ARYAN ROSHAN
(a) State three of Buzza’s main business functions.(2 marks)
1. Finance2. Marketing3. Operations
(b) Explain ONE advantage and ONE disadvantage to Buzza of operating as a partnership.
(4 marks)
Joe and Demi Straus are able to share responsibilities, which is one key advantage of a
partnership business. As mentioned in the case study, Joe, having experience in design,
heads the design department and Demi, a business graduate, organizes the business by
function (finance, marketing and operations). In this way, Joe and Demi Straus can be
relieved of high stress in operating the business and executing its functions, while enjoying
the benefits and profits of the business shared with their partner(s).
The partners are subject to personal liability for partnership obligations, which mean Joe and
Demi are liable to the debts of the business. Furthermore, compared to a sole proprietorship
business where Joe could have complete control over the business and had his ideas put
forward without the thoughts and opinions of his partner, Joe's ideas may be dismissed by
Demi in this partnership business.