W1-2-60-1-6
JOMO KENYATTA UNIVERSITY OF AGRICULTURE AND TECHNOLOGY
UNIVERSITY EXAMINATIONS 2015/2016
YEAR I SEMESTER I EXAMINATION FOR THE DEGREE OF BACHELOR COMMERCE/BUSINESS INFORMATION TECHNOLOGY
HBC 2102: INTRODUCTION TO BUSINESS
DATE:DECEMBER 2015 TIME: 2 HOURS
INSTRUCTIONS: Answer question one (compulsory) and any other two questions.
QUESTION ONE
a. G and G company is a global company dealing in heavy earth moves. Their feasibility study have concluded that Kenya is an economic force in East and Central Africa thus considering to invest in Kenya. Explain the following types of business environment and how they affect a business.
i. Internal environment. (4 marks)
ii. Task environment. (4 marks)
b. Villar Rosa Kempinsiki Hotel in Nairobi is one of the five star hotels that specialized in high end clientele for a premium package. Recently it has been facing stiff competition from other establishments not only in Nairobi but in East Africa. To remain competitive, Villa Rosa Kempinsiki has hired you to explain how they can have a competitive advantage.
Explain to the board of directors of Villa Rosa Kempiski how the five competitive forces by Michael Porter and their applicability to the establishment. (10 marks)
c. Discuss the following theories of relation to modern business.
i. Protestant ethics. (2 marks)
ii. Social Darwinism. (2 marks)
d. Factors of production work as a unit and the removal of any of them will bring production to a halt.
Discuss the following factors of production in an economic system.
i. Land. (2 marks)
ii. Labour. (2 marks)
iii. Capital. (2 marks)
iv. Entrepreneurship (2 marks)
QUESTION TWO
a. Illustrate advantage of owning a franchise. (4 marks)
b Describe the following e-commerce transactions.
i. Business to Business (B2B) (2 marks)
ii. Business to consumer (B2C) (2 marks)
iii. Business to Government (B2G) (2 marks)
c. Discuss the following marketing concepts.
i. Production philosophy. (2 marks)
ii. Product philosophy. (2 marks)
iii. Selling philosophy ( 2 marks)
iv. Marketing philosophy (2 marks)
v. Societal marketing philosophy. (2 marks)
QUESTION THREE
a. Define the term economic system. (2 marks)
b. Every business has various ways it responds to its environment. Using the relevant examples in Kenya, Discuss the following responses by organizations to their environments.
i. Information management. (2 marks)
ii. Strategic response. (2 marks)
iii. Mergers, Acquisition alliances (2 marks)
iv. Organizational design and flexibility (2 marks)
v. Direct influence of the environment. (2 marks)
c. Describe theory x and theory y by Douglas McGregor. (8 marks)
QUESTION FOUR
a. The vast majority of small firms start out as sole proprietorship. Illustrate merits and demerits of sole proprietorship. (10 marks)
b. Define corporate social responsibility. (2 marks)
c. Discuss the following organizational strategies of social responsibility.
i. Social Distributor. (2 marks)
ii. Social obligation. (2 marks)
iii. Social response. (2 marks)
iv. Social contribution. (2 marks)
QUESTION FIVE
a. Define the following terms
i. Whistle blowing. (2 marks)
ii. Business plan. (2 marks)
iii. Elevator pitch. (2 marks)
iv. Social audit. (2 marks)
b. Describe qualities of a good business plan. (4 marks)
c. Discuss current issues affecting business in the 21st century. (8 marks)
