Report on the 2015 WACE examination in
Business Management and Enterprise Stage 3
Year / Number who sat / Number of absentees2015 / 796 / 15
2014 / 634 / 15
2013 / 696 / 7
Examination score distribution - Written
Summary
The mean of this year’s examination paper was 59.31%. The paper was a good discriminator, producing scores ranging from 0.00% to 91.60%. The standard deviation was 16.64%. Reliability of the examination paper was 0.83. The sectional means were: Section One: (Short answer), 59.08% and Section Two (Extended answer) 59.98%. Correlation of the section marks with the total marks was good, indicating that there was consistency across sections/questions within the paper. Candidates demonstrated capability in discipline knowledge as per syllabus content in both factual recall and the analysis and interpretation of data, and were most challenged by items requiring critical thinking in terms of their self-directed, written responses.
General comments
The paper covered the major syllabus points and gave candidates an opportunity to demonstrate their knowledge in a logical and clear manner. However, often responses from the candidates were general in nature and lacked application to the scenarios provided. It appeared that many candidates did not read the question and only responded to part of the question, that is, they addressed the syllabus dot point in terms of general response but did not contextualise that response to the context provided in the set question.
In Section One candidates found the questions of varying difficulty with means ranging from 43.93% to 78.81%. When reading the individual comments for each question (shown below) it can be seen that candidates demonstrated knowledge of the syllabus dot points, however required development in application. Section Two had means ranging from 45.71% to 64.27%, the lower maximum mean indicative of candidates’ need to demonstrate critical thinking and application in the extended response section. Candidates displayed a clear preference when attempting to answer from a choice of two out of three questions, preferring Question 8 (717 candidates attempted this question) and Question 7 (623 candidates), while only 240 candidates attempted Question 9. The penmanship of many of the candidates made it difficult to read the responses and award full marks.
Advice for candidates
· you need to understand why there is reading time allocated to papers and how to utilise it effectively
· read questions thoroughly
· apply source material and reference(s) to cases studied in responses where required
· you should aim to use appropriate business terminology, in particular syllabus dot points, throughout the examination
· learn to write responses addressing the question and its specific application/context, as opposed to regurgitating rehearsed responses covering only the syllabus dot point
· learn and practise penmanship; this is important to allow markers to award the full range of marks to candidates
Advice for teachers
· teach the importance of effective use of ‘reading time’
· focus on teaching and developing appropriate structure in extended response questions
· emphasise the need to apply source material and reference case material studied in class in students responses
· be aware of students who rote learn/rehearse pre-prepared responses; these responses limit students’ critical thinking when addressing specifics of the question, and hence ability for application when responding
· students have to handwrite their responses – legibility and penmanship, is very important to markers
Comments on specific sections and questions
Written examination
Section One: Short answer
Attempted by 795 Candidates Mean 35.47(/60) Max 58 Min 2
Question 1 Attempted by 782 Candidates Mean 5.15(/10) Max 10 Min 0
In part (a)(i) most candidates were able to explain Herzberg’s motivation hygiene theory but were unable to clearly distinguish between motivators and hygiene factors. Many made reference to Herzberg’s theory in relation to having a clean or tidy office. Part (a)(ii) found most candidates not providing a relevant response. There appeared to be a lack of application to the motivating factors that would satisfy a professional worker. This is in part, due to candidates not fully understanding the characteristics of a professional worker. In part (b)(i) many candidates could list the three components of Vroom’s expectancy theory, but they were unable to make a connection to employee performance and motivation. Many did not provide a relevant response to part (b)(ii). There appeared to be a lack of application to the motivating factors that would satisfy a professional worker. Again, this in part was due to candidates not fully understanding the characteristics of a professional worker.
Question 2 Attempted by 794 Candidates Mean 5.60(/10) Max 10 Min 0
In part (a) many candidates were unable to accurately describe the role of a free trade agreement, but could provide a limited definition. Part (b) was difficult for the candidates to achieve full marks. Many candidates could not identify the main features of ANZCERTA or AANZFTA and provided only a general benefit and/or challenge of free trade agreements without acknowledging the specific detail of the two agreements listed. There was limited application demonstrated on the impact to Australian-owned businesses.
Question 3 Attempted by 778 Candidates Mean 4.40(/10) Max 10 Min 0
The use of incorrect business terminology resulted in candidates not achieving full marks in part (a). Candidates confused the terms ‘profit’ with ‘price’ when explaining the process of transfer pricing. However, many did explain the concept of a movement between subsidiaries to a parent company. Part (b) found candidates restating the question and attempting to discuss tax havens but failing to make a direct link to the impact on Australia’s loss of domestic revenue. Candidates were able to make general statements about technology and how international businesses would use technology in part (c) but failed to make a connection to how technology would be used to reduce tax obligations.
Question 4 Attempted by 791 Candidates Mean 6.27(/10) Max 10 Min 0
Many candidates could only identify a characteristic or feature regarding the impact of IA’s business operations in part (a)(i). In part (a)(ii) candidates could only identify a characteristic or feature regarding the impact of IA’s business operations. Overall, in both parts, there was limited application to the scenario. Candidates could state a fact about foreign exchange rates but failed to demonstrate how foreign exchange rates would impact business operations in part (b). Many candidates confused foreign exchange rates with currency fluctuations. Candidates were able to define e-commerce and identify the impact of e-commence in general terms in part (c), but failed to apply the impact of e-commerce to the scenario in the question.
Question 5 Attempted by 792 Candidates Mean 6.64(/10) Max 10 Min 0
Candidates were very creative with their responses to part (a) and many were able to demonstrate the role of innovation in relation to the scenario provided. Most candidates provided a response relating to existing business activities. In part (b) the majority were able to identify one strategy that would impact the success of innovation. There was some confusion from candidates using the term ‘marketing mix’ instead of ‘marketing strategy’. Part (c) found many candidates who demonstrated a sound understanding of the marketing mix but failed to make a connection to the concept of a ‘global brand’. There was limited application to the scenario in the question.
Question 6 Attempted by 793 Candidates Mean 7.69(/10) Max 10 Min 0
Candidates demonstrated an understanding of ‘situational leadership’ in part (a) but needed to include in their response, the willingness of people to follow depending on the event or circumstances. In part (b) many candidates provided a strong response and could easily identify the traits of effective leaders but did not achieve full marks because they did not indicate ‘why’ each trait was important.
Section Two: Extended answer
Attempted by 793 Candidates Mean 24.0(/40) Max 37.6 Min 0
Question 7 Attempted by 623 Candidates Mean 15.28(/25) Max 25 Min 0
Part (a) found candidates could list and describe the elements of the Porter’s five forces model, but had difficulty stating why you would use Porter’s (the purpose). Candidates failed to relate the question back to the scenario. In part (b) most candidates nominated supplier bargaining power over competitive rivalry when responding to this question part. Candidates were able to describe a nominated section of Porter’s five forces model, but could not provide examples that related to the scenario. The majority of candidates provided a strong response to part (c) and easily defined ‘participative leadership’ and provided strengths and weakness of the leadership style. Candidates confused the terms ‘offshore’ with ‘outsourcing’ in part (d) and failed to achieve full marks because they did not discuss ‘why’ a job would be moved offshore and did not use the scenario in their response. Part (e) found that candidates did not understand the term’ resistance to change’ and as a result could not provide two strategies or identify why employees would have resistance to change.
Question 8 Attempted by 717 Candidates Mean 16.08(/25) Max 25 Min 0
Candidates could list a benefit of a strategic alliance and could identify the various types of strategic alliances available to Arkie, but failed to nominate an appropriate benefit in part (a). There was limited application to the scenario when responding to this question part. In part (b) the majority of candidates provided a strong response. However, some candidates confused currency fluctuations with exchange rates. In part (c) most candidates provided a strong response, with many providing an example to support the ethical practices described. Many candidates listed corporate social responsible. In part (d) candidates could list a source of funding, describe the source of funding and explain if the source of funding was internal or external. However, many could not nominate an appropriate source of funding and failed to apply their response to the scenario. Many included share capital as an internal source of funding which is incorrect. Many candidates successfully listed three cultural considerations that should be considered when setting up operations offshore in part (e), but failed to identify the impact of their nominated cultural consideration in a printing and production operation. Again, there was limited application to the scenario.
Question 9 Attempted by 240 Candidates Mean 11.43(/25) Max 22.5 Min 0
In part (a) candidates struggled to provide two factors of ‘driving’ global businesses. Most candidates listed the advantage of lower costs in developing nations. In part (b)(i) candidates often restated the question and failed to interpret the current ratio or the change in the current ratio. Many candidates restated the question and failed to interpret the gross profit or the change in the gross profit ratio in part (b)(ii). Many confused profit with sales. Part (c)(i) found candidates only providing one reason why research and development is a necessary component of the product development process. Candidates could not identify the various research and development methods in part (c) (ii) and failed to link their responses to the scenario. It was evident that candidates were unfamiliar with the terms used in this question. In part (d) candidates’ knowledge and application of the competition regulation and patent registration was limited and indicates more time may be required to cover this material. In part (e) many candidates could correctly identify the various quality techniques available to manage production and made recommendations for the quality techniques, but failed to provide support for their recommendation. There was limited application to the scenario when responding to this question.
WACE Examination Report: Business Management and Enterprise Stage 3 2