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O-LevelBusiness StudiesExternal influences on business activity7115/11 · May/June 2012 · Q320 Marks

The Government of country H is concerned about the effect of business activity on the environment. It wants to encourage sustainable development. To do this, it is planning to introduce laws to encourage environmentally-friendly production methods. A number of businesses will be affected by these new laws. The Government of country H has collected the data shown in Table 1. Gross Domestic Product (GDP) measures the value of the total output produced in a country in one year. The GDP of country H has risen from $625m in 2000 to $825m in 2011. Table 1: Percentage of GDP by different sectors % of GDP 2000 2011 Primary sector 35 15 Secondary sector 40 25 Tertiary sector 25 60

  1. (a)What is meant by 'tertiary sector'?[2]
  2. (b)What is meant by 'sustainable development'?[2]
  3. (c)Identify and explain two changes between 2000 and 2011 that are shown in Table 1.[4]
  4. (d)Identify and explain three ways a Government could encourage more businesses to set up in its country.[6]
  5. (e)Do you think that all businesses will be affected by the introduction of the new laws to encourage environmentally-friendly production methods? Justify your answer.[6]

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About this question

Topic
External influences on business activity, O-Level Business Studies (syllabus 7115). Structured question, 20 marks.
Source
O-Level Business Studies, May/June 2012 Paper 1 Variant 1, question 3.

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