Business Studies (0450)

Cambridge IGCSE™ Business Studies (0450) — Syllabus

1. Understanding business activity
   1. Business activity: needs vs wants; scarcity & opportunity cost; specialisation; adding value.
   2. Classification of businesses: primary/secondary/tertiary sectors; changes over time; private vs public sector.
   3. Enterprise, business growth and size: entrepreneurs & business plans; support for start‑ups; measuring size (employees, output, capital employed) and limits; reasons to grow/remain small; causes of failure.
   4. Types of business organisation: sole trader; partnership; private/public limited companies; franchises; joint ventures; limited liability vs unincorporated; public corporations.
   5. Business objectives & stakeholder objectives: survival, growth, profit, market share; social enterprises; stakeholder groups and conflicts; public vs private sector aims.
2. People in business
   1. Motivation: human needs; Taylor/Herzberg; financial & non‑financial methods.
   2. Organisation & management: structures; roles; delegation; leadership styles; trade unions.
   3. Recruitment, selection & training: internal vs external; process; methods; downsizing; legal controls.
   4. Internal & external communication: methods; barriers; IT and digital channels.
3. Marketing
   1. Marketing, competition & the customer; market change; niche vs mass; segmentation.
   2. Market research: primary & secondary; sampling; using data.
   3. Marketing mix: product, price, place, promotion; e‑commerce; social media; branding.
   4. Marketing strategy; legal/ethical issues; entering foreign markets.
4. Operations management
   1. Production of goods & services: productivity; inventory; lean; methods; technology.
   2. Costs, scale of production & break‑even.
   3. Achieving quality production.
   4. Location decisions.
5. Financial information & decisions
   1. Business finance: needs & sources.
   2. Cash‑flow forecasting & working capital.
   3. Income statements.
   4. Statement of financial position.
   5. Analysis of accounts: profitability & liquidity ratios; users of accounts.
6. External influences on business activity
   1. Economic issues: business cycle; government policy impacts.
   2. Environmental & ethical issues; sustainability; legal controls; pressure groups.
   3. International economy: globalisation; multinationals; exchange rates.