CANDIDATE

NAME

BUSINESS STUDIES 0450/22

Paper 2 Case Study

1 hour 30 minutes

You must answer on the question paper.

You will need: Insert (enclosed)

INSTRUCTIONS
● Answer all questions.
● Use a black or dark blue pen. You may use an HB pencil for any diagrams or graphs.
● Write your name, centre number and candidate number in the boxes at the top of the page.
● Write your answer to each question in the space provided.
● Do not use an erasable pen or correction fluid.
● Do not write on any bar codes.
● You may use a calculator.

INFORMATION
● The total mark for this paper is 80.
● The number of marks for each question or part question is shown in brackets [ ].
● The insert contains the case study.

This document has 10 pages. Blank pages are indicated.

MAIS – MAR. 2021

10 IGCSE [Turn over
 2

1 (a) Identify and explain two ways that BL could increase the added value of its products.

Way 1: ……………………….…………….………...……….………….…………...............

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Explanation: ………………………….……………………………….…………...................

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Way 2: ……………………….…………….………...……….………….…………...............

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(b) Consider the advantages and disadvantages of the following three ways Rohit could use to
increase efficiency of the business. Recommend the best way to use. Justify your answer.

Increase the skills of the existing employees: ……………………………………………..

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Purchase automated equipment……..……………..………………………………………..

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Introduce lean production: ………..…………………………………………………………..

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Recommendation: ………..…………………………………………………………………..

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2 (a) Identify and explain four stages in the recruitment process for the Operations manager that
Rohit should use.

Stage 1: ………………..…………….………...……….………………..…………...............

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Explanation: ………………………….……………………………….…………...................

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Stage 2: ………………..…………….………...……….………………..…………...............

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Stage 3: ………………..…………….………...……….………………..…………...............

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Explanation: ………………………….……………………………….…………...................

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Stage 4: ………………..…………….………...……….………………..…………...............

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(b) Rohit wants to make sure he has well motivated employees. Consider the advantages and
disadvantages of the following three ways he could use. Recommend the best one to choose.
Justify your answer.

Introduce piece rate: ………………………………………....…...………..…………………….…..

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Use job enrichment: ……………………………….……………....…...…………..…………….…..

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Improve working conditions in the factory: …………………………..………....…...………….…..

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Recommendation: ………..…………………………………………………………………..
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3 (a) Rohit is considering using e-commerce to sell BL’s products. Identify and explain one
advantage and one disadvantage to BL of using e-commerce.

Advantage: ...…..…………..….………..….……………………………….………..............

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Disadvantage: ...…..…………..….………..….……..….………………….………..............

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Explanation: ………………………….……………………………….…………...................

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(b) Consider the following three ways Rohit could use in his business to build good customer
relationships. Recommend which would be the best way to use. Justify your answer.

Providing good customer service: …………...........................................................……..,,.

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Carrying out market research: …...…………………………..………….................................

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Creating customer loyalty schemes: ………………..…………………………..........................

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Recommendation: ………..…………………………………………………………………..

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MAIS – MAR. 2021

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4 (a) The Government in country X is planning to reduce income tax but increase interest rates.
Identify and explain how each of these changes is likely to affect BL.

Reduce income tax: …………...............................................................................……..,,.

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Increase interest rate: …...…………………….……………..………….................................

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MAIS – MAR. 2021

10 IGCSE
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(b) Refer to Appendix 3. Do you think Rohit should be happy with the financial position of BL?
You should include liquidity ratios to help justify your answer.

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MAIS – MAR. 2021

10 IGCSE [Turn over
 10

BLANK PAGE

MAIS – MAR. 2021

10 IGCSE