GCF is a public limited company. It offers a variety of computer services to businesses, including website design and app creation. The Human Resources Director applies ideas from Maslow’s Hierarchy of Needs to help ensure that GCF’s 250 employees stay well motivated. An extract of the methods used appears in Table 4.1. GCF intends to grow by acquiring one of its competitors. This will cost $50m. To pay for the takeover, GCF is thinking about issuing new shares.
(a)[2]
Identify two features that describe a public limited company.
(b)[2]
Identify the level of Maslow’s Hierarchy of Needs for each method below.
‘Employee of the month’ award:
Organises team building courses:
(c)[4]
Outline two advantages to GCF of having employees who are well motivated.
(d)[6]
Explain one advantage and one disadvantage for GCF of raising finance by issuing new shares.
(e)[6]
Do you think the number of employees is the most suitable way to measure the size of a tertiary sector business? 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: “Owners have limited liability” …