Globalisation (OCR GCSE Business): Exam Questions

Jaguar Land Rover

Jaguar Land Rover (JLR) is one of the largest manufacturers of cars in the UK. The business buys some of the parts it uses to make the cars from the UK; other parts are bought from overseas. JLR specialises in producing luxury cars. JLR’s main competitors are German car manufacturers - BMW and Mercedes.

In recent years, sales of JLR cars have been affected by:

• the slowdown of consumer spending in China and Russia

• the increase in consumer spending in Europe.

Jaguar Land Rover

Jaguar Land Rover (JLR) is one of the largest manufacturers of cars in the UK. The business buys some of the parts it uses to make the cars from the UK; other parts are bought from overseas. JLR specialises in producing luxury cars. JLR’s main competitors are German car manufacturers - BMW and Mercedes.

In recent years, sales of JLR cars have been affected by:

• the slowdown of consumer spending in China and Russia

• the increase in consumer spending in Europe.

AstraZeneca plc

AstraZeneca plc (AZ) is a multinational pharmaceutical company that operates in over 100 countries around the world. AZ develops treatments for a range of diseases. It sells its medicines and vaccines worldwide. Its headquarters are in Cambridge, England. In 2021 AZ’s sales revenue was £37 417m, from which it made £24 980m gross profit.

AZ has a code of ethics, which is at the centre of everything that it does. The company has approximately 75 000 employees worldwide; 10 000 of these work in its three research and development centres.

AZ uses technology throughout its operations to provide high quality products for its customers. These customers include doctors, hospitals and governments from around the globe.

In the UK, AZ has changed the way it sells its products. Previously, sales staff would visit medical professionals; now it uses a call centre and website where medical professionals can order products and samples. AZ says this means it can now provide a high quality service that meets the needs of its customers at a lower cost.

BP plc

BP plc is a UK energy company, which has its headquarters in London. BP produces oil, gas and petrol. It sells and distributes these products to customers all over the world. It also produces some environmentally friendly energy including biofuels, as well as wind- and solar-powered electrical energy.

The company’s finance function is critical in ensuring the business is managed efficiently. BP plc’s revenue increased from $245 billion in 2017 to $283 billion in 2019.

One of BP’s operations involves selling of petrol to the public. BP has 18 700 petrol stations around the globe, with 8500 in the UK. Another of BP’s operations involves extracting oil, using its oil rigs. These are located in the seas around the UK, Norway, Australia, Angola, the Gulf of Mexico (USA) and off the coast of many other countries. Once the oil is extracted it is then transported to refineries.

BP strives to be more sustainable. BP has the aim of cutting its carbon emissions by 2050 to help reduce the effects of climate change. It is installing electric charge points for Police Scotland’s electric vehicles and is developing wind farms in America in partnership with an American company.

Barclays plc

Increased globalisation has led to more firms becoming multinational companies. Barclays plc is a multinational banking company. Its headquarters are in London. One of the bank’s core values is integrity – it tries to act fairly, ethically and openly in all it does.

Barclays plc’s personal banking division provides banking services to the general public. These services include providing a place to save and borrow money, as well as a place where customers can obtain advice on financial matters. In 2020 Barclays plc had 24 million UK personal banking customers.

Banks are typically among the first industries to embrace technological advances. Barclays plc has been able to make use of e-commerce by selling loans, savings accounts and insurance through its websites. The bank has also invested in computer technology to provide online banking services to its customers. Online banking services allow customers to access their bank accounts on the Internet. Customers can carry out banking transactions, pay off credit cards or deposit savings 24 hours a day, worldwide. Online banking is one of the fastest growing areas of Internet activities, see Fig. 1, below.

Aston Martin plc

Aston Martin plc (AM plc) is a British manufacturer of luxury sports cars. It has more than 150 car dealerships in over 50 countries on six continents. Its globalised supply chain includes suppliers from the UK, EU and across the world. The company is also expanding its brand to include speed boats, submarines and property development.

Its headquarters and the main production site are centrally located in Warwickshire, England, on the site of a former RAF airbase. It employs over 3000 workers on this site, who are highly skilled engineers and who produce each car using the most up-to-date machinery. When the cars are finished, they are then transported from central England all over the UK and beyond. The demand for AM plc products is influenced by many factors, including UK unemployment rates and consumer income levels.

AM plc is proud of its commitment to the environment, which includes trying to produce goods sustainably. It also considers ethical issues in its decision making.