IGCSE Business Studies (9–1) 0986 · Topic 2

People in business: past paper questions

52 real questionsasked in 9 of the last 10 exam series2019–2026usually: Explain, Define, Justify, Consider, Outline

Real questions on people in business

The newest 20 of 52 written questions. Open one to see it on the real paper.

0986/11 · May/June 2026 · Q3a[2]
Define ‘democratic leadership style’.
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0986/11 · May/June 2026 · Q3e[6]
Explain two methods of external recruitment a business could use. Which is likely to be the best method for a business to use? Justify your answer.
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0986/21 · May/June 2026 · Q4b[12]
(b) Consider the following two methods Ashanti could use to motivate YC’s employees. Which method should Ashanti use? Justify your answer. * commission * paying a higher wage than competitors COMMISSION .......... paying higher wage than competitors ..........
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0986/11 · October/November 2025 · Q3c[4]
Outline two advantages of Vicki delegating tasks to her employees. Advantage 1: Advantage 2:
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0986/11 · October/November 2025 · Q3e[6]
Explain two methods of training a business might use. Which is likely to be the best method for a service business to use? Justify your answer.
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0986/21 · October/November 2025 · Q3b[12]
Using Appendix 2 and other information, consider the three employees that LB could make redundant. Which employee should LB choose? Justify your answer. • Naga • Reeta • Amy Naga: Reeta: Amy: Recommendation:
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0986/21 · October/November 2025 · Q4a[8]
Explain two factors LB’s managers should consider when deciding which method of communication to use to inform its employees about the expansion plans. Factor 1: Explanation: Factor 2: Explanation:
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0986/11 · May/June 2025 · Q3a[2]
Define ‘dismissal’.
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0986/11 · May/June 2025 · Q3d[6]
Explain two advantages of LFK training its employees. Advantage 1: Explanation: Advantage 2: Explanation:
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0986/11 · May/June 2025 · Q3e[6]
Do you think the advantages of external recruitment for a business are greater than the disadvantages? Justify your answer.
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0986/12 · May/June 2025 · Q2d[6]
Explain two advantages to FLD of using internal recruitment when recruiting new managers. Advantage 1: Explanation: Advantage 2: Explanation:
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0986/12 · May/June 2025 · Q2e[6]
Do you think job rotation is the best method for a large business to use to motivate its employees? Justify your answer.
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0986/12 · May/June 2025 · Q4e[6]
Explain two methods of communication a business could use to communicate with its suppliers. Which is likely to be the best method to use? Justify your answer.
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0986/21 · May/June 2025 · Q1b[12]
Consider each of the following three methods PF could use to motivate its employees. Which method should PF use? Justify your answer. • • • Paying bonuses Piece‑rate Job rotation Paying bonuses: Piece‑rate: Job rotation: Recommendation:
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0986/22 · May/June 2025 · Q1b[12]
Consider the following two benefits for TSE of having a well-motivated workforce. Which benefit is likely to be the most important to TSE? Justify your answer. • • Reduced absenteeism Lower labour turnover Reduced absenteeism: Lower labour turnover: Conclusion:
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0986/11 · October/November 2024 · Q1b[2]
Identify two reasons why people work. Reason 1: Reason 2:
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0986/11 · October/November 2024 · Q1c[4]
Outline one advantage of RSL using each of the following methods of internal communication. Email: Telephone calls:
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0986/11 · October/November 2024 · Q1d[6]
Explain two leadership styles RSL’s managers might use. Leadership style 1: Explanation: Leadership style 2: Explanation:
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0986/21 · October/November 2024 · Q2a[8]
Explain two functions of management for CC’s new manager. Function 1: Explanation: Function 2: Explanation:
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0986/11 · May/June 2024 · Q2a[2]
Define ‘span of control’.
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What examiners said

Many candidates were not able to clearly define dismissal. Often one mark was awarded for explaining that this involves a worker losing their job for some sort of bad behaviour. The weakest answers confused dismissal with redundancy or retirement.
— Examiner report, May/June 2025, 0986/11 Q3(a) (Cambridge)

Candidates could answer this question in terms of the benefits for LFK or for the employees themselves. Most candidates focused on the benefits to the business with many explaining increased efficiency or improved quality of output. Candidates often struggled to gain both analysis marks as they could not explain why the stated point would be an advantage. Many candidates simply repeated in both po...
— Examiner report, May/June 2025, 0986/11 Q3(d) (Cambridge)

There was some evidence that candidates did not carefully read this question before starting their answers. Such candidates often incorrectly explained why external recruitment was better than internal recruitment. The strongest answers listed several benefits and costs of external recruitment but often did not develop any point fully to show analysis. A noticeable number of candidates applied the...
— Examiner report, May/June 2025, 0986/11 Q3(e) (Cambridge)

Practise this topic

Answer these questions online and get each one marked against the official mark scheme, with what you missed and how to fix it.

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In the syllabus

1 0450.2.1.1.01 — The concept of human needs, e.g. Maslow’s hierarchy

The concept of human needs, e.g. Maslow’s hierarchy
Key motivational theories: Taylor and Herzberg

2 0450.2.1.1.02 — Key motivational theories: Taylor and Herzberg

Key motivational theories: Taylor and Herzberg

3 0450.2.1.2.01 — Non-financial methods, e.g. job enrichment, job rotation, teamworking, training, opportunities for promotion

Non-financial methods, e.g. job enrichment, job rotation, teamworking, training, opportunities for promotion
Recommend and justify appropriate method(s) of motivation in given circumstances

4 0450.2.1.2.02 — Recommend and justify appropriate method(s) of motivation in given circumstances

Recommend and justify appropriate method(s) of motivation in given circumstances

5 Draw, interpret and understand simple • Simple hierarchical structures: levels of

Roles and responsibilities of directors, managers, supervisors, other employees in an organisation and inter-relationships between them

6 The role of management: • Functions of management, e.g. planning,

Importance of delegation; trust versus control

7 Leadership styles: • Features of the main leadership styles,

Recommend and justify an appropriate leadership style in given circumstances

8 0450.2.3.1.01 — Difference between internal recruitment and external recruitment

Difference between internal recruitment and external recruitment
Main stages in recruitment and selection of employees
Recommend and justify who to employ in given circumstances
Benefits and limitations of part-time employees and full-time employees

9 0450.2.3.1.02 — Main stages in recruitment and selection of employees

Main stages in recruitment and selection of employees

10 0450.2.3.1.03 — Recommend and justify who to employ in given circumstances

Recommend and justify who to employ in given circumstances

11 0450.2.3.1.04 — Benefits and limitations of part-time employees and full-time employees

Benefits and limitations of part-time employees and full-time employees

12 The importance of training and the methods • Importance of training to a business and to

Benefits and limitations of induction training, on-the-job training and off-the-job training

13 0450.2.3.3.01 — Understand situations in which downsizing the workforce might be necessary, e.g. automation or reduced demand for products

Understand situations in which downsizing the workforce might be necessary, e.g. automation or reduced demand for products
Recommend and justify which employees to make redundant in given circumstances

14 0450.2.3.3.02 — Recommend and justify which employees to make redundant in given circumstances

Recommend and justify which employees to make redundant in given circumstances

15 0450.2.4.1.01 — Benefits and limitations of different communication methods including those based on information technology (IT)

Benefits and limitations of different communication methods including those based on information technology (IT)
Recommend and justify which communication method to use in given circumstances

16 0450.2.4.1.02 — Recommend and justify which communication method to use in given circumstances

Recommend and justify which communication method to use in given circumstances

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