OCR GCSE (9-1) Business (J204) · Spec 4.1, 4.2, 4.3, 4.4, 4.5 and 4.6
Operations
Read the notes, then try the questions. Each one is marked the moment you press Check, and shows the right answer and why.
Key ideas
- Job production makes one-off items. Batch production makes a group of identical items, then changes to the next product. Flow production runs continuously on a line making the same product.
- Quality control is checking products, for example inspecting finished goods for faults. Quality assurance is setting up systems so that faults are prevented in the first place.
- Selling methods include face to face, telesales and e-commerce. Each has benefits and drawbacks, for example e-commerce reaches more people but customers cannot touch the product.
- Consumer law says goods must be of satisfactory quality and safe. It covers every business that sells to consumers, including online. Breaking it can damage a firm's reputation.
- Location factors include being close to the market, close to materials, access to labour and costs such as rent.
- Procurement means choosing suppliers and buying what the business needs. A good supplier is reliable, supplies good quality and is a fair price.
- Automation, computers and robotics can speed up production, but they cost a lot to buy. Good customer service, including after-sales service, helps a business gain and keep customers.
Key terms
- Batch production
- Making a group of identical products, then switching to another product.
- Quality control
- Checking products to find faults.
- Quality assurance
- Setting up systems so that faults are prevented.
- E-commerce
- Selling goods or services online.
- Proximity to market
- Being close to your customers.
- Procurement
- Choosing suppliers and buying the goods and services a business needs.
Common mistakes
- Mixing up quality control (checking finished goods) and quality assurance (preventing faults with systems).
- Thinking consumer law only applies to big firms. It applies to every business that sells to consumers.
- Saying the cheapest location is always best. Customers, materials and staff can matter more.
- Giving a benefit of a selling method when the question asks for a drawback, or the other way round.
Exam tip
Paper 2 has about six multiple-choice questions that need a calculation, and these are often answered badly. Check units and read the question twice. For a longer location or supplier question, say which factor matters most for this business in the text, and why.
Free practice questions
6 questions, 13 marks. Answer, then press Check. The marking guide explains how the marks are worked out. Nothing is saved.
- Question 1 · Multiple choice[1 mark]
A bakery bakes 300 identical loaves, cleans the line, then bakes 300 of a different recipe. This is:
- Question 2 · Multiple choice[1 mark]
A toy factory inspects finished toys for faults before they leave the building. This is:
- Question 3 · Matching[3 marks]
Match each method of selling to a likely drawback.
- Question 4 · Matching[3 marks]
Match each situation to the consumer law idea it shows.
- Question 5 · Matching[4 marks]
Match each business decision to the location factor behind it.
- Question 6 · Multiple choice[1 mark]
Which task is part of the procurement role in a furniture maker?