0450 Business Studies June 2025 Question Paper 22

1 (a) Explain one way each of the following problems might affect TSE when entering a new market in another country. Cultural differences: Explanation: Lack of knowledge: Explanation: [8] , ,

(b) Consider the following two benefits for TSE of having a well-motivated workforce. Which benefit is likely to be the most important to TSE? Justify your answer. • Reduced absenteeism • Lower labour turnover Reduced absenteeism: Lower labour turnover: Conclusion: [12] , ,

2 (a) Explain one objective each of the following TSE stakeholder groups might have. Shareholders: Suppliers: Employees: Customers: [8] , ,

(b) Consider the following two ways TSE could use to increase efficiency. Which way should TSE use? Justify your answer. • Improving labour skills • Increasing automation and technology Improving labour skills: Increasing automation and technology: Recommendation: [12] , ,

3 (a) Explain four ways market research information can help a business. Way 1: Way 2: Way 3: Way 4: [8] , ,

(b) Consider the following two ways TSE could purchase the raw materials for its factories. Which way should TSE use? Justify your answer. • Head office in country P continues to purchase the raw materials for all TSE factories • TSE’s factory managers in each country purchase raw materials locally Head office in country P continues to purchase the raw materials for all TSE factories: TSE’s factory managers in each country purchase raw materials locally: Recommendation: [12] , ,

4 (a) Explain two possible effects on TSE of the business cycle in country P moving into the recession stage. Effect 1: Explanation: Effect 2: Explanation: [8] , ,

(b) Using Appendix 3 and other information, consider the extracts from the income statements for the two companies in country P. Which company should TSE take over? Justify your answer using suitable calculations. Company A: Company B: Recommendation: [12] , ,