AQA A LEVEL BUSINESS MISC 2020 Business Studies Paper 1

AQA A LEVEL BUSINESS MISC 2020 Business Studies Paper 1 .(1,1) impoverished management - ANSWER-The boss has neither concern for for the staff or the performance, absolutely no interest in the business or the people working in it. .(1,9) Country Club - ANSWER-The boss is a really nice person, There is a lack of urgency about getting things done, poor productivity. .(5,5) Middle-of-the-road - ANSWER-To willing to trade being nice for being successful, ok but not great performance. .(9,1) Authority/Obedience - ANSWER-High determination to succeed but on the leaders own terms, staff are seen as 'human resources'. .(9,9) Team management - ANSWER-The boss shows interest and trust in staff, high belief of teamwork, high determination to succeed. .3D printing - ANSWER-A modern 3D printer costs around £3,000 and could make hundreds of different prototype designs. .Advantages and disadvantages of bank loans - ANSWER-ADV: -no need to repay until contract says DIS: -not good for short term finance .Advantages and disadvantages of bank overdrafts - ANSWER-ADV: -can borrow when and as much as needed DIS: -expensive .Advantages and disadvantages of commission - ANSWER-ADV: - Encourages staff to make more sales DIS: - It is a hygiene factor in Herzberg's opinion .Advantages and disadvantages of cut costs - ANSWER-ADV: -reduces that need for borrowing DIS: -may reduce cash flow .Advantages and disadvantages of debt factoring - ANSWER-ADV: -immediate cash DIS: -not getting the full capital .Advantages and disadvantages of performance related pay - ANSWER-ADV: - easier for managers to control their staff DIS: - Does not promote teamwork - promotes unhealthy rivalry .Advantages and disadvantages of piece rate - ANSWER-ADV: - no need for supervision DIS: - high scrap levels - only acceptable quality - they will work harder when they want better pay .Advantages and disadvantages of reinvested profit - ANSWER-ADV: -no associated cost DIS: -only in small amounts .Advantages and disadvantages of salary schemes - ANSWER-ADV: - The best way to pay people according to Herzberg DIS: - Under paying and over paying can be very bad .Advantages and disadvantages of trade credit - ANSWER-ADV: -good way of boosting day to day credit DIS: -could make a bad reputation .Advantages and disadvantages of venture capital - ANSWER-ADV: - good start-up source of finance - Not long term .Advantages of breakeven - ANSWER-- Simple to understand - able to estimate future level of output - asses the impact of price changes .Advantages of decision trees - ANSWER-- it allows for uncertainty - it includes all the possible alternative outcomes - set out problems clearly - they also include the probability of a specific outcome .Advantages of hard HRM - ANSWER-- Outcomes are predictable because employees do what they are told - Employees are easily replaceable - managers retain control, this minimises error .Advantages of having a high market share - ANSWER-- They get the highest distribution level (even small corner shops stock pampers) - Brand leaders are able to charge more for their products - Much easier for these companies to obtain distribution and consumer trials for their new products .Advantages of inflation - ANSWER-- Real assets become worth more - The real value of money owed is less .Advantages of soft HRM - ANSWER-- the business may be more creative, innovative and differentiated from competition - Organisations keep and develop the skills of employees - individuals are encouraged to contribute, this helps the business be flexible to changes in the market .Advantages of using financial ratios - ANSWER-- Focusing on specific areas of the accounts makes comparisons quicker and easier - Creates simple information (what rather than why) - huge insight is gained from their rivals accounts .Analysing cash flow forecasts - ANSWER-- Calculate the diff between the closing balance at the end of the period and the opening balance at the start. - Use monthly closing balance to asses trends - Analyse the timings of cash inflows and outflows .Autocratic managers - ANSWER-Managers who centralise power and tell employees what to do. They tend to use one-way, top-down communication. .Automated stock control systems - ANSWER-It laser scans bar-codes. Stores info on the quantity of each product/size/colour in stock. Also records what has been sold. Helps managers see how much more to order or what reductions to put on. .Benefits of Lean Production - ANSWER-1. Reduced inventory 2. Improved quality 3. Lower costs 4. Reduced space requirements 5. Shorter lead time 6. Increased productivity 7. Greater flexibility 8. Better relations with suppliers 9. Simplified scheduling and control activities 10. Increased capacity 11. Better use of human resources 12. More product variety .Benefits of social media marketing - ANSWER-- Can be tightly targeted - Provides interactivity that bonds a person to a brand .Blake and Mouton's Managerial Grid - ANSWER-looks at 'concern for people' and 'concern for performance' then grades the people to see where they fall on the grid. .Boston Matrix - ANSWER-Analyses all of the firm's products in terms of their market share and the growth of the market. Rising star, problem child, cash cow, dog.