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IGCSE Business Studies Section 2

Total questions: 51

Worksheet time: 38mins

Name
Class
Date
1.

Sending messages between people working for the same organisation.

a)

Internal communication

b)

External communication

c)

Medium of communication

d)

Communication

2.

Restrictions that prevent a message from being sent/received/understood effectively.

a)

Communication barriers

b)

Internal communication

c)

One-way communication

d)

Transmitter

3.

___________ is the transferring of a message from the sender to the receiver, who understands the message.

a)

Internal communication

b)

External communication

c)

Communication

d)

Medium of communication

4.

_____________ is between the organisation and other organisations or individuals.

a)

Internal communication

b)

Medium of communication

c)

External communication

d)

Communication

5.

The _____________ or sender of the message is the person starting off the process by sending the message.

a)

Transmitter

b)

Receiver

c)

Feedback

d)

Message

6.

The _________________ is the method used to send a message, for example, a letter is a method of written communication and a meeting is a method of verbal communication.

a)

Internal communication

b)

External communication

c)

Communication

d)

Medium of communication

7.

_________ is the reply from the receiver which shows whether the message has arrived, been understood and, if necessary, acted upon.

a)

Feedback

b)

Sender

c)

Receiver

d)

Message

8.

__________ involves a message which does not call for or require a response.

a)

One-way communication

b)

Two-way communication

c)

Formal communication

d)

Informal communication

9.

__________ is when the receiver gives a response to the message and there is a discussion about it.

a)

Informal communication

b)

Formal communication

c)

One-way communication

d)

Two-way communication

10.

___________ is when information is sent and received casually using everyday language.

a)

Informal communication

b)

Formal communication

c)

Two-way communication

d)

One-way communication

11.

Which of the following is not an example of Internal Communication?

a)

Please do not smoke in the staff lounge.

b)

Your refund has been approved and processed.

c)

Keep this door locked at all times.

d)

The proposal is due next Friday.

12.

Identify one advantage of conducting a meeting.

a)

Information can be given out quickly.

b)

Permanent record of the message is needed.

c)

Takes longer because feedback is required.

d)

In big meetings, there is no way of telling if everyone is listening.

13.

Downward communication does not allow for feedback

a)

True

b)

False

14.
An advantage of delegation is
a)
workers have less work to do
b)
managers can concentrate on more important tasks
c)
managers lose some of their responsibilities
d)
managers can control subordinates more  closely
15.
One of the disadvantages of delegation is that
a)
workers are given more authority
b)
there is less control over the work done by staff
c)
managers have more work to do
d)
workers may gain job enrichment
16.
The chain of command in an organisation is
a)
the link that exists between different departments
b)
the method of communication used in the organisation
c)
the line of authority flowing down the organisation
17.
The span of control can be defined as
a)
the number of subordinates directly controled by one manager
b)
the number of departments in a business
c)
the number of managers who report directly to each worker
d)
the number of levels in a firm's hierarchy
18.
An advantage of a short chain of command is that
a)
the company will gain unlimited liability
b)
managers will have greater bonuses
c)
fringe benefits will become more common
d)
communication between managers and staff will improve
19.
In what type of leadership style do managers take all decisions?
a)
Autocratic leadership
b)
Democratic leadership
c)
Laissez-faire leadership
d)
Centralised leadership
20.

It is the function of management which consists of monitoring and checking alignment of performance of predetermined standards.

a)

Controlling

b)

Influencing

c)

Organizing

d)

Planning

21.

The best definition of a firm’s organisational structure is that:

a)

1) it shows exactly what job everyone does

b)

2) it shows a plan of the offices and factory

c)

3) it shows the levels of management and division of responsibilities

d)

4) it refers to the way in which products are made and pass through the factory

22.
What is recruitment?
a)
The process by which a business hires staff
b)
The process by which a business trains staff
c)
The process by which a business inducts staff
23.
Which one does NOT belong on a person specification?
a)
Pay
b)
Skills
c)
Qualifications
d)
Experience
24.

Redundancy

a)

Training given to new employees when they first start a job.

b)

is when an employee is no longer needed and so loses their job. It is not due to any aspect of their work being unsatisfactory

c)

Employee training at the place of work while he or she is doing the actual job.

d)

When a vacancy is filled by someone who is an existing employee of the business.

25.

A Job Description...

a)

is a process an organization uses to analyze its current base of employees and determine steps it must take to prepare for future skill and labor needs.

b)

is training that takes place away from the work area.

c)

outlines the responsibilities and duties to be carried out by someone employed to do a specific job

d)

is when a vacancy is filled by someone who is an existing employee of the business.

26.

An Industrial tribunal is

a)

is when employees work 35 hours or more a week

b)

when the most suitable person for the job is chosen. A letter is sent formally offering them the job.

c)

a type of law court (or in some countries, a legal meeting) that makes judgments on disagreements between companies and their employees

d)

a decision taken by a manager or a company because of the moral code observed by the firm.

27.

Once a job description and person specification has been written, what is the next stage of the of the recruitment process?

a)

The business creates a job description and person specification

b)

The business identifies a human resource need

c)

The business advertises a position

d)

The business shortlists the candidates

28.

Horizontal communication is ...

a)

Communication between two people on the same level within an organisation structure

b)

When communication occurs between staff and customers

c)

Communication between two people on different levels within an organisation structure

d)

The use of digital communication devices to send a message

29.

Vertical communication is ...

a)

Communication between two people on the same level within an organisation structure

b)

When communication occurs between staff and customers

c)

Communication between two people on different levels within an organisation structure

d)

The use of digital communication devices to send a message

30.

Select all the advantages of a tall organisational structure.

a)

It is clear who is responsible for which tasks.

b)

Promotion opportunities are available for employees.

c)

Employees tend to become specialized.

d)

Reduced bureaucracy, making the organisation more adaptable to changes.

e)

Increased cooperation and communication between departments.

31.

Select all the potential barriers to effective communication.

a)

Poor explanations and lack of understanding.

b)

Poor spelling and grammar

c)

Use of jargon, technical language or slang.

d)

Technology Issues

e)

Poor structuring of information

32.

ShinyAutos wishes to motivate its staff to sell more cars, deciding to pay individual salesmen 5% of each sale they make. This is called ______________________.

a)

remuneration.

b)

a commission.

c)

a promotion.

d)

a bonus.

e)

a fringe benefit.

33.

___________________________ is the degree to which employees are able to make decisions about their day-to-day roles.

a)

Retention

b)

Job enrichment

c)

Productivity

d)

Autonomy

34.

Which of the following are the three main ways of providing training for staff?

a)

Corporate, Development, Management.

b)

Productivity, Motivation, Retention.

c)

Zero-hour, temporary, permanent.

d)

Induction, on-the-job, off-the-job.

35.

What is the top level on Maslow's Hierarchy?

a)

Physical needs

b)

Safety needs

c)

Self actualisation

d)

Self-esteem

36.

Which theorist believed that people are inherently lazy and are only motivated by money?

a)

Mayo human relations theory

b)

Taylor's scientific management

c)

Herzberg's two factor theory

d)

Maslow's hierarchy of needs

37.

Which financial method of payment was derived from Taylor's theory?

a)

Salary

b)

Bonus

c)

Fringe benefits

d)

Piece rate

38.

When parents say "you will never be good enough to go to university" they are not helping their child achieve

a)

safety and security

b)

the need for responsibility

c)

esteem

d)

self actualization

39.

If safety needs are not met one cannot move to ___________________

a)

basic physiological needs

b)

Social (love and belonging)

c)

esteem

d)

self actualization

40.
Which of the following is a basic need?
a)
love
b)
belonging
c)
shelter
d)
safety
41.
Whose theory was “Two factor Theory” satisfaction and dissatisfaction 
a)
Herzberg 
b)
Taylor 
c)
Mayo
42.
Whose theory was scientific management? 
a)
Taylor 
b)
Maslow 
c)
McGregor
43.
Which of the following is NOT a need as identified by Maslow?
a)
Hygiene
b)
Esteem
c)
Self-actualisation
d)
Social
44.

A benefit of having a high staff retention rate in a business is:

a)

A large number of new employees need to be employed by the firm

b)

Costs of recruitment and selection will fall

c)

The business will undertake large amounts of induction training

d)

Lots of new skills and experience will be brought into the workplace

45.

Which of the following is a financial method of motivation that a business could use to motivate its staff?

a)

Profit sharing

b)

Free uniform

c)

Staff discount

d)

Company car

46.

The payment method whereby employees receive an annual amount, paid in 12 monthly instalments, regardless of hours worked is called:

a)

Commission

b)

Piece rate

c)

A wage

d)

A salary

47.

"Extras" that are given to employees on top of their monetary pay are called:

a)

Piece rate

b)

Fringe benefits

c)

A wage

d)

A salary

48.

Which of the following is an example of a non-financial method of motivation?

a)

Profit sharing

b)

Commission

c)

Performance related pay

d)

Training

49.

Giving staff more challenging and interesting jobs as part of their role is called:

a)

Job enrichment

b)

Job rotation

c)

Job enlargement

d)

On the job training

50.

A drawback to an employee of a business using commission as a payment method is:

a)

A lack of financial security

b)

Staff retention rates may be low

c)

Sales staff may focus on selling the easiest, most demanded products

d)

An opportunity exists for each staff member to earn more money

51.

A benefit to a business of providing on going training to its employees is that:

a)

Labour turnover will tend to be higher

b)

Unit costs will be higher

c)

Labour productivity will be higher

d)

Defect rates should be higher