Practice Exam 7
VCE Business Management |
✎ Complete ALL questions on paper before opening the Model Answers lesson. No notes. Aim for 1 minute per mark.
SHORT ANSWER
Question 1 (4 marks)
Explain how changes in interest rates and inflation (economic factors) can affect a small business’s costs and decision-making.
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Question 2 (4 marks)
Explain the concept of e-commerce and how the growth of online business models has changed the way small businesses can compete.
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Question 3 (4 marks)
Explain what is meant by a multinational corporation (MNC). What are the benefits and risks of foreign direct investment (FDI) for a host country such as Australia?
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Question 4 (4 marks)
Explain the purpose of free trade agreements (FTAs). How might an FTA benefit an Australian exporter?
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Question 5 (4 marks)
Explain the concept of ethical sourcing and fair trade in global supply chains. Why do consumers increasingly demand ethically sourced products?
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Question 6 (4 marks)
Explain the concept of a social enterprise in the context of international development. How does it differ from a traditional profit-driven business in terms of purpose?
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Question 7 (4 marks)
Explain the importance of cultural awareness when an Australian business expands into an overseas market, giving an example of a cultural factor that could affect success.
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Question 8 (4 marks)
Explain what is meant by sustainability reporting. Why might a company voluntarily publish a sustainability report?
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EXTENDED RESPONSE
Extended Response 1: Global Expansion
Question 9 (6 marks)
Extended Response 1: Global Expansion (a)
An Australian skincare company is considering expanding into the Southeast Asian market. Evaluate the opportunities and challenges of this expansion, referring to PESTLE factors.
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Extended Response 1: Global Expansion
Question 10 (2 marks)
Extended Response 1: Global Expansion (b)
Explain the difference between exporting and establishing a joint venture as methods of entering an overseas market.
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Extended Response 2: Stakeholders & Sustainability
Question 11 (5 marks)
Extended Response 2: Stakeholders & Sustainability (a)
A mining company has been criticised by environmental groups (a stakeholder) for its impact on local ecosystems, while shareholders are demanding higher dividends. Explain how the company could respond to balance these competing stakeholder demands using the Triple Bottom Line.
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Extended Response 2: Stakeholders & Sustainability
Question 12 (3 marks)
Extended Response 2: Stakeholders & Sustainability (b)
Explain what is meant by “greenwashing” and why it poses a reputational risk to businesses.
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✓ Finished? Open the next lesson – Model Answers – to mark your work.
