Business 0450 · IGCSE · Production of goods and services
Production of goods and services — practice question
HBN produces steel rods for the construction industry by using flow production. One method HBN relies on to motivate its 40 employees is job enrichment. Demand for steel rods has risen for HBN because of movements in the business cycle. Firms such as HBN are expected to have a policy on sustainable development. The Operations Director is looking at methods to raise steel rod output while still keeping quality high. The possible choices are shown in Table 1.
(a)[2]
What does the term ‘sustainable development’ mean?
(b)[2]
What is meant by ‘business cycle’?
(c)[4]
Identify and explain one advantage and one disadvantage to HBN of using job enrichment to motivate its employees.
(d)[6]
Identify and explain two ways in which HBN could keep quality high.
(e)[6]
Which option for increasing output do you think HBN ought to select? Justify your answer using the information in Table 1.
Worked solution & mark scheme
This 20-mark question has a full step-by-step worked solution and mark scheme. One marking point: “Activity or development that does not endanger the living standards of future generations” …