Business 2023 · Oct/Nov · Paper 22

Calculate total costs for 2020 and 2022 from Table 1.1, then subtract 2020 total costs from 2022 total costs. The change in GT's total costs is the difference between these two figures.

One way to measure the size of GT is by its number of employees. A business with more employees is usually larger because it needs more labour to operate.

One source of secondary market research could be government statistics. These may provide data on population, income levels, age groups and spending patterns, helping GT identify target markets and adapt products or marketing strategies accordingly.

Another source could be industry reports or trade publications. These can give information about competitors, market trends and consumer demand, allowing GT to compare performance and make better marketing decisions.

Developing intrapreneurship can be very important to GT's ongoing success because it encourages employees to act like entrepreneurs within the business. This can lead to new ideas, improved products, better processes and greater innovation, which may help GT stay competitive and respond to changes in the market. Intrapreneurship may also improve motivation and retention because employees feel trusted and valued. If staff are encouraged to suggest improvements and take initiative, productivity may rise and the business may benefit from lower staff turnover and better problem solving. However, the importance depends on GT's situation. Intrapreneurship may require training, time and financial support, and not all ideas will be successful. If GT has more urgent problems such as cash flow, quality control or weak demand, these may be more important than intrapreneurship in the short term. Overall, intrapreneurship is likely to be important for long-term success because it supports innovation and adaptability, but its impact depends on how well GT manages and supports it.

Demographic segmentation.

Mass customisation is the production of goods in large quantities while still allowing individual products to be adapted to meet the specific needs or preferences of customers.

Fixed costs = total contribution - profit. BB sold 4000 units at a contribution of $6 each, so total contribution = $24,000. If profit information is provided in the original question context, fixed costs can be calculated as $24,000 minus profit. The exact fixed cost cannot be determined from the provided text alone.

One limitation is that break-even analysis assumes costs and revenue per unit stay constant, which may not be true for BB if material costs, labour costs or selling prices change. This makes the results less reliable.

One possible impact is lower inventory holding costs. If BB uses JIT, it will keep less raw material and fewer finished goods in storage, reducing warehouse costs, insurance and the risk of inventory becoming damaged or obsolete.

Another possible impact is a greater risk of production disruption. Because BB would hold less inventory, any delay in receiving cotton fabric, fibre or other inputs could stop production and delay customer orders, which may damage customer satisfaction.

Increased equality in the stitching department is likely to have a positive impact on BB. If David is treated fairly, morale may improve and he may become more motivated and productive. Better equality could also reduce complaints, conflict and the risk of legal action, which would save time and money for the business. A fairer workplace may also improve BB's reputation as an employer. This could help attract and retain skilled workers, reducing recruitment and training costs. If tasks are allocated more fairly and facilities are improved, efficiency may rise because employees can focus more on their stitching work. However, the impact may not be immediate or large if the main problems are operational rather than motivational. For example, if BB has poor machinery, weak management or supply issues, then equality alone may not significantly improve output or profits. There may also be some short-term costs in providing better facilities or changing work practices. Overall, increased equality is most likely to have a positive long-term impact on BB because it should improve motivation, reduce conflict and support productivity, although the size of the benefit depends on how well the changes are implemented.