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The Business Environment

QCF
Tuesday 1 December 2015, Afternoon

1.

Time allowed: 3 hours.

2.

Read the instructions at the top of each section carefully.

3.

Follow the recommended timing guide for each question.

4.

No books, dictionaries, notes or any other written materials are allowed in this
examination.

5.

Calculators, including scientific calculators, are allowed provided they are not
programmable and cannot store or recall information. All other electronic devices,
including mobile phones, are not permitted.

6.

Candidates who break ABE Examination Regulations will be disqualified from the
examinations.

7.

Question papers must not be removed from the examination room.

Structure of paper: Answer all three sections
Q1
Q2
Q3
Q4

17 marks
17 marks
17 marks
17 marks

Section B: Answer one question

Either Q5 or Q6

16 marks

Section C: Answer one question

Either Q7 or Q8

16 marks

Section A: Answer all four questions

100 marks

137539

Total marks available for the paper

5TBE1215

© The Association of Business Executives 2015

F/601/2811

This paper consists of three sections.
Follow the instructions at the top of each section.
You should spend approximately 30 minutes on each question
Section A
You must answer all four questions in this section.

Q1

Explain four methods a firm may use to reduce resistance to change. Give examples to
support your answer.
(17 marks)

Q2

Compare and contrast the advantages and disadvantages of operating as a large company
compared with operating as a small company, making use of examples to support your
answer.
(17 marks)

Q3

(a) Explain, using examples, what is meant by merit goods and demerit goods.

(10 marks)

(b) Discuss, using examples, how governments could influence the rate at which the public
consumes merit and demerit goods.
(7 marks)
(Total 17 marks)
Q4

Explain the potential advantages and disadvantages of free trade, making use of examples
to support your answer.
(17 marks)

End of Section A

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Section B
You must answer one question in this section. Do not answer both Q5 and Q6.

EITHER:
Q5

Explain the advantages and disadvantages of monopolies, using relevant examples to
support your answer.
(16 marks)

OR:
Q6

Explain three examples of legislation intended to protect consumers against unfair practices.
(16 marks)

End of Section B

Section C
You must answer one question in this section. Do not answer both Q7 and Q8.

EITHER:
Q7

Discuss the potential costs and benefits for a global hotel chain of implementing
environmentally friendly policies.
(16 marks)

OR:
Q8

Superbuy is a chain of supermarkets in a country with an ageing population. Discuss the
implications of this demographic change for Superbuy.
(16 marks)

End of Section C
End of question paper

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