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CAIE IGCSE Business Studies 4.1.2 The Main Methods of Production Questions

Compare job, batch and flow production using product variety, demand and costs, then explain their trade-offs and justify a method for the business.

Syllabus
2027–2029
Course
Business 0264

Exam points

  • Define job, batch and flow production by distinguishing individual products, groups and continuous large-scale output.
  • State batch-production features such as goods made in groups and machinery reset between batches.
  • Explain job-production benefits and limitations using customisation, skilled labour and production time.
  • Explain batch production benefits and limitations using the product or order context.
  • Explain flow-production benefits and limitations using unit costs, output and whole-line breakdown risk.
  • Identify and explain how demand, capital and product type affect the choice of production method.
  • Justify job, batch or flow production by comparing output volume and product variety.
  • Judge whether market size outweighs product type or capital when choosing a production method.

CAIE IGCSE Business Studies 4.1.2 The Main Methods of Production Questions question 1

[Maximum number: 6]

TJK manufactures candles. Contributing to sustainable development is important to TJK. The business uses batch production in its factory in country X. The target market for TJK's products is females between 20 and 50 years of age. The Managing Director is reviewing TJK's financial data. An extract is shown in Table 3.1. He is also considering the benefits to a business of becoming a multinational company.

Table 3.1

Table 3.1

Do you think batch production is the best method of production for a business to use? Justify your answer.

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