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4.1 State any FOUR consumer rights as stipulated in the National Credit Act (NCA), 2005 (Act 34 of 2005) - NSC Business Studies - Question 4 - 2020 - Paper 1
Question 4
4.1 State any FOUR consumer rights as stipulated in the National Credit Act (NCA), 2005 (Act 34 of 2005). 4.2 Identify the force of Porter's Five Forces model that ... show full transcript
Worked Solution & Example Answer:4.1 State any FOUR consumer rights as stipulated in the National Credit Act (NCA), 2005 (Act 34 of 2005) - NSC Business Studies - Question 4 - 2020 - Paper 1
Step 1
State any FOUR consumer rights as stipulated in the National Credit Act (NCA), 2005 (Act 34 of 2005)
Answer
- Consumers have a right to apply for credit and to be free from discrimination.
- Consumers are entitled to receive pre-agreement documentation before concluding any credit transaction.
- Consumers have the right to fair and responsible marketing practices.
- Consumers may surrender goods to the credit provider in order to settle the outstanding debt.
Step 2
Identify the force of Porter's Five Forces model that applies to Louisa's Hair Salon in EACH statement below: 4.2.1 Lwazi opened a new hair salon across the street offering services at lower prices than Louisa's Hair Salon.
Answer
This situation represents the threat of new entrants in the market, as Lwazi's lower prices could attract customers from Louisa's Hair Salon.
Step 3
Identify the force of Porter's Five Forces model that applies to Louisa's Hair Salon in EACH statement below: 4.2.2 Louisa's Hair Salon is highly profitable and attracts many new entrepreneurs to enter this market.
Answer
This scenario highlights the competitive rivalry in the market. Louisa's profitability indicates that the industry is attractive, which invites more competition.
Step 4
Explain TWO types of defensive strategies.
Answer
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Diversification: This strategy involves introducing new products or services to spread risks and reduce dependency on a single revenue source. By diversifying, a business can ensure stability even if one area underperforms.
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Retrenchment: This strategy may include laying off employees or closing departments to cut costs. Retrenchment helps a business survive during economic downturns by streamlining operations and focusing resources where they are most effective.
Step 5
Step 6
Advise the management of MC on any OTHER TWO ways in which they can comply with the Act identified in QUESTION 4.4.1.
Answer
- Ensure that all employees are registered with the Compensation Commissioner and are informed of their rights under COIDA.
- Maintain records regarding workplace accidents and illnesses, and provide necessary training on health and safety protocols.
Step 7
Step 8
Outline the benefits of induction for businesses.
Answer
Induction programmes help in reducing employee anxiety, shortening the adjustment period, and ultimately increasing productivity. By thoroughly orienting new employees, businesses can minimize turnover and foster a positive workplace culture.
Step 9
Explain the placement procedure as a human resource activity.
Answer
The placement procedure includes assessing individual competencies against job requirements, communicating responsibilities clearly, and ensuring candidates are well-suited for the positions they are hired for. This process is crucial for identifying the right fit for both the company and the employee.
Step 10
Quote TWO roles of quality circles as part of the continuous improvement to processes and systems in the scenario above.
Answer
- Quality circles investigate problems related to poor quality products, helping identify areas for improvement.
- They facilitate teamwork among employees, enhancing collaboration and sharing insights for better processes.
Step 11
Explain other roles of quality circles as part of continuous improvement to processes and systems.
Answer
- Quality circles ensure there is no duplication of tasks among employees, improving efficiency.
- They promote employee engagement by encouraging suggestions for improvements, fostering a culture of continuous enhancement.
Step 12
Suggest ways in which total quality management (TQM) can reduce the cost of quality.
Answer
TQM can reduce costs by emphasizing proactive quality measures, which minimize errors and defects. By fostering a culture of continuous improvement and employee involvement, TQM helps organizations identify waste, streamline processes, and ultimately enhance customer satisfaction.