Enterprise & Entrepreneurship (Edexcel GCSE Business)

Exam Questions

2 hours27 questions
12 marks

Case Study

Last Course Patisserie Ltd is a small private limited company based in Devon which produces hand-made desserts and puddings. The business was established in 1986. Its owners previously worked in the food industry but felt they could offer better value for money to customers. All of the desserts are made fresh to order which has provided Last Course Patisserie with a reputation for being flexible when meeting customer needs.

Getting the best ingredients for the desserts is a vital part of the business. Last Course Patisserie found excellent suppliers of free range eggs and dairy products close to its business location. This means all ingredients could be delivered quickly when needed.

Last Course Patisserie has recently employed a new head chef from Switzerland who has introduced a new range of products to the menu. This has proved to be very popular with customers and the business now struggles to keep up with demand. Last Course Patisserie is receiving increased orders for desserts but, due to the size of its business premises, struggles to meet this increase in demand. The owners have decided that it is the right time for Last Course Patisserie to expand and possibly relocate to new premises.

Outline one risk taken by the owners when starting Last Course Patisserie.

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21 mark

Which one of the following is an example of a reward from business activity?

Select one answer.

  • Financial loss

  • Increased overheads

  • Independence

  • Lack of security

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32 marks

Which two of the following are types of technology that could be used by a business?

Select two answers.

  • Consumer law

  • Crowd funding

  • Digital communication

  • Marketing mix

  • Payment systems

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41 mark

State one role of an entrepreneur.

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51 mark

Mel is a sole trader selling candles made from natural ingredients.

Which one of the following is an example of a risk for Mel's business?

  • Mel has forecast that demand will rise over the next year

  • Mel has calculated a negative cash flow for June

  • Mel is anticipating that the cost of wax will fall next year

  • Mel has estimated that she will need to work an extra 15 hours per week to meet demand for her products

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62 marks

Outline one way a hairdressing business might add value to its service.

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72 marks

Outline one reason why a product or service may become obsolete.

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81 mark

State one way a fast food business can meet customer needs.

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91 mark

Which one of the following is not a method of adding value?

  • Product branding

  • Reducing prices

  • Differentiating the product

  • Providing high quality customer service

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101 mark

State one purpose of business activity.

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112 marks

Outline one reason why a business may adapt an existing product.

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122 marks

Which two of the following would be examples of adapting a product for a bakery?

Select two answers.

  • Advertising a product

  • Increasing portion sizes

  • Changing the price of its sandwich range

  • Training staff to serve customers more quickly

  • Changing the recipe of baked goods to cater for gluten-free diets

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1
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3 marks

Explain one benefit to a small business of having a unique selling point.

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2
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3 marks

Explain one reason why new business ideas come about.

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3
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6 marks

Discuss the impact on a small business of failing to meet customers' needs.

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43 marks

Explain one reward of starting up a business.

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5
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3 marks

Explain one reason why a business may decide to change a brand name.

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6
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3 marks

Explain one way a change of technology can create a business opportunity.

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7
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3 marks

Explain one role of an entrepreneur.

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8
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3 marks

Explain one reason why someone might want to set up their own business.

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9
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3 marks

Explain one reason why a market may be described as 'dynamic'.

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10
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6 marks

Discuss the impact of entrepreneurial roles on the success of a start-up business.

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11
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6 marks

Case Study

Sports Tours Ltd was established in 1989 and is one of the leading online specialist sports tour operators in the United Kingdom. It arranges tours for teams to destinations in the United Kingdom and Europe in sports such as football, rugby, hockey and netball. The business not only organises travel, accommodation and meals, but it also arranges games and entry to tournaments for the sports team whilst on tour.

Sports Tours Ltd has very high standards. It carries out full risk assessments for all tours including possible pre-tour inspection visits. Tours are licensed and authorised through official agencies. All tours have regular contact with a member of staff from Sports Tours Ltd.

In recent years the business has faced increasing competition. This is not only from other sports tour operators but also from teams organising their own tours. Changing levels of consumer income and exchange rates have also had an impact on demand for tours by sports teams.

Sports Tours Ltd are confident that the high level of service they offer will help them to remain competitive. However, it is always looking for more ways to add value to its business activities.

Analyse the impact on Sports Tours Ltd of operating in a dynamic market.

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12
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6 marks

Case Study

Last Course Patisserie Ltd is a small private limited company based in Devon which produces hand-made desserts and puddings. The business was established in 1986. Its owners previously worked in the food industry but felt they could offer better value for money to customers. All of the desserts are made fresh to order which has provided Last Course Patisserie with a reputation for being flexible when meeting customer needs.

Getting the best ingredients for the desserts is a vital part of the business. Last Course Patisserie found excellent suppliers of free range eggs and dairy products close to its business location. This means all ingredients could be delivered quickly when needed.

Last Course Patisserie has recently employed a new head chef from Switzerland who has introduced a new range of products to the menu. This has proved to be very popular with customers and the business now struggles to keep up with demand. Last Course Patisserie is receiving increased orders for desserts but, due to the size of its business premises, struggles to meet this increase in demand. The owners have decided that it is the right time for Last Course Patisserie to expand and possibly relocate to new premises.

Analyse the impact on Last Course Patisserie of adding value to its products.

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1
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9 marks

Case Study

Last Course Patisserie Ltd is a small private limited company based in Devon which produces hand-made desserts and puddings. The business was established in 1986. Its owners previously worked in the food industry but felt they could offer better value for money to customers. All of the desserts are made fresh to order which has provided Last Course Patisserie with a reputation for being flexible when meeting customer needs.

Getting the best ingredients for the desserts is a vital part of the business. Last Course Patisserie found excellent suppliers of free range eggs and dairy products close to its business location. This means all ingredients could be delivered quickly when needed.

Last Course Patisserie has recently employed a new head chef from Switzerland who has introduced a new range of products to the menu. This has proved to be very popular with customers and the business now struggles to keep up with demand. Last Course Patisserie is receiving increased orders for desserts but, due to the size of its business premises, struggles to meet this increase in demand. The owners have decided that it is the right time for Last Course Patisserie to expand and possibly relocate to new premises.

In order to increase the number of desserts that can be produced to meet the extra demand, Last Course Patisserie is considering two options:

Option 1: investing in new machinery

Option 2: employing more staff.

Justify which one of these two options Last Course Patisserie should choose.

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2
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9 marks

Case Study

Sports Tours Ltd was established in 1989 and is one of the leading online specialist sports tour operators in the United Kingdom. It arranges tours for teams to destinations in the United Kingdom and Europe in sports such as football, rugby, hockey and netball. The business not only organises travel, accommodation and meals, but it also arranges games and entry to tournaments for the sports team whilst on tour.

Sports Tours Ltd has very high standards. It carries out full risk assessments for all tours including possible pre-tour inspection visits. Tours are licensed and authorised through official agencies. All tours have regular contact with a member of staff from Sports Tours Ltd.

In recent years the business has faced increasing competition. This is not only from other sports tour operators but also from teams organising their own tours. Changing levels of consumer income and exchange rates have also had an impact on demand for tours by sports teams.

Sports Tours Ltd are confident that the high level of service they offer will help them to remain competitive. However, it is always looking for more ways to add value to its business activities.

In order to add value to its business activities Sports Tours Ltd is considering two options:

Option 1: using professional sports venues for tournaments

Option 2: providing teams with top class coaching when on tour.
 
Justify which one of these two options Sports Tours Ltd should choose.

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312 marks

Case Study

That Feeling is a unique barber shop in Potters Bar, Hertfordshire. Its owner, Justin Carr, started the business, aged 25, because of his passion for being a barber. When he left school after his GCSEs he was advised to follow a different career path. However, he wanted to work in a creative industry. This ambition led him to opening a barber shop where his regular customers include England international footballers such as Kyle Walker, Kieran Trippier and Dele Alli.

The unique nature of That Feeling not only comes from the high quality haircuts but also from the way it looks after its customers. They can play on arcade games and get drinks whilst waiting for their appointment. The shop also sells That Feeling branded clothes and vintage glasses frames.

When asked about his business objectives Justin was very clear that non-financial objectives are crucial. Justin stated:

‘It is important to be passionate about what you do and always try to be the best you can. The financial rewards of running a business will come if you get the other things right.’

Justin now acts as a mentor to staff members at That Feeling by giving help and advice about their career. Most of the employees are aged between 19 and 22. Justin feels that if they are given the opportunity to develop their skills they will bring new ideas and creativity to the business.

Evaluate the importance of Justin Carr's entrepreneurial roles to the success of That Feeling. You should use the information provided as well as your knowledge of business.

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