EDEXCEL GCSE BUSINESS MARK SCHEME PAPER 1B- INVESTIGATING SMALL BUSINESS JUNE 2023

EDEXCEL GCSE BUSINESS MARK SCHEME PAPER 1B- INVESTIGATING SMALL BUSINESS Mark scheme Section A Question Number Answer Mark 1 (a) B (1) AO1a Question Number Answer Mark 1 (b) A (1) AO1a Question Number Answer Mark 1 (c) Award 1 mark for identification of a reason, plus 2 further marks for explaining this reason, up to a total of 3 marks. To identify and understand customer needs (1), to ensure that features of its products/services meet customer requirements (1), which makes it likely that the business will make more sales (1). To identify gaps in the market (1), which would allow a business to focus on producing products/services which were different to its competitors (1), which would increase the chance of the business gaining sales (1). Accept any other appropriate response. Answers that list more than one reason with no explanation will be awarded a maximum of 1 mark. (3) AO1a = 1 AO1b = 2 Question Number Answer Mark 1 (d) Award 1 mark for identification of a disadvantage, plus 2 further marks for explaining this disadvantage, up to a total of 3 marks. Overdrafts can have high interest rates (1) which means payments of a business increase (1) which is likely to reduce profit (1). The bank can ask for the overdraft to be paid back in full whenever they wish (1). In this case, the business may not have the funds to pay back the bank (1) which means the business could become insolvent and subsequently fail (1). Accept any other appropriate response. Answers that list more than one disadvantage with no explanation will be awarded a maximum of 1 mark. (3) AO1a = 1 AO1b = 2 Question Number Answer Mark 2 (a) C, E (2) AO1a Question Number Answer Mark 2 (b) A, D (2) AO1a Question Number Answer Additional guidance Mark 2 (c) Substitution into correct formula: (£5.00 x 20,000) – (£25,000 + (£3.00 x 20,000)) (1) Answer: £15,000 (1) Award full marks for correct numerical answer without working. Do not accept any other answer (2) AO2 Question Number Answer Mark 2 (d) Award 1 mark for identification of one reason, plus 2 additional marks for explaining why a falling exchange rate might be good for a UK export business, up to a total of 3 marks. A weaker pound makes UK exports cheaper in other countries (1) meaning sales of UK exporting businesses are likely to increase (1) which will increase their sales revenue (1). A weaker pound means UK exporters can compete more effectively abroad (1). This is because the price of their exports will be lower (1) meaning sales of UK exporting businesses are likely to increase (1). Accept any other appropriate response. Answers that list more than one reason with no explanation will be awarded a maximum of 1 mark. (3) AO1a = 1 AO1b = 2