Business 7115 · O Level · Business objectives and stakeholder objectives
Business objectives and stakeholder objectives — practice question
FSW is a multinational company operating in 6 countries. It makes steel for the construction industry. Quality assurance is used so that production remains of high quality. FSW has several stakeholder groups that are interested in what it does. The Managing Director knows that FSW’s business generates external costs. She also knows that pressure groups attempt to affect business decisions.
(a)[2]
Define the term ‘external costs’.
(b)[2]
Identify one objective that each of the following stakeholder groups may have:
Employees;
Customers.
(c)[4]
Identify four ways in which a pressure group could try to influence business decisions.
(d)[6]
Explain one possible benefit and one possible drawback to a country of having FSW (a multinational company) operating there.
(e)[6]
Do you think quality assurance is the best method a business can use to achieve quality production? 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: “Costs that society/third parties have to pay because of business activity” …