1.1.1 The dynamic nature of business

Question 1

Define

Answer 1

Define a term from the specification content

Question 2

Give

Answer 2

Give an answer testing recall of knowledge from the specification
content

Question 3

State

Answer 3

Give an answer, no longer than a sentence, referring to a piece of contextual information from which students must select the
answer

Question 4

Identify

Answer 4

Select the correct answer from reading a graph or table of data

Question 5

Calculate

Answer 5

Use mathematical skills to reach the answer, based on given data. Calculators may be used and workings should be given

Question 6

Complete the table

Answer 6

Work out the values missing from the presented table of data

Question 7

Outline

Answer 7

Give two linked points about a business concept or issue, placed in context in the question

Question 8

Explain

Answer 8

Give a statement of fact, with two further expansion points. These may expand on each other, or both from the same fact. There is no context in these questions

Question 9

Discuss

Answer 9

Write an extended answer, requiring expansion and exploration of a business concept or issue. These questions will not have context but students may bring one in for illustration purposes

Question 10

Analyse

Answer 10

Write an extended answer, requiring expansion and exploration of a business concept or issue. The answer will be placed in context by the question

Question 11

Justify

Answer 11

Write an extended answer, using information provided in order to recommend one of two options to a business owner

Question 12

Evaluate

Answer 12

Write an extended answer, using knowledge of specification content to reach a supported conclusion about a business

Question 13

Business Enterprise

Answer 13

Identifying new business opportunities and then taking advantage of them

Question 14

How do new business ideas occur?

Answer 14

Changes in technology, changing customer wants/needs, goods or services becoming obsolete

Question 15

Are new business always original?

Answer 15

Sometimes, however an adaptation of a product or service that is improved can happen

Question 16

Entrepreneur

Answer 16

Someone who creates a business, taking on financial risks with the aim of making a profit from the business

Question 17

What do Entrepeneurs do?

Answer 17

Take risks, organise resources, make business decisions

Question 18

Consumer

Answer 18

Someone and uses goods and services

Question 19

Obsolete

Answer 19

Out of date of not used anymore

Question 20

E-commerce

Answer 20

Using the internet to carry out business transactions

Question 21

Risk

Answer 21

The possibility that an enterprise will have lower than anticipated profits or experience a loss

Question 22

Financial reward

Answer 22

The money that an entrepreneur or investor receives when a business succeeds

Question 23

Customer needs

Answer 23

The wants and desires of buyers of a product or the customers of a business.

Question 24

Product

Answer 24

Something tangible that is produced to satisfy customer needs

Question 25

Service

Answer 25

Work that is performed for someone, which is intangible

Question 26

Add Value

Answer 26

The business finds a way to improve the product so customers pay more for it

Question 27

How to add value?

Answer 27

Make product more convenient, build good brand image, improve quality or design, USP