Principles of Business Syllabus

The syllabus for the CXC Principles of Business exam is divided into three (3) profile dimensions. Each profile dimension is comprised of several sections.

The three profiles dimensions are profile 1, 2 and 3. Profile dimension 1 Profile dimension 2 Profile dimension 3 Organizational Principles Production Marketing and Finance The Business Environment

The sections in each profile dimension are listed below: Profile dimension 1. Organizational Principles Section 1. The Nature of Business 2. Internal Organizational Environment 3. Establishing A Business 4. Legal Aspects of Business 2. Production, Marketing and Finance 5. Production 6. Marketing 7. Business Finance 8. The role of Government in an Economy 3. The Business Environment 9. Social Accounting and Global Trade 10. Regional and Global Business Environment

Principles of Business Syllabus SECTION 1: THE NATURE OF BUSINESS 1. Explaining terms and concepts related to business 2. Tracing the developments of instruments of exchange 3. Stating reasons why an individual may want to establish a business 4. Describing the various forms of business organisations and arrangements 5. Differentiating among the different economic systems 6. Identifying the stakeholders involved in business activities 7. Discussing the role of the stakeholders involved in business activities 8. Outlining the functions of a business 9. Describing the role of business within a community SECTION 2: INTERNAL ORGANISATIONAL ENVIRONMENT 1. Describing the functional areas of a business 2. Outlining the functions of management 3. Outlining the responsibilities of management 4. Constructing organisational charts 5. Interpreting organisational charts 6. Outlining the essential characteristics of a good leader 7. Differentiating among the various leadership styles 8. Identifying potential sources of conflict within an organisation 9. Outlining strategies used by employers and employees to gain an upper hand during periods of conflict 10. Identifying strategies for the resolution of conflict within an organisation 11. Establishing guidelines for the conduct of good management and staff relations in the workplace 12. Evaluating the role of teamwork in the success of an organisation 13. Outlining strategies for effective communication within an organisation 14. Explaining the concept of a Management Information System in business 15. Outlining the benefits and challenges of a Management Information System in business 16. Discussing the personal needs that are satisfied through employment

SECTION 3: ESTABLISHING A BUSINESS 1. Defining the term entrepreneur 2. Explaining the role of an entrepreneur 3. Identifying the characteristics of the typical entrepreneur 4. Outlining reasons why persons may want to establish their own business 5. Outlining the essential steps that should be taken in establishing a business 6. Describing the role of key functional areas in the operation of different types of businesses 7. Identifying the sources of information for conducting research into the establishment of businesses 8. Explaining the relationship between planning and the operation of a business

Principles of Business Syllabus 9. Identifying regulatory practices instituted by governments for the establishment of different types of businesses 10. Outlining the advantages and disadvantages of different types of business organisations 11. Identifying sources of capital for the setting up of a business 12. Explaining the significance of collateral in accessing capital to establish a business 13. Outlining the features of a business plan 14. Explaining the purpose of a feasibility study 15. Identifying ethical and legal issues in the establishment and operations of a business 16. Explaining the consequences of unethical and illegal practices in business

SECTION 4: LEGAL ASPECTS OF BUSINESS 1. Explaining the concept of a contract 2. Describing the characteristics of a simple contract 3. Differentiating between a simple contract and a specialty contract 4. Determining the validity of various contracts 5. Distinguishing between offer and invitation to treat or bargain 6. Explaining the conditions under which offer and acceptance are communicated 7. Outlining ways by which contracts may be terminated or discharged 8. Explaining why documentation is necessary in business transactions 9. Preparing business documents for various purposes 10. Interpreting information on transport documents 11. Identifying instruments of payment 12. Interpreting information on various instruments of payments 13. Explaining the use of documentary credit 14. Distinguishing between insurance and assurance 15. Evaluating the principles upon which insurance is based 16. Explaining the various types of insurance policies 17. Explaining how insurance facilities trade

SECTION 5: PRODUCTION 1. Identifying factors in the production of goods and services 2. Identifying industries developed from the natural resources of Caribbean territories 3. Differentiate between production and productivity 4. Explaining the importance of productivity 5. Outlining the effects of migration 6. Describing the role of the entrepreneur in the decision making process 7. Explaining the role of capital in production 8. Differentiating among the various production levels 9. Classifying the different types of production

Principles of Business Syllabus 10. Describing the characteristics of cottage industry 11. Outlining the opportunities for and benefits of developing linkage industries 12. Outlining the factors that determine the location of a business 13. Outlining the functions of a small business 14. Explaining the effects of growth on a business 15. Describing the economic and social implications of technological development

SECTION 6: MARKETING 1. Distinguishing between the terms market and marketing 2. Identifying marketing activities 3. Describing the Marketing Mix 4. Explaining the concept of market and market research 5. Outlining the reasons for conducting market research 6. Describing the factors that influence consumer behaviour 7. Identifying main types of market structures 8. Explaining how price is determined 9. Identifying forms of packaging an presentation of goods 10. Explaining the concept of copyright 11. Explaining the term 'Patent' 12. Describing methods of promoting sales 13. Identifying the techniques of selling 14. Explaining the various terms of sales 15. Listing the functions of consumer organisations 16. Identifying the links in the chain of distribution 17. Identifying methods of retailing 18. Listing the various forms of transport 19. Explaining the importance of transport in marketing 20. Distinguishing among methods used for transporting specific goods 21. Identifying the problems likely to be encountered in distribution 22. Outlining measures to mitigate problems in distribution

SECTION 7: BUSINESS FINANCE 1. Describing the role of commercial banks 2. Outlining the services offered by commercial banks 3. Listing the functions of the Central Bank 4. Describing the relationship between the Central Bank and the commercial banks 5. Outlining ways used by individuals to manage personal income

Principles of Business Syllabus 6. Identifying sources of short-term and long-term financing 7. Differentiating between saving and investing 8. Explaining the role of the stock market

SECTION 8: ROLE OF GOVERNMENT IN AN ECONOMY 1. Outlining the responsibilities of governance in an economy 2. Identifying ways by which business could protect the environment 3. Describing measures used by governments to protect consumers 4. Identify ways by which government regulates business activity 5. Stating the purposes of taxation 6. Distinguishing between direct and indirect taxes 7. Distinguishing between progressive, regressive and proportional taxation 8. Outlining forms of assistance offered by government to business 9. Evaluating the impact on the country with respect to social services provided by government

SECTION 9: SOCIAL ACCOUNTING AND GLOBE TRADE 1. Outlining the factors that determine a country's standard of living 2. Distinguishing between a country's standard of living and its quality of life 3. Explaining the concept of national income and its variants 4. Explaining the approaches used to measure national income 5. Distinguishing between economic growth and development 6. Describing the role of education in economic growth and development 7. Outlining the reasons for international trade 8. Differentiating between balance of trade ad balance of payments 9. Outlining the measure which a country may adopt to address balance of payment problems

SECTION 10: REGIONAL AND GLOBAL BUSINESS ENVIRONMENT 1. Explaining the functions of major economic institutions and systems 2. Identifying major economic problems in the Caribbean 3. Outlining possible solutions to economic problems in the Caribbean