Essay examples Term 1

Essay Questions

QUESTION 1

In South Africa HIV/AIDS is currently a very serious disease for those that are infected by it as well as the effect it has on the economy.

                                                                           

Do an evaluation about the influence and challenges of possible socio-economic issues, evolving from HIV/AIDS, on business practices.  Also refer in your answer to the duty of businesses towards these issues and ethical practices.                                             [40]

QUESTION 2

1.

2.

Identify each one of the given business forms and discuss the factors you will consider to make a decision between the two business forms in detail.      (40)

QUESTION 3

CHIC & SALAD

HEALTHY FOOD, HEALTHY NATION

*Possibility of franchise

*City and countryside

*Available all over South Africa

*Fully equipped stores

*We help with financing

*Fully paid training

Requirements:  R1 000 000 as capital contribution, of which R500 000 much be in cash.

Identify and describe this type of business.  Motivate arguments for and against the establishment of this business by referring to advantages and disadvantages.  Include important points that you will include in the agreement, in your answer.                                                                            (40)

MEMO

QUESTION 1

Introduction (Need to write the word to obtain the mark for Layout)

                                                                                                                        (3 x 1)

Some SA organisations have recognised importance of responding to aids to ease financial burden.

Workplace is in relationship with and influenced by community and economy.

Business not only has to deal with impact on company itself, but should assist to prevent it from spilling over into community and economic entities.

Content

Implications on business of workers with aids:

-          Depletion of pension funds

-          Decreased productivity

-          Disruption due to absenteeism

-          Increase in medical care costs.

Financial implications must be controlled.

Other socio-economic issues:

-          unemployment

-          slow economic growth

-          poverty

-          low living standard

-          crime

Piracy, bootlegging, counterfeits:

 - definitions of piracy, bootlegging, counterfeits.

-          Businesses suffer economic crimes such as fraud, pirated goods.

-          Decrease in profits.

Ethics:

-          Set of principles that explains wat is good and right, bad and wrong.

-          Depends on individual’s morality, values, personality, experiences, business’s culture.

-          Sometimes sense of profit will overpower sense of what is right.

                                                                                                       Max 14 x 2

Conclusion (Need to write the word to obtain the mark for Layout)

One meaningful sentence to conclude                                                   (2 x 1)

L Layout = 2

A Analysis = 2

S  Synthesis = 2

O Originality (ideas or examples) = 2                                                        (8)

                                                                                                                 (40)

QUESTION 2

Introduction (Need to write the word to obtain the mark for Layout)

                                                                                                                        (3 x 1)

Content

1.  Partnership

2.  Private company

*Number of members:  2 – 20 *Legal status:  Not a separate legal entity.  Business cannot own assets, cannot make debt of sue other people. *Liability:  Unlimited.  Ownders are responsible for all losses. *Capital:  Own.  Savings or loans. *Management:  Partners of management itself. *Continuity:  No.  Must close down and form new partnership. *Profit sharing:  Share according to agreement among partners. *Taxation:  Partners  pay taxes, not partnership.

*Number of members:  1 – 50 *Legal entity:  Separate legal entity.  Company may own assets, make debt and sue. *Liability:  Limited.  Owners only liable for debts to extent of capital contribution.  Thereafter, losses are borne by creditors. *Capital:  Investors buy shares from company. *Management:  Directors.  Shareholders that are elected at annual meeting.  They receive fees for their work and dividends. *Continuity:  Yes.  Operations continue.  Shares are transferred too another person. *Profit sharing:  Shared in the form of dividends to shareholders. *Taxation:  Company pays tax.

                                                                                                            Max 14 x 2

L Layout = 2

A Analysis = 2

S  Synthesis = 2

O Originality (ideas or examples) = 2                                                        (8)

                                                                                                                    (40)

QUESTION 3

Introduction (Need to write the word to obtain the mark for Layout)

                                                                                                                        (3 x 1)

Content

Agreement:

Franchisor gives franchisee the right to market product in accordance with the agreement.

Franchisee purchases the right to carry on the trade or profession while franchisor receives regular payment in the form of royalties.
Agreement is for a specific period of time.

If agreed, there is an option to renew.

Main aspects:  product, price, advertising, trademark, shop layout.

Advantages:

Franchisee scores, because trademark is already known.

By working together, the franchisor and franchisee can achieve more because of the extra advantage of group advertising, group purchasing, exchanging of ideas.

Franchisee must get training.  Usually franchisor offers training.

Less risk, the product is already well-known.

Franchisor assists with financing.

Centralised/wholesale purchasing offers better prices.

Franchisor offers sponsored advertising for all outlets as well as products.

Less competition, the one supports the other.

Any other relevant advantages.

Disadvantages:

Extra expenses, royalties and management fees need to be paid.

Contractual obligations restrict creativity.

Any other relevant disadvantage.

                                                                                                            Max 14 x 2

L Layout = 2

A Analysis = 2

S  Synthesis = 2

O Originality (ideas or examples) = 2                                                        (8)

                                                                                                                    (40)