Tag: Business Studies

Lucy imports high quality pasta from Southern Italy for sale at his delicatessen in Stafford.

The exchange rate between the pound (£) and the euro (€) is important for Lucy.

She buys 100 kg of pasta every month. The price of pasta is €5 per kg.

In May, the exchange rate is £1.00 = €1.25. How much does Lucy have to pay to buy her pasta?

Select ONE answer:

1. £625
2. £500
3. £400
4. £250

Show the workings to arrive at your answer, and explain and justify your reasons:

Lucy was fed up with having her smartphone stolen; four times in the last year! She used her design background to develop ‘NoPhoneTheft’, a lightweight but strong case which secured the phone within it. The design made it very difficult for anyone to steal a smartphone.

Lucy hoped that her invention would be of interest to mobile phone manufacturers. There were few similar products like this on the market.

Which ONE of the following is the most important for Lucy in spotting a new business opportunity?

Select ONE answer:

1. Being able to produce his product cheaply.
2. Being a keen cyclist.
3. Having a large amount of personal savings.
4. Knowing who his possible competitors were.

Show the workings to arrive at your answer, and explain and justify your reasons:

Lucy was fed up with having her smartphone stolen; four times in the last year! She used her design background to develop ‘NoPhoneTheft’, a lightweight but strong case which secured the phone within it. The design made it very difficult for anyone to steal a smartphone.

Lucy hoped that her invention would be of interest to mobile phone manufacturers. There were few similar products like this on the market.

Which ONE of the following is the most important for Lucy in spotting a new business opportunity?

Select ONE answer:

1. Being able to produce his product cheaply.
2. Being a keen cyclist.
3. Recognising a need in the market-place.
4. Having a large amount of personal savings.

Show the workings to arrive at your answer, and explain and justify your reasons:

Lucy was fed up with having her smartphone stolen; four times in the last year! She used her design background to develop ‘NoPhoneTheft’, a lightweight but strong case which secured the phone within it. The design made it very difficult for anyone to steal a smartphone.

Lucy hoped that her invention would be of interest to mobile phone manufacturers. There were few similar products like this on the market.

Lucy needs to think creatively to produce ‘NoPhoneTheft’.

Why is thinking creatively important?

Select ONE answer:

1. avoids having to ask the ‘what if?’ question
2. increases the calculated risk
3. generates competitive advantage
4. avoids the need for lateral thinking

Show the workings to arrive at your answer, and explain and justify your reasons:

Lucy was fed up with having her smartphone stolen; four times in the last year! She used her design background to develop ‘NoPhoneTheft’, a lightweight but strong case which secured the phone within it. The design made it very difficult for anyone to steal a smartphone.

Lucy hoped that her invention would be of interest to mobile phone manufacturers. There were few similar products like this on the market.

Which ONE of the following best describes the term ‘invention’?

Select ONE answer:

1. Identifying new products and new ways of making products.
2. Identifying a gap in a market for a new product.
3. New business ideas which are profitable.
4. The process of transforming new ideas into products that can be sold.

Show the workings to arrive at your answer, and explain and justify your reasons: