BUSINESS STUDIES

GRADE 10
YEAR END EXAM

SECTION A
Question 1
Answer all the questions in this section.
1. Various options are provided as answers to the following questions. Write only the letter of the most
appropriate answer next to the relevant question number.
1.1 Which ONE of the following forms part of the macro environment?
a. The mission of the business.
b. The economic environment.
c. Customers.
d. Suppliers.
1.2 Which sector would include a legal firm?
a. Tertiary.
b. Secondary.
c. Informal.
d. Primary.
1.3 When a large manufacturer gets help from experts to forecast consumer independently from
each other, so that they can adjust production levels, they make use of this technique:
a. Empty Chair technique.
b. Force-field analysis.
c. Stepladder technique.
d. Delphi technique.
1.4 Business ethics include:
a. The sponsorship of sports and cultural activities.
b. The donations of large sums of money to charity.
c. The safeguarding of dignity at the place of work.
d. Education and skills development.
1.5 Which one is not a tool for self-management?
a. Organiser.
b. Personal computer.
c. Photocopier.
d. Cell phone.

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 BUSINESS STUDIES
GRADE 10
YEAR END EXAM

1.6 What is the main aim of teamwork?

a. To ensure designated goals are met.
b. To provide opportunities to all employees to be trained as managers.
c. To provide opportunities for flexible working hours.
d. To ensure each employee receives the same bonus to their salary.
1.7 Eskom is an example of a:
a. State Owned Company.
b. Private Company.
c. Public Company.
d. Co-operative.
1.8 A loaf of bread is an example of:
a. Speciality goods.
b. Select goods.
c. Convenience goods.
d. Raw materials.
1.9 Which one of the following is NOT an example of compulsory insurance?
a. UIF.
b. Workmen’s compensation.
c. Life Insurance.
d. Road Accident Fund.
1.10 Parties to a credit agreement are known as:
a. Landlord and tenant.
b. Seller and buyer.
c. Lessor and lessee.
d. Employer and employee. 10 x 2 (20)

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 BUSINESS STUDIES
GRADE 10
YEAR END EXAM

Question 2
Choose a term from Column B that matches a description in Column A. Write only the letter of the
most appropriate answer next to the relevant question number.

COLUMN A COLUMN B
2.1 Interest a. Responses that are not routine but innovative.
2.2 Sanctions b. The selling price less the cost price of an item,
multiplied by the volume of sales but with expenses
deducted.
2.3 Creative thinking c. Specialised skills and knowledge.
2.4 Profit d. Curiosity towards a particular field of knowledge.
2.5 Stress e. The way a body reacts to situations that are difficult to
control.
f. Trade restrictions against a specific country.
 5 x 2 (10)

Question 3
Choose the correct word in brackets. Write only the correct word/s next to the relevant
question number.
3.1 The administration function is a (large/small) company is more likely to be well-structured
with specific systems in place.
3.2 A business’s general responsibility to its community includes ensuring that the
(production/public-relations) process has no negative impact on the environment.
3.3 The Nominal Group Technique is (an anonymous process / a brainstorming process) where
participants suggest solutions and then vote on them.
3.4 When conducting research it is essential to carry out the research process in an
(ethical/expedient) way.
3.5 Customers try to satisfy their needs and wants with their (limited / unlimited) resources. 5 X 2 (10)

 TOTAL SECTION A: 40

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 BUSINESS STUDIES
GRADE 10
YEAR END EXAM

SECTION B
Answer only THREE of the following questions.
Make sure you indicate clearly as to which question you have answered.

QUESTION 1 – BUSINESS ENVIRONMENTS

1.1 Read the following case study and answer the questions that follow:

MR Event Affairs
MR Event Affairs is a business that specialises in organising parties and
events such as weddings, children’s parties and social gatherings. The
business renders a complete service from setting and decorating tables to
catering and cleaning up afterwards. Mr. Michael Rijah is the owner of MR
Event Affairs and is very passionate about his business.
Competition in the events organising industry is tough, but this forces
Michael to deliver an even greater service. He is currently not satisfied
with one of his supplies due to continuous delivery problems and is
considering other options.
He was ask to tender for the catering of a series of events across the
country. These events will take place during the next three years. The
contract is worth R5 million and it has the potential to put MR Event
Affair in a whole new league.

1.1.1 Which of the following statements are MR Event Affairs’ vision, mission and goal?
a. To organise 100 parties by the end of December.
b. To put a smile on your face.
c. To be the leading name in events organising. (6)
1.1.2 Briefly explain to Michael what is meant by “organisational culture”. (4)
1.1.3 Explain how a supplier can affect MR Event Affair’s image both positively and negatively. (4)

1.1.4 Michael wants to purchase tables and chairs for his business so he took out a loan
from ABSA bank.
1.1.4.1 Who is the credit provider in terms of the above mentioned transaction? (2)
1.1.4.2 Name three responsibilities of credit providers. (6)
1.1.5 Michael imported some table cloths from overseas at a very low price – much lower
than the price it could be manufactured for locally. However, Michael soon discovered
that the quality of these table cloths were inferior to local manufactured table cloths. This is
typical of “dumped” products.
1.1.5.1 Explain what dumping is and also why dumping is bad for the local economy. (6)
1.1.6 Michael uses technology in his business to create fusion foods. List four advantages
technology offers to businesses in general. (8)

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 BUSINESS STUDIES
GRADE 10
YEAR END EXAM

1.2 Read the case study below and answer the questions that follow.

The owners of Hoho Plantations have decided to expand their business

to include a furniture manufacturing company, called Unathi Timber
Products. They use their own vehicles to transport raw materials and
finished goods. They approached their local branch of Nedbank to finance
their expansion. The owners also decided to approach the insurance
company Metropolitan to inform their workers about insurance.

1.2.1 Classify the enterprises mentioned in the case study according to the various sectors
they operate in. (8)
1.2.2 Name FOUR components of the business environment that immediately surround the
business.(4)
1.3 Discuss the following socio-economic issues with special reference to the impact that they
have on South African businesses:
1.3.1 Crime (4)
1.3.2 Piracy (4)
1.3.3 HIV/Aids (4)
(60)

QUESTION 2 – BUSINESS VENTURES

2.1 Read the following case study and answer the questions that follow.

The Thread of Hope Trust

“The Thread of Hope Trust aims to assist the community of Lidgetton in
KwaZulu-Natal to develop community owned businesses, to create jobs
and offer education to members of the community. The beneficiaries
of thistrust are the members of the Lidgetton community. The trust
has entered into an agreement with Gijima, the European Union Job
Creation Fund. This partnership will enable the trust to generate funds
to finance community projects, for example training in shoe-making,
shoe design and factory and retail management. In future the trust
hopes to be able to offer bursaries to community members for further
training and education. The long term goal of the trust is to develop a
“hub of economic activity” in the rural area. These local businesses can
provide Tsonga with components needed to manufacture shoes and bags
both locally and abroad. The trust also provides daily meals for the local
crèche, a mobile clinic as well as HIV/Aids prevention programmes.”
[Adapted from: http://www.tsonga.com/threadofhope.php]

2.1.1 The Thread of Hope Trust is an example of a social responsibility programme. Briefly
explain what social responsibility is. (3)
2.1.2 Write down three main goals of the Thread of Hope Trust. (6)
2.1.3 Define corporate social responsibility (CSR). (4)

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 BUSINESS STUDIES
GRADE 10
YEAR END EXAM

2.1.4 Name any two benefits of a business’s involvement in corporate social responsibility. (4)
2.1.5 Name two examples of corporate social responsibility initiatives taken by businesses. (2)
2.2 Discuss four characteristics of co-operatives. (8)
2.3 Name the form of ownership that will suit a business with only five owners and where the
owners have limited liability. The owners are not interested in listing the business on the JSE. (1)
2.4 Tabulate two differences between a personal liability company and a private company. (8)
2.5 A business plan is a detailed explanation of a basic business idea. Explain briefly what information
is given in each of these sections of a business plan.
2.5.1 The executive summary (2)
2.5.2 The market analysis (2)
2.5.3 The management plan (2)
2.5.4 The operations plan (2)
2.6 Answer the questions, using the graph below.
Velde Ltd Sales Figures
600

500

400
Sales (R)

300

200

100

0
Cakes Bread Biscuits Scones Rolls

Products

Tuesday Wednesday Thursday Friday Saturday

2.6.1 Which product had the lowest sales on Tuesday? (2)

2.6.2 On which day was most cakes sold? (2)
2.6.3 Calculate the total bread sales for the week. (4)
2.6.4 Explain what Velde Ltd could do about the low sale of scones on Wednesday and
Thursday.(4)
2.6.5 If Velde Ltd wanted to try out a new product on their customers, which day of the week
would you recommend they did this on? Explain your answer.  (4)
(60)

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 BUSINESS STUDIES
GRADE 10
YEAR END EXAM

QUESTION 3 – BUSINESS ROLES

3.1 Read the following scenario and answer the questions that follow:

Dave owns a restaurant in Cape Town. Dave has been thinking of opening
another restaurant in Johannesburg as well. However, Dave is scared
that he won’t be able to find a suitable chef. One of Dave’s options
is to ask the current chef to help train a new chef. Opening another
restaurant would place a huge burden on Dave’s time and it will also
cost a lot of money – probably around R2 million. Dave is not familiar
with Johannesburg and he is scared that he will not be able to choose a
suitable location for the new restaurant. However, once up and running,
Dave should be able to make millions with an extra restaurant.

3.1.1 Explain what creative thinking means. (2)

3.1.2 Differentiate between problem solving and decision making. (4)
3.1.3 Use the information in the scenario to conduct a force field analysis. Also make
recommendations to Dave about the opening of a second restaurant. (15)
3.1.4 What does the acronym “SCAMPER” stand for?  (7)
3.1.5 List any two other problem solving techniques apart from the force field analysis and
the SCAMPER technique. (2)
3.2 Read the following case study and answer the questions that follow:

Thando is the founder of Thando’s Elegance Restaurant, which opened

in 1990. At that time Thando only had a staff of five people. Owing to
his excellent service and good food the client base of the restaurant
increased by almost 300 percent and Thando was compelled to increase
the number of workers. Currently Thando’s business has a staff of almost
40 workers, who are men and women from different ethnic groups,
religions and cultures.
The following are some of the beliefs and values on which Thando
built his success, which he measures by criteria other than money:
commitment to education, quality of staff care, and the ability to face
social responsibility.
He supports new ideas that keep staff interested and motivated. He aims
to share prosperity with staff and involve them in decision-making.

3.2.1 Thando believes that business success should not be measured by money alone, but
also by other criteria. Suggest three ways in which Thando can show his commitment to
education and three ways in which he can care for his staff. (12)
3.2.2 The employees in Thando’s business function very well as a team when it comes to the
functioning of the restaurant. Identify and explain five traits that you think are
important in a successful team. (10)
3.2.3 How does Thando handle diversity in his business, and how could diversity be an
asset to his business.  (8)
(60)

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 BUSINESS STUDIES
GRADE 10
YEAR END EXAM

QUESTION 4 – BUSINESS OPERATIONS

4.1 Read the case study about Jacob’s spaza shop and then answer the questions that follow:

Jacob recently completed a course in marketing management at a

business college, and then used his knowledge to plan his own business
venture. He successfully completed his business plan, and ABC bank
advanced him a loan to use as the start-up capital for his spaza shop.
However, getting the shop ready for trade involved much more than Jacob
had at first imagined. Firstly, he had to rent a container that could be
used as a shop. He had to visit suppliers such as wholesalers to purchase
the stock, shelving and a fridge for the shop. Stationery and book-keeping
documents (for example, a receipt book) were purchased from a local
newsagent. Leaflets had to be printed and distributed in the area of the
shop to inform the target market about trading hours (08:00 to 19:00)
and the location of the business. Jacob visited the local sports club
and offered a sponsorship to the soccer team in an attempt to gain the
goodwill of the community. He asked his two sister to work for him in the
shop, and asked his mother and aunt to make curios that could be sold to
tourists who often visit the area where his shop is situated. The record-
keeping, money matters and decisions about each worker’s tasks in the
shop will be Jacob’s responsibility.

4.1.1 Identify five business function performed by Jacob in the case study and give an example
of where he performed each of these. (15)
4.1.2 Explain in your own words how any two business functions in Jacob’s spaza shop is
interrelated.(4)
4.1.3 Assume that Jacob’s business grew so quickly that he had to appoint SEVEN different
managers to manage the business functions while Jacob kept the position as general
manager of his business. Draw an organogram of Jacob’s business after the appointment
of the different managers. You only need to show two levels of management.
Remember to give your diagram a heading. (9)
4.2 “The degree of power and authority that managers possess depends on the level of
management.” Name and explain the levels of management and also mention the decisions
that managers need to make at each level. (12)
4.3 Most businesses have realised the importance of quality. The concept of total quality
management was developed to cover all the functional management areas as well as the
employees in the business.
4.3.1 Define “quality” in a business context. (6)
4.3.2 Explain how quality can be maintained in the human resources function. (10)
4.3.3 What does the acronym SABS stand for? (2)
(60)

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 BUSINESS STUDIES
GRADE 10
YEAR END EXAM

QUESTION 5 - MICELLANEOUS TOPICS

5.1 List the steps in the problem-solving cycle. (7)
5.2 Differentiate between four kinds of strike action. (8)
5.3 Many people have difficulty in managing stress. Identify five strategies that people use to
manage stress. (10)
5.4 You want to open your own bakery in a local shopping centre. Show how the following location
factors influenced your decision.
5.4.1 Target market  (4)
5.4.2 Transport  (4)
5.5 Discuss three advantages of quality control. (6)
5.6 Operations technology and information technology are part of the technological environment.
Explain the difference between these two forms of technology.  (8)
5.7 To maintain good relations between two or more parties, there must be a contract.
5.7.1 Explain what a contract is in more detail.  (4)
5.7.2 Name three important information that should be included in a contract? (6)
5.7.3 List three types of contracts.  (3)
(60)

 TOTAL SECTION B: 180

SECTION C – ESSAY QUESTIONS

Answer any TWO of the following questions.

QUESTION 1
Businesses cannot be isolated from the macro environment and must understand the factors that will
influence businesses for sustainability.
• Describe the control that the business has over this environment.
• Explain the physical, economic and international macro environmental factors and also give an
example of each.
• Discuss how each factors influence businesses and what businesses can do about it.  (40)

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 BUSINESS STUDIES
GRADE 10
YEAR END EXAM

QUESTION 2
You have applied for a business loan at ABSA bank to open your business in your area. ABSA asked for
a complete business plan and a SWOT analysis. They also said that it is important for you to consider
social responsibility towards the community.
• Name and elaborate on each of the main relevant components of a business plan.
• Explain what a SWOT analysis is. (You must not do a SWOT analysis for this business.)
• Describe how you, as an entrepreneur, can include social responsibility in your business plan.
(40)

QUESTION 3
“An entrepreneur starts his/her own business with the intention to make a profit, but without self-
management this is not really possible.”
• Explain the meaning of self-management means and why it is so important in business.
• Explain how time management, personal goals and a balance lifestyle play a role in effective
self-management.
• (40)

QUESTION 4
You have been appointed as a manager at the company you work for. The CEO would like to test your
knowledge on some aspects regarding the business.
• Briefly explain the four management tasks.
• Name and explain each business function.
(40)

 TOTAL SECTION C: 80

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