Professional Documents
Culture Documents
BUSINESS 9609/11
Paper 1 Short Answer and Essay May/June 2020
MARK SCHEME
Maximum Mark: 40
Published
Students did not sit exam papers in the June 2020 series due to the Covid-19 global pandemic.
This mark scheme is published to support teachers and students and should be read together with the
question paper. It shows the requirements of the exam. The answer column of the mark scheme shows the
proposed basis on which Examiners would award marks for this exam. Where appropriate, this column also
provides the most likely acceptable alternative responses expected from students. Examiners usually review
the mark scheme after they have seen student responses and update the mark scheme if appropriate. In the
June series, Examiners were unable to consider the acceptability of alternative responses, as there were no
student responses to consider.
Mark schemes should usually be read together with the Principal Examiner Report for Teachers. However,
because students did not sit exam papers, there is no Principal Examiner Report for Teachers for the June
2020 series.
Cambridge International will not enter into discussions about these mark schemes.
Cambridge International is publishing the mark schemes for the June 2020 series for most Cambridge
IGCSE™ and Cambridge International A & AS Level components, and some Cambridge O Level
components.
These general marking principles must be applied by all examiners when marking candidate answers.
They should be applied alongside the specific content of the mark scheme or generic level descriptors
for a question. Each question paper and mark scheme will also comply with these marking principles.
• the specific content of the mark scheme or the generic level descriptors for the question
• the specific skills defined in the mark scheme or in the generic level descriptors for the question
• the standard of response required by a candidate as exemplified by the standardisation scripts.
Marks awarded are always whole marks (not half marks, or other fractions).
• marks are awarded for correct/valid answers, as defined in the mark scheme. However, credit
is given for valid answers which go beyond the scope of the syllabus and mark scheme,
referring to your Team Leader as appropriate
• marks are awarded when candidates clearly demonstrate what they know and can do
• marks are not deducted for errors
• marks are not deducted for omissions
• answers should only be judged on the quality of spelling, punctuation and grammar when these
features are specifically assessed by the question as indicated by the mark scheme. The
meaning, however, should be unambiguous.
Rules must be applied consistently e.g. in situations where candidates have not followed
instructions or in the application of generic level descriptors.
Marks should be awarded using the full range of marks defined in the mark scheme for the question
(however; the use of the full mark range may be limited according to the quality of the candidate
responses seen).
Marks awarded are based solely on the requirements as defined in the mark scheme. Marks should
not be awarded with grade thresholds or grade descriptors in mind.
Marks are awarded for each answer when the following Assessment Objectives (AO) are met. The
mark scheme for each answer indicates when and how each AO can be met.
(a) Questions 1, 2, and 4 will meet this AO using definitions and explanations of business concepts.
(b) Question 3 provides an opportunity for the application and a more developed explanation of a
business concept. The 4–5-mark level specifically provides for this more developed explanation.
AO2 – Apply knowledge and understanding of business concepts to general and specific
situations and contexts.
(a) Where a specific business or context is named in the question then the candidate is required to
relate answers specifically to this business or context.
(b) It is not sufficient to merely repeat the name of the business or the context.
AO3 – Analyse business problems, issues, situations and contexts, through a discussion and
interpretation of evidence, debate, theory, impact and consequence, to produce reasoned and
coherent arguments.
(a) Level 3 answers will likely use terms such as – because, leads to, therefore, so that, as a result,
consequently – thereby showing analytical development for AO3.
2(b) Explain two reasons why many new businesses fail in their first year of 3
operation.
Sound explanation of two reasons why many new businesses fail in the first
year (3 marks)
Sound explanation of one reason or partial explanation of two reasons
(2 marks)
Limited explanation of one reasons or a list of two (1 marks)
0 No creditable content. 0
0 No creditable content 0
The question does not say whether the change is an increase or decrease.
Arguments related to either an increase or a decrease, or both, might occur.
Answers might include:
• The impact of the level of demand for restaurant meals might also
depend of the magnitude of the change.
• The impact will be felt differently by different restaurants. Restaurants
providing a very expensive dining experience might be unaffected by a
move in either direction. A small decrease or increase in income among
very wealthy people might not affect the demand for restaurant meals.
• Restaurants might be viewed as a luxury or non-essential purchase by
most people. During times of falling consumer income consumers might
not be prepared to spend to eat at expensive restaurants. Demand is
likely to fall.
• However, lower priced restaurants might see an increase in demand as
consumers look for cheaper options for eating out.
• The reaction can also depend on the extent to which different income
groups are affected. If high income earners are the most affected, then
expensive restaurants are likely to see a decline in demand. However, if
the middle to lower income groups are most affected then the lower
priced restaurants are likely to be the ones seeing the decrease in
demand.
• The impact can depend on whether or not incomes are increasing or
falling and by how much.
• The impact might also depend on whether or not other costs e.g.
housing are increasing at the same time as incomes are changing.
0 No creditable content. 0
0 No creditable content. 0
7(b) Discuss the view that profitability ratios are more important than 12
liquidity ratios to a business that sells expensive jewellery.
0 No creditable content. 0
7(b) • The business would need to look at trends over time and also make
comparisons with other businesses in the same type of market/industry.
• Liquidity ratios might be thought to be less important than profitability
ratios but if the business cannot meet short-term debts then the
business will be declared bankrupt and therefore any hope of future
profit is gone.