ICAEW BTF UPDATED EXAMS SCRIPT QUESTIONS
AND ANSWERS SURE A+
✔✔Open systems culture - ✔✔- External environment provides opportunity but is ever-
changing and unpredictable
- highly flexible business, open to new ideas, adaptable in structure
- Growth, creativity and variety motivate staff
e.g. new business unit working with fast-changing technology
✔✔Human relations culture - ✔✔- inward-looking
- maintains wellbeing of staff
- sense of belonging motivates staff
✔✔Rational goal model of management - ✔✔Business with rational goal culture uses
the reason why a business does something to improve 3Es
1. systematic work methods
2. detailed division of labour
3. centralised planning and control
4. 'low involvement' employment relations such as contract works
✔✔Internal process model of management - ✔✔Business with internal process model
looks at how not why
Rationality (most efficient means to meet objectives)
, Hierarchical lines of authority (closely defined areas of authority)
Detailed rules and procedures (tight regulation & public scrutiny = more rules &
procedures)
Division of labour (tight limits on responsibility of staff)
Impersonality (appraisals based on objective criteria)
Centralisation
✔✔Consumer markets - ✔✔markets for products and services bought by individuals for
their own or family use
✔✔FMCG - ✔✔Fast moving consumer goods:
high volume, low unit value, fast repurchase
✔✔Consumer durables - ✔✔low volume, high unit value
✔✔Goods and services covered by industrial markets - ✔✔- Raw materials
- Processed materials and components
- Capital goods
- Supplies
- Services
✔✔4 Ps of marketing mix - ✔✔Applies to physical goods and services:
Product
Price
Promotion
Place
✔✔7 Ps of marketing mix - ✔✔Applies to services only:
Product
Price
Promotion
Place
People
Processes
Physical Evidence
✔✔Market segmentation - ✔✔division of market into homogeneous groups of potential
customers who may be treated similarly for marketing purposes
✔✔Influences on the business' pricing policy - ✔✔- Costs
- Competitors
- Customers
- Corporate objectives
✔✔Advantages of selling direct - ✔✔- No need to share profit margins
AND ANSWERS SURE A+
✔✔Open systems culture - ✔✔- External environment provides opportunity but is ever-
changing and unpredictable
- highly flexible business, open to new ideas, adaptable in structure
- Growth, creativity and variety motivate staff
e.g. new business unit working with fast-changing technology
✔✔Human relations culture - ✔✔- inward-looking
- maintains wellbeing of staff
- sense of belonging motivates staff
✔✔Rational goal model of management - ✔✔Business with rational goal culture uses
the reason why a business does something to improve 3Es
1. systematic work methods
2. detailed division of labour
3. centralised planning and control
4. 'low involvement' employment relations such as contract works
✔✔Internal process model of management - ✔✔Business with internal process model
looks at how not why
Rationality (most efficient means to meet objectives)
, Hierarchical lines of authority (closely defined areas of authority)
Detailed rules and procedures (tight regulation & public scrutiny = more rules &
procedures)
Division of labour (tight limits on responsibility of staff)
Impersonality (appraisals based on objective criteria)
Centralisation
✔✔Consumer markets - ✔✔markets for products and services bought by individuals for
their own or family use
✔✔FMCG - ✔✔Fast moving consumer goods:
high volume, low unit value, fast repurchase
✔✔Consumer durables - ✔✔low volume, high unit value
✔✔Goods and services covered by industrial markets - ✔✔- Raw materials
- Processed materials and components
- Capital goods
- Supplies
- Services
✔✔4 Ps of marketing mix - ✔✔Applies to physical goods and services:
Product
Price
Promotion
Place
✔✔7 Ps of marketing mix - ✔✔Applies to services only:
Product
Price
Promotion
Place
People
Processes
Physical Evidence
✔✔Market segmentation - ✔✔division of market into homogeneous groups of potential
customers who may be treated similarly for marketing purposes
✔✔Influences on the business' pricing policy - ✔✔- Costs
- Competitors
- Customers
- Corporate objectives
✔✔Advantages of selling direct - ✔✔- No need to share profit margins
