External influences on business activity

Worked examples (6)

• 1Define 'recession' (2 marks)
• 2Explain effects of a recession on a business (4 marks)
• 3Describe the stages of the business cycle (6 marks)
• 4Explain the effect of rising interest rates, applied (8 marks)
• 5Evaluation: is a rise in inflation always bad for business? (12 marks)
• 6Evaluation: are higher government taxes always bad for business? (12 marks)

Model answers (6)

• ✓Model answer — Paper 1, part (a) style
• ✓Model answer — Paper 1, part (b) style
• ✓Model answer — Paper 1 analysis style
• ✓Model answer — Paper 2, part (a) style — 8 marks (applied)
• ✓Model answer — Paper 2, part (b) style — 12 marks, 'Justify your answer'
• ✓Model answer — Paper 2, part (b) style — 12 marks, 'Justify your answer'

Worked examples (6)

• 1Define 'sustainable development' (2 marks)
• 2Explain how a business can harm the environment (4 marks)
• 3Ethical issues and how to address them (6 marks)
• 4Explain how a business responds to environmental pressure, applied (8 marks)
• 5Evaluation: is acting ethically always good for a business? (12 marks)
• 6Evaluation: should a business put the environment before profit? (12 marks)

Model answers (6)

• ✓Model answer — Paper 1, part (a) style
• ✓Model answer — Paper 1, part (b) style
• ✓Model answer — Paper 1 analysis style
• ✓Model answer — Paper 2, part (a) style — 8 marks (applied)
• ✓Model answer — Paper 2, part (b) style — 12 marks, 'Justify your answer'
• ✓Model answer — Paper 2, part (b) style — 12 marks, 'Justify your answer'

Worked examples (6)

• 1Define 'globalisation' (2 marks)
• 2Explain opportunities of globalisation (4 marks)
• 3Tariffs vs quotas (6 marks)
• 4Explain benefits to a country of an MNC, applied (8 marks)
• 5Evaluation: is a falling exchange rate good for an exporter? (12 marks)
• 6Evaluation: should a government always use tariffs to protect business? (12 marks)

Model answers (6)

• ✓Model answer — Paper 1, part (a) style
• ✓Model answer — Paper 1, part (b) style
• ✓Model answer — Paper 1 analysis style
• ✓Model answer — Paper 2, part (a) style — 8 marks (applied)
• ✓Model answer — Paper 2, part (b) style — 12 marks, 'Justify your answer'
• ✓Model answer — Paper 2, part (b) style — 12 marks, 'Justify your answer' (conceptual — no calculation)