Factors of Production (Edexcel IGCSE Business): Exam Questions

TechForge is a medium-sized electronics manufacturer based in Shenzhen, China. It designs and assembles smartphones, tablets and smartwatches for export to markets in North America and Asia. The business operates from a purpose-built factory equipped with automated assembly lines, precision testing equipment and climate-controlled warehousing.

TechForge employs 800 workers, including engineers, quality inspectors and assembly line operatives. The company was founded ten years ago by Wei Chen, a former software engineer who recognised growing demand for affordable smart devices. He secured a bank loan and used his personal savings to purchase the factory and its machinery.

Greenfield Farms is a small agricultural business in rural Devon. The owner, Sarah, grows organic vegetables on 15 acres of land. She recently expanded her operations by purchasing an additional 10 acres of farmland to meet growing demand from local restaurants and farmers' markets.

TechWave Solutions is a small software development company based in Manchester. The owner, James, employs a team of 8 skilled programmers who design custom applications for local businesses. He recently hired 3 additional developers to cope with an increase in client orders.

Bloom is a large cut flower business based in the Rift Valley region of Kenya. It grows and exports roses, lilies and carnations to florists and supermarkets across Europe. The business operates on 200 hectares of fertile land near Lake Naivasha and employs 1,500 workers to plant, tend and harvest the flowers. Bloom uses modern greenhouse technology, irrigation systems and refrigerated storage facilities to maintain the quality of its flowers. The business was founded fifteen years ago by its owner, Grace Kamau, who spotted an opportunity in the European flower market and invested her life savings to set it up.

BrightStar Cleaning Services is a growing business based in Manchester. The owner, James, employs 12 full-time cleaners and 8 part-time staff to provide commercial cleaning for offices and retail spaces. He recently hired 5 additional employees after securing a new contract with a large shopping centre.

SoleCraft is a small handmade shoe business based in Leicester, United Kingdom. It was set up five years ago by Amir Patel, who left his job as a bank manager to pursue his passion for traditional shoemaking. Amir invested £80,000 of his personal savings and took out a £40,000 bank loan to rent a workshop, purchase leather and tools, and hire his first employees. Today, SoleCraft employs 25 skilled craftspeople who cut, stitch and finish each pair of shoes by hand. The business sells its products online and through independent boutiques across the UK. Amir oversees all major decisions, from product design to marketing, and takes on the financial risk of the business.

Pico is an electronics company founded in Taipei, Taiwan in 2003 by Chang Wei, who quit his engineering job to start the business with just $10,000 of his own savings. Chang spotted an opportunity to produce affordable wireless headphones for the Asian market at a time when most headphones were expensive and imported from Western companies.

Pico now employs 3,500 workers across two factories in Taiwan and sells its products in 45 countries worldwide. Chang continues to lead the business as its Chief Executive, making key decisions about new products and markets. In 2022, Pico won a contract to supply headphones to a major international airline.

Dusk is a furniture manufacturer based in Ho Chi Minh City, Vietnam. It produces wooden tables, chairs and shelving units for export to retailers across Europe and Asia. The business employs 250 workers and currently uses a mix of traditional hand tools and some automated machinery in its production. Dusk has recently won a large new contract to supply furniture to a chain of hotels across Southeast Asia.

Helix is a pharmaceutical company based in Basel, Switzerland. Founded in 1972, it manufactures medicines and vaccines sold to hospitals and healthcare providers in over 80 countries. Helix employs 15,000 scientists, researchers and factory workers. It has invested heavily in state-of-the-art laboratories, automated production lines and specialist medical equipment, which it regularly upgrades to maintain the highest standards of precision and safety. Helix spends over €500 million each year on research and development to create new medicines. Its competitors include large pharmaceutical companies based in the USA, Germany and Japan.