# Business Studies Grade 11 P1 Eastern Cape November 2023 Memo

> Grade 11 Business Studies Paper 1 memorandum from the Eastern Cape November Exam 2023 (English), 36 pages. Read online or download the free PDF.

- Page: https://www.hlayiso.com/library/business-studies-p1-gr11-memo-nov2023-english/daa63b87-2970-483e-8752-2a718aa5efcf
- Updated: 2026-09-27
- Subject: Business Studies
- Grade: Grade 11
- Language: English
- Document type: Memorandum
- Year: 2023
- Exam period: Eastern Cape November Exam
- Paper: 1
- Curriculum: CAPS
- Pages: 36

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## About this document

Business Studies · Grade 11 · Eastern Cape November Exam · 2023 · English. Memorandum, 36 pages. Read online or download the PDF.

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                          NATIONAL
                     SENIOR CERTIFICATE
                     SENIOR SERTIFIKAAT
                          GRADE 11

                        NOVEMBER 2023

                  BUSINESS STUDIES P1
                   MARKING GUIDELINE

MARKS:   150

                  This marking guideline consists of 36 pages.

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2                                BUSINESS STUDIES P1                    (EC/NOVEMBER 2023)

NOTES TO MARKERS

1.     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

       For marking and moderation the following colours are recommended:

       Marking:                             Red
       School moderation:                   Green
       District moderation:                 Orange
       Provincial moderation:               Purple

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 guideline has been provided but this is by no
       means exhaustive. Due consideration should be given to an answer that is
       correct but:
       • Uses a different expression from that which appears in the marking
         guideline
       • Comes from another credible source
       • Original
       • A different approach is used
       NOTE: There is only ONE correct answer in SECTION A.

4.     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 and moderation purposes.

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(EC/NOVEMBER 2023)                         BUSINESS STUDIES P1                                 3

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 the marking guidelines. Only the total for each question should
       appear in the left-hand margin next to the appropriate question number.
8.     In an indirect question, the theory as well as the response must be relevant
       and related to the question.
9.     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 penalised if the latter is not clear.
10.    No additional credit must be given for repetition of facts. Indicate with an ‘R’.
11.    The differentiation between ‘evaluate’ and ‘critically evaluate’ can be
       explained as follows:
       11.1 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.’ √
       11.2 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:         1.   The above could apply to ‘analyse’ as well.
                     2.   Note the placing of the tick (√) in the allocation of marks.

12.    The allocation of marks must be informed by the nature of the question,
       cognitive verb used, mark allocation in the marking guideline and the context
       of each question.

       Cognitive verbs, such as:
       12. Advise, name, state, outline, motivate, recommend, suggest, (list not
       1     exhaustive) do not usually require much depth in candidates’
             responses. Therefore, the mark allocation for each statement/answer
             appears at the end.

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4                                   BUSINESS STUDIES P1                     (EC/NOVEMBER 2023)

       12.2     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.

13.    Mark only the FIRST answer where candidates offer more than one answer
       for SECTION B and C questions that require one answer.

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.

       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).

       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 to finalise alternative answers. You can consult the
                subject advisor for approval.

       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 marking guideline)
                          •  Explanation 1 mark (two marks will be allocated in
                             SECTION C)
                          The ‘fact’ and ‘explanation’ are given separately in the
                          marking guideline 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
                          guideline.

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(EC/NOVEMBER 2023)                      BUSINESS STUDIES P1                               5

       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 SECTIONS 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              Maximum:
                     Content
                     Conclusion                    32
                     Insight                       8
                     TOTAL                         40

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6                                    BUSINESS STUDIES P1                      (EC/NOVEMBER 2023)

15.2    Insight consists of the following components:

Layout/Structure       Is there an introduction, a body, and a conclusion?                  2
Analysis and           Is the candidate able to break down the question into                2
interpretation         headings/subheadings/interpret it correctly to show
                       understanding of what is being asked?
                       Marks to be allocated using this guide:
                       All headings addressed:            1 (One ‘A’)
                       Interpretation (16 to 32 marks): 1 (One ‘A’)
Synthesis              Are there relevant decisions/facts/responses made based on           2
                       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
                                     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 writes FOUR questions,
                                     but one sub-question of the question 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 marks (Two ‘-S’)
                                     Where a candidate answers less than 50%
                                     (only one sub-question) of the question with no
                                     relevant facts; two ‘-S’ appear in the left
                                     margin. Award a ZERO mark for synthesis.
Originality            Is there evidence of one or two examples, not older than two         2
                       (2) years that are 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.
              2.     The candidate forfeits marks for layout if the words
                     INTRODUCTION and CONCLUSION are not stated.
              3.     No marks will be awarded for layout, if the headings
                     INTRODUCTION and CONCLUSION are not supported by an
                     explanation.

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(EC/NOVEMBER 2023)                       BUSINESS STUDIES P1                                 7

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 guideline to each question.

15.5      Mark all relevant facts until the SUB MAX/MAX mark in a subsection has
          been attained. Write SUB-MAX/MAX. after maximum marks have been
          obtained but continue reading for originality “O”.

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.)
                         S                          2
                         A                          2
                         S                          2
                        O                           2
                      TOTAL                         40

 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 marking guideline.

 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.

 15.11    With effect from November 2017, the maximum of TWO (2) marks for
          facts shown as headings in the marking guidelines, will not necessarily
          apply to each question. This would also depend on the nature of the
          question.

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8                                   BUSINESS STUDIES P1           (EC/NOVEMBER 2023)

SECTION A

QUESTION 1

1.1     1.1.1        D √√
        1.1.2        B √√
        1.1.3        A √√
        1.1.4        C √√
        1.1.5        D √√
                                                                     (5 x 2)    (10)

1.2     1.2.1   demographics √√
        1.2.2   no √√
        1.2.3   go-slow √√
        1.2.4   intermediaries √√
        1.2.5   external √√
                                                                     (5 x 2)    (10)

1.3     1.3.1    D √√
        1.3.2    J √√
        1.3.3    I √√
        1.3.4    B √√
        1.3.5    C √√
                                                                     (5 x 2)   (10)

                                                          TOTAL SECTION A:      30

                                                    BREAKDOWN OF MARKS
                                                   QUESTION 1   MARKS
                                                      1.1         10
                                                      1.2         10
                                                      1.3         10
                                                     TOTAL        30

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(EC/NOVEMBER 2023)                    BUSINESS STUDIES P1                             9

SECTION B
Mark the answers to the FIRST TWO questions only.
QUESTION 2: BUSINESS ENVIRONMENTS

2.1 Components of the micro environment
    - Vision, mission statement, goals and objectives √
    - Organisational structure √
    - Organisational resources √
    - Organisational culture √
    - Management and leadership √
    - Eight business functions √
    NOTE: Mark the first THREE (3) only.                                  (3 x 1)    (3)

2.2 Functions of trade unions
    - Protecting their members against unfair labour practices in the
      workplace. √√
    - Empowering employees by educating them regarding their rights in the
      workplace and how to apply these rights. √√
    - Representing employees in meetings with their employers when they face
      workplace grievances and disputes./Representing employees corporately
      and individually. √√
    - Negotiating/Influencing management for better working conditions, salary or
      wages and other benefits to improve the standard of living for
      workers./Improving the material benefits of their members. √√
    - Protecting employees against from unfair dismissals and labour practices.√√
    - Taking legal action on behalf of their members when necessary. √√
    - Protecting/Advancing the interest of workers. √√
    - Representing the interest of general society and minority groups through
      media and negotiations. √√
    - Influencing government decisions. √√
    - Providing legal and financial advice. √√
    - Providing benefits and educational facilities to its members. √√
    - Supporting and promoting gender equality in the workplace. √√
    - Protecting members in times of retrenchments and disciplinary hearings.√√
    - Protecting the interest of their members during disciplinary procedures. √√
    - Any other relevant answer related to the functions of trade unions.
                                                                             Max.    (6)

2.3 Ways businesses can form power relationships

     2.3.1    Way business formed power relationship from the scenario
              Persuasion of large investors √√                                      (2)

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10                                 BUSINESS STUDIES P1                    (EC/NOVEMBER 2023)

       2.3.2    ONE other way businesses can form power relationships
                Strategic alliance/Partnership agreements √√
                - Businesses form partnership agreements in order to benefit from
                   each other’s involvement. √
                - These partnership alliances help parties involved to benefit in
                   infrastructure development and scarce skills. √
                - These alliances are designed to build on the expertise of each
                   partner and on the way in which they complement each other. √
                - Any other relevant answer related to strategic alliance/partnership
                   agreements as a way businesses can form power relationships.
                                                                               Way (2)
                                                                       Description (1)
                                                                         Sub-max. (3)
                Company representatives’ influence √√
                - This representative fulfils an important function in trying to
                   persuade investors to invest in a particular business practice. √
                - People will make decisions based on the company’s image,
                   personality, communication style and power of persuasion. √
                - Businesses must invest time and energy to recruit the right person
                   for this job. √
                - Any other relevant answer related to company representatives’
                   influence as a way businesses can form power relationships.

                                                                                Way       (2)
                                                                          Description     (1)
                                                                           Sub-max.       (3)

       NOTE:         1.   Mark the first ONE (1) only.
                     2.   Do not award marks for ‘persuasion of large investors’.
                                                                           Max.           (3)

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(EC/NOVEMBER 2023)                      BUSINESS STUDIES P1                              11

2.4    Negative impact of strikes as a socio-economic issue on businesses
       - Strike actions have a potential of jeopardising √ relations. √/May lead to an
         unhealthy relationship √ between the employer/management and
         employees. √
       - It can also affect teamwork in the workplace √ in instances where not all
         workers are in support of such industrial action. √
       - Businesses suffer financial losses / √ due to low levels of productivity and
         consumer confidence is adversely affected. √
       - Strike actions may lead to production losses √ and decline in
         sales/economic growth. √
       - Businesses may be forced to close down operations √ after strike
         actions. √
       - May force businesses to retrench some of its skilled workers √ to recover
         from losses. √
       - Looting, destruction of business property/infrastructure √ and intimidation
         of non-striking workers. √
       - Employees can lose their pay √ with the ‘no work no pay’ rule applied by
         the business. √
       - Businesses has to hire employees to replace striking workers √ and
         increases the training costs of new employees. √
       - Businesses may lose market shares/customers to competitors √ during the
         period of a strike. √
       - The image/reputation of the business √ might be damaged. √/Scares off
         potential investors. √
       - The supplies of goods and services √ are interrupted. √
       - Prices sometimes increase √ to offset the costs incurred by the strike. √
       - Any other relevant answer related to the negative impact of strikes as a
         socio-economic issue on businesses.
                                                                                 Max.    (6)

2.5    Challenges of the business environment

       2.5.1    Challenges of the market environment from the scenario
                - KF is struggling to find a reliable provider of vegetables. √
                - Two other food retailers have also opened in the same area. √

       NOTE:     1.    Mark the first TWO (2) only.
                 2.    Only award marks for responses that are quoted from the
                       scenario.
                                                                         (2 x 1)         (2)

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12                                 BUSINESS STUDIES P1                    (EC/NOVEMBER 2023)

       2.5.2    Ways in which businesses can overcome competition in the
                market
                - Businesses must ensure that they produce unique/differentiated
                  goods or services √ for the target market to satisfy the customer
                  needs and wants. √
                - Businesses need to provide more personalised services √ by
                  being responsive to their customer’s needs/wants/
                  expectations. √
                - Goods/services must be priced lower √ than competitor’s
                  goods/services in the market. √
                - Businesses must produce/sell high-quality/new goods/services√
                  that the customers might be interested in. √
                - Create a positive image/publicity √ through regular
                  engagements in community development projects. √
                - Businesses must improve on customer service√ and ensuring
                  client satisfaction. √
                - Businesses must create a positive image/outlook √ by regularly
                  renovating their premises and improving their systems. √
                - Businesses must undertake good marketing campaigns √ by
                  using promotional ideas such as posters or campaigns on social
                  media that will draw the attention of the target market. √
                - Businesses must offer low-cost extras √ such as improved credit
                  terms and loyalty schemes. √
                - Businesses must ensure that they have well-trained/
                  knowledgeable and dedicated employees √ that create a better
                  working atmosphere. √
                - Keeping up with developments in the business sector, √ following
                  consumer trends/investing in new technology. √
                - Any other relevant answer related to ways in which businesses
                  can overcome competition in the market.
                                                                                Max.     (6)

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(EC/NOVEMBER 2023)                       BUSINESS STUDIES P1                               13

 2.6 2.6.1      Relationship between the primary, secondary and tertiary
                sector
                - The primary, secondary and tertiary sectors all work together √ to
                  create an economic chain of production. √
                - The primary sector extracts raw materials, √ after which the
                  secondary sector transforms/processes the raw materials into
                  products. √
                - The secondary sector depends on the primary sector √ for raw
                  materials and products. √
                - Secondary sector needs the tertiary sector √ to sell their processed
                  or manufactured goods and also for services such as banks,
                  insurance, transport and communication. √
                - The primary sector depends on the secondary sector √ for
                  manufactured goods such as machinery/equipment/fertilisers. √
                - The primary sector is dependent on the tertiary sector√ for its
                  customer needs. √
                - The primary sector depends on others in the primary sector √ for
                  raw materials/feed e.g. a farmer may require seeds from another
                  farm. √
                - The secondary sector depends on other secondary industries √ for
                  manufactured products needed to be used in the manufacturing of
                  their product. √
                - The tertiary sector depends on the primary sector √ for raw
                  materials that do not need processing by the secondary sector. √
                - The tertiary sector depends on the secondary sector √ for
                  manufactured       goods    such   as     office    machines/office
                  furniture/stationery. √
                - Any other relevant answer related to the link between the
                  primary, secondary and tertiary sector.
                                                                                  Max.    (6)

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14                              BUSINESS STUDIES P1                   (EC/NOVEMBER 2023)

2.7 Ways in which businesses can have a direct influence on the
    environment
    - Businesses need to be flexible by getting involved in research/
      development so that they can continue to operate. √√
    - Influencing their suppliers by signing long term contracts for their raw
      materials at fixed prices. √√
    - Influencing their customer base by creating new uses for a product, taking
      customers away from competitors, finding new customers and convincing
      them they need the new product. √√
    - Influencing regulators through lobbying and bargaining and can influence
      their owners using information contained in annual reports. √√
    - Initiating bargaining sessions between management and unions. √√
    - Influencing their owners using information contained in annual reports. √√
    - Negotiate strategic alliance agreement through contractual
      processes. √√
    - Any other relevant answer related to ways in which businesses can have a
      direct influence on the environment.
                                                                           Max.     (6)
                                                                                   [40]

                                                  BREAKDOWN OF MARKS
                                                 QUESTION 2  MARKS
                                                     2.1        3
                                                     2.2        6
                                                    2.3.1       2
                                                    2.3.2       3
                                                     2.4        6
                                                    2.5.1       2
                                                    2.5.2       6
                                                     2.6        6
                                                     2.7        6
                                                   TOTAL        40

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(EC/NOVEMBER 2023)                     BUSINESS STUDIES P1                             15

QUESTION 3: BUSINESS OPERATIONS
3.1 Quality control bodies
    - South African Bureau of Standards/SABS √
    - International Organisation for Standardisation/ISO √
    - Quality circles √
    NOTE: Mark the first TWO (2) only.
                                                                            (2 x 1)    (2)
3.2 Advantages of production planning
    - Planning allows businesses to ensure that every machine and worker is
      used to their full capacity and not left with nothing to do. √√
    - A business can ensure that it has the correct amount of supplies and
      stock/inventory control at a given time. √√
    - Planning will prevent time from being wasted and will increase the number
      of final products. √√
    - The planning process involves quality checks, ensures that the correct
      quality is reached, and that production time is decreased. √√
    - Improved inventory control reduces wastage and unnecessary storage
      cost. √√
    - Any other relevant answer related to the advantages of production
       planning.
                                                                           Max.       (4)

3.3 Distribution policy
    3.3.1 Type of intermediary from the scenario
            Retailers √√
     3.3.2    Reasons why manufacturers may prefer to make use of indirect
              distribution methods
              - The experienced agents/intermediaries deal with customers, √
                 which allow businesses to focus on core issues. √
              - Transportation and storage √ are taken care of by intermediaries. √
              - There is no need to hire specialised staff √ to do sales
                 complaints. √
              - Businesses do not have to deal √ with customer complaints. √
              - Businesses enjoy the benefits of bulk orders √ from wholesalers. √
              - Better market coverage is achieved √ with using intermediaries. √
              - Intermediaries understand √ how the market operates. √
              - Consumers are often spread across the country, √ distribution
                 needs to be widespread as well. √
              - Indirect distribution does not require a large investment √ in
                 advertising. √
              - Intermediaries sometimes provide credit to consumers, √ which will
                 help attract more consumers. √
              - Any other relevant answer related to the reasons why manufacturers
                 may prefer to make use of indirect distribution methods.
                                                                              Max.     (6)

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16                                BUSINESS STUDIES P1                     (EC/NOVEMBER 2023)

3.4 Categories of consumer goods
    Convenience goods √√
    - Consumers are not willing to spend much effort on buying convenience
      goods because they differ very little in terms of price, quality and the
      satisfaction it provides to consumers. √
    - These are low priced goods purchased by consumers without much
      thought. √
    - Example of convenience goods: bread, milk or soft drink. √
    - Any other relevant answer related to convenience goods as a category of
      consumer goods.
                                                               Consumer goods            (2)
                                                                    Description          (1)
                                                                     Sub-max.            (3)

     Shopping goods √√
     - Shopping goods are more expensive than convenience goods. √
     - Consumers do not buy them regularly. √
     - They are prepared to spend a considerable amount of time and energy
       going to various shops until they are sure that they are getting the best value
       for their money. √
     - Examples of shopping goods: television, motor vehicles or clothing. √
     - Any other relevant answer related to shopping goods as a category of
       consumer goods.
                                                                    Consumer goods       (2)
                                                                           Description   (1)
                                                                            Sub-max.     (3)

     Speciality goods √√
     - These goods usually have specific brand names. √
     - Consumers know exactly what they want and are willing to search until they
       find exactly what they are looking for. √
     - Examples of speciality goods: jewellery or branded clothing. √
     - Any other relevant answer related to speciality goods as a category of
       consumer goods.
                                                                 Consumer goods          (2)
                                                                       Description       (1)
                                                                        Sub-max.         (3)

     Services √√
     - Services are not tangible. √
     - Services are rendered by service providers to consumers. √
     - Example of services: garden service, financial services or transportation
       services. √
     - Any other relevant answer related to services as a category of consumer
       goods.
                                                               Consumer goods            (2)
                                                                     Description         (1)
                                                                      Sub-max.           (3)

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(EC/NOVEMBER 2023)                          BUSINESS STUDIES P1                              17

       Unsought goods√√
       - Goods that consumers do not think of until the need for such products
         arise. √
       - Purchases of unsought goods may arise due to danger or fear of danger. √
       - Examples are: funeral services, encyclopaedias’, fire extinguishers and
         reference books. √
       - Any other relevant answer related to unsought goods as a category of
         consumer goods.
                                                                   Consumer goods                  (2)
                                                                         Description               (1)
                                                                          Sub-max.                 (3)
       NOTE: Mark the first TWO (2) only.
                                                                               Max.                (6)

3.5    Purpose of advertising
       - The purpose of advertising is explained by using √ the AIDA principles. √
       - The AIDA principles consist of four key stages√ in the advertising process:√
         o obtain the attention √ of a potential customer or consumer. √
         o spark interest √ in the product or service. √
         o develop the desire √ in the customer to have what is being offered. √
         o induce action √ which may potentially lead to purchasing the product or
            service. √
       - Any other relevant answer related to the purpose of advertising.
                                                                                Max.               (4)

3.6    3.6.1    Components of the job analysis from the scenario

                 COMPONENTS OF THE JOB                          MOTIVATIONS
                        ANALYSIS
                1. Job specification √√              They indicated that the person
                                                     should preferably have a diploma in
                                                     management. √
                2.        Job description √√         The purchasing manager will be
                                                     responsible for ordering stock and
                                                     liaising with suppliers. √
                                        Sub-max. (4)                          Sub-max. (2)

       NOTE:         1.     Mark the first TWO (2) only.
                     2.     The answer does not have to be in tabular format.
                     3.     Award marks for the components of the job analysis even
                            if the motivation were incomplete.
                     4.     Do not award marks for the motivations if the components
                            of the job analysis were incorrectly identified.
                                                                                Max.               (6)

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18                                 BUSINESS STUDIES P1                   (EC/NOVEMBER 2023)

3.7    Difference between piecemeal and time-related salary determination

                    PIECEMEAL                            TIME-RELATED
       -   Workers are paid according to       -
                                              Workers
                                                  -     are paid according to the
           the number √ of items/units        amount of time/hours √ they spend at
           produced / action performed. √     work/on a task. √
       -   Workers are not remunerated      - Workers with the same experience/
           for the number of hours            qualifications √ are paid on salary
           worked, √ regardless of how        scales regardless of the amount of
           long it takes them to make the     work done. √
           items. √
       -   Mostly used in factories√        - Many private and public sector
           particularly in the textile/       businesses √ use this method. √
           technology industries. √
       -   Any other relevant answer          Any other relevant answer related to
           related to piecemeal as a          time-related as a salary determination
           salary determination method.       method.
                               Sub-max. (2)                               Sub-max. (2)

       NOTE:     1.    The answer does not have to be in 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 piecemeal or time-related salary
                       determination methods only.
                                                                              Max.            (4)

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(EC/NOVEMBER 2023)                     BUSINESS STUDIES P1                              19

3.8    Legal requirements of an employment contract
       - Employment contract is an agreement between the employer and the
         employee and is legally binding. √√
       - Employer and employee must agree to any changes to the contract. √√
       - Aspects of the employment contract can be renegotiated, during the course
         of employment. √√
       - No party may unilaterally change aspects of the employment contract. √√
       - The employer and the new employee must both sign the contract. √√
       - The employment contract should include a code of conduct and code of
         ethics. √√
       - The employer must explain the terms and conditions of the employment
         contract to the employee. √√
       - It may not contain any requirements that are in conflict with the BCEA. √√
       - Conditions of employment/duties/responsibilities of the employees must be
         stipulated clearly. √√
       - The remuneration package/including benefits must be clearly indicated. √√
       - All business policies, procedures and disciplinary codes/rules can form part
         of the employment contract. √√
       - The employer must allow the employee to thoroughly read through the
         contract before it is signed. √√
       - Any other relevant answer related to the legal requirements of the
         employment contract.
                                                                                Max.      (6)
                                                                                         [40]

                                                BREAKDOWN OF MARKS
                                               QUESTION 3      MARKS
                                                   3.1           2
                                                   3.2           4
                                                  3.3.1          2
                                                  3.3.2          6
                                                   3.4           6
                                                   3.5           4
                                                   3.6           6
                                                   3.7           4
                                                   3.8           6
                                                 TOTAL           40

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20                                 BUSINESS STUDIES P1                      (EC/NOVEMBER 2023)

QUESTION 4: MISCELLANEOUS TOPICS

BUSINESS ENVIRONMENTS

4.1    Challenges of the macro environment
       - Changes in income levels √
       - Political changes √
       - Contemporary legal legislation √
       - Labour restrictions √
       - Micro-lending √
       - Globalisation/international challenges √
       - Social values and demographics √
       - Socio-economic issues √
       NOTE: Mark the first TWO (2) only.
                                                                                  (2 x 1)   (2)
4.2    Examples of contemporary legislation that may affect business
       operations
       - The Labour Relations Act regulates the relationship between the employer
         and employees when resolving conflict in the workplace. √√
       - The Basic Conditions of Employment Act provides the minimum
         acceptable standard for any employment policy/describes the conditions
         of employment. √√
       - The Compensation for Occupational Injuries and Diseases Act provides
         compensation for employees who sustain injuries or contract diseases
         while on duty/ensures that employers provide their employees with a safe
         and healthy working environment. √√
       - The Skills Development Act ensures that employers contribute towards the
         education and training of their employees. √√
       - Consumer Protection Act promotes and advances the social and economic
         welfare of consumers in South Africa. √√
       - National Credit Act was established to protect both businesses and
         consumers from negligent lending practices that could result in over-
         indebtedness by consumers. √√
       - Employment Equity Act is there to eliminate unfair discrimination, such as
         discrimination against race, colour, age, gender, religion, or disability in the
         workplace. √√
       - Broad Based Black Economic Empowerment ensures that previously
         disadvantaged individuals fully participate in the economy. √√
       - Any other relevant examples of contemporary legislation that may affect
         business operations.
       NOTE: Mark the first THREE (3) only.
                                                                                     Max.   (6)

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(EC/NOVEMBER 2023)                       BUSINESS STUDIES P1                             21

 4.3 4.3.1 Solutions to piracy from the scenario

               SOLUTIONS TO PIRACY                          MOTIVATIONS
        1.   Patent √√                        SD was worried that other business
                                              would copy their design so they
                                              registered their new invention. √
        2.   Trademark √√                     They also used a very special symbol
                                              of a glowing sun to enable customer
                                              to identify their drones. √
                                 Sub-max. (4)                            Sub-max. (2)

       NOTE:         1.   Mark the first TWO (2) only.
                     2.   The answer does not have to be in tabular format.
                     3.   Award marks for the solutions to piracy even if the
                          motivation were incomplete.
                     4.   Do not award marks for the motivations if the solutions
                          to piracy were incorrectly identified.
                                                                             Max.         (6)

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22                                BUSINESS STUDIES P1                    (EC/NOVEMBER 2023)

4.4    Purpose of the Labour Relations Act/LRA
       - Provide a framework/structure for governing the labour relations √ between
         employer and employees. √
       - Regulates the rights of trade unions and facilitates √ collective bargaining
         processes to take place in the workplace. √
       - Encourages the establishment of workplace forums √ where employees
         may participate in decision-making. √
       - Encourages fair labour practice√ between the employer and
         employees. √
       - Makes provision for the establishment of the Labour Courts and Labour
         Appeal Courts √ to deal with labour issues. √
       - Establishes the Commission for Conciliation, Mediation and Arbitration
         (CCMA) to resolve labour disputes √ through statutory conciliation,
         mediation and arbitration. √
       - Provides a framework where the employees, trade unions and employers
         work together √ to discuss matters relating to employment, e.g. wages,
         conditions of employment. √
       - Promotes orderly negotiations and employee participation √ in decision-
         making in the workplace. √
       - Provides simple procedures √ for the registration of trade unions and
         employers’ organisations. √
       - Regulates the effectiveness of bargaining councils √ and statutory
         councils. √
       - Endorses the right to strike against retrenchments, √ and facilitates labour
         disputes. √
       - Clarifies the transfer √ of contracts of employment procedures. √
       - Deals with √ strikes and lockouts and workplace forums.
       - Establishes workplace forums to promote √ the interest of all employees
         in the workplace whether they belong to the trade union or not. √
       - Advances economic development/social justice/labour peace √ to ensure
         the workplace maintain the basic rights of employees. √
       - Any other relevant answer related to the purpose of the Labour Relations
         Act.
                                                                                  Max. (6)

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(EC/NOVEMBER 2023)                     BUSINESS STUDIES P1                              23

BUSINESS OPERATIONS

4.5    Types of packaging
       - Packaging for immediate use/Unit packaging √
       - Packaging for double use √
       - Packaging for resale √
       - Kaleidoscopic/Frequently changing packaging √
       - Speciality packaging √
       - Combination packaging √
       NOTE: Mark the first FOUR (4) only.
                                                                             (4 x 1)   (4)
4.6    Selection procedure as a human resources activity
       OPTION 1
       - Determine fair assessment criteria on which selection will be based. √√
       - Applicants must submit the application forms/curriculum vitae and certified
         copies of personal documents/IDs/proof of qualifications. √√
       - Sort the received documents/CVs according to the assessment/ selection
         criteria. √√
       - Screen/Determine which applications meet the minimum job requirements
         and separate these from the rest. √√
       - Preliminary interviews are conducted if many suitable applications were
         received. √√
       - Reference checks should be made to verify the content of CVs, e.g.,
         contact previous employers to check work experience. √√
       - Compile a shortlist of potential candidates identified. √√
       - Shortlisted candidates may be subjected to various types of selection tests
         e.g. skills tests. √√
       - Invite shortlisted candidates for an interview. √√
       - A written offer is made to the selected candidate. √√
       - Inform unsuccessful applicants about the outcome of their
         application./Some adverts indicate the deadline for informing only
         successful candidates. √√
       - Any other relevant answer related to the selection procedure as a human
         resource activity.

                                           OR

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24                                 BUSINESS STUDIES P1                   (EC/NOVEMBER 2023)

       OPTION 2
       - Receive documentation such as application forms and sort it according to
         the criteria of the job. √√
       - Evaluate CVs and create a shortlist/Screen the applicants. √√
       - Check information in the CVs and contact references. √√
       - Conduct preliminary sifting interviews to identify applicants who are not
         suitable for the job, although they meet all requirements. √√
       - Assess/Test candidates who have applied for senior positions/to ensure
         the best candidate is chosen. √√
       - Conduct interviews with shortlisted candidates. √√
       - Offer employment in writing to the selected candidate(s). √√
       - Any other relevant answer related to the selection procedure as a human
         resource activity.
       NOTE: The procedure may be in any order.
                                                                             Max.       (4)

 4.7 Ways in which businesses can comply with the Occupational Health
     and Safety Act
     4.7.1 Ways in which businesses comply with the Occupational
            Health and Safety Act from the scenario
            - SB ensures that their first aid boxes are always available. √
            - They also make fire extinguishers available in the workplace. √

       NOTE:     1.   Mark the first TWO (2) only.
                 2.   Only award marks for responses that are quoted from the
                      scenario.
                                                                            (2 x 1)     (2)
       4.7.2    Other ways in which businesses can comply with the
                Occupational Health and Safety Act
                - Provide workers with protective gear √ to protect themselves
                  against potentially dangerous situations. √
                - Fire extinguishers need to be serviced√ regularly. √
                - Machinery must be maintained √ at regular intervals and repaired
                  promptly. √
                - Employers who employ more than twenty employees √ must
                  appoint at least one health and safety representative for every
                  100 employees. √
                - Ensure health and safety of persons at work√ and during the use
                  of plants and machinery. √
                - Any other relevant answer related to other ways in which SB can
                  comply with the Occupational Health and Safety Act.
                NOTE: Do not award marks for responses that were quoted
                        in QUESTION 4.7.1
                                                                              Max.      (4)

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(EC/NOVEMBER 2023)                    BUSINESS STUDIES P1                             25

4.8    Precautionary measures that businesses should take when handling
       machinery
       - All machinery and equipment must be correctly installed and safe to
         use. √√
       - Workers must be properly trained on how to use machinery and must be
         informed about the risks when using the machinery. √√
       - Regular safety checks must be carried out and machinery should be
         maintained and serviced regularly. √√
       - Workers need to wear protective clothing and gear such as overalls, hard
         hats and safety helmets, ear plugs, masks, heavy-duty safety boots,
         welding goggles and gloves when working with machinery and
         equipment. √√
       - Develop a culture of safety in the workplace. √√
       - Familiarise employees with safety procedures. √√
       - Any other relevant answer related to the precautionary measures that
         businesses should take when handling machinery.
                                                                            Max.     (6)
                                                                                    [40]

                                                 BREAKDOWN OF MARKS
                                                 QUESTION 4    MARKS
                                                     4.1          2
                                                     4.2          6
                                                     4.3          6
                                                     4.4          6
                                                     4.5          4
                                                     4.6          4
                                                    4.7.1         2
                                                    4.7.2         4
                                                     4.8          6
                                                   TOTAL         40

                                                            TOTAL SECTION B:         80

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