Business organization principles


Question 1:

a) State three kinds of business organization.

b) Outline the merits and demerits of running a business as a partnership.

c) Describe the functions of board of directors.

Question 2:

a) Describe the principal factors that affect the choice of the location of a business.

b) Describe why most companies are now ‘market oriented’ instead of ‘production oriented’.

c) In brief differentiate between a merger and a takeover.

Question 3:

a) Draft an organization chart appropriate for a major national chain of retail stores, which has centralized management and administrative systems.

b) Describe the term horizontal integration.

c) Describe the term vertical integration.

Question 4:

a) Describe the need for the civil service (that is, central government).

b) Describe the principal functions of local government.

c) Outline the advantages of the delegation of authority.

Question 5: Write brief notes on five of the given terms:

a) Mixed economy

b) Franchise organization

c) Vision statement.

d) Articles of association.

e) Quangos.

f) Economies of scale.

g) ‘not for profit’ organization.

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Business Management: Business organization principles
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