Business 0450 · IGCSE · Enterprise, business growth and size

Enterprise, business growth and size — practice question

Filltum is the brand name of a chain of vegetarian restaurants. It runs 28 restaurants, and 16 of these are run by franchisees. The Managing Director is happy with how quickly it is growing, especially at a time when many businesses are failing. She stated that having a well-motivated workforce matters to their success. Every new employee is provided with on-the-job training. Filltum intends to open 10 more restaurants in the next year. The Managing Director now must choose whether to sell more franchises or open its own restaurants.
(a)[2]

What does the term ‘brand name’ mean?

(b)[2]

Identify two causes of business failure.

(c)[4]

Identify and explain two ways a well-motivated workforce can help Filltum succeed.

(d)[6]

Identify and explain two advantages to Filltum of using on-the-job training.

(e)[6]

Do you think increasing the number of franchises is the best way for Filltum to expand? Justify your answer.

Worked solution & mark scheme

This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: Distinctive name of a product or business that sets it apart

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