TERM 1 - Topic 1.4 - Contemporary socio-economic issues

Question 1

Explain / Define the following:

Socio-economic issue

Answer 1

Issue that is affected by SOCIAL& ECONOMIC environments

Question 2

Explain / Define the following:

Intellectual property rights (IP)

Answer 2

Exclusive rights that someone has to use their OWN plans, ideas without the worry of competition

Question 3

Explain / Define the following:

Copyright

Answer 3

Exclusive rights to make COPIES, license and to sell books, music, movies, etc. that belong to you

Question 4

Explain / Define the following:

Patents

Answer 4

It is a legal licence - providing exclusive rights to make, use and sell an invention

(example: when you invent a special collar for sheep, preventing caracal from getting to their necks and killing them. You can patent this invention, now no-one can copy it. You will be the only one who can make this special collar)

Question 5

Explain / Define the following:

Trademarks

Answer 5

Symbol or word/s that is registered to a company, no-one else may use it

(example: Coke)

Question 6

Explain / Define the following:

Piracy

Answer 6

Illegal copying of books, DVD’s, CD’s, etc.

(This is bad for the entertainment/publishing industry as artists get a percentage of sales for their song or book. It costs artists lots to produce a song/book. If someone copies a book/song, that person is stealing from the artist’s income)

Question 7

Explain / Define the following:

Bootlegging

Answer 7

Making, distribution or selling ALCOHOL illegally

(affects liquor stores who pays for liquor licences every year to trade legallly. With bootlegging, there are no control over who buys the alcohol and the quality of the quality)

Question 8

Explain / Define the following:

Counterfeit goods

Answer 8

Cheaper versions of original expensive items (being passed off as originals)

(people are fooling the customers by pretending to provide popular brands for much cheaper)

Question 9

Explain / Define the following:

Industrial action

Answer 9

Action taken by employees/workers to protest against something

(often workers strike because of salary reasons)

Question 10

Explain / Define the following:

Strikes

Answer 10

Workers refuse to work until their demands are met

(businesses don’t have to pay salaries during a legal strike, but production stops and it costs the business lots of money)

Question 11

Explain / Define the following:

Go-slows

Answer 11

Workers deliberately slow down the pace of work

(infuence production or will frustrate shoppers in the shop)

Question 12

Explain / Define the following:

Picketing

Answer 12

Demonstrating with posters, at a specific place (example, entrance to a building)

(method of peaceful protest)

Question 13

Explain / Define the following:

Lockout

Answer 13

Not allowing workers on the business premises (usually during a dispute)

(if no resolution can be reached, the employer is to follow all the steps required by law)

Question 14

Explain / Define the following:

Labour Relations Act

Answer 14

Set of laws regulates -
* economic development
* social justice
* labour
* peace

(maybe just know one or two points)

Question 15

Labour Relations Act (Act 66 of 1995) - every business and employer must adhere to these laws. If they don’t, they can be ………………

Answer 15

sued or fined heavily

Question 16

Explain / Define the following:

Trade union

Answer 16

An association formed to PROTECT the rights of workers

(they negotiate wages with management and represent their members in disputes)

Question 17

Explain / Define the following:

Collective bargaining

Answer 17

Negotiating WAGES and WORK CONDITIONS (usually with a union)

Question 18

Explain / Define the following:

Mediation

Answer 18

Process of intervening in a dispute, to try and resolve it

(when management is not able to reach an agreement with the trade union, they use a mediator then. Example: CCMA - Commission for Conciliation, Mediation and Arbitration)

Question 19

Explain / Define the following:

Arbitration

Answer 19

Process of using an OBJECTIVE person to help settle a dispute

(During mediation, someone will decide on the outcome of the dispute - this is the arbitrator)

Question 20

Explain / Define the following:

Grievance procedure

Answer 20

Process of lodging a complaint against someone/something in the workplace

(EXAMPLE: when a worker is not happy about a specific working condition, they start a grievance procedure)

Question 21

Explain / Define the following:

Dumping

Answer 21

Surplus supplies sold elsewhere at much lower prices

Question 22

There are 15 SOCIO-ECONOMIC challenges for businesses.

See how many you can name?

Answer 22

1) Dumping
2) Piracy
3) Strikes
4) Ethical misconduct (bribery)
5) HIV/AIDS (affects the workforce/families)
6) Lack of skills (lack of skilled people)
7) Illiteracy (lack of reading/writing skills)
8) Population growth (increase demands for goods)
9) Social,cultural, demographic issues (influences)
10) Exhausting natural resources
11) Unavailability of natural resources
12) Incorrect use of resources (wastages)
13) Inflation (constant increase of prices)
14) Economic crime (theft/fraud)
15) Income (people earning too little)

Question 23

Name 4 different FORMS of

INDUSTRIAL ACTION

Answer 23

Labour strikes
Lockouts
Go-slows
Picketing

Question 24

Name 5 roles a TRADE UNION will play

Answer 24

*PROMOTE best interests of its members

*PROTECTING member’s interests

*NEGOTIATE wages/working conditions

*Free LEGAL advice

*Provides SELF-IMPROVEMENT benefits

Question 25

A Trade Union has THREE functions, for example, the CCMA.

Name their functions

Answer 25

1) Collective Bargaining

2) Mediation

3) Arbitration

Question 26

Explain the STEPS of a grievance procedure

Answer 26

1) Employee/worker submits WRITTEN statement
of the grievance to immediate line manager or
HR manager
2) Manager calls a MEETING to try and RESOLVE
the matter. The worker may have a
representative present.
3) If worker is still unhappy, they can call for an
APPEAL MEETING with higher management.

Question 27

In the scenario of a GRIEVANCE PROCEDURE, you will normally submit a written statement to your line manager. If you line manager is the person whom you have a problem with, who can you go to?

Answer 27

HR Manager

Question 28

Explain the impact of violent crime and theft on a business.

Provide one possible solution.

Answer 28

Impact -
Scared staff / steal business tock / higher cost of security

Solution -
Install security system / employ security staff

Question 29

Explain the impact of violent crime and theft on a business.

Illiteracy.

Answer 29

Impact -
Limits the skills of staff, pool of labour resources, increases costs of recruitment and training

Solution -
Provide training

Question 30

Explain the impact of violent crime and theft on a business.

Strikes

Answer 30

Impact -
Productivity will decrease / staff unhappy

Solutions -
Open negotiations before the situation reaches strike stage / work with unions

Question 31

Explain the impact of violent crime and theft on a business.

unavailability of natural resources

Answer 31

Impact -
Cannot continue making the goods you produce / costs increase to find resources

Solution -
Find alternatives to the raw materials you use / change the product range slightly

Question 32

Explain the difference between ……..

COPYRIGHT 

      and

 TRADEMARK

Answer 32

COPYRIGHT
= has the symbol (c)
= exclusive rights to make copies, licence and sell
books, music, movies, etc

TRADEMARK
= has the symbol (r)
= registered to a company and no one else may
use without permission

Question 33

Complete the sentence with the correct word:

For liquor stores, ………………………..undermines their business as there is no control over who buys the alcohol and what the quality of the alcohol is.

Answer 33

bootlegging

Question 34

Complete the sentence with the correct word:

Most artists get a percentage of sales for their song or book but they lose this money through ………………. when someone makes illegal copies of these and sells them for their own profit.

Answer 34

piracy

Question 35

Complete the sentence with the correct word:

Popular expensive branded products that are copied exactly using inferior materials and sold very cheaply are called …………………………. goods.

Answer 35

counterfeit