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3.3.2 - Business growth

Syllabus
2017
Topic
3.3.2
Level
A2

a - Growth objectives

Analyse growth objectives including economies of scale, market power, market share, brand recognition and profitability.

Use a - growth objectives to connect the rule to the data and decision in the question.

This matters because a - growth objectives determines what can be inferred or chosen; begin with the stated conditions and keep the conclusion tied to the evidence.

Example: apply a - growth objectives to one small, clearly defined case, show the key step or comparison, and explain the result in words.

Boundary: a - Growth objectives is not a universal recommendation. Check the syllabus scope, assumptions, units and the limits of the evidence before generalising.

b - Organic and inorganic growth

Distinguish inorganic growth from organic growth.

Use b - organic and inorganic growth to connect the rule to the data and decision in the question.

This matters because b - organic and inorganic growth determines what can be inferred or chosen; begin with the stated conditions and keep the conclusion tied to the evidence.

Example: apply b - organic and inorganic growth to one small, clearly defined case, show the key step or comparison, and explain the result in words.

Boundary: b - Organic and inorganic growth is not a universal recommendation. Check the syllabus scope, assumptions, units and the limits of the evidence before generalising.

a - Organic growth methods

Explain methods of growing organically.

Use a - organic growth methods to connect the rule to the data and decision in the question.

This matters because a - organic growth methods determines what can be inferred or chosen; begin with the stated conditions and keep the conclusion tied to the evidence.

Example: apply a - organic growth methods to one small, clearly defined case, show the key step or comparison, and explain the result in words.

Boundary: a - Organic growth methods is not a universal recommendation. Check the syllabus scope, assumptions, units and the limits of the evidence before generalising.

b - Organic growth evaluation

Evaluate advantages and disadvantages of organic growth.

Use b - organic growth evaluation to connect the rule to the data and decision in the question.

This matters because b - organic growth evaluation determines what can be inferred or chosen; begin with the stated conditions and keep the conclusion tied to the evidence.

Example: apply b - organic growth evaluation to one small, clearly defined case, show the key step or comparison, and explain the result in words.

Boundary: b - Organic growth evaluation is not a universal recommendation. Check the syllabus scope, assumptions, units and the limits of the evidence before generalising.

a - Mergers and takeovers

Analyse reasons for mergers and takeovers, differences between them, integration types, conglomerates and financial risks or rewards.

Use a - mergers and takeovers to connect the rule to the data and decision in the question.

This matters because a - mergers and takeovers determines what can be inferred or chosen; begin with the stated conditions and keep the conclusion tied to the evidence.

Example: apply a - mergers and takeovers to one small, clearly defined case, show the key step or comparison, and explain the result in words.

Boundary: a - Mergers and takeovers is not a universal recommendation. Check the syllabus scope, assumptions, units and the limits of the evidence before generalising.

b - Inorganic growth evaluation

Evaluate advantages and disadvantages of inorganic growth.

Use b - inorganic growth evaluation to connect the rule to the data and decision in the question.

This matters because b - inorganic growth evaluation determines what can be inferred or chosen; begin with the stated conditions and keep the conclusion tied to the evidence.

Example: apply b - inorganic growth evaluation to one small, clearly defined case, show the key step or comparison, and explain the result in words.

Boundary: b - Inorganic growth evaluation is not a universal recommendation. Check the syllabus scope, assumptions, units and the limits of the evidence before generalising.

a - Diseconomies of scale

Explain diseconomies of scale as a growth problem.

Use a - diseconomies of scale to connect the rule to the data and decision in the question.

This matters because a - diseconomies of scale determines what can be inferred or chosen; begin with the stated conditions and keep the conclusion tied to the evidence.

Example: apply a - diseconomies of scale to one small, clearly defined case, show the key step or comparison, and explain the result in words.

Boundary: a - Diseconomies of scale is not a universal recommendation. Check the syllabus scope, assumptions, units and the limits of the evidence before generalising.

b - Internal communication problems

Analyse internal communication problems from growth.

Use b - internal communication problems to connect the rule to the data and decision in the question.

This matters because b - internal communication problems determines what can be inferred or chosen; begin with the stated conditions and keep the conclusion tied to the evidence.

Example: apply b - internal communication problems to one small, clearly defined case, show the key step or comparison, and explain the result in words.

Boundary: b - Internal communication problems is not a universal recommendation. Check the syllabus scope, assumptions, units and the limits of the evidence before generalising.

c - Overtrading

Explain overtrading as a growth problem.

Use c - overtrading to connect the rule to the data and decision in the question.

This matters because c - overtrading determines what can be inferred or chosen; begin with the stated conditions and keep the conclusion tied to the evidence.

Example: apply c - overtrading to one small, clearly defined case, show the key step or comparison, and explain the result in words.

Boundary: c - Overtrading is not a universal recommendation. Check the syllabus scope, assumptions, units and the limits of the evidence before generalising.

Objective notes

9 learning objectives
ConceptA-Level Edexcel Business A2