Form 3 Business Studies paper 2 questions and answers

Highlight six problems a manufacturer is likely to face when the wholesalers is eliminated from the chain of distribution

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Explanation/Answer Text:
-Storage problems of goods may arise hence increased costs of production
-He may need to organize his own transport hence increased transportation expenses
-He may not sell his goods faster given that retailers may not buy in bulk
-He will be exposed to many risks related to production, storing, distribution and falling of prices
-Financial problems, since the wholesaler provides ready cash
-He will need to prepare goods for sale him/ her self
Questions/Lessons List

1. Explain five unique characteristics of services. ( free lesson)


2. The government of Kenya has been involving herself in business. Explain five method of government involvement in business. ( free lesson)


3. Bidii electronic ltd has been considering adopting personal selling for its product promotion. Advise the company on five circumstances under which this method would be the most appropriate. ( free lesson)


4. Motor cycle mode of transport has become very popular in the recent past. Explain five factors that have contributed to this popularity. ( free lesson)


5. Explain five advantages of carrying out trade activities through E-commerce ( free lesson)


6. Mumias sugar ltd is considered to a very large firm in east Africa. Explain five reasons justifying this statement. ( free lesson)


7. Explain the procedure of obtaining an insurance policy. ( free lesson)


8. population comprising mostly of young people is faced with some challenges. Explain five of such challenges ( free lesson)


9. Safaricom Ltd has successfully operated a business in Kenya making a huge profit. Explain five causes of its business success. ( free lesson)


10. Explain five measures that government may take to encourage establishment of industries in rural areas. ( free lesson)


11. The oil pipeline has been recently extended from Nairobi to western Kenya. Explain five benefits that may accrue to the country from this extension. ( free lesson)


12. Explain four factors that may influence the choice of distribution channel. ( free lesson)


13. Outline the benefit that saving and credit cooperative society provide to members. ( free lesson)


14. Explain five ways in which warehousing facilitate trade. ( free lesson)


15. Describe the procedure involved in personal selling method of sales promotion. ( free lesson)


16. Highlight five measures Kenya government may put in place to reduce unemployment. ( free lesson)


17. Explain five mode trends in the banking industry in Kenya. ( free lesson)


18. Under what circumstances will an exporter prefer air transport to water transport? ( free lesson)


19. Explain five reasons that justify insurance as an aid to trade ( free lesson)


20. Explain five problems facing small scale businesses in Kenya ( free lesson)


21. Discuss five factors that determine the amount of premium to be charged against policy ( free lesson)


22. Highlight six problems a manufacturer is likely to face when the wholesalers is eliminated from the chain of distribution ( free lesson)


23. Give four differences between corporations and savings and credit co-operative societies ( free lesson)


24. Explain five factors considered in choosing viable investment to undertake ( free lesson)


25. Explain five methods initiated by the government inorder to protect consumers ( free lesson)


26. Explain five factors that may lead to decline of supply of a certain commodity ( free lesson)


27. Explain five benefits that a country derives from transporting oil by pipeline ( free lesson)


28. Explain five uses of national income statistics in an economy ( free lesson)