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GCE JUN 2006 : (A2 3E) Objectives and The Business Environment, , People in Organisations, Accounting and Finance, Marketing and Operations Management

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ADVANCED General Certificate of Education 2006 Business Studies Assessment Unit A2 3e Module 1 to 5 Objectives and The Business Environment, People in Organisations, Accounting and Finance, Marketing and Operations Management A2T51 assessing [A2T51] MONDAY 5 JUNE, AFTERNOON TIME 1 hour 40 minutes. INSTRUCTIONS TO CANDIDATES Write your Centre Number and Candidate Number on the Answer Booklet provided. Answer the one question. INFORMATION FOR CANDIDATES The total mark for this paper is 63, which includes a maximum of 3 marks for quality of written communication. Figures in brackets printed down the right-hand side of pages indicate the marks awarded to each question or part question. A2T3eS6 1521 PQR and Quality Kitchens The Customer s perspective 1 It was January and Derek and Siobhan were patiently waiting for the plans to be passed for an extension to their home. They were keen to have a much larger kitchen, with an adjoining utility room, for their family of three children, aged 5, 8 and 9. Siobhan had bought a range of glossy magazines and they had studied them intently, trying to make up their minds whether they should borrow money to buy an expensive, custom-built kitchen or go to one of the huge nationwide furniture and kitchen retailers to buy one of their ready-made kitchens, which would be much less expensive. 2 After much discussion, they still hadn t made up their minds. They did decide that they wanted the cupboards to be finished in a light coloured wood, such as maple or beech, and they thought they might like a black worktop and dark slate floor. Siobhan suggested that they should draw up a basic plan of what they wanted. Despite Siobhan s reservations about cheaper massproduced kitchens, they decided they would visit their local PQR store at the out-of-town retail park, regularly advertised on television, to see what it could offer. They would follow this by a trip into town to a custom-built kitchen manufacturer on the high street, as advertised in the Ulster Tatler. Derek and Siobhan knew it would be at least 6 months before they were ready to install the new kitchen, but making plans for it brightened up the dull winter days. 3 The whole family, including the children s grandmother who was wheelchair bound, set off for PQR on Saturday morning. It was a very stormy day, but parking was convenient and they got into the store without getting too wet. They found a huge range of kitchens on display, in realistic settings. There were variations of colour and style, with different types and colours of worktop. Ovens, hobs, fridges and dishwashers were all shown built into the kitchens, which gave a really good idea of what they would look like in the home. Some of the kitchens had a breakfast bar, while some had island units for food preparation. Colour brochures were available with a separate price list advertising a half-price sale for the next 10 days. 4 Siobhan was surprised to see that the display kitchens had useful extras on show, such as pull-out larder units, carousels for awkward corners, hanging rails, spice racks and wine racks. The kitchens ranged from traditional to modern and contemporary and the whole store had a higher quality image than she had expected. Siobhan was starting to review her previous opinion of PQR perhaps things had changed for the better? 5 While Siobhan and Derek were looking at the kitchens, the children were getting bored. Grandmother noticed that the store had a play area with various toys and drawing materials, and she took the children over to it. She had a look through the brochures while waiting and was pleased to see that PQR had a policy for disabled customers. A2T3eS6 1521 2 PQR Disability Policy Statement At PQR UK Ltd we recognise that many disabled customers have individual needs when accessing our stores and making use of our services. In 2003 we were awarded the EASE (Ease of Access to Service and Employment) special award, by the Queen Elizabeth Foundation, and we have been members of the Employers Forum on Disability for several years. As part of our ongoing commitment to our customers, PQR will endeavour to ensure that all our disabled customers receive the same high standards of service as our non-disabled customers. All of our buildings are designed with the needs of our customers in mind. The following facilities are available: Disabled parking Ramped access Hearing loop system Customer wheelchairs Accessible toilets Well-lit showrooms Wide walkways Staff trained in Disability Awareness 6 Siobhan and Derek were approached by Linda, the store s kitchen consultant. She asked if they needed any help or advice, and if they had seen anything they liked. Siobhan said that they hadn t made up their minds just yet but wondered what service the store offered them. Linda explained that when they had seen a kitchen style that they liked, she would be able to take the dimensions of their kitchen space, put it on the computer and help them to design the kitchen they wanted, adding in their own choice of flooring, tiles and wall colour. She could then print them out the plan and 3-Dimensional (3D) photo-simulations from different angles to show them what their finished kitchen would look like. The store also offered free delivery and an installation service was available. Units and appliances could be insured against damage and breakage for up to 5 years. 7 Derek and Siobhan were impressed by Linda and what the store could offer, so they said they would think about things a little more and come back to her. She told them that the store was open 7 days a week, and had late opening until 9 pm from Monday until Friday. Linda also said that they could make an appointment with her to have their kitchen designed. The process would probably take around 2 hours, depending on the size and complexity of the design. 8 The family wandered around the kitchen displays a little longer, discussing what Linda had told them. They decided to make an appointment with Linda for the end of the week and get their new kitchen designed. If they wanted to go elsewhere, they would at least have a good plan to work from. The appointment was made for the next Friday evening at 7 pm and Siobhan could hardly wait to get home to look through the colour brochures and price list to see what might be possible. A2T3eS6 1521 3 [Turn over 9 However, they decided to visit the custom-built kitchen manufacturer, Quality Kitchens, while they still remembered what they had seen in PQR and so could make a better comparison. It took a while to find a parking space near Quality Kitchens and they found it difficult to manoeuvre the wheelchair into and around the showroom. The solid wood kitchens looked very expensive but there were only six designs on display and the kitchen designer was unavailable to meet them because it was Saturday morning. The helpful assistant they spoke to told them that they were welcome to look around but that the showroom closed at 12.30 pm. They asked about opening hours and found that the showroom was only open late on a Thursday evening. Siobhan and Derek wanted to choose the kitchen together, so this would be quite restrictive. 10 There was no colour catalogue or price list available. However the assistant said that depending on the size, quality and complexity of design, kitchens would cost around 15,000 excluding the costs of appliances and installation. Having chosen their kitchen the plan would take about a week to design but would not be given to them unless they actually purchased the kitchen. Regarding appliances, they could probably get anything that Derek and Siobhan wanted. No insurance scheme was offered, but the assistant assured Siobhan and Derek that with high quality appliances, the manufacturer s guarantee was all they needed. 11 The assistant told them that they would have a designer kitchen, built exactly to their own wishes, incorporating everything that they wanted and it would last them at least 20 years or more. Siobhan was most impressed with the high quality finish of the kitchens on display, but disappointed that they couldn t see a designer immediately. However, she was told that an appointment could be made for the designer to visit their home and discuss the options. When they explained that the kitchen extension wasn t yet built, the assistant said that it really would be better to wait until it was close to completion before the home visit. 12 By this time the children were tired and restless, so the family decided to go home and think over what they had seen and heard in both PQR and Quality Kitchens. Derek said that he couldn t see the point in borrowing so much to spend on the kitchen it was far more than they had budgeted for. Siobhan could see this point, but wondered if the PQR mass-produced kitchen would be able to be customised to fit the kitchen space they had, and if it was good enough quality. Derek said that they had installed their current kitchen 10 years previously, when they bought the house and it hadn t been expensive but had lasted really well. Anyway, after another 10 years you ll probably want a change! he told Siobhan. 13 Siobhan thought that they were probably wasting their time going back to PQR, believing the store would want them to order and pay for the kitchen now, whereas they couldn t possibly have it installed for 6 months. Despite this, they continued to look at the brochures they had been given in PQR, and worked out what they thought might be a good layout of units and appliances. They liked the maple shaker style units, but wondered if they would be better to buy solid wood doors rather than ones with a maple veneer. They chose the worktop they liked and the appliances they needed. Already having an American style fridge, they only needed a new oven, hob and extractor fan, plus a dishwasher. There was a really good selection of each type of appliance, with excellent descriptions, and all were discounted in the sale. Derek thought that the appliance insurance scheme would probably pay off in the long run. A2T3eS6 1521 4 Customer Insurance Plan CarePlus for Appliances When you buy an appliance from PQR we want to make your life as worry free as possible, so we ve come up with CarePlus to set your mind at rest. What is CarePlus? A comprehensive insurance plan that provides protection for your kitchen appliance for five years from the day you buy. What are the benefits for you? You won t have to pay call-out charges, labour or parts, even for accidental damage. If an appliance that s less than five years old, can t be fixed, we ll replace it with a brand new one. Who should I call if I need help? CarePlus offers a helpline so whenever you need to book a service appointment, just make a phone call. All our CarePlus engineers are specially trained and will use only approved parts. Sample costs: a gas hob 60 for 5 years, a double oven 95 for 5 years 14 On Friday Derek and Siobhan went to PQR to meet Linda, leaving the children with their Grandmother. Linda transferred their kitchen specification into her computer. They knew what to expect, having read in the brochure: At PQR, nothing gives us greater satisfaction than being able to produce your dream kitchen right before your eyes. Using the latest computer aided design (CAD) technology, our specially trained in-store design consultants will transform your rough room plan and measurements into a stunning 3D photo-simulation. You can then swap around and experiment with this until you get the kitchen you want. 15 Linda was very adept at using the CAD programme and soon had a plan of the room set up, with the windows and doors in place. Derek and Siobhan told her the kitchen style they wanted and gave her details of the various appliances they had chosen. Linda added the floor and wall colour, worktop and splash-backs and gave them helpful suggestions about how to maximise space and keep costs down. Then she went on to reassure them about the quality of the kitchen they had selected, telling them she had bought her own kitchen from PQR and was really pleased with it. In my opinion, she said, it s really good value for money and looks just as good as an expensive kitchen. A2T3eS6 1521 5 [Turn over 16 Linda printed out two 3D photo-simulations of the kitchen from different angles, and Siobhan and Derek were delighted with the design. Linda suggested that they had plenty of space for an island unit, which she included in the plan. The result was excellent and, when Linda printed out the list of what they needed to buy, they were very pleasantly surprised. The total cost, including appliances, delivery, installation and insurance, was just over 8,000. Linda drew to their attention some information about the installation of their new kitchen: Installing your new kitchen Once your design is finished, one of our approved installers will call to arrange a visit to your home so that all the measurements can be checked and to ensure that your order includes everything that s needed. Your installer will also be happy to give you a quote for other work to complete your kitchen, such as flooring or tiling. All our installers are professionals with years of experience. 1. We assemble and install everything on site to ensure a perfect fit and flawless finish. 2. At the end of each day, your installer will tidy everything away so you experience minimum disruption. 3. To make sure that everything is just as you want it, we ll run a thorough check with you when we re finished. 4. If required, we will dispose of your existing kitchen as part of the service. 5. All work carried out by our approved installers is covered by a one-year guarantee. They will also separately guarantee any supplementary work carried out by them. 17 Siobhan and Derek were pleasantly surprised to learn that the kitchen could be ordered now at the sale price paying a 10% deposit with the balance payable on delivery six months later. They would have to let PQR know nearer the time exactly when they wanted the kitchen delivered and installed. Linda also offered them the option of a 3 year loan through the store s flexible finance package. 18 Siobhan and Derek were astonished. They decided immediately that they would buy the kitchen and paid the deposit by credit card. Linda had given them all the information and assurances that they had needed and produced an excellent plan in under 2 hours, with colour images of the finished kitchen. They couldn t have asked for more. Quality Kitchens was forgotten about. A2T3eS6 1521 6 Answer the one question. 1 You are a marketing consultant who has been asked to write a report for the management of Quality Kitchens entitled Quality Kitchens and PQR Comparing the Marketing Mix . The aim of the report is to investigate the marketing mix of PQR compared to that of Quality Kitchens, analyse the reasons for any differences found, evaluate the impact of such differences on customers and draw appropriate conclusions as to whether Quality Kitchens needs to change its marketing mix. Your report should: be in the correct format; draw on the evidence presented in the case study; show your knowledge and understanding of business; make appropriate recommendations. [60] THIS IS THE END OF THE QUESTION PAPER A2T3eS6 1521 7 SP (NF) T09556/2

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Additional Info : Gce Business Studies June 2006 Assessment Unit A2 3E Modules 1 to 5: Objectives and The Business Environment, People in Organisations, Accounting and Finance, Marketing and Operations Management
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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