HIVE School System

House of Islamic & Value Education

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Class / Section

Date

BUSINESS STUDIES 7115 Grade IX Mid Term Assessment

First Term, 2023-2024 December

No additional materials required Time Allocation: 2 hours

READ THE INSTRUCTIONS FIRST:
1. Write your name and date at the top of the page.
2. Pen corrector/eraser is not allowed.
3. Answer all the questions.
4. Write in blue ink pen/lead pencil.

Examiner’s Use Only

Question 1 /4

2 /4

3 /9

4 /4
5 /3

6 /6

7 /16

8 /4
Total /50

Signature
Question 01
WaWay, a large manufacturing business, makes cell (mobile) phones. WaWay exports 30% of its
products. It imports most of its raw materials to help reduce total costs.All 400 of WaWay’s employees
understand the importance of quality control. WaWay’s directors are researching ways of further adding
value to their products. Outline two ways WaWay can add value to its products. [4]
Way1:
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Way2:
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Question 02
Information below shows the Percentage of economic activity by sector in country X, Y and Z
Primary Secondary Tertiary
Country X 37 19 43
Country Y 13 17 70
Country Z 75 15 20
Outline two reasons why country Z may have a higher proportion of economic activity in the primary
sector. [4]
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Reason2:
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Question 03
Eka owns and manages She Works, a new business start-up in country X. It provides office space for
female digital entrepreneurs for a monthly fee. She Works has increasing sales revenue and Eka is
considering opening another co-working space in a neighbouring town. Eka said “Without the
government’s support and training in the early stages of the business development, She Works would
not have survived”
i. Do you think the government should help start-up businesses? Justify your answer. [5]
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ii. Identify four external stakeholder groups. [4]

Stakeholder group 1: ____________________________________________________________
Stakeholder group 2: ____________________________________________________________
Stakeholder group 3: ____________________________________________________________
Stakeholder group 4: ____________________________________________________________
Question 04
Tammy is a sole trader. She provides window cleaning services to home owners. Her business does not
benefit from any economies of scale because it is small. Tammy has just bought a new van and must
make repayments to the bank every month. Tammy has to pay her employees every month. However,
she gives her customers 2 months to pay. Explain one advantage and one disadvantage to Tammy of
being a sole trader. [4]
Advantage:
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Disadvantage:
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Question 05
Do you think government should help private sector businesses? Justify your answer. [3]
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Question 06
Briefly explain the methods used to measure the size of a business. [6]
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Question 07
A new business but which one?
Derek's job is to repair motorcycles. He works for large motorcycles sales business that new and
second hand motorcycles. Derek's uncle died earlier this year and left him $10,000. He has always
wanted to work for himself and now he has some money to start his own business. He could do this
by opening his own business or buying a franchise.
Derek is going to choose between opening his own shop selling motorcycle clothes or buying a
franchise from a big motorcycle clothes retail business. To open his own motorcycle clothes shop will
take a lot of effort to find a suitable location with the shop fittings needed. Buying a franchise for a
clothes shop will be expensive. However the franchise company will help Derek with a lot of the start-
up problems such as the finding a suitable shop.
a. Explain four personal characteristics that Derek needs to be a successful entrepreneur. [8]
b. Identity two stakeholders in Derek's new business. Explain why each stake holder is interested in
his business. [8]
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Question 08
Who is an entrepreneur? What are possible advantages and disadvantages if you choose to become an
entrepreneur? [4]
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