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Mark scheme

Marking points from the official mark scheme (Oct/Nov 2025). The mark or mark type is shown in brackets.

1. [1] Allows the business to analyse and assess the range of different products currently produced by a business
2. [1] Can see and review the allocation of resources between them.
3. [1] Can provide important information about the strengths/weaknesses of particular products
4. [1] Allows a business to measure how each product contributes to total business performance
5. [1] Product portfolio information may well attract additional investment
6. [1] Allows a business to adapt its products to different customer needs
7. [1] Helps a business identify suitable target segments for its products
8. [1] Reduces risk
9. [1] Provides information on each product, such as market growth, market share, growth prospects, profit margin drivers, income contributions, market leadership and operational risks and opportunities
10. [1] This analysis is an informative tool giving insight into product operations and provides information and analysis for strategic decisions on the retention or change in the product portfolio
11. [1] Can provide information relating to specific products and so indicate what changes may be required in pricing, marketing, composition.
12. [2] It assists a business in deciding when to launch a new product, update an existing one, or stop producing a particular product – data provided for product portfolio management, e.g. use of Boston Matrix.
13. [2] In combination with product life cycle, framework offers information and analysis for resource allocation decisions.
14. [2] The pursuit of a balanced product portfolio is assisted by this analysis and a business can determine if its investment in products aligns with its business strategy.
15. [2] It gives a business a measure of control over its cashflow – see which products generate most revenue – allowing focus on products that most help with the cashflow – ensures the business has money needed to operate the business and create more products.
16. [2] Product portfolio analysis can generate ideas about new opportunities – generate innovation leading to a more diversified portfolio – spreading business risk.
17. [2] Identifies gaps in the existing portfolio and reveal new business opportunities.
18. [2] It can stimulate management to, for example, offer a wider array of products to various target markets and so earn a higher market share, increase sales, and contribute to brand awareness.
19. [2] It may suggest that particular products need taking out of the current portfolio
20. [2 marks] Developed knowledge of relevant key term(s) and/or factor(s) is used to answer the question.
21. [1 mark] Limited knowledge of relevant key term(s) and/or factor(s) is used to answer the question.
22. [2 marks] Developed application of relevant point(s) to the business context.
23. [1 mark] Limited application of relevant point(s) to the business context.
24. [2 marks] Developed analysis that identifies connections between causes, impacts and/or consequences.
25. [1 mark] Limited analysis that identifies connections between causes, impacts and/or consequences.
26. [6 marks] Developed/Supported judgement in context
27. [5 marks] Developed/Reasonable evaluative comments in context
28. [4 marks] Developed/Supported judgement without context
29. [3 marks] Developed/Reasonable evaluative comments without context
30. [2 marks] Limited supported judgement
31. [1 mark] An attempt to balance the arguments/Weak attempt at evaluative comments