Identify and explain two advantages and two disadvantages to Fabian of working for himself rather than being an employee of another business.

Mark scheme

Marking points from the official mark scheme (May/June 2014). The mark or mark type is shown in brackets.

1. [8] Content: Advantages: • Make own decisions • Choose own work hours • Keep any profits made • Taking more responsibility • More power • Less worried about being unemployed • High level of motivation Disadvantages: • Not a regular wage • May not be able to take holidays • No one to help him • Limited capital • More worry about business failure • More risk of losing personal possessions • No experience of management/flower business • More administration to carry out The marks available for this question are as follows: 4 marks for knowledge; 4 marks for application. 1 mark for each advantage/disadvantage identified plus 1 explanation mark for each advantage/disadvantage. (2 marks × 2 advantages + 2 marks × 2 disadvantages) Advantage: Can work the hours Fabian chooses (1 knowledge mark). Explanation: Can work the hours Fabian chooses as he works for himself and he could work early in the morning if he chooses and take time off later in the day (1 explanation mark).
2. [12] Content: Gowri – experience of running her own business/quite young/large amount of money to invest/young family/no experience in flower arranging. Miranda – experience of shop work/well qualified/no family commitments/little money to invest. Pamela – enthusiastic about learning the requirements for the job/has some skills in flower arranging/large amount of capital to invest/no family commitments/older person so more experience with people/no formal qualifications in flower arranging. Level 1 – 1 mark for each statement E.g. Miranda has experience of working in a shop and so she would know how to serve customers in the flower shop (1 mark). Level 2 – 5 marks for the first level 2 answer and then one extra mark for each additional level 2 answer up to maximum of 8 marks. E.g. Miranda has experience of working in a shop and so she would know how to serve customers in the flower shop. She could also have experience of how to run a shop but she would not know how to do the accounts or ordering of flowers and so she could not help Fabian with this. 5 marks for level 2 answer plus one application mark for mentioning ordering of flowers. Level 3 – Detailed discussion of at least two level 2 answers and then a conclusion at the end which justifies who is the best person to choose compared to the other people. Possible application marks: anything from Appendix 1; flowers; flower shop; part-time employees; hotels and restaurants; flower arrangements; new business. There may be other examples in context which have not been included here. Knowledge/Analysis/Evaluation: Level 3: 9-10 marks - At least 2 x Level 2 + Well justified recommendation as to the best person to choose compared to at least one other person. Level 2: 5-8 marks - Good discussion of advantages/disadvantages of each person. OR balanced argument. Some limited judgement shown in recommendation about the best person to choose. Level 1: 1-4 marks - Outline of advantages/disadvantages of each person.