Business 0450 · IGCSE
Internal and external communication
18 practice questions on Internal and external communication, with worked solutions and instant marking.
BGN markets furniture items like beds and tables. It began as a partnership, but it is now a private limited company. BGN has expanded rapidly and now has 10 shops in different cities. The manager of each shop is responsible for recruitment and for decisions about inventory levels. They submit a monthly report to the Board. The Managing Director uses a laissez-faire leadership style. Customer complaints have risen and employees feel that internal communications ought to be improved.
Feb/March 2017
HSN makes breakfast cereals through batch production. The goods are marketed through several distribution channels. HSN employs 600 production workers. HSN is facing difficulties because many employees are leaving. After the Operations Manager was dismissed, the Human Resources Director must appoint a new manager. She stated: ‘The person must have good communication skills to help solve the communication barriers HSN has with employees.’ The Human Resources Director must decide whether to use internal recruitment or external recruitment for the new manager.
Feb/March 2020
Chris is planning to launch a new business. Identify and explain two ways Governments may support new business start-ups.
May/June 2015
Identify two communication barriers that may occur in TT and explain how each one could be reduced.
May/June 2017
JKL makes clocks by using job production. It sources all its raw materials from local suppliers and sells 60% of its products overseas. The business has high fixed costs. JKL employs 30 skilled workers. Many work part-time, and delegation is encouraged. Every day, management sends all employees an email so they stay informed about production problems. The Human Resources Director said: ‘I believe it would be more cost-effective to keep our current workers than to hire new employees.’ The Director also wants to cut communication barriers, because he understands that effective communication is vital if JKL is to achieve its objectives.
May/June 2018
Explain four communication barriers that a business may face.
May/June 2023
Explain two problems RR may encounter as it expands.
May/June 2023
TKF manufactures furniture such as beds and tables by using job production. TKF has 3 part-time office employees, 8 production workers and 1 manager, who is meant to carry out quality control. Because the factory is busy, most communication happens by email. After several customer complaints, the manager thinks TKF has some communication barriers. He believes that effective internal communication can help TKF become more efficient. The manager is also concerned about TKF’s cash flow position.
Oct/Nov 2016
Identify and explain two reasons why communication between Bethany and her employees needs to be effective.
Oct/Nov 2016
Identify and explain two factors GT needs to take into account when developing products for markets in different countries.
Oct/Nov 2018
S&V imports high quality spices and herbs, then sells them to local restaurants and shops. S&V wants to raise added value. As a business partnership, its owners do not have limited liability. One partner, Serena, is concerned that deliveries from some countries do not arrive on time, or that the wrong goods are sent. She said: ‘S&V cannot afford communication barriers with its many suppliers. Also, our customers want up-to-date information about spices and herbs that are in season.’ Serena must decide if e-mail is the best method for communicating with S&V’s customers.
Oct/Nov 2019
Neil and Jin need to inform employees about the new service. Identify and explain one advantage and one disadvantage of using email for this communication.
Oct/Nov 2019
Gino runs a fast-food restaurant that serves fried chicken and potato fries. He has 5 full-time chefs and 12 part-time workers who prepare and serve the food. Communication matters, so Gino holds regular meetings with his part-time staff to keep them updated about any changes to the menu. It took 3 years for Gino’s business to reach break-even. He wants to achieve a Return on Capital Employed (ROCE) of 10%. Gino is always searching for ways to increase customer numbers. Inflation could be a difficulty for Gino’s business.
Oct/Nov 2020
DNG supplies electricity to 16 million customers. It is a limited company, so DNG’s shareholders enjoy limited liability. DNG plans to end the use of coal when generating its electricity. Pressure groups had an effect on this choice. The Managing Director understands that changing in this way will involve an opportunity cost. She is weighing up the most effective way to pass this important information on to DNG’s 6500 employees.
Oct/Nov 2022
Explain four factors Duncan needs to take into account when selecting the communication method to use with DD’s employees.
Oct/Nov 2022
Explain one advantage and one disadvantage to SSE of recruiting its new managers from within the business.
Oct/Nov 2023
Explain two factors LB’s managers should take into account when choosing which communication method to use to tell employees about the expansion plans.
Oct/Nov 2025
Explain four ways a business plan may assist Kathryn.
Oct/Nov 2025