Photo AI
2.1 Name any FOUR consumer rights as stipulated in the Consumer Protection Act (CPA), 2008 (Act 68 of 2008) - NSC Business Studies - Question 2 - 2023 - Paper 1
Question 2
2.1 Name any FOUR consumer rights as stipulated in the Consumer Protection Act (CPA), 2008 (Act 68 of 2008). 2.2 Read the scenario below and answer the questions th... show full transcript
Worked Solution & Example Answer:2.1 Name any FOUR consumer rights as stipulated in the Consumer Protection Act (CPA), 2008 (Act 68 of 2008) - NSC Business Studies - Question 2 - 2023 - Paper 1
Step 1
Name any FOUR consumer rights as stipulated in the Consumer Protection Act (CPA), 2008 (Act 68 of 2008).
Answer
The four consumer rights as stipulated in the Consumer Protection Act (CPA) include:
- Right to choose: Consumers have the right to choose the goods and services they wish to purchase.
- Right to fair value: Consumers are entitled to receive fair value, quality, and safety in the products they buy.
- Right to disclosure: Consumers should be provided with adequate information about the goods or services to make informed choices.
- Right to accountability: Suppliers are accountable for the quality and safety of their products and services.
Step 2
Quote THREE challenges for BC from the scenario above.
Answer
The three challenges for Best Canning (BC) from the scenario include:
- Loss of customers to competitors due to high-quality products offered by Damian Canning.
- Decrease in profitability attributed to poor management skills.
- Dependence on high-interest bank loans, which can strain financial resources.
Step 3
Classify BC's challenges according to the THREE business environments.
Answer
BC's challenges can be classified into the following business environments:
- Micro Environment: This includes the challenge of losing customers to a competitor (Damian Canning).
- Market Environment: The challenge of decreased profitability due to poor management skills reflects a market operational issue.
- Macro Environment: The reliance on high-interest bank loans is indicative of external economic factors affecting the business.
Step 4
State the extent of control BC has over EACH business environment classified in QUESTION 2.2.2.
Answer
The extent of control BC has over each classified business environment is:
- Micro Environment: Limited control as customer preferences can be influenced by many factors beyond BC's management.
- Market Environment: Some control exists, as management can implement better operational strategies to improve profitability.
- Macro Environment: Minimal control over economic factors such as interest rates and external lending conditions.
Step 5
Explain the rights of employers in terms of the Labour Relations Act (LRA), 1995 (Act 66 of 1995).
Answer
Employers have several rights under the Labour Relations Act (LRA), including:
- Establishment of employer organizations to represent them in labour matters.
- Right to lock out employees who engage in unprotected strikes or misconduct.
- Ability to dismiss employees who contravene workplace regulations.
- Right to negotiate terms of employment and remuneration of workers.
Step 6
Discuss the purpose of the Employment Equity Act (EEA), 1998 (Act 55 of 1998).
Answer
The Employment Equity Act (EEA) aims to promote equal opportunity and fair treatment in the workplace. Key objectives include:
- Eliminating unfair discrimination in employment practices.
- Advancing people from previously marginalized groups to ensure diversity.
- Establishing affirmative action measures to redress past inequalities.
Step 7
Identify the type of defensive strategy employed by BT. Motivate your answer by quoting from the scenario above.
Answer
Beyers Toys (BT) employed a divestiture strategy as their defensive approach. This is evident as they sold unproductive assets to alleviate debts, indicating a strategic move to stabilize their financial standing amidst declining sales.
Step 8
Describe businesses on the steps in strategy evaluation.
Answer
The steps in strategy evaluation include:
- Review of the strategy: Analyze the underlying basis of the current strategy to assess its relevance and effectiveness.
- Performance comparison: Measure actual performance against expected outcomes to identify discrepancies.
- Monitoring: Regularly check progress and adjust opportunities where necessary to meet the strategic objectives.
Step 9
Explain the implications of any TWO pillars of the Broad-Based Black Economic Empowerment Act (BBBEE), 2003 (Act 53 of 2003) on businesses.
Answer
Implications of the BBBEE pillars on businesses include:
- Management control: Businesses must appoint black individuals in senior decision-making positions to ensure representation.
- Ownership: Encouraging black ownership in companies can enhance access to business opportunities and financing.
Step 10
Recommend ways in which businesses can deal with the challenges that are posed by the economic factors of PESTLE analysis.
Answer
Businesses can deal with economic challenges through several strategies:
- Financial management: Seek favorable borrowing rates when financial institutions offer advantageous conditions, focusing on reducing debt costs.
- Market adaptation: Adjust product offerings to meet shifting consumer demands and maintain competitive pricing.