2024_AQA-GCSE Business Paper 2: Influences of Marketing and Finance on Business Activity (Merged Question Paper and Marking Scheme) | Wednesday 5 June 2024

2024_AQA-GCSE Business Paper 2: Influences of Marketing and Finance on Business Activity (Merged Question Paper and Marking Scheme) | Wednesday 5 June 2024 Please write clearly in block capitals. Centre number Surname Forename(s) Candidate signature GCSE I declare this is my own work. BUSINESS Candidate number Paper 2 Influences of marketing and finance on business activity Wednesday 5 June 2024 Afternoon Materials For this paper you must have: • a calculator. Instructions • Use black ink or black ball-point pen. • Fill in the boxes at the top of this page. • Answer all questions. Time allowed: 1 hour 45 minutes • You must answer the questions in the spaces provided. Do not write outside the box around each page or on blank pages. • If you need extra space for your answer(s), use the lined pages at the end of this book. Write the question number against your answer(s). • Do all rough work in this answer book. Cross through any work you do not want to be marked. Advice • The marks for each question are shown in brackets. • The maximum mark for this paper is 90. For Examiner’s Use Section Mark A B C TOTAL GCSE Business Paper 2: Influences of Marketing and Finance on Business Activity Summary The GCSE Business Paper 2: Influences of Marketing and Finance on Business Activity, scheduled for June 2025, will assess students' understanding of how marketing and finance impact business operations and decision-making. This paper focuses on how businesses use marketing strategies to meet customer needs and manage financial resources to ensure growth and profitability. The key areas covered include: 1. Marketing:  Market Research: The importance of gathering information about customers, competitors, and the market to make informed decisions. This includes primary (surveys, focus groups) and secondary (reports, online data) research methods.  Marketing Mix (4 Ps): The key components of the marketing strategy: Product, Price, Place, and Promotion. Understanding how businesses create, price, distribute, and promote products or services to meet customer demands.  Product Lifecycle: The stages a product goes through from development to decline (introduction, growth, maturity, decline) and how marketing strategies change at each stage.  Segmentation, Targeting, and Positioning: How businesses segment the market, identify target customers, and position their products or services to appeal to specific customer needs.  Branding and Loyalty: The role of branding in building customer recognition and loyalty, and how businesses maintain and enhance their brand value.  Digital Marketing: The use of online platforms (social media, websites, and digital ads) for promoting products, interacting with customers, and increasing sales. 2. Finance:  Sources of Finance: Different ways businesses raise funds, including internal sources (retained profits, selling assets) and external sources (bank loans, crowdfunding, share capital).  Financial Statements: Understanding the key financial documents, such as the Income Statement (Profit and Loss Account) and Balance Sheet, and how they help businesses assess performance and financial health.  Cash Flow: The importance of managing cash inflows and outflows to ensure a business has enough liquidity to operate effectively. Students will need to understand cash flow statements and how businesses manage short-term financial needs.  Break-even Analysis: How businesses calculate their break-even point, where total costs equal total revenue, and how this information helps with pricing decisions, profit projections, and financial planning.  Profitability: Key indicators of business success, including gross profit margin, net profit margin, and return on investment (ROI). Students will analyze how businesses can improve profitability through cost control, pricing strategies, and revenue growth.  Financial Ratios: How businesses use ratios (e.g., current ratio, quick ratio) to assess financial performance, liquidity, and solvency. 3. External Influences on Marketing and Finance:  Economic Environment: How economic factors, such as inflation, interest rates, and economic growth, impact marketing and financial decisions. This includes understanding consumer spending patterns and cost implications for businesses.  Legal and Regulatory Framework: The role of business regulations, such as advertising laws, competition laws, and taxation policies, and how businesses must comply with them.  Ethical Considerations: How businesses consider ethical issues in their marketing strategies and financial practices, such as fair pricing, sustainability, and corporate social responsibility (CSR) *JUN* 8132/2 IB/M/Jun24/G4004/E7 2 Section A Answer all questions in the spaces provided. Only one answer per question is allowed. For each multiple-choice question, completely fill in the circle alongside the appropriate answer. CORRECT METHOD WRONG METHODS If you want to change your answer you must cross out your original answer as shown. If you wish to return to an answer previously crossed out, ring the answer you now wish to select as shown. 0 1 . 1 Which one of the following is a source of internal finance for a business? [1 mark] A Bank loan B Mortgage C Overdraft D Retained profit 0 1 . 2 Which one of the following is true for a private limited company? [1 mark] A It has plc after its name. B It is fully owned by the government. C Shares can be sold to the general public. D Shareholders receive dividends. Do not write outside the box *02* IB/M/Jun24/8132/2 3 0 1 . 3 Which of the following terms is equal to revenue minus cost of sales? [1 mark] A Average unit cost B Gross profit C Net profit D Retained profit 0 1 . 4 Which one of the following is a method of primary market research? [1 mark] A Focus groups B Internet research C Magazines D Newspapers 0 1 . 5 Which of the following is an example of qualitative data gathered through market research? [1 mark] A Customer opinions of a product B How often customers buy a product C The amount customers spend on a product D The number of products sold Question 1 continues on the next page Turn over ► *03* IB/M/Jun24/8132/2 Do not write outside the box 4 0 1 . 6 A business decides to expand sales by using e-commerce. This is an example of: [1 mark] A external growth. B organic growth. C product development. D takeover. 0 1 . 7 Identify two pricing methods used by businesses. [2 marks] Method 1 Method 2 0 1 . 8 Identify one stakeholder of a business and one objective they may have. [2 marks] 0 1 . 9 Explain one reason why someone may want to start a business. [2 marks] Do not write outside the box *04* IB/M/Jun24/8132/2 5 0 1 . 10 Explain one benefit to shareholders of limited liability. [2 marks] 0 1 . 11 Table 1 Extract from an income statement £ millions Revenue 75 Cost of sales 33 Gross profit 42 Expenses 12 Net profit 30 Using Table 1, calculate the net profit margin. Show all workings. [2 marks] Workings Answer Question 1 continues on the next page Turn over ► *05* IB/M/Jun24/8132/2 Do not write outside the box 6 0 1 . 12 State and explain two reasons why it is impor