Teaching and Learning

Solution

Module: Business Management 1

(HBMN130-1)
Week number (Date): 8 (16 April 2020)
Unit covered: Unit 9

Instructions:

To enrich your learning experience at Boston even further, and to ensure that you are
exposed to a variety of resources in this module, announcements will be posted every
week containing additional materials or activities for you to work through.

It is important to note that these activities are neither compulsory nor weighted, but that
it will be to your advantage to participate. The purpose of the activities is to help you
better understand the content of your weekly unit/s of study, and it will assist in creating
insight and deeper meaning.

This Activity is based on Unit 9 of the prescribed courseware for this module.

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QUESTION [14 marks]

Solution:

Apply the stages of the decision-making process to aid George to manage the above-
mention scenario.
(7 x 2 = 14 marks)
1. Recognise, classify and define the problem or opportunity: George realised
that walk-in customers to his shop decreased, after investigating his
surroundings he realises that regular customers are visiting a new shopping
mall that opened close by.
2. Set goals and criteria: George decides to run a discounted offer on some of
his products to re-route walk-in customers and increase sales. 
3. Generate creative alternative courses of action: George makes use of an
online system to count walk-in customers after discounted offers were
implemented, he also advises his staff to be extra vigilant and helpful during
this period. 
4. Evaluate alternative courses of action: George analyses if sales increased
with the new plan and system in place, and he also evaluates if there is a
need to offer discounts to a larger amount of his products. 
5. Select the best option: George realises that walk-in customer numbers did
not increase tremendously but sales did go up due to discounted product
offerings and he decides to place discounts on a larger amount of his
products. 
6. Implement the chosen option: George places 80% of all his products on
discounted prices for the next month only. He will also offer top sale staff
member with a remuneration bonus at the end of the discounted month.
7. Conduct follow-up evaluation: George evaluates sales after discounted
month, and he evaluates what discounted products made a profit. 

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Learning outcome(s):

 Contextualise decision-making in terms of the management process

Source(s):

 Chapter 12 p 266-269

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