A-level BUSINESS 7132/3 PAPER 3 BUSINESS 3 Mark scheme June 2020 Version: 1.0 Final Mark Scheme. 100% proven pass rate

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0 1 Analyse the benefits to stakeholders of the rise in the share price of Sunport PLC. [12 marks] Marks for this question: AO1 = 3, AO2 = 3, AO3 = 6 Level The student will typically demonstrate: M... arks 3 A good response overall that focuses on many of the demands of the question. Provides an answer to the question set that: • demonstrates a depth and range of knowledge and understanding of issues in the question • demonstrates analysis which is well developed, applied effectively to the context and considers a range of issues in the question. 9–12 2 A reasonable response overall that focuses on some of the demands of the question. Provides an answer to the question set that: • demonstrates a limited knowledge and understanding of a range of issues in the question or a good knowledge and understanding of relatively few issues in the question • demonstrates analysis which is developed, applied to the context and considers some of the issues in the question. 5–8 1 A limited response overall with little focus on the demands of the question. Provides an answer to the question set that: • demonstrates a limited range and depth of knowledge and understanding of issues in the question • demonstrates analysis with little development and mainly descriptive application to the context. 1–4 The demands of this question are: • understand benefits of an increase in a share price • link these benefits to Sunport PLC’s stakeholders • to analyse two benefits. Indicative content: • shareholders will see an increase in the value of their holding • senior managers can raise finance more easily by selling shares – may be needed to implement new strategy • as senior managers receive shares as part of their pay package, an increased share price will benefit them financially at a personal level • may mean less interference from shareholders – there was some concern over Martin’s prioritisation of CSR, but an increased share price can hold that pressure at bay – again, senior managers benefit • increased share price for a major PLC can generate positive publicity in the media – useful for managers • less likely to be taken over as the higher share price would increase market capitalisation meaning any bidder would need to pay more – probably good news for employees.MARK SCHEME – A-LEVEL BUSINESS – 7132/3 – JUNE 2020 7 0 2 Using Appendix B and Appendix C, analyse why Sunport PLC chose a multi-domestic strategy for its food divisions. [12 marks] Marks for this question: AO1 = 3, AO2 = 3, AO3 = 6 Level The student will typically demonstrate: Marks 3 A good response overall that focuses on many of the demands of the question. Provides an answer to the question set that: • demonstrates a depth and range of knowledge and understanding of issues in the question • demonstrates analysis which is well developed, applied effectively to the context and considers a range of issues in the question. 9–12 2 A reasonable response overall that focuses on some of the demands of the question. Provides an answer to the question set that: • demonstrates a limited knowledge and understanding of a range of issues in the question or a good knowledge and understanding of relatively few issues in the question • demonstrates analysis which is developed, applied to the context and considers some of the issues in the question. 5–8 1 A limited response overall with little focus on the demands of the question. Provides an answer to the question set that: • demonstrates a limited range and depth of knowledge and understanding of issues in the question • demonstrates analysis with little development and mainly descriptive application to the context. 1–4 The demands of this question are: • shows understanding of a multi-domestic strategy • uses information from Appendix B and the case study to show pressure for local responsiveness is high • uses evidence from Appendix C to show pressure for global integration is low. Indicative content: • multi-domestic suits a situation where there is high pressure for local responsiveness and low pressure for global integration • the data in Appendix B shows great variation in consumer tastes between different countries. The need to respond to local tastes should be clear from this – a standardised product would not be able to meet these differences • Appendix C suggests little benefit from operating on a global scale [Show More]

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