of the four questions in this section.

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

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

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

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

6.     Use the table below as a guide for marks and time allocation when answering
       each question.

                       SECTION                   QUESTION       MARKS           TIME
            A: Objective type questions
                                                      1            40        30 minutes
               COMPULSORY
                                                      2            60        30 minutes
            B: FOUR direct/indirect type
                                                      3            60        30 minutes
               questions (CHOICE: Answer
                                                      4            60        30 minutes
               any THREE)
                                                      5            60        30 minutes

                                                      6            40        30 minutes
            C: FOUR essay type questions              7            40        30 minutes
               (CHOICE: Answer any TWO)               8            40        30 minutes
                                                      9            40        30 minutes
                                TOTAL:                            300       180 minutes

7.      Begin the answer to EACH question on a NEW page, for example QUESTION
        1 – new page, QUESTION 2 – new page, et cetera.

8.      A non-programmable calculator may be used.

9.      Write neatly and legibly.

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Business Studies                                   3                           June 2014 Common Test
                                                   NSC

SECTION A : (COMPULSORY)

QUESTION 1: MULTIPLE-CHOICE QUESTIONS

1.1     Each of the following statements/questions is followed by four options, only
        ONE of which is correct. Choose the correct option and indicate this by placing
        the letter of the alphabet that corresponds to it next to the number, for example 1.11 E.

        1.1.1 “We strive to provide high-quality meals at affordable prices to customers.”
               This is an example of Nalini’s Touch of Class Restaurant’s …

                   A     mission.
                   B     productivity standards.
                   C     performance standards.
                   D     quality control system.

        1.1.2 The growth of water usage is outpacing the supply thereof.
              This forms part of the … environment.

                   A     technological
                   B     physical
                   C     social
                   D     economic

        1.1.3 Legit provides fashionable clothing to fashion-conscious women
              between the ages of 16 and 24 years, who live on a shoestring budget.
              These young, fashionable women belong to Legit’s … environment.

                   A     micro
                   B     market
                   C     mega
                   D     macro

        1.1.4 SIMOENE is a shift supervisor at Groothelud Coal Mine. As such she
              is responsible for the day-to-day activities of and short-term planning
              for her section.

                   As a shift supervisor within the business, SIMONE operates at the … level of
                   management.

                   A     top
                   B     middle
                   C     lower
                   D     tactical

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Business Studies                                4                           June 2014 Common Test
                                                NSC

        1.1.5 At SAB, Competition Act compliance training is provided as a part of
              the induction of new employees. Annual training is compulsory for all
              senior executives and their colleagues in marketing, sales and distribution.
              In this case SAB is driven by … drivers.

                   A   ethical
                   B   employee
                   C   corporate
                   D   engagement

        1.1.6 Edcon applies corporate governance in order to ensure sustainability
              of the organisation and its business. These principles and practices
              are applied in line with the …

                   A   Kyoto Protocol.
                   B   King 3 report.
                   C   Global Reporting Initiative (GRI).
                   D   JSE SRI Index.

        1.1.7 Small groups of employees who voluntarily meet on a regular basis to discuss
              problems relating to an improvement in production is known as …

                   A   quality circles.
                   B   MBO strategies
                   C   entrepreneurship.
                   D   empowerment.

        1.1.8 Kyle is a human resource manager at Marketing Exclusive, a small marketing
              and adverting consulting firm. He has to determine which qualifications a
              person should have to perform the required job. This is known as …

                   A   job analysis.
                   B   job description.
                   C   job specification.
                   D   induction.

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Business Studies                                    5                             June 2014 Common Test
                                                    NSC

         1.1.9 Bill Gates created a progressive company such as Microsoft, functioning
               in a dynamic environment. Bill Gates displays the characteristics of a
               … leader, who is distinguished by the ability to bring about innovation
               and change.

                   A       charismatic
                   B       transformation
                   C       transactional
                   D       interactive

       1.1.10 Kimbelin is the owner of a small bookshop. Her assistant has recently
              resigned and she needs to appoint another assistant. What are the
              advantages for Kimbelin appointing someone internally?

                   1       Current employees are familiar with the business
                   2       Current employees’ careers are advanced
                   3       Current employees are not suitably qualified
                   4       Current employees do not bring new ideas to the business

                   A       1, 2
                   B       1, 2, 3
                   C       2, 3, 4
                   D       1, 2, 3, 4                                             (10 x 2)       (20)

1.2     Choose a term from COLUMN B that matches a description in COLUMN A.
        Write only the letter (A–E) next to the question for example 1.2.6 F.

                                     COLUMN A                                COLUMN B
           1.2.1       A farmer buys the green grocer that             A   Strategy
                       normally supplies in order to gain greater
                       control over the distribution of his products
           1.2.2       The purpose of this Act is to ensure that       B   Conflict
                       employees work in a safe environment
           1.2.3       A green grocer buys the farm of his supplier    C   Forward vertical
                       in order to gain greater control over the           integration
                       supply of fresh produce to his shop
           1.2.4       A plan of action to achieve business            D   Backward vertical
                       objectives                                          integration
           1.2.5       Differences in opinions, values, beliefs and    E    Compensation for
                       attitude                                            Occupational
                                                                           Injuries Act, 1993
                                                                           (Act 130 of 1993)
                                                                                   (5 x 2)       (10)

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Business Studies                              6                               June 2014 Common Test
                                              NSC

1.3     Choose the correct word(s) from those given in brackets. Write only the
        word(s) next to the question number (1.3.1–1.3.5) in the answer book.

        1.3.1 A SWOT analysis / job analysis) is a tool for assessing a business
              and its environment.

        1.3.2 (Brainstorming / Empty Chair) is a creative problem-solving technique
              in which several people think about a single problem and suggest
              ideas that could lead a solution.

        1.3.3 (Redundancy / Retirement) is when there is no longer work for
              some employees because the business is being restructured.

        1.3.4 When a business enterprise support (the triple bottom line /
              human right) they will consider the social, environmental and
              economic impact in its region.

        1.3.5 A person who occasionally works on a Sunday should be paid
              (double the normal wage / one and a half times the normal wage). (5 x 2) (10)

                                                                  TOTAL SECTION A: 40

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Business Studies                               7                             June 2014 Common Test
                                               NSC

SECTION B: (COMPULSORY)

Answer ANY THREE questions from this section.

Clearly indicate the QUESTION NUMBER of each chosen question. The answer
to EACH question must start on a NEW page, for example QUESTION 2 on a
NEW page, QUESTION 3 on a NEW page, et cetera.

QUESTION 2

2.1     Read the following extract and answer the questions that follow.

                              OLD MUTUAL SOUTH AFRICA (OMSA)

           OMSA is committed to growing and investing in socially responsible activities,
           employment equity and diversity, skills development and affirmative procurement,
           as well as sustainable social investment projects and the active involvement of
           employees in social and community affairs. Its corporate citizenship programme
           recognises the value of non-financial performance and social accountability.

           Old Mutual supports preferential procurement as a lever for economic
           transformation and Broad-Based Black Economic Empowerment (BBBEE). Old
           Mutual transferred 13,5 % of its ownership in the hands of black South African.

        2.1.1 Distinguish between corporate social investments and corporate social
              responsibility.                                                               (4)

        2.1.2 Old Mutual is one of the businesses that support the community.
              Describe FOUR problems or challenges Old Mutual may face when trying
              to implement a CSI program.                                          (8)

2.2     One of the objectives of Old Mutual is to promote procurement. Preferential
        procurement is one the pillars of BBBEE.

        2.2.1 Name any other FOUR pillars.                                                  (4)

        2.2.2 Old Mutual transferred 13,5 % of its ownership into the hand of the
              black South Africans. State FOUR benefits of BBBEE.                           (8)

        2.2.3 Justify the introduction of broad-based black economic empowerment
              (BBBEE).                                                                      (4)

        2.2.4 Businesses operate in diverse communities and they have a diverse (6)
              workforce. Discuss the obligations of businesses in terms of their broad-
              based approach with specific reference to inclusivity.

2.3     Discuss how Old Mutual businesses should address environmental issues to
        maintain sustainability and also explain the benefits of addressing these issues. (12)

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Business Studies                               8                             June 2014 Common Test
                                               NSC

2.4     OLD MUTUAL play a crucial role in ensuring that learners and apprentices
        are able to receive training through the implementation of the Skills
        Development Act, 1988 (Act 97 of 1988).

        2.4.1 Explain the purpose of the Skills Development Act.                            (10)

        2.4.2 Comment on the progress of this Act in industry.                              (4)
                                                                                            [60]

QUESTION 3

3.1     List the consequences of conflict in the workplace.                                 (10)

3.2     State FIVE steps that the management should follow when resolving
        conflict in a workplace.                                                            (10)

3.3     Name TWO conflict management skills to resolve differences in business
        situation.                                                                          (4)

3.4     Explain family responsibility leave according to the Basic Conditions of
        Employment Act, 1997 (Act 75 of 1997)                                               (6)

3.5     Business usually only resort to defensive strategies when they are under
        severe pressure and have few options. Evaluate TWO defensive strategies
        that can be used.                                                                   (8)

3.6     Describe THREE steps a business will follow when evaluating strategies.             (6)

3.7     Discuss ways in which professional, responsible, ethical and effective
        business practice should be conducted.                                              (16)
                                                                                            [60]

QUESTION 4

4.1     Distinguish between a dispute and a grievance.                                      (4)

4.2     When people work together they can learn from one another and achieve
        more than they can as individuals. Discuss FOUR criteria that individuals
        can use to assess themselves with regard to team performance.                       (12)

4.3     Suggest FIVE ways that businesses can use to deal with difficult employees.         (10)

4.4     Explain the steps to be followed when dealing with a grievance procedure.           (12)

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Business Studies                                    9                        June 2014 Common Test
                                                    NSC

4.5     One of your employees, who is well qualified and experienced, has an
        alcohol problem. Describe measures that you, as manager, will take to
        ensure the wellbeing of the employee.                                                 (12)

4.6     Briefly state the benefits of implementing a good quality control system
        in a business.                                                                        (10)
                                                                                              [60]

QUESTION 5

5.1      Sizwe is the manager of Best Clothing. He explains work procedures,
         rewards employees for excellence and punishes them if targets are not met.

         5.1.1 Identify the leadership theory described above.                                (2)

         5.1.2 Evaluate the impact of this leadership theory on business operations.         (4)

5.2     Explain the term ‘head hunting’ as one of the recruitment method.                     (4)

5.3     Once the applicant has been chosen and has accepted the position offered,
        he/she has to sign an employment contract.

        List any SIX conditions that will be stipulated in the employment contract.           (12)

5.4     The statement below refer to specific business operations. They describe
        a business sector. Identify the business sector and give reasons for your
        answer.

        5.4.1 Old Mutual Group Scheme offering investment opportunities for 2014.             (6)

        5.4.2      Sappi Forestry planting trees.                                             (6)

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Business Studies                                   10                             June 2014 Common Test
                                                   NSC

5.5      Study the extract below taken from the payslip of A. ANTON an employee of
         GLEN Stores and answer the questions that follow.

            Gross income       R14 500           Income Tax                     R3 625
            Housing allowance    R600            UIF                            R1 450
            Overtime allowance R1 950            Virgin medical aid              R994
                                                 Sanlim retirement annuity       R750
                                                 Legal Wise                       R45

                                                 Net salary                          ?

        5.5.1 Calculate the NET SALARY of A. ANTON                                                (2)

        5.5.2 Name TWO deductions on the above payslip which are NOT compulsory,
              according to the Basic Conditions of Employment Act.               (4)

        5.5.3 Name TWO deductions on the above payslip which are compulsory,
              according to the Basic Conditions of Employment Act.                                (4)

         5.5.4 Read the following scenario and answer the questions that follow.

                     Tina has been appointed as a saleslady at EAST COAST CAR
                     DEALERSHIP.

                     Her employment contract stipulates, amongst others, the
                     following:

                     x     10 working days annual leave
                     x     Resignation when Tina falls pregnant
                     x     8 hours of work per day

                   Tina has approached you as a labour consultant to advise her on her
                   basic rights in terms of the employment contract.

                   Write a critical evaluation of the above stipulations with regard to
                   their compliance with the requirements of the Basic Conditions
                   of Employment Act, 1997 (Act 75 of 1997).                                            (10)

5.6     Evaluate the impact of the Consumer Protection Act, 2008 (Act 68 of 2008)
        on businesses.                                                                                  (6)
                                                                                                        [60]

                                                                        TOTAL SECTION B:             180

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Business Studies                              11                            June 2014 Common Test
                                              NSC

SECTION C

Answer ANY TWO questions.

NOTE: Clearly indicate the QUESTION NUMBER of the chosen question.
      The answer to EACH question must start on a NEW page, for example
      QUESTION 7 on a NEW page, QUESTION 8 on a NEW page, et cetera.

QUESTION 6

  Kia Stores have been experiencing a decline in sales due to a loss of
  customers to competitors. The management of Kia Stores decides to conduct
  a planning session to come up with strategies to increase sales and to attract
  customers.

Formulate TWO possible strategies that Kia Stores can include in their strategic
planning to address the challenges in the scenario. Discuss how Kia Stores can
apply the Porter's Five Forces model to analyse their market environment.                     [40]

QUESTION 7

  The King Code provides a framework to corporate governance for best
  business practices. Business ethics and professional conduct is the foundation
  of, and reason for, corporate governance.

Distinguish, with examples, between professional behaviour and unprofessional
behaviour. Evaluate taxation, the unauthorised use of funds and the abuse of work
time as issues that challenge the ethical behaviour of businesses and suggest
strategies that could be used to address these issues.                                        [40]

QUESTION 8

  Taking a team from ordinary to extraordinary means understanding and
  embracing the difference between management and leadership. This can be
  attributed to the different leadership styles adapted by them in their particular
  business organisation.

Distinguish between leadership and management. Evaluate the consensus,
autocratic and laissez-faire leadership styles. Also explain when each
style can be applied by management.                                                           [40]

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Business Studies                             12                            June 2014 Common Test
                                             NSC

QUESTION 9

  Quality is people and their attitude toward their work at all levels in the
  organisation. As with quality, it is evident that total quality management forms
  an integral part of the operations function.

Explain the term ‘TQM: total quality management’. Analyse the impact of quality on
different business structures (big and small) taking into account the elements of total
quality management TQM); continuous skills development; total client satisfaction and
continuous improvement to processes and systems                                           [40]

                                                                 TOTAL SECTION C: 80
                                                                    GRAND TOTAL: 300

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