Location decisions

Identify and explain four factors Rosa and Eduardo should take into account when selecting larger premises.

May/June 2016

Cheung runs a small retail shop in the city centre that sells fashion clothing for children. Because the market is highly competitive, Cheung understands that market research matters. Cheung is concerned that an increase in shop rent will raise his costs. Cheung said: ‘I will have to pay this higher rent as it is a good location. I need to increase revenue or reduce costs.’ Cheung sources all his supplies from a wholesaler in a nearby town. He is considering purchasing straight from a clothing manufacturer in another country.

May/June 2017

During the previous year, economic growth in country Y rose from 2% to 5%. Rohit is planning to set up a car washing business in country Y. He will need to select an appropriate source of finance. Rohit has worked out some data. An extract is shown in Table 4.1. He knows that every business activity creates external costs. Rohit must choose a suitable location for his business.

May/June 2021

Explain two benefits and two drawbacks of creating a business as a private limited company.

May/June 2021

Explain four factors Andrew may have taken into account when choosing the location of AAR’s shop.

May/June 2021

Explain two advantages and two disadvantages of VP’s Restaurant Managers assigning tasks to their Assistant Managers.

May/June 2023

Explain one benefit and one drawback of PF marketing its products in a mass market.

May/June 2025

Identify and explain two ethical issues that AH needs to take into account.

Oct/Nov 2017

Identify and explain four traits that the partners ought to state in the person (job) specification when appointing the new employees.

Oct/Nov 2017

TYA is a limited company that produces 300 000 cars each year. It employs 600 workers. TYA has high fixed costs. The Managing Director wants to improve efficiency in the factory. He said: «Globalisation is altering the way businesses work. Many manufacturing businesses are thinking about whether to move their operations to other countries.»

Oct/Nov 2022

RSL produces paint with flow production. In the previous year, it made 10 million litres of paint. The factory employs 6 managers and 80 employees. The managers adopt different leadership styles. For internal communication, RSL relies on email and telephone calls. The Operations Manager wants to find out why some manufacturing businesses are shifting their operations to other countries.

Oct/Nov 2024

Miguel intends to set up a gym (sports club). It would provide a variety of fitness classes, including yoga. The business will be organised as a partnership with his sister. Miguel believes the business will stay small in scale. Secondary market research will be used to support decisions, including the choice of pricing method. Miguel is aware that selecting a suitable location matters for any new business.

Oct/Nov 2025