Page 358 - Cambridge IGCSE Business Studies

Cambridge IGCSE Business Studies 27: Exam technique

Don’t worry if the points you have mentioned do not feature in the list. A mark
scheme does not include every possible answer. If the point made is relevant, it will
usually be rewarded.

Sample answer (written by the authors):

Advantage: It is a more fl exible way of working.

Explanation: It’s relatively easy to change production from one style of product to another to meet
demand. So if there is an increase in the number of orders for a particular size or style of girls’ or boys’
bicycle then Early Riders can quickly meet this demand. This means the large stores have the bikes they
want, which can increase its sales.

Disadvantage: Part finished goods have to be moved around the factory.
Explanation: This will increase transporting and storage costs, and it will take time which reduces workers’

effi ciency. Inefficient workers need to be trained. Efficiency is important for any business as this can help

it lower costs and increase profits.

Comments on part (a):
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Advantage: This is a valid reason. There is some development linking how flexibility can benefit Early Riders’
business. There is clear application both in terms of understanding that it makes a variety of models, and how the
ability to meet demand helps it meet its customers’ demand.

Disadvantage: The disadvantage is a valid point, and there is some development of why it is a disadvantage. However
this is a general point, which is applied to this business. The focus of the second part is more on efficiency rather than

batch production.

b The Human Resources Director is worried that a high number of
workers leave the company each year because of poor motivation.
Consider three different methods that Early Riders could use to increase
motivation of the production workers. Recommend which method you
think will be the most effective. Justify your answer. [12]