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Business and management
N10/3/BUSMT/SP1/ENG/TZ0/XX

88105013

BUSINESS AND MANAGEMENT
STANDARD LEVEL
PAPER 1
Thursday 18 November 2010 (afternoon)
1 hour 15 minutes
INSTRUCTIONS to candidates
 not open this examination paper until instructed to do so.
Do

Read the case study carefully.

Section A: answer two questions.

Section B: answer the compulsory question.

8810-5013

3 pages
© International Baccalaureate Organization 2010

–2–

N10/3/BUSMT/SP1/ENG/TZ0/XX

SECTION A
Answer two questions from this section.
1.

N-Pharma is now a successful business, but it initially struggled: “poor cash flow meant that the early years were financially challenging” (lines 6–7).
Outline two problems that Yukio Nakamura’s business start-up may have faced.

[4 marks]

(b) Construct a fully labelled Ansoff matrix to show N-Pharma’s possible growth strategies.

[4 marks]

(c)

Analyse the value of “social and environmental audits” (line 107) to
N-Pharma.

[7 marks]

2.

(a)

Define the following terms:

(a)

(i)

span of control (line 60)

[2 marks]

(ii) empowerment (line 64).

[2 marks]

(b) Comment on the effectiveness of Susan James’ leadership style in the
Canadian subsidiary of N-Pharma.

[4 marks]

(c)

Analyse the appropriateness of a cost-based pricing strategy (line 29) for
N-Pharma’s drugs.

[7 marks]

3.

(a)

Tadashi Agi has been appointed to the new post of “director of corporate social responsibility” (line 101). Outline two methods of recruitment that could have been used in this appointment.

[4 marks]

(b) Explain how Tadashi Agi could use new technologies within N-Pharma to communicate his ethical vision effectively with stakeholders (lines 105–106).

[4 marks]

(c)

8810-5013

Tadashi Agi is now writing a “Charter of Ethics”, setting ethical objectives for
N-Pharma (lines 102–103). Examine the reasons why organizations

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