Question detail

SolarSprout serves tourists while improving quality control; the case evidence includes average order value of ?3,058, sales of 773 units, and a 11% change in costs or demand. Assess how the business should respond to Explain outsourcing and external growth through mergers and takeovers.

Try the question, check the answer, then read the explanation to understand the curriculum point.

At a glance

Question

Type

exam_style

Style

Topic

Expanding a business

Question

SolarSprout serves tourists while improving quality control; the case evidence includes average order value of ?3,058, sales of 773 units, and a 11% change in costs or demand. Assess how the business should respond to Explain outsourcing and external growth through mergers and takeovers.

Answer

Use the command word first. Apply outsourcing, takeovers, mergers to SolarSprout serves tourists while improving quality control, then explain how the decision changes labour productivity, costs, revenue, cash flow, or stakeholder outcomes. A balanced response considers both the benefit and the risk for owners, uses figures such as ?6,458 or 11%, and reaches a supported judgement based on the business objective.

Explanation

Structure the judgement carefully. This explanation is anchored to Methods of expansion and Expanding a business because it links the command word to scenario evidence, commercial reasoning, financial impact, and stakeholder consequences. It also separates cash flow and profit, which helps the final judgement stay precise.

Common mistake

Methods of expansion common mistake 1

Giving a vague answer instead of directly addressing: Explain outsourcing and external growth through mergers and takeovers..

Answer by clearly explaining how to explain outsourcing and external growth through mergers and takeovers..

Related flashcards

Flashcard 1 of 5

Press Space to flip, arrows to move

Related practice questions

Question 1 of 5

Choose an answer, get feedback, then move sideways through the set.

0 of 5 attempted
exam Q1: growth through mergers and… | Expanding a business | AQA… | ExamCompanion