3 mark - explain
6 mark - analyse
9 mark - justify
12 mark - evaluate
✅ GCSE Business Revisio…
How To Answer 3 Mark EDEXCEL GCSE Business Questions
3 MARK QUESTION ANSWER GUIDE
State the point in first sentence
State a drawback/advantage/way in the first sentence
You must consider
● explaining one disadvantage
● explaining one advantage
● explaining one way
● explain one reason
● explain one possible barrier
After explaining your point you should include two logical strands.
Develop your point by using connectives; Because,Therefore,This means that, As a result,
Leads to…
Your answer should not be vague, it has to be a clear point and you must answer the question.
Consider writing three separate sentences instead of mashing your points into two sentences.
Dont write more than you have to.
📌
3 Marker Questions and Answers
- Paper 1 - EDEXCEL GCSE Business
EXAMPLE QUESTION AND ANSWER
Question :
Explain one small benefit to a small business from having a unique sell point.
Before answering, make sure you have 1 point and 2 strands
A unique selling point will give a small business a competitive advantage. This would help the
small business stand out from the competition. This would result in the small business
benefiting from increased sales.
OR
One benefit is that it would allow a small business to add value. This means that the small
business would benefit from increased sales. As a result the business would reduce the chance
of business failure.
Question :
Explain one advantage to a small business of using trade credit as a source of finance.
Answer:
Trade credit is where suppliers deliver goods and take payment later.
This means that the business is able to sell goods before they have to pay the supplier. This will
result in improved cash flow in the business.
Q;
Explain one disadvantage of starting a small business as a partnership.
A;
Conflict and disagreements may occur between the partners. This may lead to a slow down of
decisions being made. This may result in the business being unable to meet the needs of its
customers.
PAPER 2 QUESTION 3 MARKERS QUESTION AND ANSWER GUIDE
Q; Explain one drawback to a business of using job production.
A;
Job production is slower than batch or flow production.
This means that productivity will be lower. As a result, this may mean there will be an
increased cost of producing each unit.
Q; Explain one advantage to a business of producing a high quality product.
The business will be able to charge higher prices. This could increase the difference between
revenue and cost.
Therefore, the profit margin on each product may increase.
Q; Explain one advantage to a business of improving its environmental sustainability.
It is now less likely that the business will have to pay. fines to the government for polluting the
environment.
As a result, the costs of the business will go down. This. may lead to the business being more
competitive.
Q: Explain one benefit to a business of having a good relationship with its suppliers.
Suppliers are more likely to give the business discounts on raw materials they purchase. This
means that the variable costs per unit may fall. Therefore, the profit made on each item may
increase:
Q; Explain one method a business could use to differentiate its product.
The business may decide to add additional features to the product. This may make the product
more attractive to potential customers. As a result, it will catch the customer's attention.
Q; Explain one possible barrier to effective communication within a business.
A business having too many layers in the hierarchy.
This may mean that messages have to pass through too many employees. Therefore, it makes
it difficult for the business to respond quickly to change.
6 MARK QUESTION ANSWER GUIDE
● You must use application and analysis skills
● Analyse the impact/benefit/drawback or factor
● You must have 5 linked developed strands and explain in context( refer to the case
study !!)
Use connectives such as ;
- therefore
- leading to
- as a result
- in addition
✅
How To Answer Edexcel 'Analyse' 6 Markers
WITH AN EXAMPLE As A Bonus! GCSE …
Questions and answers
Analyse the impact of competitors to Jaedan's Bakery
One impact that competitors could have on Jaedan’s Bakery is that Jaedan would need to
provide good quality cookies and chocolate muffins for customers to purchase.
This would lead to the bakery having a competitive advantage over other bakeries such as
'Bakin' Cakes' in the local Willesden area.
This would therefore increase the sales of soft drinks and croissants at Jaedan's bakery.
From the additional revenue, this may result in Jaedan being able to purchase the specialised
oven that he has been hoping to acquire.
Another impact is that Jaedan's Bakery may expand their product range of baked goods.
This means that the bakers and Jaedan may need to decide on offering more types of cakes
and pastries in order to stand out from the competition.
This would lead to Jaedan's Bakery being able to target a wider range of customers to purchase
their cakes.
Question :
Analyze the benefits for LEGO of being a multinational business.
One benefit is that Lego can sell its Harry Potter toys around the world.
This means that Lego will be able to have access to more customers in different countries.
This will lead to Lego gaining increased sales of their toys and games globally, and having more
customers. Therefore, enabling them to increase their market share in the toy industry.
Another benefit is as they are the largest manufacturer of toys they can decide on setting up
their factories in countries with low operating costs.
This would reduce the average total costs for Lego, which would lead to them being able to sell
toys for a competitive price.
How To Answer iGCSE Business 9 Markers - WITH AN EXAMPLE As a BONUS
9 MARK QUESTION ANSWER GUIDE
You will be assessed by..
AO2 = applying knowledge to the case study
AO3 = Include interconnected points
AO3 = Making a judgment
Paragraph 1 (Choose and Explain the Benefits):
- Start with selecting the preferred option.
- Explain the benefits or importance of this option using connectives such as 'because' to show
the logical chain of reasoning.
- Provide context from the case study to support your explanation.
Paragraph 2 (Explain the Disadvantage):
- Start with 'however' or 'on the other hand'.
- Explain the disadvantage of the chosen option using connectives such as 'because' or 'this
means that'.
- Include context from the case study to illustrate the potential drawbacks.
Final Paragraph (Justification and New Reasoning):
- Start with the chosen option and state why it's selected.
- Add a new reason to support the choice.
- Use the term 'it depends on' to show consideration of various factors.
- Consider the most important factor and provide an example from the case study to strengthen
the justification.
Remember..
Paragraph 1 is analyzing benefits of the option
Paragraph 2 is analyzing potential drawbacks
Paragraph 3 is give reason for making the final choice
QUESTION AND ANSWER
Artify Studio is looking to increase the amount of paint materials it sells. It wants to sell painting
sets for children and will need additional finance for the start-up costs of buying these painting
sets.
it is considering the following two options:
Option 1: crowdfunding
Option 2: retained profit.
(e) Justify which one of these two options Artify Studio should choose.
Artify Studio, should choose option 2 - retained profit to enable them to finance the start-up
costs of buying painting sets. Artify Studios could invest retained profits earned from previous
years from the revenue earned from the Regular Kids Classes sessions and art materials sold.
Using the retained profits will be quick and easy for Tay Hui to access, which means Artify would
have the short-term finance needed to get the painting sets together quickly. Secondly, Tay Hui
will not have to pay interest on this source of finance, which means that the cash outflow for the
business will not increase, this means that Tay Hui will be able to continue to effectively manage
their cash flow effectively, and keep more of the profit earned from selling the art supplies.
On the other hand, there is no guarantee that the sets will sell as customers may prefer for their
children to take part in the art sessions in the studio, making the venture unsuccessful. If Tay
Hui uses retained profit it means that it cannot be used again. This might mean that Artify Studio
may miss out on other business opportunities as retained profit was used to purchase the
painting sets.
Overall, Artify should use retained profit as it is a flexible method of finance and Artify can use it
when required. Choosing retained profit as an option depends on how much retained profit Artify
currently have, and how much is needed for the painting sets. Most importantly, there will be
less retained profits for Artify Studios to use for any immediate obligations, however in the long
term, Artify should be able to replace the retained profit used with the Liberty Art Jam and other
services it sells.
Paragraph 1 (Introduction and Benefits of Option 2 - Retained Profit):
- First, it says Artify Studio should pick option 2 - using money they already earned.
- It explains that Artify Studio can use money they made in the past from classes and selling art
supplies to buy the painting sets.
- It says using this money is quick and easy to get, and they don't have to pay extra fees for it,
which helps them manage their money better.
Paragraph 2 (Disadvantages of Option 2 and Potential Drawbacks):
- Then, it talks about the problem with this option.
- It says there's a risk the painting sets might not sell well, and if they use this money, they can't
use it again for something else.
- It also mentions that using this money might mean they can't do other things they want to do
with it.
Final Paragraph (Justification and New Reasoning):
- Next, it repeats that they should still use this option but says it depends on how much money
they have and need for the painting sets.
- It also talks about the good things that could happen in the long term, like making more money
from other services.
- It ends by saying even though they might have less money now, in the end, it should work out
okay.
12 MARK QUESTION ANSWER GUIDE
●
●
●
●
Demonstrates accurate knowledge and understanding of business concepts and issues
throughout, including appropriate use of business terminology. (A01)
Detailed application of knowledge and understanding of business concepts and issues
to the business context throughout. (AO2)
Deconstructs business information and/or issues, finding detailed interconnected points
with logical chains of reasoning. (A03)
Makes a judgment, providing a clear justification based on a thorough evaluation of
business information and issues relevant to the choice made. AO4
Show knowledge and understanding include key concepts 'use your business knowledge.
Include application of business concepts and issues, throughout.
Use detailed interconnected points.
You must have a conclusion based on a thorough evaluation of business information and
issues.
●
●
●
●
You must show knowledge of key terms and/or concepts
You must have interconnected points and explain them in context to the case study
Include logical chains of reasoning
Use words such as 'on the other hand' and 'however' to, a disadvantage show you're
focusing on an alternative viewpoint
● You must make a judgement at the end
● You could give mention to the short term impact and the long term impact
Interconnectives such as ;
Leads to,
Because,
Therefore,
As a result,
This means that.
Evaluate why Huawei would carry out market research before designing a new product.
You should use the information provided as well as your own knowledge of business
(12 marks)
Market research is the process of gathering and analysing data about markets and consumers.
By undertaking market research businesses will be able to make informed decisions as to
actions it should take. One reason why Huawei would carry out market research is because it
will enable them to find a gap in the market. Spotting a gap in the market will give Huawei a
better understanding of areas where there is little competition within the tech industry. This
means that they will have an understanding of areas where customer needs are not being met
by existing products and can design products to meet customer needs.
Huawei producing a watch that no other business is offering could mean that it sells more of the
products, which would further lead to Huawei gaining a competitive advantage. However, as
market research is expensive this could have a negative impact on Huawei's financial situation
and also impact upon the development of other products such as tablets that Huawei makes
and sells.
Another reason why Huawei would carry out market research before designing a new product is
to help it make better business decisions. Huawei may want to make a change to add additional
features or change the colour of its smartphones, before it does so, it may want to find out
whether customers would respond positively to the change by using market research. By
reviewing the comments made by potential customers Huawei can see whether the change is
likely to be a success. This would lead to the new product having a higher chance of being
successful, and lead to increased revenue and increased customer satisfaction. On the other
hand, there is no guarantee that the market research undertaken will be worthwhile, customers
needs and wants are changing constantly in light of new technological developments, and the
research undertaken may quickly be out of date.
In conclusion, Huawei should carry out market research before designing a new technological
product. This is so Huawei can make sure they're providing the right products, at the right price
and in the right place for customers, and can enable them to meet the needs of customers for
the different forms of technology in their portfolio. In order for market research to be effective it
does depend on the quality of the market research undertaken, and whether the research will be
undertaken by an agency or in-house. In the short-term, market research may be time
consuming. However, in the long-term, it would aid Huawei ensuring the products they produce
meet the needs of its customers and with their commitment to a 'fully connected, intelligent
world'.
Paragraph 1 (Introduction and Identifying Market Gaps):
- It defines market research and its purpose: to make informed decisions.
- Explains one reason for market research: to identify gaps in the market where there's little
competition.
- It emphasizes the importance of meeting customer needs through tailored product design.
Paragraph 2 (Customer Feedback and Better Business Decisions):
- Introduces another reason for market research: to make better business decisions, like adding
features or changing smartphone colors.
- Highlights the benefits: higher chances of product success and increased revenue.
- Acknowledges the uncertainty of market research due to constantly changing customer needs
and technological advancements.
Final Paragraph (Conclusion and Considerations):
- Concludes that Huawei should conduct market research to provide the right products for
customers and meet their needs.
- Notes the importance of quality market research and the choice between agency or in-house
research.
- Balances short-term time consumption with long-term benefits of meeting customer needs and
aligning with Huawei's vision.
playlist :
https://youtube.com/playlist?list=PLKJ4DtMADQARfYzUF0HZNuiGnAo9MvcUI&si=lNrpCfQET2
OJy4OZ