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IGCSE Economics 0455 · Microeconomic decision makers · 14

0455.3.5.4 — mergers Examples, advantages and disadvantages of different types of mergers: horizontal, vertical, and conglomerate.: past paper questions

16 real questionsasked in 4 of the last 10 exam series2019–2024usually: Discuss, Which, Explain, What, Describe

Real questions on 0455.3.5.4 — mergers examples, advantages and disadvantages of different types of mergers: horizontal, vertical, and conglomerate.

The newest 16 of 16 written questions. Open one to see it on the real paper.

  1. 0455/12 · October/November 2024 · Q12[1]

    Which term best describes this merger?

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  2. 0455/11 · May/June 2024 · Q15[1]

    Which type of merger is this?

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  3. 0455/21 · May/June 2024 · Q4c[6]

    Analyse why a government may prevent a horizontal merger.

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  4. 0455/22 · February/March 2024 · Q3a[2]

    Define external growth of firms.

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  5. 0455/12 · October/November 2023 · Q14[1]

    An airline takes over an online clothing company. What is an advantage of such a move by the airline?

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  6. 0455/21 · May/June 2023 · Q5d[8]

    whether or not a government should encourage firms to merge.

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  7. 0455/21 · October/November 2022 · Q4b[4]

    Explain two types of merger.

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  8. 0455/21 · October/November 2022 · Q4d[8]

    Discuss whether or not a merger can help a firm survive.

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  9. 0455/23 · October/November 2022 · Q4b[4]

    Explain two advantages to a firm of a horizontal merger.

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  10. 0455/11 · October/November 2021 · Q15[1]

    What is a major advantage of a horizontal merger compared with a conglomerate merger?

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  11. 0455/12 · October/November 2021 · Q15[1]

    Two car manufacturers agree to merge. Which outcome would be a disadvantage for customers?

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  12. 0455/23 · October/November 2021 · Q4d[8]

    Discuss whether or not a government should stop firms merging.

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  13. 0455/12 · May/June 2021 · Q13[1]

    Which type of merger is this most likely to be?

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  14. 0455/22 · May/June 2020 · Q5d[8]

    whether or not mergers benefit an economy.

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  15. 0455/23 · May/June 2020 · Q4b[4]

    Explain two types of mergers.

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  16. 0455/22 · February/March 2019 · Q5d[8]

    Discuss whether or not a merger will increase profits.

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What examiners said

This question required a focus on whether or not a government should encourage firms to merge. Whilst the vast majority were able to address the issues around merger with some degree of success, the wider element of government was not understood by most. Strong answers discussed the advantages of merger from the point of view of the firms involved with respect to economies of scale, efficiency and...

— Examiner report, May/June 2023, 0455/21 Q5(d) (Cambridge)

Candidates who gave a simple, clearly structured answer to this question were by far the most successful. It was a straightforward task to identify two types of merger, e.g. horizontal and vertical, and then explain them by reference to the appropriate stages or sectors of production. Candidates who found this question problematic tended to produce long answers without reference to specific types...

— Examiner report, October/November 2022, 0455/21 Q4(b) (Cambridge)

The following is an example of a Level 3 (L3) response to this question about whether a merger can help a firm survive. Its strength lies not in its length but in the way that the discussion is developed concisely, and without deviating from the topic. It would have been even better if it had included specific mention of economies of scale as an aid to survival, although they are implied: ‘A merg...

— Examiner report, October/November 2022, 0455/21 Q4(d) (Cambridge)

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0455.3.5.4 — mergers Examples, advantages and disadvantages of different types of mergers: horizontal, vertical, and conglomerate. — IGCSE Economics 0455 past paper questions | AssessPro