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BUSINESS ENVIRONMENTS 4.1 State any FOUR consumer rights as stipulated in the National Credit Act (NCA), 2005 (Act 34 of 2005) - NSC Business Studies - Question 4 - 2020 - Paper 1
Question 4
BUSINESS ENVIRONMENTS 4.1 State any FOUR consumer rights as stipulated in the National Credit Act (NCA), 2005 (Act 34 of 2005). 4.2 Identify the force of Porter’s ... show full transcript
Worked Solution & Example Answer:BUSINESS ENVIRONMENTS 4.1 State any FOUR consumer rights as stipulated in the National Credit Act (NCA), 2005 (Act 34 of 2005) - NSC Business Studies - Question 4 - 2020 - Paper 1
Step 1
State any FOUR consumer rights as stipulated in the National Credit Act (NCA), 2005 (Act 34 of 2005)
Answer
Consumers have the right to:
- Apply for credit and to be free from discrimination.
- Receive reasons for credit being refused.
- Obtain pre-agreement documentation before concluding any credit transaction.
- Access and challenge credit records and information.
Step 2
Identify the force of Porter’s Five Forces model that applies to Louisa’s Hair Salon in EACH statement below: 4.2.1 Lwazi opened a new hair salon across the street offering services at lower prices than Louisa’s Hair Salon.
Answer
The applicable force is 'Threat of New Entrants'. Lwazi's competitive pricing poses a challenge to Louisa's market share.
Step 3
Identify the force of Porter’s Five Forces model that applies to Louisa’s Hair Salon in EACH statement below: 4.2.2 Louisa's Hair Salon is highly profitable and attracts many new entrepreneurs to enter this market.
Answer
The applicable force is also 'Threat of New Entrants'. The high profitability in the market motivates new businesses to enter and compete.
Step 4
Explain TWO types of defensive strategies.
Answer
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Diversification: A strategy where a business expands its product range or services to reduce dependence on a single market. This can involve investing in new areas that may mitigate risk.
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Retrenchment: This involves reducing expenditures within the company by scaling back operations, closing unprofitable departments, or reducing staff to improve financial health.
Step 5
Step 6
Advise the management of MC on any OTHER TWO ways in which they can comply with the Act identified in QUESTION 4.4.1.
Answer
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Ensure that all employees are registered with the Compensation Commissioner.
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Maintain proper records of all workplace incidents and regularly update safety measures.
Step 7
Step 8
Outline the benefits of induction for businesses.
Answer
Effective Onboarding: Induction programs prepare the new employee for their role, ensuring they understand their responsibilities.
Improved Retention Rates: A well-conducted induction can enhance job satisfaction and lead to lower turnover rates.
Step 9
Explain the placement procedure as a human resource activity.
Answer
The placement procedure involves several steps: first, identifying the right candidate through interviews and assessments. Next, it includes providing an offer of employment and conducting background checks. Finally, the procedure culminates in assigning the new hire to their position and ensuring they have the necessary resources.
Step 10
Quote TWO roles of quality circles as part of the continuous improvement to processes and systems in the scenario above.
Answer
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Quality circles solve problems related to quality issues within the workplace, enhancing overall efficiency.
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They provide a platform for employees to contribute ideas for improvement, fostering a collaborative work environment.
Step 11
Explain other roles of quality circles as part of continuous improvement to processes and systems.
Answer
Quality circles facilitate:
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Ongoing training for staff to maintain high standards of quality.
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Regular feedback loops where employees can discuss and address quality concerns, leading to proactive problem-solving.
Step 12
Suggest ways in which Total Quality Management (TQM) can reduce the cost of quality.
Answer
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TQM emphasizes continuous improvement, which can lead to fewer defects and lower rework costs.
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It fosters team collaboration, allowing organizations to streamline processes and reduce waste, ultimately decreasing operating costs.