Cambridge IGCSE Enterprise 0454 — 2013 May/June Paper 1 · Variant 0

This document consists of 13 printed pages, 3 blank pages and 1 Insert. DC (LEG) 62329/3 © UCLES 2013 [Turn over UNIVERSITY OF CAMBRIDGE INTERNATIONAL EXAMINATIONS International General Certificate of Secondary Education * 8 6 7 6 9 3 4 9 4 5 * ENTERPRISE 0454/01 Paper 1 May/June 2013 1 hour 30 minutes Candidates answer on the Question Paper. No Additional Materials are required. READ THESE INSTRUCTIONS FIRST Write your Centre number, candidate number and name on all the work you hand in. Write in dark blue or black pen. Do not use staples, paper clips, highlighters, glue or correction fluid. DO NOT WRITE IN ANY BARCODES. Answer all questions. Each candidate should have received a copy of the case study prior to the examination. A clean copy of the case study has been provided with this Question Paper. The businesses described in this Question Paper are entirely fictitious. Your answers must be based on the case study and your own enterprise experience and knowledge. Candidates who do not follow this instruction will be penalised. At the end of the examination, fasten all your work securely together. The number of marks is given in brackets [ ] at the end of each question or part question. www.XtremePapers.com

2 0454/01/M/J/13 © UCLES 2013 For Examiner’s Use Section A Answer all the questions. 1 Keziah and Mohammed worked well together in their enterprise team on the coursework task. (a) Describe one way in which working as a team could have helped Keziah and Mohammed when setting up their enterprise. … … … …[2] (b) Explain one way in which the skill of problem solving helped with the running of your enterprise project. … … … … … … … …[4] [Total: 6]

3 0454/01/M/J/13 © UCLES 2013 [Turn over For Examiner’s Use 2 Keziah and Mohammed decided to organise their enterprise as a limited company rather than as a partnership. (a) Describe two features of a partnership. 1 … … … … 2 … … … …[4] (b) Explain why a limited company is a better form of business organisation for Keziah and Mohammed’s enterprise than a partnership. … … … … … … … … … … … …[6] [Total: 10]

4 0454/01/M/J/13 © UCLES 2013 For Examiner’s Use 3 Keziah and Mohammed realised that there were risks associated with starting an enterprise. (a) Describe what is meant by PESTEL analysis. … … … … … … … …[4] (b) Explain how the risk of failure was reduced in your enterprise project. … … … … … … … … … … … …[6] [Total: 10]

5 0454/01/M/J/13 © UCLES 2013 [Turn over For Examiner’s Use 4 Keziah and Mohammed wanted to make sure that they paid close attention to the finances of their enterprise. (a) What is meant by revenue ? … …[1] (b) Define the following terms, giving an example of each: • direct costs … … … … • indirect costs. … … … … [2×2] (c) Describe two ways that Keziah and Mohammed could use a budget in their enterprise. 1 … … … … 2 … … … …[4]

6 0454/01/M/J/13 © UCLES 2013 For Examiner’s Use (d) Discuss the importance of budgeting in your enterprise project. … … … … … … … … … … … …[6] [Total: 15]

7 0454/01/M/J/13 © UCLES 2013 [Turn over For Examiner’s Use 5 All enterprises need to carry out marketing. (a) What is meant by marketing ? … …[1] (b) Describe one potential benefit to a customer of marketing. … … … …[2] (c) Explain one advantage of marketing and one disadvantage of marketing to your enterprise project. Advantage … … … … … … Disadvantage … … … … … …[6] [Total: 9]

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9 0454/01/M/J/13 © UCLES 2013 [Turn over For Examiner’s Use Section B Answer all the questions. Use the case study, your own enterprise experience and your knowledge of enterprise to answer Question 6(a). 6 (a) Enterprises set business objectives. Discuss how business objectives, such as growth, might affect how Keziah and Mohammed manage the running of K and M Limited. [10] … … … … … … … … … … … … … … … … … … … … … … … …

10 0454/01/M/J/13 © UCLES 2013 For Examiner’s Use Use the case study, your own enterprise experience and your knowledge of enterprise to answer Question 6(b). (b) Keziah and Mohammed identified three questions which they thought were important to answer in order to ensure the short-term and long-term success of K and M Limited. Discuss the importance of answering these questions to the long-term success of K and M Limited. [15] … … … … … … … … … … … … … … … … … … … … … … … … …

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13 0454/01/M/J/13 © UCLES 2013 [Turn over For Examiner’s Use Use the case study, your own enterprise experience and your knowledge of enterprise to answer Question 7(a). 7 (a) Keziah and Mohammed spoke to a business adviser to obtain help and support for K and M Limited. Discuss the usefulness to your enterprise project of the sources of help and support used. [10] … … … … … … … … … … … … … … … … … … … … … … … … …

14 0454/01/M/J/13 © UCLES 2013 For Examiner’s Use Use the case study, your own enterprise experience and your knowledge of enterprise to answer Question 7(b). (b) Keziah and Mohammed understood the importance of formal and informal communication to the success of their enterprise. Discuss the advantages and disadvantages of the different types of communication used when running your enterprise project. [15] … … … … … … … … … … … … … … … … … … … … … … … … …

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16 0454/01/M/J/13 © UCLES 2013 Permission to reproduce items where third-party owned material protected by copyright is included has been sought and cleared where possible. Every reasonable effort has been made by the publisher (UCLES) to trace copyright holders, but if any items requiring clearance have unwittingly been included, the publisher will be pleased to make amends at the earliest possible opportunity. University of Cambridge International Examinations is part of the Cambridge Assessment Group. Cambridge Assessment is the brand name of University of Cambridge Local Examinations Syndicate (UCLES), which is itself a department of the University of Cambridge. BLANK PAGE