HSC Business Studies Question Thread

[tay.j]

Thankyou all very much!

[cnimm2000]

Hi guys,
I needed help on finding some strategies to improve the business solvency

[Opengangs]

Hi guys,
I needed help on finding some strategies to improve the business solvency

Hello, cnimm2000.

Recall that solvency is the ability for a business to pay all of its short and long term debts. We can measure a business' solvency by having a look at its assets and liabilities (both current and non-current). If their asset values are higher than their liabilities, then they are solvent -- meaning, the business is able to pay back all of their debts. However, if they don't have enough assets, then they will need to form some strategies to maximise asset value and minimise any financial wastes.

We need to ensure there is enough asset to pay off any outstanding liabilities -- we can do this by reducing the wait times for your debtors to pay you back. This allows the business to gain money quicker, which in turn, improves the cash flow of the business and thus, we are able to control the values of the assets more fluidly.

Along with this, we can also convert current assets into cash which we can pay off to the creditors quicker. This ensures that we are paying back the creditors at a rate in which it doesn't infringe on the business' cash flow. Similarly, we can turn over any inventories to quick cash in order to pay back the creditors quickly and efficiently.

[emilyygeorgexx]

Hey!

Does anyone know where I can find some case studies for operations?

Thanks

[fantasticbeasts3]

Hey!

Does anyone know where I can find some case studies for operations?

Thanks

hi!

i never had to find case studies because my teachers always sent them to me. this one's super overrated, but the qantas case study is updated every year, and you should be able to find a copy in your local library. the news is also a great source for a case study. and if you work, your place of work is a great example too! you work there, you know a little about how they work; an awesome way to show off some business knowledge. :-)

hope this helps :-)

[Mada438]

Hey!

Does anyone know where I can find some case studies for operations?

Thanks

Agree with fantastic beasts here on everything he says!
 QANTAS is definately a really good one.
My teacher also gives them to me. She gave us ones for apple,ikea,walmart,amazon,zara and a few others as well as qantas.
I'd recconmend doing some googling and look at the news too
and have the qantas one under your belt definatly!
Good luck!!

[MisterNeo]

Hey!

Does anyone know where I can find some case studies for operations?

Thanks

I've always used Aldi as my case study for operations.

Supply Chain Management/Inventory Management
-Aldi is all about reducing costs so that they can pass the savings onto customers, which appeals to low-income demographics.
-One of the costs that they reduce is their inventory expenses because holding stock requires a storeroom (rent/power), security, and someone to put it out.
Hence, Aldi uses the Just-In-Time (JIT) method of inventory management so that stock can be brought in just in time, wheeled into the store, and put onto the floor like you see at Aldi.
-You need to be able to argue advantages and disadvantages of Aldi using this JIT method (depending on the nature of the question). JIT saves cost on inventory, however it has the risk of late stock which causes customers to go to competitors because you have no backup inventory.
-How do they do it so well? That's because of supply chain management. Under this dotpoint, there are logistics, e-commerce. and global sourcing. I would talk about the logistics and e-commerce for Aldi.
-Aldi, like every other shop, has stock with barcodes/RFID tags on them. This is an example of e-commerce because when their cashier goes BEEP on the machine, it automatically orders another of that item waiting to be shipped according to their JIT arrangement. This reduces the need to train staff to count the number of cereals left at the end of the day, which would cost a lot.
-Aldi also prefer local suppliers rather than non-local ones because they're closer, which reduces travel time and the risk of late or missing stock like if you were to order from Tasmania.
-Also be able to argue the advantages and disadvantages of holding stock for Aldi. Holding stock reduces the risk of losing customers if the demand is suddenly strong for a particular item, as it can lead to them going to competitiors. However, as mentioned earlier, holding stock has costs that could have been invested elsewhere or passed onto customers as cheaper products. Stock can also be stolen, damaged, become obselete, or spoil if they're perishable.

Technology
-Aldi uses RFID tags in their e-commerce as mentioned above.
-They have those really long conveyer belts that allow for faster customer service. Aldi have low profit margins but they can compete with Woolworths and Coles by selling it in massive volumes, so they must be quick because it also improves customer satisfaction.
-Aldi trolleys have those "Insert $2 and you get it back if you return me" things, which is a way they reduce costs in their trolley collection people because people value their $2. Trolley wheels have locking mechanisms that prevent them from leaving Aldi carparks (never tried, my teacher told me).

That's all I can remember from the top of my head. You could also talk about outsourcing and its use in reducing costs.
Hope this helps

[emilyygeorgexx]

Thank you all so much!

I have the Qantas ones since thats the one we do at school but thanks for all the others!!!

Agree with fantastic beasts here on everything he says!
 QANTAS is definately a really good one.
My teacher also gives them to me. She gave us ones for apple,ikea,walmart,amazon,zara and a few others as well as qantas.
I'd recconmend doing some googling and look at the news too
and have the qantas one under your belt definatly!
Good luck!!

I've always used Aldi as my case study for operations.

Supply Chain Management/Inventory Management
-Aldi is all about reducing costs so that they can pass the savings onto customers, which appeals to low-income demographics.
-One of the costs that they reduce is their inventory expenses because holding stock requires a storeroom (rent/power), security, and someone to put it out.
Hence, Aldi uses the Just-In-Time (JIT) method of inventory management so that stock can be brought in just in time, wheeled into the store, and put onto the floor like you see at Aldi.
-You need to be able to argue advantages and disadvantages of Aldi using this JIT method (depending on the nature of the question). JIT saves cost on inventory, however it has the risk of late stock which causes customers to go to competitors because you have no backup inventory.
-How do they do it so well? That's because of supply chain management. Under this dotpoint, there are logistics, e-commerce. and global sourcing. I would talk about the logistics and e-commerce for Aldi.
-Aldi, like every other shop, has stock with barcodes/RFID tags on them. This is an example of e-commerce because when their cashier goes BEEP on the machine, it automatically orders another of that item waiting to be shipped according to their JIT arrangement. This reduces the need to train staff to count the number of cereals left at the end of the day, which would cost a lot.
-Aldi also prefer local suppliers rather than non-local ones because they're closer, which reduces travel time and the risk of late or missing stock like if you were to order from Tasmania.
-Also be able to argue the advantages and disadvantages of holding stock for Aldi. Holding stock reduces the risk of losing customers if the demand is suddenly strong for a particular item, as it can lead to them going to competitiors. However, as mentioned earlier, holding stock has costs that could have been invested elsewhere or passed onto customers as cheaper products. Stock can also be stolen, damaged, become obselete, or spoil if they're perishable.

Technology
-Aldi uses RFID tags in their e-commerce as mentioned above.
-They have those really long conveyer belts that allow for faster customer service. Aldi have low profit margins but they can compete with Woolworths and Coles by selling it in massive volumes, so they must be quick because it also improves customer satisfaction.
-Aldi trolleys have those "Insert $2 and you get it back if you return me" things, which is a way they reduce costs in their trolley collection people because people value their $2. Trolley wheels have locking mechanisms that prevent them from leaving Aldi carparks (never tried, my teacher told me).

That's all I can remember from the top of my head. You could also talk about outsourcing and its use in reducing costs.
Hope this helps

hi!

i never had to find case studies because my teachers always sent them to me. this one's super overrated, but the qantas case study is updated every year, and you should be able to find a copy in your local library. the news is also a great source for a case study. and if you work, your place of work is a great example too! you work there, you know a little about how they work; an awesome way to show off some business knowledge. :-)

hope this helps :-)

[martinarena_]

Hi!
I was just wondering, when using case studies in a business studies essay, would it be better to use a case study throughout the entire essay (for example, with all the points that you talk about, use the same business to explain how it utilises/poorly utilises in each aspect), or would it be better just to use various businesses to give as an example?
So, let's say, if the essay asks about marketing strategies, would you use, for example, Qantas and Apple throughout the essay, as in for each point you talk about, you refer to Qantas and Apple and what there business does, OR would you use a variety of other businesses but not continuously refer back to them/have them throughout the essay?
Thanks in advance

[Opengangs]

Hi!
I was just wondering, when using case studies in a business studies essay, would it be better to use a case study throughout the entire essay (for example, with all the points that you talk about, use the same business to explain how it utilises/poorly utilises in each aspect), or would it be better just to use various businesses to give as an example?
So, let's say, if the essay asks about marketing strategies, would you use, for example, Qantas and Apple throughout the essay, as in for each point you talk about, you refer to Qantas and Apple and what there business does, OR would you use a variety of other businesses but not continuously refer back to them/have them throughout the essay?
Thanks in advance

Hey,
It's up to you and how you structure your response. Either works well given that you directly address what area of the business you're going to talking about.

A close case study will give you an edge because it's easier to remember but at the same time it hinders you from a broadened view of the topic at hand.

Again, it's entirely up to you and your capacity to memorise chunks of information as long as your case studies are relevant.

[emilyygeorgexx]

Hi!
I was just wondering, when using case studies in a business studies essay, would it be better to use a case study throughout the entire essay (for example, with all the points that you talk about, use the same business to explain how it utilises/poorly utilises in each aspect), or would it be better just to use various businesses to give as an example?
So, let's say, if the essay asks about marketing strategies, would you use, for example, Qantas and Apple throughout the essay, as in for each point you talk about, you refer to Qantas and Apple and what there business does, OR would you use a variety of other businesses but not continuously refer back to them/have them throughout the essay?
Thanks in advance

Hey!

Like Opengangs said, its entirely up to you!

Throughout my notes for each syllabus dot point I have my core case study Qantas and a supplementary case study. Again, using one case study throughout the essay shows you have a detailed understanding of that business and can make good reference to it. However, using different case studies shows that if many businesses have used the same strategy then it must have been effective. The strategy could have increased profitability, assisted expansion, help move out of decline, etc.

Different case studies also shows the marker you have put the time and effort to look into them. By choosing businesses that you like it will help when researching because you feel interested to look into who they are.

Hope this helped somehow!!

[martinarena_]

Hey,
It's up to you and how you structure your response. Either works well given that you directly address what area of the business you're going to talking about.

A close case study will give you an edge because it's easier to remember but at the same time it hinders you from a broadened view of the topic at hand.

Again, it's entirely up to you and your capacity to memorise chunks of information as long as your case studies are relevant.

Hey!

Like Opengangs said, its entirely up to you!

Throughout my notes for each syllabus dot point I have my core case study Qantas and a supplementary case study. Again, using one case study throughout the essay shows you have a detailed understanding of that business and can make good reference to it. However, using different case studies shows that if many businesses have used the same strategy then it must have been effective. The strategy could have increased profitability, assisted expansion, help move out of decline, etc.

Different case studies also shows the marker you have put the time and effort to look into them. By choosing businesses that you like it will help when researching because you feel interested to look into who they are.

Hope this helped somehow!!

Thanks emilyygeorgexx and Opengangs!
I wasn't too sure if there was any specific/preferred structure I had to follow, but what you've said has definitely cleared it up

[martinarena_]

Hi there
I was wondering if I could get some feedback on my response to these short answer questions?Thank you!!

Q1) Distinguish between solvency and liquidity. (4 marks)
The difference between solvency and liquidity is that liquidity is strictly focused on the business's ability to meet its financial commitments in the short term, whilst solvency encompasses both the short-term and long-term time period, particularly on how the business is able to meet its debts in the long-run. In addition to this, liquidity focuses on a business's capability to convert their current assets into cash; on the other hand, solvency places more emphasis on the business's ability to sustain itself for the longer period of time.
- have I given enough information?
- have I repeated myself??

Q2) Explain the importance of business objectives for business success. (3 marks)
Business objectives are vital for the success of the business because they provide greater detail on the business's purpose and function, hence, they ensure the business has a clear idea into the direction it wishes to head in. Additionally, business objectives help break down the business's goals into smaller and more achievable outcomes, which assists the business in meeting their expectations, and results in their success.
- does my answer make sense?
- have I answered the question??

[Opengangs]

Hi there
I was wondering if I could get some feedback on my response to these short answer questions?Thank you!!

Q1) Distinguish between solvency and liquidity. (4 marks)
The difference between solvency and liquidity is that liquidity is strictly focused on the business's ability to meet its financial commitments in the short term, whilst solvency encompasses both the short-term and long-term time period, particularly on how the business is able to meet its debts in the long-run. In addition to this, liquidity focuses on a business's capability to convert their current assets into cash; on the other hand, solvency places more emphasis on the business's ability to sustain itself for the longer period of time.
- have I given enough information?
- have I repeated myself??

Q2) Explain the importance of business objectives for business success. (3 marks)
Business objectives are vital for the success of the business because they provide greater detail on the business's purpose and function, hence, they ensure the business has a clear idea into the direction it wishes to head in. Additionally, business objectives help break down the business's goals into smaller and more achievable outcomes, which assists the business in meeting their expectations, and results in their success.
- does my answer make sense?
- have I answered the question??

Hey, I suggest breaking down the marks into specific dot points based on the directive verb. Bold text means you've successfully achieved that mark.

(1): Distinguish means to note the differences, so be sure to be really succinct with how you approach their differences which you have successfully done! To get those other 2 marks, your best bet was to provide an example as to where each term would be use, so under what circumstances should we use liability and solvency. All in all, I think that was well done (4/4)

1 mark for defining what each term means
1 mark for outlining the main difference between the two
1 mark (each) for suggesting when you would use each term (what situation would liquidity/solvency be used?)

(2): Explain means to relate cause and effect. So, if they are so important, how is this achieved? Business objectives are essentially the year-long goals and expectations, leading towards improved profitability, growth within the business, etc. To really nail this question, you need to succinct and clear as to HOW these objectives help the success of the business, and this is through vision and expectations that the business will accomplish these tasks throughout the year. I think you're just missing the "effect" of it; you've clearly outlined how they cause businesses to succeed, but more on the effect of this will help to consolidate a 3/3.

1 mark for outlining what business objectives are
1 mark for describing how business objectives cause the business to succeed
1 mark for describing how these objectives then lead to the success of the business

Hopefully, this has been helpful to you!

[martinarena_]

Hey, I suggest breaking down the marks into specific dot points based on the directive verb. Bold text means you've successfully achieved that mark.

(1): Distinguish means to note the differences, so be sure to be really succinct with how you approach their differences which you have successfully done! To get those other 2 marks, your best bet was to provide an example as to where each term would be use, so under what circumstances should we use liability and solvency. All in all, I think that was well done (4/4)

1 mark for defining what each term means
1 mark for outlining the main difference between the two
1 mark (each) for suggesting when you would use each term (what situation would liquidity/solvency be used?)

(2): Explain means to relate cause and effect. So, if they are so important, how is this achieved? Business objectives are essentially the year-long goals and expectations, leading towards improved profitability, growth within the business, etc. To really nail this question, you need to succinct and clear as to HOW these objectives help the success of the business, and this is through vision and expectations that the business will accomplish these tasks throughout the year. I think you're just missing the "effect" of it; you've clearly outlined how they cause businesses to succeed, but more on the effect of this will help to consolidate a 3/3.

1 mark for outlining what business objectives are
1 mark for describing how business objectives cause the business to succeed
1 mark for describing how these objectives then lead to the success of the business

Hopefully, this has been helpful to you!

Hey Opengangs,
You are an absolute legend! Thank you so much, the feedback really helps )))