sqa specimen paper

Question 1

what is market share

Answer 1

an organisation’s overall sales in a particular market

Question 2

what are the advantages and disadvantages of the methods of growth

Answer 2

organic growth - adv

less risky than taking over other businesses
can be financed through internal funds
builds on a business’s strengths eg brands, customersd

disadv

growth may be dependant on growth of overall market
slower method of growth - shareholders may prefer more rapid form of growth

takeover - adv

reduces risk of business failure
makes a larger and more financially secure business

diasdv

requires allocation of significant financial and human resources
risk of harming main company business

Question 3

what are the types of theory motivation

Answer 3

theory Y, theory X

theory Y - assumes employees are happy
Theory X - assumes employees are unmotviated to work

Question 4

what are the benefits of maintaining a product portfolio

Answer 4

allows business to spread it’s risk. if one product sales are declining, another product’s sales could be growing

they can meet needs of different market segments

The opportunity for increased sales/profits from selling different products due to customers having a number of products to buy from one brand

Question 5

what are the into the pipeline promotions an organisation could use

Answer 5

dealer loaders involves the wholesaler/retailer recieving an extra amount for free

manufacturer will provide wholesaler/retailer with training

manufacturer can offer sale or return

manufacturer can provide wholesaler/retailer with point of sale display