Exam code: 9BS0
Extract A
Annual growth in global air traffic passenger demand from 2005 to 2015
Air passenger numbers were forecast to grow from 3.5bn people in 2015 to 3.75bn people in 2016
(Source: adapted from http://www.statista.com/statistics/193533/ growth-of-global-air-traffic-passenger-demand/)
Using the data from Extract A, calculate the difference in percentage growth in air passenger numbers between 2015 and 2016. You are advised to show your working
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Extract A
Music streaming subscribers 2010–2020
Between 2010 and 2011, the number of music streaming subscribers grew by 62.34%. The data between 2018–2020 is forecast/projected.
(Source adapted from: © 2018 Midia Ltd)
Using the data from Extract A, calculate, to 2 decimal places, the difference between percentage growth in 2010 to 2011 and that in 2019 to 2020. You are advised to show your working
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Extract A
UK sweet market revenue – actual and projected
(Source: adapted from https://www.statista.com/outlook/40100200/156/sugarconfectionery/united-kingdom#market-revenue)
In 2018, the value of the UK market for sugar-free sweets was 3% of total sales revenue. In 2023, it is forecast to be 5% of total sales revenue
Using the data in Extract A, calculate the change in value of sugar-free sweets sales predicted between 2018 and 2023. State your answer to 2 decimal places. You are advised to show your working
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Read the following extracts (A to C) (opens in a new tab) before answering
Explain one way in which a business such as Bon Bon’s adds value to the products it sells
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Extract D
Total number of McDonald’s restaurants in Brazil
(Source: adapted from https://www.statista.com/statistics/812580/number-mcdonaldsrestaurants-type-brazil/)
Using the data in Extract D, calculate the percentage growth in the total McDonald’s restaurants operating in Brazil, between 2012 and 2018. State your answer to 2 decimal places. You are advised to show your working
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Read the following extracts (A to D) (opens in a new tab) before answering
The UK's £17bn live entertainment industry is forecast to grow by £400m in 2018. Revenue of £2.1bn achieved by live performances is expected to grow by 7% during the same period
Using the information above, calculate the proportion of live entertainment industry revenues expected to be generated from live performances in 2018
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Read the following extracts (D to G) (opens in a new tab) before answering
Explain one limitation of secondary market research data, such as that presented in Extract D
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Read the following extracts (A to C) (opens in a new tab) before answering
Explain one way in which product orientation is important to Rolex.
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Extract D
Worldwide sports footwear sales ($bn) of selected leading brands
Sales value of all other sports footwear brands not included in the chart = $16.7bn in 2018
Using the data in Extract D, calculate Nike’s market share of worldwide sports footwear in 2018. State your answer to 2 decimal places. You are advised to show your working.
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Read extracts D to F before answering the Question.
Extract D
Nimbus Sports Equipment plc
Nimbus Sports Equipment plc is a UK-based manufacturer of specialist running shoes. The business designs and produces performance footwear for endurance runners and sells its products in the UK and a range of international markets. Nimbus positions itself as a premium, performance-focused brand, competing on quality, innovation and technical design rather than low prices.
Nimbus currently sells the same core running shoe design in all markets but adapts colours and sizing to reflect local preferences. Senior managers are considering whether to move towards a more standardised global product strategy in order to reduce production and design costs.
However, there are concerns that a fully standardised product may fail to meet local customer preferences in some international markets. Nimbus’s managers must decide whether the potential cost savings from standardisation outweigh the risk of reduced customer satisfaction.
Extract E
Selling Nimbus products online
Nimbus sells its products through specialist sports retailers and via its own online sales platform. Online sales have grown rapidly in recent years, particularly in international markets where Nimbus does not have a strong retail presence.
The business believes that its online platform allows it to reach niche groups of endurance runners worldwide. However, selling footwear online can increase delivery and returns costs, particularly when customers order multiple sizes.
Extract F
Global competition in the running footwear market
The global market for running footwear is highly competitive. Large multinational brands compete aggressively on innovation, marketing and sponsorship of elite athletes. Consumers are often willing to switch brands if performance, comfort or value for money improves.
Nimbus’s senior managers believe that long-term success in global markets will depend on balancing cost efficiency with the ability to meet the needs of different customer groups.
Explain one benefit to Nimbus Sports Equipment plc of targeting a niche market of endurance runners.
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Extract A
Trust Pilot customer reviews of Timpson
Reviews: 3.8 (6,489 total responses)
(Source: adapted from https://uk.trustpilot.com/review/www.timpson.co.uk)
Using the data in Extract A, calculate the percentage of responses that rated Timpson Ltd 3 stars and above. State your answer to 2 decimal places. You are advised to show your working.
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Extract A
Trust Pilot customer reviews of Timpson
Reviews: 3.8 (6,489 total responses)
(Source: adapted from https://uk.trustpilot.com/review/www.timpson.co.uk)
Explain one possible benefit to Timpson Ltd of using quantitative market research data.
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Extract A
Global smartphone shipments (millions)
(Source: adapted from https://www.counterpointresearch.com/global-smartphone-share/)
Extract B
Samsung Galaxy S23 launch
At a Galaxy launch event, Dr Kye, the head of Samsung's mobile business said: 'We intend to focus on the premium segment in developed markets, as well as some of the countries where we are seeing solid growth,' and added the company had seen a 'noticeable shift' to luxury models in developing markets.
Samsung's renewed focus on high-end phones comes as it struggles to compete with lower priced Chinese rivals in the low-to-mid-range smartphone market. The new S23 models feature advanced camera improvements and longer battery life. Premium-focused Apple has enjoyed record revenues from its IOS software, partly due to the appearance of its apps.
Samsung aims to achieve higher average selling prices with the S23 and other premium phones that have foldable screens. The new S23 Ultra with 1 terabyte of storage is priced at more than $1 600 in the USA, higher than competitors.
Samsung hopes the launch of a specially designed foldable phone for Chinese consumers will help it regain market share. It has experienced early success in the niche market for foldable phones, where Samsung has a technology advantage. Competition in the relatively new segment is expected to intensify when Chinese rivals, such as Huawei, enter the market. In this dynamic market, the next development is predicted to be phones with two folds for a wider screen.
(Source: adapted from The Financial Times Limited 2023. All rights reserved.)
Extract C
Leadership at Apple and Huawei
Tim Cook has held many positions at Apple and became CEO in 2011. His leadership style lets the talents of everyone at Apple contribute to the company's success. He keeps an open mind, considers his options, and convinces other people to follow his lead. As a result of Cook's leadership style, members of his team often report feeling more involved in decision-making, encouraged to express their thoughts without fear, and rewarded for providing creative insights.
Huawei's Chief Executive Ren Zhengfei's military experience shaped its culture, emphasising well-defined goals, employee devotion, and obedience. Employees are offered competitive pay and there is a high uptake of share options by staff. Ren adopts a long-term perspective that can support motivated, productive, and loyal employees.
(Source: adapted from https://financhill.com/blog/investing/tim-cook-leadership-style and https://www.ft.com/content/1e37ea95-d402-4dc4-91fb-08d5d70ae8ac)
Explain one way Samsung could use market mapping.
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Read the following extracts (A to D) (opens in a new tab) before answering
Assess the likely reasons for Hot Chip using mainly quantitative market research data.
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Read the following extracts (A to C) (opens in a new tab) before answering.
Assess the consequences to a business, such as Spotify, of operating in a dynamic market.
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Read the following extracts (A to D) (opens in a new tab) before answering.
Assess two ways restaurant chain companies such as Jamie's Italian 'positively disrupt' the competitive market in which they operate.
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Read the following extracts (A to C) (opens in a new tab) before answering
Assess a likely trade-off for Bon Bon’s of not having ‘mass market ambition.’
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Read the following extracts (A to D) (opens in a new tab) before answering
Assess the possible limitations of secondary market research to restaurant chain companies, such as Jamie Oliver’s
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Read the following extracts (A to D) (opens in a new tab) before answering
Assess the likely importance of its market positioning to the success of a business, such as Emirates.
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Read the following extracts (E to H) (opens in a new tab) before answering
Assess the likely value to Derby Theatre of producing and staging shows that recognise the cultural diversity of Derby’s population
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Read the following extracts (A to C) (opens in a new tab) before answering
Assess the likely value of secondary market research data to Deliveroo’s marketing.
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Read the following extracts (E to H) (opens in a new tab) before answering.
Cost competitiveness and product differentiation are two key strategies to achieve global competitive advantage.
Evaluate these two strategies and recommend which one would be better to achieve a global competitive advantage for a business, such as Cadbury.
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Read the following extracts (E to H) (opens in a new tab) before answering.
Derby University has set the objective for Derby Theatre to increase its box office income by 40% by 2022. Its management team has decided that it could either produce and stage more shows that recognise the cultural diversity of Derby’s population or launch a Derby Theatre live tour across the Midlands.
Evaluate these two options and recommend which one would be better to increase Derby Theatre's box office income.
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