Page 203 - Cambridge IGCSE Business Studies
P. 203

Exam-style case study








           The CEO is aware of the problems Teen Fashions might face   3 a   Identify and explain two benefi ts to Teen
           when entering this new market, but feels that, with careful   Fashions of the Marketing Manager carrying
           planning, these can be overcome.                              out market research for Option 1.
           1 a   Identify and explain two benefi ts to Teen               Benefi t 1:
                 Fashions of having a ‘strong brand image’.
                                                                         Explanation:
                 Benefi t 1:
                                                                         Benefi t 2:
                 Explanation:
                                                                         Explanation:
                 Benefi t 2:
                                                                                                                    [8]
                 Explanation:
                                                                      b  The Board of Directors has agreed that Teen
                                                            [8]          Fashions needs to expand the business.
                                                                         Consider Option 1 and Option 2 and
              b  What do you consider to be the most
                                                                         recommend which of these two options
                 important factors to infl uence the demand for
                                                                         it should choose. Justify your answer.
                 Teen Fashions? Justify your answer.        [12]
                                                                         Consideration of Option 1:
           2 a   Identify and explain one advantage and one
                 disadvantage to Teen Fashions of its current            Consideration of Option 2:
                 channel of distribution shown in Appendix 1.            Recommendation:
                 Advantage:                                                                                        [12]    201

                 Explanation:
                                                                   4 a   Identify and explain two methods of
                 Disadvantage:                                           promotion Teen Fashions might use if it
                                                                         choose Option 1 to expand the business.
                 Explanation:
                                                                         Method 1:
                                                            [8]
                                                                         Explanation:
              b  The Marketing Director and Operations Director
                 disagree about the benefi ts of e-commerce to            Method 2:
                 Teen Fashions. Consider their views and
                                                                         Explanation:
                 recommend whether or not Teen Fashions
                 should develop e-commerce activities. Justify                                                      [8]
                 your answer.                                         b  How important will price be to the success
                                                                         of Option 1? Justify your answer.
                 Marketing Director’s view:
                                                                                                                   [12]
                 Operations Director’s view:
                 Recommendation:
                                                                                               Total available marks 80
                                                            [12]
   198   199   200   201   202   203   204   205   206   207   208