Business 7115 · O Level · Recruitment, selection and training of employees
Recruitment, selection and training of employees — practice question
LBM operates as an online fashion clothing retailer. Its target market is 18-35 year olds. Revenue rose by 25% last year to $600m. The Marketing Director commented: ‘All businesses must meet customer needs. Customer service matters, so every employee is given induction training. LBM gives customers a broader product choice than its rivals. Promotion is carried out through social media networks. Is there any reason to open our own shops?’ LBM intends to introduce 3500 new styles each week and will need to organise finance for the extra inventory.
(a)[2]
What does the term ‘induction training’ mean?
(b)[2]
Identify two reasons why satisfying customer needs matters to LBM.
(c)[4]
Identify and explain two problems for LBM caused by offering customers a wide product range.
(d)[6]
Identify and explain one advantage and one disadvantage to LBM of opening its own shops.
(e)[6]
Explain two suitable sources of finance that LBM could use to buy additional inventory. Recommend which source of finance LBM ought to use. 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: “A starter programme for new employees that outlines the business activities, customs and procedures and introduces them to other workers” …