Business studies

Grade 10
Term 3 topics
• Week 1 - 2: Creative thinking and problem solving- page 102 -111
• Week 3: Business opportunity and related factors- page 72-77
• Week 4: Presentation of business information- page 86-92
• Week 5 – 6: Business plan- page 92- 100
1. Creative thinking and problem solving
1.1 Contribution of creative thinking to
sustainable and successful practice
• Thinking about something new or original.
• Creative thinking can help entrepreneurs to come up with better
ideas than their competitors.
• Existing products can be improved through creative thinking.
• Helps to develop innovative marketing strategies.
• Problems can be solved through creative thinking.
1.2 Creative thinking can be developed by the
following:
- Consider constantly what is happening around you and question people’s decisions.
- Listen to what other people say and you can develop it into useful product or business idea with a bit of
planning.
- Write down ideas you have.
- Continuously ask questions about something that you have taken for granted.
- People tend to do things the same way. Break away from this “habit” and try something else.
- Don’t be afraid to make mistakes.
- Surround yourself with creative people.
- Assume there is more than one method to tackle issues.
- Creativity is not just required from the owner
- Employees should be encouraged to come up with new ideas
- Encourage creativity as an approach to all situations.
- Stimulate and develop employees to be more creative.
- Welcome flexibility and innovative ideas from employees.
 1.3 Benefits of creative thinking in the
•workplace
Problems can be met thoroughly before final decision is made.(A variety of ideas can be discussed
before making a final decision.)
• Advantages and disadvantages of each proposed strategy can be highlighted.
• The problem is looked at by different people with different perspectives and so the best solutions can
be obtained.
• Better/unique/unusual ideas/solution can be obtained.
• Give businesses a competitive advantage because unique strategies are applied.
• Complex business challenges can be solved effectively.
• Productivity and profitability can increase.
• Managers and employees are more confident as creative thinking gives them the opportunity to reach
their full potential.
• Managers become better leaders as creative thinking enables them to handle challenges positively and
quickly.
• new approaches can be develop through creative thinking that can be applied to their respective
tasks.
• Lead to positive attitude in the business because managers and employees feel they have made a
contribution to problem solving.
1.4 Ways to create an environment that
creates creative thinking.
• Businesses should emphasize the importance of creative thinking by ensuring all staff
members ae aware that their ides will be heard.
• Encourage staff to come up with new ideas.
• Make time for creative thinking technique sessions.
• Propose containers at different places in the workplace where employees can submit
ideas/suggestions.
• Keep communication channels open for new ideas.
• Training sessions for staff to develop innovative techniques/ creative skills.
• Encourage employees to find alternative ways to do tasks.
• Respond positively and enthusiastically to all ideas so that no one who comes up with an
idea feels inferior.
• Reward creativity by using incentive schemes.
• Create a work environment that can promote creativity.
1.5 Creative thinking to identify business
opportunities and solve business problems.
• 1.5.1 Problem solving
- When does a problem arise? When things go differently than
planned.
- To solve a problem, you need to know exactly what the problem is.
- some problems can be predicted, such as annual industrial action by
trade unions for salary increases.
- Natural disasters cannot be predicted.
- Regular evaluation of the business’s performance will indicate if there
are any problems.
• 1.5.2 Research skills get information on the problem
- Managers must have necessary skills to determine the cause and
reason for a problem.
- Use creative thinking to determine the cause.
- The following can help to identify the problem before they become
threats:
 Get consumer feedback
 Quality control in manufacturing company
 Reports on inventory turnover and specific inventory items
 News reports on TV, radio and newspapers
 Business Analysis
 Monitor the actions of employees
1.5.3 Problem solving against decision making
• Management of a business must perform different tasks that includes
problem-solving and decision making.
• Employees also make decision during their normal tasks and solve
problems that may arise.
• These two tasks are closely related in a business setup.
• Problem-solving = the systematic analysis of the situation,
development of solutions, implementation of the chosen solutions
and evaluating the results of the implemented solution.
• Decision- making = taken during problem-solving steps.
 PROBLEM SOLVING DECISION MAKING
Requires alternatives to be evaluated after research Often done by one person/ senior management who
into the problem makes it authoritarian
More inclusive because there is usually a group of Decide which of the proposed ideas will work best
people involved.
Encourage creative thinking to find innovative Form part of the problem-solving cycle, because
solutions decisions need to be made in each of the steps.
Consists of the following steps: Three basic steps in decision making:
- Identify problem - Identification of the problem
- Define the problem - Consider possible solutions
- Formulate possible solutions - Make a decision
- Determine the resources needed to run the
suggested solutions
- Implement the solution
- Monitor the implementation process
- Evaluate the strategy
1.5.4 Problem solving VS Creative thinking
PROBLEM SOLVING
Handling of problems to fix it
Follow the basic steps to deal with the problem
Must be done quickly, especially if the problem
suddenly arises without warning
CREATIVE THINKING
Think differently about the problem and try new ideas
to fix it
In each of the basic steps of problem solving,
innovative ideas are applied
More time- consuming process because different
people suggest ideas that should be discussed.
1.5.5 Problem
solving cycle
1. Identify the problem
• To solve problem the person must first know what the problem is.
• To get to the cause behind the problem one can ask questions. For
example, Why did sales decrease/
• Talk to people that are experiencing in the problem
• Keep them informed of what is being done about the problem
2. Define/ Describe the problem
• From the questions asked the problem can be determined
• The specific cause is the real problem and not necessary the result of
the problem.
• For example, if there is a decrease in sales of a stock item the cause
can be an increase in price.
• Once a specific problem is given a “name” the problem will be easier
to solve.
3. Develop/ Formulate possible solutions/
strategies
• Consider different solutions to this problem using creative thinking
techniques
• Keeping restriction in mind as a solution must be realistic and
feasible. (Feasible= possible to do easily or conveniently)
• Also keep in mind which other problems can be created by the
chosen solution
4. Determine the resources needed to execute the
strategy
• Determine whether the solution can be resolved using existing
resources.
• If not search for the cheapest most cost effective resources available
5. Implement the chosen strategy
• Consider how and when the strategy will be implemented
• Communicate the implementation with the people experiencing the problem

6. Monitor the implementation process

• See if the chosen solution solved the problem
7. Evaluate the implementation of the strategy
• Evaluate the implementation process
• Evaluation will show what has been done right, but will also show
what needs to be improved
• Purpose of evaluation = not to find fault, but to see where things can
be improved
1.5.7 Creative thinking / Problem solving
techniques
1. Force- field analysis/ Impact study
• All forces for (benefits) and forces against (disadvantages)a specific strategy are taken into account.
• Particularly suitable where business policy changes need to be implemented.
• Suitable for factories and mining to determine what impact extension and new developments will have on
wildlife and the environment.
• Steps to follow:
- Divide your plan into three columns with the following headings

FORCES FOR (BENEFITS) PROBLEM FORCES

AGAINST(DISADVANTAGES)

TOTAL

• Write down all the powers for and against

• Allocate a point value between 1 and 5 for each. [1 =weak force and 5 a strong force]
• Calculate the total for each column
• Totals will give an indication one should or should not go ahead with the strategy.
2. Chair technique
• Two people sit across from each other
• One gives possible solutions to the problem, while other highlight the
opposite(disadvantages).
• Swap and do the same so that the one who highlighted the negative
can now give possible solutions.
• Record everything and analyze it to get the best solutions.
3. Empty chair technique
• Similar to the chair technique. Only now only one person is involved.
• Person speaks to an imaginary person on the empty chair.
• Psychologists claim people find it easier to list their grievances when
no one hears them.
• What is being said is recorded by the speaker for later succession.
4. Delphi technique
• The management team gathers the opinions of knowledgeable people on the specific
problem, without bringing these people together.
• These experts help to think and explain ideas, reach agreement and to make formal
decisions.
• Pre-prepared questionnaires are used to gather opinions and information for the
purpose of obtaining feedback from different people.
• This information is then processed to find the best solution.
• The idea behind this technique was that people talking about a problem in groups did
not have the same impact as when you answer it individually.
• Process of the Delphi technique:
- Each group completes the questionnaire separately
- Response of the person is analyzed in a central location.
- A copy of the processed results of all respondents is given to each group member
- Which after the group members once again completed a questionnaire after studying the
result of the previous questionnaire.
- This response is then re-analyzed.
5. Nominal group technique
• Give each participant a piece of paper to write down possible
solutions to the problem.
• This is an anonymous technique, meaning no one will write their
name.
• Take in all the papers and share them with the other participants.[No
one may get their own piece of paper]
• Each person reads aloud the possible solution in his/her possession.
• The facilitator writes down ALL suggestions for everyone to see.
• All the suggestions are discussed with regard to pros(advantages) and
cons(disadvantages) and the most appropriate solution is chosen.
• The choice can also be made by closed ballot papers where each
group member votes for the best solution.
6. Brainstorming
• Problem is presented to those who have to solve it.
• These persons/ groups mention possible solutions.
• Can be done individually or in groups
• Write down all thoughts on possible solutions and accept all ideas without
criticizing it, even if it does not seem feasible.
• Each idea will lead to another idea
• List as many ideas as possible
• Take every idea and discuss it critically by highlighting the pros and cons.
• Ideas can be combined or expanded
• Evaluate each idea and decide on the best possible solution
7. Forced combination
• Give a paper with an object, slogan, words or picture printed on it for
the persons to consider.
• Each person gets another word, slogan or picture
• There can therefore be a great variety, according to the problem to be
dealt with.
• Write down the problem to deal with so that everyone can see it.
• Everyone should then use the picture, object, word or slogan on the
paper as a symbolism or starting point to give possible solutions to
the problem.
• Write down all the possible solutions and choose the best possible
solution.
8. SCAMPER
• Especially as creative thinking technique in the development process of new and
improved products.
• SCAMPER is the acronym for the following:
• Substitute: Replace existing raw material with others that can guarantee greater
success than current ones.
• Combine: Combine different functions into one product
• Adapt: Adapt an existing product to increase sales
• Modify: edit for example, the shape of a car
• Put to another one: design a product that can be used for more than one purpose
• Eliminate: Take away certain aspects of existing product
• Reverse: design a product that is multi-purpose
1.5.8 Using diagrams, brainstorming and creative
thinking to identify entrepreneur opportunities
• BRAIN CHARTS
- It is sometimes easier to think creatively when drawing pictures of thought
processes.
- Write down the main idea and also write down aspects related to the main idea.
- Draw lines to connect the aspects with the main idea.
- As you continue, more ideas will come to mind. Write down on your mind map as
well.
• BRAINSTORMING
- Suitable for solving problems, but it is just as well suited to developing new ideas.
• CREATIVE IDEAS/ CREATIVE THINKING
- Can help to create new ideas through which innovative business opportunities can
be identified
- Start with a familiar idea and develop it into something completely different from
the original idea.
- Use different creative thinking techniques to create a new idea from the original.
1.5.9 Ways to implement realistic creative
business opportunities
• Start on a small scale
• Decide who your target market is for the new idea you have
for a business and first test its potential.
• If you want to manufacture a new product, first make a
prototype
• If it is to offer a new service, first visit some potential
customers and explain your idea to them. Start with a few
clients to make sure you deliver a good service.
Activities
• Activity 39 page 181 number 1 and 2
• Activity 40 page 181 number 4,5 and 6
• Activity 41 page 181 number 7 and 8
• Activity 42 page 182 number 9 (9.1 to 9.6 only)
• Activity 43 page 182 number 11
• Essay question Activity 44 page 185 Question 2
• Activity 45- DBE Activity 1 Term 3 2020