Cambridge IGCSE · 0450

Business Studies

People in business — Topic 2

Name: ____________________Date: September 28, 2026
  1. 1.

    On an organisation chart, the number of people directly managed by one supervisor is called: A The chain of command B The span of control C Delegation D Job production

    [1 mark] · no calculator
  2. 2.

    Explain one advantage to a manager of delegating a task to a trusted employee.

    [2 marks] · no calculator
  3. 3.

    Explain one advantage and one disadvantage to a business of recruiting a new manager internally rather than externally.

    [2 marks] · no calculator
  4. 4.

    Paying a sales assistant a fixed amount for each product sold, in addition to a basic wage, is an example of: A Salary B Fringe benefits C Commission D Job rotation

    [1 mark] · no calculator
  5. 5.

    Explain one way, other than pay, that a business could motivate its employees.

    [2 marks] · no calculator
  6. 6.

    A manager who makes all decisions alone and expects staff to follow instructions without consultation is using which leadership style? A Democratic B Autocratic C Laissez-faire D Delegative

    [1 mark] · no calculator
  7. 7.

    Explain the difference between on-the-job training and off-the-job training.

    [2 marks] · no calculator
  8. 8.

    A factory has recently introduced strict, unpopular new rules with no employee input. Analyse two likely effects on employee motivation and productivity.

    [3 marks] · no calculator
  9. 9.

    Discuss whether paying employees a higher basic wage is likely to be more effective than offering non-financial benefits, such as more responsibility and recognition, at motivating a skilled workforce.

    [4 marks] · no calculator