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Kelley School of

Business 2004-2006

Undergraduate

Academic Bulletin

Undergraduate Program

Kelley School of Business

Indiana University

1309 East Tenth Street, BU224

Bloomington, IN 47405

Local: (812) 855-0611

Contact Undergraduate Program

Bachelor of Science in BusinessDegree Requirements

Course Requirements

Department of Accounting

Department of Computer Information Systems

Department of Business Economics and Public Policy

Department of Business Law

Department of Finance

Department of Management

Department of Marketing

Department of Operations and Decision Technologies

Special OpportunitiesDegree RequirementsTo be awarded the Bachelor of Science in Business degree, students must take the following steps: Complete a minimum of 124 credit hours. Of this number, at least 48 credit hours must be in business and economics courses; a minimum of 62 credit hours must be in courses other than business and economics. Complete the specific degree requirements of the Kelley School of Business as listed below. Complete the last 30 credit hours of the degree program at Indiana University Bloomington. Note: With prior written approval, students may take a maximum of 6 non-business credit hours of the final 30 credit hours at another IU campus, at another institution of higher education, or by correspondence study through the Indiana University Independent Study Program. To request approval, students must see an academic advisor in the Kelley School of Business. Take all 300- and 400-level business courses on the Bloomington campus. This requirement applies to the core curriculum and business courses listed for each curricular major. Be in good academic standing with a minimum cumulative grade point average of 2.0 (C) in all course work taken at Indiana University. In addition, all business courses must be completed with a minimum cumulative grade point average of 2.0 (C). Grades of A, B, C, D, F, and Extended X grades are included in the cumulative grade point average. File a degree application at www.kelley.iu.edu/ugrad by the required deadline. Students who expect to graduate in December should file a degree application by October 1. Students whose intended graduation date is May should file a degree application by November 1, and those students with an intended graduation date of June or August should file an application by February 1.Students in the Kelley School of Business are responsible for understanding and for meeting the degree requirements. Students who would like assistance in planning an academic program or clarification of degree requirements may consult an academic advisor in the Kelley School of Business.

3 BUSINESS STUDIES GRADE 12 SESSION 1 (LEARNER NOTES) SESSION 1: TOPIC 1: DEVELOP STRATEGIES IN RESPONSE TO CHALLENGES IN THE THREE BUSINESS ENVIRONMENTS Learner Note: Remember the three business environments, the elements and challenges of each environment: Study the notes on: The challenges and strategies in the environments. SWOT analysis. Formulating, implementing and evaluating strategies. SECTION A: TYPICAL EXAM QUESTIONS: TOPIC 1: QUESTION 1: 5 minutes (Various sources) HINT You need only write down the question number with the correct alphabet letter. One of the situations in column B will not fit at all. Match the factors of the macro environment in column A with the situations in column B A B 1.1 Political A. The dumping of poisonous chemicals in a river. 1.2 Economic B. The implementation of the National Credit Act in Social C. The Reserve Bank increasing the repo rate. 1.4 Technological D. Governments role in dealing with unemployment. 1.5 Legal E. New software used in business 1.6 Environmental F. Competing against cheap imports G. The high rate of HIV in South Africa (6 x 2) [12] Page 3 of 40

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5 BUSINESS STUDIES GRADE 12 SESSION 1 (LEARNER NOTES) TOPIC 2: DEVELOP STRATEGIES IN RESPONSE TO CHALLENGES IN THE THREE BUSINESS ENVIRONMENTS TYPES OF STRATEGIES Learner Note: Strategies are developed for challenges that arise. Many of the strategies that you might have thought of in the previous essay question could be classified into different categories, or we could say different types of strategies. You need to learn these and now start applying them to challenges which arise in case studies. SECTION A: TYPICAL EXAM QUESTIONS: TOPIC 2 QUESTION 1: 15 minutes (Various sources) HINT When answering a question of this nature use the elimination technique if you are unsure. This means that you should start with those which you know. Identify the type of strategy that is being implemented by Crazy Stores from those given in the block below. Backward integration Liquidation Market penetration Retrenchment Divestiture Horizontal integration Conglomerate diversification Product development Concentric diversification Market development 1.1 Crazy stores decides to buy a supplier of theirs. This will enable them to ensure a continuous supply of products at the most reasonable prices. 1.2 Crazy Stores sales manager decides to reduce the mark-up on ladies cosmetics so as to increase sales. 1.3 Crazy Stores sales manager decides to sell out the ladies cosmetic department because of poor performance. 1.4 New products are going to be introduced to replace the slow lines. 1.5 The business adds new products or services that are unrelated to existing products, but which may appeal to new groups of customers. 1.6 Crazy Stores marketing team are looking at the possibility of exporting some lines to European markets. 1.7 Buying out a competitor to reduce the threat from the competition. 1.8 Crazy Stores wants to add new products which are related to existing products and which will appeal to new customers. Page 5 of 40

16 BUSINESS STUDIES GRADE 12 SESSION 2 (LEARNER NOTES) SESSION 2: TOPIC 1: CORPORATE CITIZENSHIP Learner Note: Businesses cannot operate only to make profits. In their operations they are impacting on society and also on the environment. Therefore, it would only be correct for them to give back to society and the environment. Study the notes provided and answer the questions SECTION A: TYPICAL EXAM QUESTIONS: TOPIC 1: QUESTION 1: 5 minutes 4 marks (DOE Nov. 2009) Describe the term Corporate Social Responsibility (CSR). (4) Hints: When more than 2 marks are allocated in a short definition, use examples to obtain the full 4 marks. QUESTION 2: 20 minutes 12 marks (DOE Nov. 2008) Read the following case study and answer the questions that follow. Grinaker-LTA's contribution to the community. Grinaker-LTA strives to ensure that its work benefits as many people as possible while providing stability and security for future generations. The Group has committed itself to spending 1% of annual earnings on Corporate Social Investment (CSI). Significant funds have been committed to the National Business Initiative (NBI), an organisation created to enhance a business s contribution to South Africa s success. The NBI s three main pillars to improve the status of ordinary South Africans are education, economic growth and effective governance. The group has recently allocated funding for educational material for the Maths Centre for Professional Teachers and the SAICE Schools Bridge-building competition which aims to increase awareness and interest in the civil engineering profession amongst secondary school learners. This is in addition to the assistance given to upgrading existing schools, and building new schools in both urban and rural areas. [Adapted from: Identify TWO social responsibility programmes implemented by Grinaker-LTA for the community. (4) 2.2 Justify Grinaker LTA's decision to spend 1% of their annual earnings on CSI, with regard to both the company and the community. (8) [12] HINTS: The answers to 2.1 are in the article. The answers to 2.2 will be the benefits of CSI to the business and the community. Mark allocation must indicate how many facts to be given. 2 marks per fact. Page 16 of 40

17 BUSINESS STUDIES GRADE 12 SESSION 2 (LEARNER NOTES) QUESTION 3: 15 minutes 12 marks (DOE Mar. 2010) Richards Bay Minerals is a mining company situated in Richards Bay. Explain how the company can improve the following challenges faced by the local community. Use examples to motivate your answer. 3.1 Poor education facilities (4) 3.2 High crime rate (4) 3.3 Limited housing infrastructure (4) [12] HINTS: The answer to this question would not only apply to Richards Bay but to any locality. TOPIC 2: SOCIO ECONOMIC ISSUES AND CORPORATE CITIZENSHIP Learner Note: In getting involved in CSI projects, businesses have to give special attention to socio-economic issues and, by doing so, they and the economy will benefit in the long term. After studying the notes on these issues answer the questions. QUESTION 1: 15 minutes 12 marks (DOE Nov. 2009) Identify any THREE socio-economic issues that may pose challenges to businesses and explain how they could address them. [12] HINT: Do not get confused by writing down the causes and the impacts of these issues. The question is asking for the role of businesses in solving these issues. Do not give the role of government as this is not asked. Remember that mark allocation is your guide. 3 x 4 = (12) QUESTION 2: 15 minutes 12 marks (Various sources) South Africa has been ravaged by unemployment and HIV/Aids. Discuss the impact that each one of these socio-economic issues has had on business and the economy of the country. [12] HINT: In this question you must discuss the negative impact that these two issues are having on business and the economy. Remember that mark allocation is your guide. 2 x 6 = (12) QUESTION 3: 10 minutes 8 marks (Various sources) Identify and explain any four causes of unemployment in South Africa. (4 x 2) [8] Page 17 of 40

27 BUSINESS STUDIES GRADE 12 SESSION 2 SELF STUDY (LEARNER NOTES) SESSION 2 SELF STUDY TOPIC 1: LEGISLATION (EMPLOYMENT EQUITY AND BROAD-BASED BLACK ECONOMIC EMPOWERMENT) Learner Note: All legislation is compulsory. Businesses do not have the option of non compliance but can develop strategies to accommodate legislation. After the Apartheid regime certain labour legislation had to be introduced or revised. You are required to know all the provisions of every Act. Study the notes and answer the questions. SECTION A: TYPICAL EXAM QUESTIONS QUESTION 1: 20 minutes 18 marks (DOE Various papers) Four possible options are provided as answers to the following questions. Choose the correct answer and write only the letter (A D) next to the question number, for example 1.7 B 1. Prevents unfair discrimination against employees in the workplace: (Nov. 2010) A Employment Equity Act, 1998 (Act 55 of 1998) B Skills Development Act,1998 (Act 97 of 1998) C Basic Conditions of Employment Act, 1997 (Act 75 of 1997) D Broad-based Black Economic Empowerment Act, 2005 (Act 53 of 2003) 2. A business which employs more than 50 workers and has a turnover of R10 million, must submit this document to the Department of Labour once every two years: (Mar. 2010) A B C D Equity plan Marketing strategy Business plan Code of conduct 3. Which ONE of the following methods is implemented by government to stimulate overall economic growth? (Mar. 2009) A B C D Implementing a new medical aid fund Sponsoring an Aids orphanage Increasing the interest rate Introducing the Broad-based Black Economic Empowerment Act 4. This legislation was created to ensure that qualified people from designated groups have equal opportunities in the workplace. (Sunday Times Avusa Exemplars) A. Affirmative action B. Unemployment Insurance Act C. Skills Development Act D. Black Empowerment Act Page 27 of 40 006ab0faaa