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GCE JUN 2008 : (AS 1) Objectives and the Business Environment

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ADVANCED SUBSIDIARY (AS) General Certificate of Education 2008 Business Studies assessing Module 1: Objectives and The Business Environment AST11 Assessment Unit AS 1 [AST11] WEDNESDAY 11 JUNE, MORNING TIME 1 hour. INSTRUCTIONS TO CANDIDATES Write your Centre Number and Candidate Number on the Answer Booklet provided. Answer both questions. INFORMATION FOR CANDIDATES The total mark for this paper is 50. Quality of written communication will be assessed in all questions. Figures in brackets printed down the right-hand side of pages indicate the marks awarded to each question or part question. ADVICE TO CANDIDATES You are advised to take account of the marks for each part question in allocating the available examination time. AST1S8 3836 1 Study the information below and answer the questions that follow. Objectives and Privatisation Successive governments in the UK have sought to encourage competition in markets through privatisation and deregulation. Firms such as Jaguar Cars and British Airways were transferred from state ownership to private ownership and many private companies were encouraged to carry out services such as cleaning and catering in hospitals, schools and other government agencies. Tom Beattie has operated a successful coach company in Limavady for over twenty years. Much of his business has involved transporting church and school groups on day trips throughout Northern Ireland. The company has grown and now owns 15 coaches and 3 minibuses. In the past Tom has been frustrated that the government has not allowed him to compete with Translink (which provides public sector transport services in Northern Ireland). However, the public sector transport market has been closely examined by the government and it has decided to deregulate some of it. Private sector companies are now allowed to run scheduled bus services on some routes. Tom is excited by the prospect as he believes he can successfully provide a better service than Translink. (a) Explain three objectives that Tom Beattie s business might have. [10] (b) Discuss whether the government should fully privatise the public transport service in Northern Ireland. [15] AST1S8 3836 2 2 Study the information below and answer the questions that follow. Business Functions and Small Firms McCreedie Manufacturing was set up five years ago. The business began in a small shed behind Eddie McCreedie s house in Cullybackey, manufacturing boiler suits which were then sold to local garages. The boiler suits were embroidered with each customer s logo and were produced in small batches. Although the business made a promising start, Eddie soon became worried that sales were falling as his customers began to buy cheaper boiler suits from abroad. Eddie realised that he had to either run his business on a small scale and hope that it would continue to be successful, or try to expand it in some way. Fortunately, a friend asked Eddie to manufacture uniforms for the staff in one of his shops and was so impressed with their quality that he immediately ordered more. As a result, Eddie realised that this was a market which would help safeguard the future of his business. McCreedie Manufacturing is now considering specialising in uniforms for staff in businesses and public sector organisations. This would involve supplying hospitals with uniforms for nurses and auxiliary staff. It would also mean building a new purpose-built factory in Belfast and increasing the workforce which would be organised into the functional areas of Human Resources, Finance, Marketing and Operations Management. However, the biggest challenge facing the firm would be to ensure that these new functional areas worked well together rather than operating independently. (a) Explain three ways in which the functional areas of a business, such as McCreedie Manufacturing, operate interdependently. [10] (b) Discuss whether McCreedie Manufacturing should remain small. THIS IS THE END OF THE QUESTION PAPER AST1S8 3836 3 [15] Permission to reproduce all copyright material has been applied for. In some cases, efforts to contact copyright holders may have been unsuccessful and CCEA will be happy to rectify any omissions of acknowledgement in future if notified. SP (SM) T58082/1

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Additional Info : GceBusiness Studies June 2008 Assessment Unit AS 1 Module 1: Objectives and the Business Environment
Tags : General Certificate of Education, A Level and AS Level, uk, council for the curriculum examinations and assessment, gce exam papers, gce a level and as level exam papers , gce past questions and answer, gce past question papers, ccea gce past papers, gce ccea past papers

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