Please write clearly in block capitals.
Centre number Candidate number
Surname
Forename(s)
Candidate signature
I declare this is my own work.
A-level
BUSINESS
Paper 1 Business 1
, 2
Do not write
outside the
Section A box
Answer all questions in this section.
Only one answer per question is allowed.
For each question completely fill in the circle alongside the appropriate answer.
CORRECT METHOD WRONG METHODS
If you want to change your answer you must cross out your original answer as shown.
If you wish to return to an answer previously crossed out, ring the answer you now wish to select
as shown.
0 1 ‘The process of transforming raw information into useful information that can support
various activities of a business.’
Which term is described above?
[1 mark]
A Big data
B Data mining
C E-commerce
D Scientific decision-making
0 2 In Porter’s generic strategies, which one of the following would help a business to achieve
a differentiation strategy?
[1 mark]
A Achieving economies of scale
B Advertising leading to higher added value
C Finding cheaper suppliers
D New production methods leading to higher labour productivity
*02*
IB/G/Jun25/7132/1
, 3
Do not write
outside the
0 3 Options A to D show four possible changes to the UK economy. box
Based solely on these changes, which option will lead to the largest increase in UK
imports?
[1 mark]
A A fall in GDP and a fall in the exchange rate value of the pound
B A fall in GDP and a rise in the exchange rate value of the pound
C A rise in GDP and a fall in the exchange rate value of the pound
D A rise in GDP and a rise in the exchange rate value of the pound
0 4 Product ‘X’ was the market leader in a low growth market.
New promotions by competitors lead to rapid growth in the market.
However, Product ‘X’ still retains its market leadership.
In terms of the Boston Matrix, Product ‘X’ has changed from:
[1 mark]
A a cash cow to a question mark.
B a cash cow to a star.
C a question mark to a star.
D a star to a cash cow.
0 5 Statement 1: ‘According to Ansoff’s matrix, diversification is the most risky strategy.’
Statement 2: ‘According to Ansoff’s matrix, market penetration is the least risky strategy.’
Read statements 1 and 2 and select the correct option from the following:
[1 mark]
A Statement 1 is true. Statement 2 is true.
B Statement 1 is true. Statement 2 is false.
C Statement 1 is false. Statement 2 is true.
D Statement 1 is false. Statement 2 is false.
Turn over ►
*03*
IB/G/Jun25/7132/1
, 4
Do not write
outside the
0 6 Figure 1 shows a situation in which there is a change in the break-even point of a product box
from point M to point N.
The change in break-even point from M to N has been caused by:
[1 mark]
A a fall in price and a decrease in fixed costs and an increase in variable costs
per unit.
B a fall in price and an increase in fixed costs.
C a rise in price and an increase in fixed costs and a decrease in variable costs
per unit.
D a rise in price and an increase in variable costs per unit.
*04*
IB/G/Jun25/7132/1
Centre number Candidate number
Surname
Forename(s)
Candidate signature
I declare this is my own work.
A-level
BUSINESS
Paper 1 Business 1
, 2
Do not write
outside the
Section A box
Answer all questions in this section.
Only one answer per question is allowed.
For each question completely fill in the circle alongside the appropriate answer.
CORRECT METHOD WRONG METHODS
If you want to change your answer you must cross out your original answer as shown.
If you wish to return to an answer previously crossed out, ring the answer you now wish to select
as shown.
0 1 ‘The process of transforming raw information into useful information that can support
various activities of a business.’
Which term is described above?
[1 mark]
A Big data
B Data mining
C E-commerce
D Scientific decision-making
0 2 In Porter’s generic strategies, which one of the following would help a business to achieve
a differentiation strategy?
[1 mark]
A Achieving economies of scale
B Advertising leading to higher added value
C Finding cheaper suppliers
D New production methods leading to higher labour productivity
*02*
IB/G/Jun25/7132/1
, 3
Do not write
outside the
0 3 Options A to D show four possible changes to the UK economy. box
Based solely on these changes, which option will lead to the largest increase in UK
imports?
[1 mark]
A A fall in GDP and a fall in the exchange rate value of the pound
B A fall in GDP and a rise in the exchange rate value of the pound
C A rise in GDP and a fall in the exchange rate value of the pound
D A rise in GDP and a rise in the exchange rate value of the pound
0 4 Product ‘X’ was the market leader in a low growth market.
New promotions by competitors lead to rapid growth in the market.
However, Product ‘X’ still retains its market leadership.
In terms of the Boston Matrix, Product ‘X’ has changed from:
[1 mark]
A a cash cow to a question mark.
B a cash cow to a star.
C a question mark to a star.
D a star to a cash cow.
0 5 Statement 1: ‘According to Ansoff’s matrix, diversification is the most risky strategy.’
Statement 2: ‘According to Ansoff’s matrix, market penetration is the least risky strategy.’
Read statements 1 and 2 and select the correct option from the following:
[1 mark]
A Statement 1 is true. Statement 2 is true.
B Statement 1 is true. Statement 2 is false.
C Statement 1 is false. Statement 2 is true.
D Statement 1 is false. Statement 2 is false.
Turn over ►
*03*
IB/G/Jun25/7132/1
, 4
Do not write
outside the
0 6 Figure 1 shows a situation in which there is a change in the break-even point of a product box
from point M to point N.
The change in break-even point from M to N has been caused by:
[1 mark]
A a fall in price and a decrease in fixed costs and an increase in variable costs
per unit.
B a fall in price and an increase in fixed costs.
C a rise in price and an increase in fixed costs and a decrease in variable costs
per unit.
D a rise in price and an increase in variable costs per unit.
*04*
IB/G/Jun25/7132/1
