These are explanations and solutions for IB past papers, not the official version. For official papers, you can go to IB Follet or access them through your school.
These are explanations and solutions for IB past papers, not the official version. For official papers, you can go to IB Follet or access them through your school.
These are explanations and solutions for IB past papers, not the official version. For official papers, you can go to IB Follet or access them through your school.
These are explanations and solutions for IB past papers, not the official version. For official papers, you can go to IB Follet or access them through your school.
02 Hours 30 Minutes
100 Marks
Calculator NOT allowed
IB BUSINESS MANAGEMENT HL, Paper 2, November, 2006, TZ0, Solved Past Paper
Master the 2006 IB November for Paper 2 Business Management HL with examiner tailored solutions and comments for TZ0
Question 1 [Explained]
The passage provides an overview of the growth and impact of E-commerce on the global retail market. It highlights the significant rise in online retail sales, attributing this growth to the widespread availability of fast internet and broadband connections. The text discusses how the internet has lowered the cost of starting a business, enabling individuals with entrepreneurial spirit to reach a global customer base with minimal legal restrictions. It also emphasizes the commercial advantages of the internet, such as reduced operational costs and the resulting lower prices. Furthermore, the passage notes the changing consumer behavior due to the internet, with consumers becoming more informed and confident in their purchasing decisions. The intense competition in the online marketplace is also mentioned, along with the challenges E-commerce firms face in building brand awareness and trust. Overall, the passage underscores the transformative effect of the internet on consumer behavior and the retail industry.
Question 1 [a] [Explanation]
This question requires you to identify examples of the four PEST factors—Political, Economic, Social, and Technological—from the information provided about E-commerce. PEST analysis is a strategic tool used to understand the external environment affecting a business. You need to pinpoint one example for each factor based on the context of E-commerce as described in the passage.
Question 1 [b] [Explanation]
This question asks you to explain two potential advantages and one potential disadvantage of using the internet for consumers. You should consider how the internet impacts consumer behavior and decision-making, drawing on the information provided in the passage. Your explanation should be detailed and relate to the context of E-commerce as described.
Question 1 [c] [Explanation]
This question requires you to discuss the potential of E-commerce for businesses, using an example of your choice. You should consider both the opportunities and challenges that E-commerce presents, drawing on the information provided in the passage. Your discussion should be balanced and make use of relevant business concepts and terminology.
Question 2 [Explained]
The BMW Group is a well-known multinational German car manufacturing company. The company has outlined several policy statements in its "Sustainable Value Report" that highlight its commitment to commercial success through social responsibility. These policies emphasize the importance of efficient resource management, stakeholder communication, and the company's attractiveness as an employer. The BMW Group believes that by being socially responsible, it can achieve commercial success, benefiting employees, shareholders, business partners, and society as a whole.
The company aims to reduce the environmental impact of its automobiles and enhance its appeal as an employer. The policies reflect BMW's strategic objectives, which are long-term goals influenced by the external business environment, and tactical objectives, which are short-term and focus on specific markets and products.
Question 2 [a] [Explanation]
This question asks you to explain two potential benefits that BMW could gain by operating as a multinational company (MNC). Multinational companies are organizations that own or control production or service facilities outside the country in which they are based. Consider how BMW's global presence might enhance its operations, efficiency, and competitiveness.
Question 2 [b] [i] [Explanation]
This question requires you to distinguish between strategic objectives and tactical objectives. Strategic objectives are long-term goals that guide the overall direction of a business, influenced by the external environment. In contrast, tactical objectives are short-term goals focusing on specific areas or products within the business. Understanding the difference between these objectives is crucial for effective business planning and decision-making.