Adele

Adele

Topic: Marketing

Content: Marketing South Africa as a tourism destination

The importance of marketing South Africa internationally
  • International marketing ensures that South Africa competes in and taps into a highly competitive marketplace
  • The key objectives of marketing South Africa as a tourist destination are to:
Increase in annual volume of foreign arrivals in SA 
  • Successful marketing will lead to an increase in tourist arrivals – or the volume of tourists visiting the country
  • Successful marketing can encourage repeat visits - inform previous visitors of new developments, activities and attractions
  • Successful marketing sets the multiplier effect into motion
  • Increasing tourist numbers (volume) is essential for the tourism industry to continue to create jobs and contribute to GDP growth
Increase in international awareness of SA as a travel destination 
  • Marketing showcases the attractiveness of South Africa
  • Marketing creates awareness of a destination with respect to the type of destination it is (destination characteristics) and what it offers
  • Marketing campaigns can address the lack of information and target key tourist segments with specific information
  • Marketing creates a positive image of South Africa
  • Marketing increases the possibility of inbound tourists considering South Africa as an attractive destination of choice

The core business of SATourism

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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  • SATourism is the national tourism agency responsible for marketing South Africa as a destination internationally and domestically
  • The core business of SATourism is:
Marketing South Africa internationally as a tourism destination of choice 
  • SATourism travels to different countries (Road Shows) to promote and market SA internationally
  • SATourism also undertakes a number of marketing activities by advertising on: buses and taxis in major cities around the world; huge billboards; printed media; on-line; social media; popular global TV stations such as BBC, Aljazeera or CNN and participates in major travel shows both locally and internationally
  • SATourism opens publicity offices abroad
  • SATourism markets the South African tourism product as a value-for-money destination
  • Showcases the various tourism products and services available in South Africa
  • Creates opportunities for role players in South Africa to network with international role players
  • Creates investment opportunities for tourism professionals on an international platform
  • In order to ensure that the marketing budget is used effectively, SA Tourism divides the international market into segments to identify the most important markets on which to focus. SATourism categorises market segments as core markets (South Africa’s main tourist markets and where South African Tourism spends considerable resources), investment markets, tactical markets, watch-list markets, strategic importance and strategic air links/hubs (Definitions of each of these markets are given in your Tourism textbook)
Maintaining and enhancing the standard of facilities and services for tourists 
  • In order for SATourism to market SA, tourism businesses must be able to deliver on the marketing promise e.g. the quality of the offering and the standards of facilities and service
  • The Tourism Grading Council of South Africa (TGCSA), which operates as a business unit of SATourism grades tourism businesses e.g. guest houses, according to the experience they offer with a star grading that ranges from one to five stars. This is an indication to tourists of the type of facilities and services they can expect to receive from the graded establishment
  • SATourism together with the TGCSA, launched the Lilizela Tourism Awards in 2013 to recognise and reward excellence in tourism. The Service Excellence focus area has three categories, namely Accommodation Awards, Tourist Guides Awards and Visitor Experience Awards. In the Entrepreneurship category, the Emerging Tourism Entrepreneur of the Year Award (ETEYA) is given to black entrepreneurs, who operate small, micro and medium tourism or hospitality-related businesses. The Universal Accessibility Awards and the B-BBEE Awards recognise businesses that have proven to incorporate sustainable development into their businesses
Coordinating the marketing activities of role players in the industry 
  • All role players (e.g. independent businesses, local and provincial tourism agencies, private sector tourism associations) in the tourism industry must align their marketing activities and messages in the international tourism market to the marketing strategy of SATourism. This will ensure that potential tourists get a clear message about South Africa as a destination
  • SATourism also helps to package special offers by working with the trade (tour operators and travel agents) that caters for the identified target markets and segments
Opportunities for marketing SA internationally
  • ITB is one of the best-known and most established travel trade shows in the world
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  • Held in March each year, in Berlin, Germany
  • 10 000 exhibitors from 180 countries
  • The ITB Convention, a major travel conference, is held at the same time as the expo. This is where people in the tourism industry meet to discuss new trends and developments in the industry
  • This major global travel show is one of the main travel shows that SATourism attends each year. South African tourism businesses and organisations also attend it in their individual capacity
  • WTM is another major global travel show where many travel deals are made
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  • Like ITB, it is predominantly a B2B (business to-business) show. World Travel Market has a strict admission policy and is open to travel industry professionals only and not the general public
  • WTM is held over four days in London in November each year
  • It attracts senior travel industry professionals, government ministers and international press
  • The travel show aims to create opportunities for a wide variety of people from the global travel trade to meet, negotiate and conduct business under one roof
  • A conference is held at the same time as the show South Africa has a number of exhibitors at WTM each year. This includes SATourism, which uses the platform to market to the UK and other outbound tour operators

 

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  • SATourism markets South Africa at these international travel shows through:
    • Attractive and eye-catching displays of all 9 provinces at the South African Tourism stands
    • Brochures, DVDs and proudly South African branded hand outs
    • Personnel manning the stand answer questions about South Africa
    • Networking with other international role players and promoting the South African brand image to these role players
    • Presentations on South African products and services
Funding for SATourism’s international marketing initiatives: the role of Tourism Marketing Levy South Africa
  • TOMSA stands for Tourism Levy South Africa
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  • TOMSA is a private sector initiative created to raise additional funds for marketing South Africa
  • TOMSA collects a 1% Tourism Levy, voluntarily paid by customers, from participating tourism businesses e.g. tour operators, car rental companies and accommodation establishments
  • The Tourism Business Council of South Africa (TBCSA) administers TOMSA and ensures that the collected funds are given to SATourism for marketing
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The concept: branding South Africa’s brand logo
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Branding: The marketing practice of creating a name, symbol or design that identifies and differentiates a product from other products. An effective brand strategy gives you a major edge in increasingly competitive markets. 
  • To promote uniformity, the International Marketing Council (IMC) of South Africa also known as Brand South Africa, developed a logo that appears on all marketing undertaken by South African Tourism. The private sector may also use the logo
  • The South African flag is an internationally recognised representation associated with SA
  • It is part of the marketing strategy of SATourism to create awareness of the brand
  • SATourism uses the brand logo to make South Africa more visible as an attractive tourist destination
  • A recognisable global brand inspires positive thoughts and feelings about the country which will convince people to travel to South Africa
  • A strong brand positions our country as an attractive destination partner for trade and investment
  • This brand helps create a positive, unified image of South Africa
Introduction to the Tourism Indaba travel trade show and the Getaway show as opportunities to promote South Africa and the southern African region to the world

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  • Indaba is one of the largest tourism marketing events on the African continent
  • It is owned and organised by SATourism
  • The show is held in May each year at the International Convention Centre in Durban
  • The show attracts more than 13 000 delegates and attracts exhibitors from the private sector (large companies), tourism associations, government departments, provincial, municipal tourism organisations and tourism marketing authorities from the SADC countries
  • An important part of the show is that SATourism creates networking and trade opportunities by bringing tour operators from the main international markets to the show to view products and conclude deals
 

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  • The Getaway Show is a consumer show and therefore open to the public
  • Its focus is on domestic and regional travel and the main segments it targets are nature, outdoor and adventure travel
  • The show has over 400 exhibitors including destinations, accommodation, outdoor gear, 4x4 products, caravans, camping equipment and adventure operators
  • It takes place in the Cape (in March) and Gauteng (in August/September) and each show runs for three days
  • The two shows together attract about 38 000 visitors and around 700 exhibitors

TRAVEL DOCUMENTATION

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PASSPORT

  • Issued by a national government for international travel.
  • Certifies the identity and nationality of the holder.

Regular tourist passport: 32 pages
Maxi tourist passport: 48 pages for frequent travellers.

The E-Home Affairs system Launched in 2016. South Africans apply and pay for their passport on the Home Affairs website.
Collect passport at Home Affairs office or the nearest supported bank that offers a Home Affairs Live Capture Service.
Applicants to provide biometric authentication to receive their documents.
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Tourist passports:
16 years and older (valid 10 years)
15 years or younger (valid 5 years)
Passports cannot be renewed. Re apply after expiry date
South African passports include the following information:

  • A photo of the passport holder 
  • Type of passport
  • Issuing country
  • Passport number
  • Given names and surname of the passport holder
  • Nationality of the passport holder
  • Gender of passport holder
  • Birth date
  • Birth place
  • Issue date
  • Expiry date

South Africa: discontinued temporary passports – apply for emergency travel certificate (ETC) – not accepted by all countries

TYPES OF PASSPORTS 

  • Tourist: Regular of Maxi passports 
  • Official passports
  •  Diplomatic passports
  •  Crew Member Certificates

APPLY IN PERSON

  •  Verify identity
  • Photograph is a true image
  • Fingerprints taken & checked against the National Population Register (people 16 years or older)

YOU WILL NEED

  • Passport application Form DHA-73 
  • identity document
  • two coloured photos
  • fingerprints be taken (Biometrics) 
  • Cost: R400

HEALTH CERTIFICATES
Travel Clinics, Doctors, Hospitals, Airport Clinics
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Cost of a yellow fever vaccine in South Africa is about R 350.00 - excluding the consultation fee.

THE PROCESS
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  1. Decide on the destination
  2.  Book travel & accommodation
  3. Apply for a passport at Home Affairs 
  4. Apply for a visa (if required)
  5. Buy travel insurance
  6. Appear in person for visa consultation

VISAS OPTIONS
SHORT TERM / LONG TERM VISA
up to 6 months / longer than 6 months

TYPES OF SHORT TERM VISAS
TOURIST VISAS - from R3200 (e.g. UK)
TRANSIT VISA - from R1200
SCHENGEN VISA - from R1100

WHAT IS NEEDED FOR A VISA APPLICATION?
As a minimum:

  • fully completed and signed visa application form (usually on line)
  • two recently taken passport photographs
  • a valid passport with more than three months left until it expires, and older passports with past visas (if applicable)
  • an itinerary of your trip
  • flight details
  • proof of accommodation / invitation letter from the people you are visiting
  • Letter from the employer
  • Proof of civil status (e.g. marriage certificate)
  • 3 months’ bank statements
  • Proof of travel insurance
  • Proof of visa payment

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APPEAR IN PERSON FOR VISA CONSULTATION

THE VISA APPLICATION FOR VISITING THE UK
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INTERNATIONAL DRIVING PERMIT (IDP)

An International Driving Permit can only be obtained from the country where you obtained your driving license.
AA-SA can only issue IDPs to holders of a valid South African issued driving license.
IDP is a legal travel document regulated by the United Nations. It contains your name, photo and driver information in several languages – so it is
understandable to authorities of almost 150 countries.

Documents needed to apply for an IDP
Valid South African driving license.
South African ID
One passport size photograph
https://www.aa.co.za/travelcol-1/international-driving-permit

IDPs are issued by the Automobile Association of South Africa
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KEY FACTS ABOUT INTERNATIONAL DRIVING PERMITS

An IDP is not a stand-alone document or a substitute for a valid driving license – the South African driving license must be carried with the IDP.
IDPs do not diminish the driver’s obligations to conform to the laws and regulations of the countries visited. The validity of the IDP can never exceed the validity of your domestic driving license
IDPs can only be issued to people over 18 years of age. IDPs cannot be issued to people who hold a learner driver permit. An IDP is a helpful form of identification, even if you do not intend to drive when you travel abroad.
IDPs are officially sanctioned by the United Nations and accepted worldwide (in over 150 countries) as a recognisable form of identification.
IDPs allow you to carry your identification details in several different languages (English, Spanish, Russian, Chinese, Italian, German, Arabic and French, among others) in case you need to communicate with foreign authorities.
An IDP gives you an extra form of photo ID along with your personal details (this can be useful if you are ever asked to surrender your passport, which can happen under certain circumstances in some countries).
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LEGISLATION
All incoming travellers, including the captains and crew members of airlines, and their baggage to be cleared by Customs before they can enter South Africa.

GENERAL RULE
As with other imported goods, the general rule is that goods are entered for home consumption and duty is payable. Each person entering South Africa must therefore declare the goods in their possession

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Larger international airports and land ports of entry: a red and a green channel system. Random declarations
Smaller airports and land ports of entry: single Customs control point – all travellers to declare
Customs Officers may at any time request a traveller to answer questions relating to the goods obtained and in their possession. Searches of baggage, luggage, carriers, vehicles and search of person may be conducted.

PROHIBITED GOODS
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PROHIBITED GOODS VS RESTRICTED GOODS
PROHIBITED GOODS are never allowed to enter or exit South Africa under any circumstances
RESTRICTED GOODS are allowed to enter or exit South Africa only in certain circumstances or under certain conditions.

Prohibitions and restrictions: not limited to goods carried by travellers, but all modalities of transport (road, rail, air, sea, post or other), in any form of package or packaging they are imported or exported.

RESTRICTED GOODS
Currency
South African bank notes in excess of R25 000; foreign currency above $10 000; gold coins; coin and stamp collections; and unprocessed gold.
Endangered plants and animals
Species of plants or animals that are listed as endangered, whether they are alive or dead, as well as any parts of or articles made from them.
Food, plants, animals and biological goods
All plants and plant products, such as seeds, flowers, fruit, honey, margarine and vegetable oils. Also animals, birds, poultry and products thereof, such as dairy products, butter and eggs.
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Medicines
You are allowed to bring in one month’s supply of pharmaceutical drugs or medicines for your personal use. Any other medicines must be accompanied by a letter or certified prescription from a registered physician, and have to be declared.

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The limit in South African bank notes tourists are allowed to carry with them when leaving or entering SA: R25 000
Consumable Goods
The limit on consumable goods that inbound tourists may bring into South Africa
200 cigarettes | 20 cigars | Combined 250 gram pipe and / or cigarette tobacco | 2 litres of wine | 1 litre of other alcoholic beverages (including beer) | 250 ml eau de toilette | 50 ml perfume

Travel allowance:
The amount a traveller may take out of the country in one year determined by Treasury.
R1 million per year per adult (person older than 18) / Children under 18 - R200 000 per year
https://www.resbank.co.za/en/home/what-we-do/financial-surveillance/FinSurvFAQ

COVID-19 TRAVEL
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All INBOUND international travellers must provide a valid certificate of a negative COVID-19 test, recognised by the World Health Organisation, which
was obtained not more than 72 hours before the date of travel.
Failure to submit, the must do an antigen test on arrival at his or her own cost. If testing positive for COVID-19, isolate him or herself at his or her own
cost, for a period of 10 days.

UPDATE
Adjusted alert level 1: Air travel [Gazette 44208, 1 March 2021]
International scheduled operations and charter flights carrying passengers are allowed at the following airports: 

  1. OR Tambo International Airport;
  2. King Shaka International Airport; and
  3. Cape Town International Airport. [Catering only on international flights / masks compulsory]

Long-haul flight departures and landings - permitted during curfew hours.
Passengers must present evidence of a flight ticket when stopped by law enforcement officers during curfew hours.

Topic: Culture and Heritage
Content: World Heritage Sites

Concept: World Heritage Site 
  • World Heritage Sites are places of outstanding universal value and have been awarded international recognition by the United Nations Educational Scientific and Cultural Organisation (UNESCO) 
UNESCO: logo unesco 1
The role of UNESCO: main function
  • Constant monitoring to maintain and protect the status of the World Heritage Sites.
  • Provide support in terms of management plans.
  • Assistance with upgrading of facilities in the event of an unforeseen occurrence.
  • Financial aid is provided in cases of unforeseen occurrences.
  • Engage with relevant stakeholders when the World Heritage Sites are threatened.
  • Education / create awareness.
  • Promote co-operation and development.
  • Encourage people to nominate sites to be included in the World Heritage Site list.
  • Support countries in building public awareness for the protection of World Heritage Sites.
  • Encourage the local population to preserve their cultural and natural heritage.
Types of World Heritage Sites
  • Cultural
  • Natural
  • Mixed (cultural and natural)
  • Cultural landscapes: places where people have evolved and interacted with the natural world around them and where this has particular significance
World Heritage Sites in South Africa Free State and North West​
NAME OF WHS  PROVINCE  TYPE 
Cradle of Humankind (1999) Gauteng, Limpopo and North West Cultural
Robben Island (1999) Western Cape Cultural
Mapungubwe Cultural  Landscape (2003) Limpopo Cultural
Richtersveld Cultural and Botanical Landscape (2007) Northern Cape  Cultural
Khomani Cultural Landscape (2017) Northern Cape Cultural
iSimangaliso Wetland Park (1999) KwaZulu Natal  Natural
Cape Floral Region Protected Areas (2004) Western Cape  Natural
Vredefort Dome (2005) Free State and North West Natural
Barberton Makhonjwa Mountains (2018) Mpumalanga  Natural
uKhahlamba-Drakensberg Park (2000) KwaZulu Natal Mixed
Location of World Heritage Sites on a map of South Africa location of uyyagd
Description of each WHS in South Africa and how they meet UNESCO’s criteria
Cradle of Humankind
cradle of humankind
NAME OF WHS  PROVINCE TYPE 
Cradle of Humankind (1999) Gauteng, Limpopo and North West Cultural
  • The Cradle of Humankind is made up of five different fossil-bearing cave sites namely Sterkfontein, Swartkrans, Kromdraai and surrounding areas, the Makapan Valley and Taung Skull fossil site.
  • These sites provide evidence on the origins and the evolution of humankind over at least the past 3.5 million years.
  • Major fossil findings include:
  • the Taung skull, that of a three or four-year old child 
  • Mrs Ples and Little Foot found in Sterkfontein and the surrounding area
UNESCO CRITERIA
(iii)  to bear a unique or at least exceptional testimony to a cultural tradition or to a civilization which is living, or which has disappeared
(vi)  to be directly or tangibly associated with events or living traditions, with ideas, or with beliefs, with artistic and literary works of outstanding universal significance
 Robben Island
robben island
NAME OF WHS  PROVINCE TYPE 
Robben Island (1999) Western Cape Cultural
  • Robben Island is located in Table Bay, Cape Town.
  • Robben Island was used at various times between the 17th century and the 20th century as a prison, a hospital for socially unacceptable groups, and a military base.
  • Its buildings, and in particular those of the late 20th century maximum security prison for political prisoners, testify to the way in which democracy and freedom triumphed over oppression and racism.
  • Robben Island is best known for the prison where Nelson Mandela spent much of his 27 years of imprisonment.
  • Current threats: poor maintenance and management; the pressure of increasing visitor numbers.
UNESCO CRITERIA  
(iii)  to bear a unique or at least exceptional testimony to a cultural tradition or to a civilization which is living, or which has disappeared
(vi)  to be directly or tangibly associated with events or living traditions, with ideas, or with beliefs, with artistic and literary works of outstanding universal significance
iSimangaliso Wetland Park
isimagaliso park
NAME OF WHS  PROVINCE TYPE 
 iSimangaliso Wetland Park (1999) KwaZulu Natal  Natural
  • The iSimangaliso Wetland Park is one of the outstanding natural wetland and coastal sites of Africa.
  • It has five interlinked ecosystems namely marine, coastal, wetland, estuarine and terrestrial (land-based) which are scenically beautiful and basically unmodified by people.
  • These include coral reefs, beaches, sand dunes, lake systems, swamps and wetlands.
  • The different ecosystems support over 6500 animal and plant species.
  • It is the last place on earth where giant leatherback and loggerhead turtles still nest.
  • Current threats: overuse from tourism and unsustainable fishing; invasive alien vegetation.
UNESCO CRITERIA  
(vi) to contain superlative natural phenomena or areas of exceptional natural beauty and aesthetic importance
(ix)  to be outstanding examples representing significant on going ecological and biological processes in the evolution and development of terrestrial, fresh water, coastal and marine ecosystems and communities of plants and animal
(x) to contain the most important and significant natural habitats for in-situ conservation of biological diversity, including those containing threatened species of outstanding universal value from the point of view of science or conservation
uKhahlamba Drakensberg Park
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NAME OF WHS  PROVINCE TYPE 
uKhahlamba-Drakensberg Park (2000) KwaZulu Natal  Mixed
  • The site forms part of the Maloti Transfrontier Park between South Africa and Lesotho.
  • The site has exceptional natural beauty and has a high level of endemic (lives or grows only in a specific area) and threatened bird and plant species.
  • The San rock art of the Drakensberg, created over a period of 4,000 years, is the largest and most concentrated group of rock paintings in Africa, south of the Sahara.
  • Current threats: invasive alien plant species; fire; infrastructural developments; soil erosion; tourist impacts on mountain trails; poaching.
UNESCO CRITERIA  
(i) to represent a masterpiece of human creative genius
(iii)  to bear a unique or at least exceptional testimony to a cultural tradition or to a civilization which is living, or which has disappeared
(vi) to contain superlative natural phenomena or areas of exceptional natural beauty and aesthetic importance
(x) to contain the most important and significant natural habitats for in-situ conservation of biological diversity, including those containing threatened species of outstanding universal value from the point of view of science or conservation
Mapungubwe Cultural Landscape
mapungupwe cultural landsacpe
NAME OF WHS  PROVINCE TYPE 
Mapungubwe Cultural Landscape (2003) Limpopo Cultural
  • Mapungubwe is located on South Africa’s border with Zimbabwe and Botswana.
  • During the Iron Age, around 900 to 1 300 AD, the Kingdom of Mapungubwe was the largest in Southern Africa.
  • Mapungubwe was a flourishing city and trading centre.
  • Findings at the site have shown that its people traded gold and ivory with other African peoples and with countries such as India and China.
  • In the 14th century the region became colder and drier and the people were forced to move away as the land could no longer sustain a high population using traditional farming methods.
  • Current threats: the coal mine next to the site; the possibility that the government may grant more licences for mining.
UNESCO CRITERIA 
(ii) to exhibit an important interchange of human values, over a span of time or within a cultural area of the world, on developments in architecture or technology, monumental arts, town-planning, or landscape design
(iii) to bear a unique or at least exceptional testimony to a cultural tradition or to a civilization which is living, or which has disappeared
(iv) to be an outstanding example of a type of building, architectural or technological ensemble or landscape which illustrates (a) significant stage(s) in human history
(v) to be an outstanding example of a traditional human settlement, land-use, or sea-use which is representative of a culture (or cultures), or human interaction with the environment especially when it has become vulnerable under the impact of irreversible change
Cape Floral Region Protected Areas
cape floral region
 
NAME OF WHS  PROVINCE TYPE 
Cape Floral Region Protected Areas (2004) Western Cape  Natural
  • The Cape Floral Region consists of eight areas that stretch from the West Coast of South Africa to the Eastern Cape.
  • It is one of the richest areas for plants in the world e.g. fynbos.
  • It represents less than 0.5% of the area of Africa but is home to nearly 20% of the continent’s flora.
  • It is of outstanding value to science because of its unique plant reproductive strategies that are adaptive to fire and seed dispersal by ants and termites.
  • Current threats: invasive alien species; fire; climate change; development pressures caused by a growing population.
UNESCO CRITERIA 
(ix) to be outstanding examples representing significant on going ecological and biological processes in the evolution and development of terrestrial, fresh water, coastal and marine ecosystems and communities of plants and animals
(x)   to contain the most important and significant natural habitats for in-situ conservation of biological diversity, including those containing threatened species of
outstanding universal value from the point of view of science or conservation
Vredefort Dome
vredefort dome
NAME OF WHS  PROVINCE TYPE 
Vredefort Dome (2005) North West and Free State  Natural
  • The Vredefort Dome was caused by a meteor that hit the earth over two thousand million years ago.
  • It is estimated that the meteorite was 10 km in diameter, and it left a crater that is 300 km in diameter.
  • It provides important information about the earth’s geological history.
  • It is the oldest, biggest and most deeply eroded meteorite crater in the world.
  • Threats: much of the land is privately owned, which means special land use planning requirements are necessary; the need to keep the landscape natural and maintain public access to it.
UNESCO CRITERIA 
(viii)  to be outstanding examples representing major stages of earth's history, including the record of life, significant on going geological processes in the development of landforms, or significant geomorphic or physiographic features
Richtersveld Cultural and Botanical Landscape
botanical landscape
NAME OF WHS  PROVINCE TYPE 
Richtersveld Cultural and Botanical Landscape (2007) Northern Cape  Cultural
  • The Richtersveld is the home to the last remaining members of the Nama tribe who still practise their traditional semi-nomadic way of life.
  • The Nama people build reed shelters, collect medicinal plants and practice pastoral grazing with their sheep and goats.
  • Their seasonal, pastoral grazing sustains the extensive biodiversity of the area.
  • This site provides a perfect example of how humans can co-exist with nature without destroying it.
UNESCO CRITERIA
(iv)   to be an outstanding example of a type of building, architectural or technological ensemble or landscape which illustrates (a) significant stage(s) in human history
(v) to be an outstanding example of a traditional human settlement, land-use, or sea-use which is representative of a culture (or cultures), or human interaction with the environment especially when it has become vulnerable under the impact of irreversible change 
Khomani Cultural Landscape
khomani cultural landscapd
NAME OF WHS  PROVINCE TYPE 
Khomani Cultural Landscape (2017) Northern Cape  Cultural
  • The Khomani Cultural Landscape is located at the border with Botswana and Namibia.
  • The site is associated with the culture of the formerly nomadic Khomani San people and the strategies that allowed them to adapt to harsh desert conditions.
  • The Khomani San practise a traditional hunter-gatherer way of life.
  • They follow the tracks of animals for days and kill the animal with a poisoned arrow.
  • Their knowledge about the use of plants for medicine is well known.
  • They have developed skills to utilize scarce resources such as water and find plant foods in an extremely hostile environment.
UNESCO CRITERIA
(v) to be an outstanding example of a traditional human settlement, land-use, or sea-use which is representative of a culture (or cultures), or human interaction with the environment especially when it has become vulnerable under the impact of irreversible change

(vi) 

to be directly or tangibly associated with events or living traditions, with ideas, or with beliefs, with artistic and literary works of outstanding universal significance
Barberton Makhonjwa Mountains
baberton ahbfha
NAME OF WHS  PROVINCE TYPE 
Barberton Makhonjwa Mountains (2018) Mpumalanga  Natural
  • This site is one of the world’s oldest geological structures, with volcanic and sedimentary rock dating back 3.5 billion years.
  • It is the only place on earth where the development of the early earth and evolution of life itself can be studied. Because of that, the Barberton Makhonjwa Mountains are referred to as the “Genesis of Life”.
  • The site has presented evidence of the oldest fossilised bacteria on the planet.
  • The area also has a rich diversity of plant species, all set-in spectacular scenery.
UNESCO CRITERIA 
(viii) to be outstanding examples representing major stages of earth's history, including the record of life, significant on going geological processes in the development of landforms, or significant geomorphic or physiographic features
The value of the World Heritage Sites to South Africa’s tourism industry
  • The sites receive national and international recognition which will result in an increase in visitor numbers.
  • An increase in tourist numbers will lead to the creation of job opportunities due to increased demand for services. 
  • Tourism will generate income due to a demand for products and services e.g. accommodation, transport, entry fees, food, drink, etc.
  • Increased visitor numbers will set the multiplier effect into motion.
  • Standards of living will be improved through money directly or indirectly earned by tourism.
  • There will be a boost in the economic activity lending itself to increased GDP and benefiting all establishments in the area.

Topic: Sustainable and responsible tourism

Revision of Gr 10 concepts:  
Sustainability

Meeting our own needs without compromising the ability of future generations to meet their own needs.

Sustainable tourism Tourism that takes full account of its current and future economic, social and environmental impacts, addressing the needs of visitors, the industry, the environment and host communities 
Responsible tourism Responsible tourism focuses on short-term actions every one of us can take every day to have less of a negative impact on a given destination.
Carbon footprint
co2

 • A carbon footprint is the total amount of greenhouse gas emissions that a person, organization, event or product has produced in a given time frame.
• Greenhouse gases, of which CO2 is an example, contribute to global warming and climate change.

carbon footprint

Content: The three pillars of sustainable tourism (people, planet, profit)

The concept and background of the triple bottom line approach 
  • Triple bottom line refers to the three (triple) measures of business performance: economic (profit), environmental (planet) and social (people).
    three pillars of sustainable tourism
  • The traditional way to measure a business’s performance is to look at its profitability. The profit appears at the end of its financial statement, which is why a profit is often referred to as the bottom line.
  • The triple bottom line concept came into use when world leaders realised that economic development, which had negative environmental and social effects, was not sustainable and that we needed to measure all the effects of development. Therefore, a company’s performance not only depends on how much money it is making (the profit) and other economic considerations such as job creation, but also on what effects it has on the social and natural environment.
  • King 3, the code that regulates corporative governance in South Africa, requires companies to report on their performance in terms of three aspects namely economic, environmental and social.

Environment (planet)




Electricity is mainly generated from coal, which emits greenhouse gases which lead to climate change







Water is a scarce resource and must be used sparingly 









waste management 2

Good environmental practices

  • Good environmental practices are vital for a successful tourism business to protect the natural environment
  • Resource management (energy):
    resource management energy
  • Resource management (water):
    resource management water
  • Waste management:
    waste management 1
  • Litter control:
    litter control
Examples of types of pollution: Carbon emissions from vehicles and buildings, noise pollution, pollution from toxic materials  

























Indigenous flora: plants that naturally occur in a particular area
Alien plants: plants that do not naturally occur in a particular area 
  • Pollution control:
    pollution control
  • Environmentally friendly building:
    • The way buildings are positioned, materials that are used, space design, and technologies used to run the buildings (like solar panels) can all help reduce environmental impacts
      environmental friendly building
  • Promotion of indigenous flora and control of alien invasive plants in grounds and gardens:
    • Tourism businesses should conserve and plant indigenous species as they use less water
    • Alien invasive species should be removed if they threaten indigenous species
    • Alien invasive species use more water than indigenous species
    • Certain alien species can intensify wildfires
      indigeneous species
Economy (Profit)
  • The role of business
    • Tourism businesses are organisations which profit directly from tourism
    • They provide services and products which tourists need when visiting a destination
    • Through their economic activity, jobs are created and money is brought into a destination by tourists
    • Tourism businesses also spend money on the products and services they need from other businesses
    • Tourism must create economic opportunities and benefits, not only for tourism companies and their shareholders but also for the local or host communities
  • The responsible attitude of a tourism business towards the people and environment it affects
    • If both a tourist company and the local community profit from a business and those who are affected by the business are involved and respect is given to them, this will lead to a business sustainable environment.
  • Ways to manage economic impacts:
    • Ownership:
      • Community shareholding in the business
      • Promotion of local tourism ownership will increase the positive impact of tourism in an area
    • Employment:
      • A fair recruitment process regarding gender, disability and race
      • The creation of decent work and living wages
      • Protecting staff and communities from exploitation e.g. sexual, child labour
      • Training and skills development - businesses should support staff so that they can attend e.g. training courses, and receive formal certificates for skills they gain; on the job training should also be provided.
    • Local procurement - buying locally manufactured products
      • Local suppliers should be used as far as possible
      • This can result in a positive multiplier effect where money is spent and re-spent in the same area. This prevents the leakage of money that is generated from tourism businesses out of the tourist destination
    • Broad-based Black Economic Empowerment (BBBEE):
      • This government policy seeks to redress the economic exclusion and marginalisation of black South Africans under apartheid
      • It concerns aspects such as ownership, management, staffing, training and skills development, enterprise development and corporate social responsibility
Social (People)
  • The positive and negative effects of tourism on local communities, culture and heritage
Positive social impacts  Negative social impacts  
Tourism creates job opportunities for the local community  Crime and violence may increase
Local community members can sell arts and crafts that showcase to their culture to visitors Cultural changes may occur as the locals may adopt the culture of tourists instead of valuing their own culture and heritage
Tourism can benefit the local community with improved access to resources and infrastructure The money generated by tourism may not be channelled back into the local community
Tourism creates an awareness of different traditions, cultures and art forms There may be racial tension between tourists and locals
Tourism creates inter-cultural understanding and tolerance There may be negative tourist behaviour such as public drunkenness
Local communities absorb new ideas, interests and values from tourists Sometimes privacy is not respected, sacred sites are invaded and cultural ceremonies are exploited
Cultural heritage is preserved, and money can be raised for the maintenance of cultural sites and museums  
The local community learn to take pride in their culture  
The money generated can be used to uplift the community  
  • Corporate social investment (CSI) in tourism:
    csi akgda

Content: Responsible tourism and tourists

Codes of conduct for tourist behaviour (social, economic and environmental)

Code of conduct for tourist behaviour: Guidelines (set of rules) for tourists that help them understand how to act responsibly and appropriately when at the destination 

 

SOCIAL

  • Research the cultural, ethnic, religious, and heritage practices before your visit
  • Learn a few words in the local language to make meaningful contact with the local community
  • Ask for guidance on appropriate dress, behaviour, local foods and drink
  • Respect the human rights of the local community e.g. ask permission before taking a photo
  • Be vigilant about the exploitation of children

ECONOMIC

  • Buy souvenirs and products that are made locally
  • Ask for guidance on tipping and bargaining practices 
  • Give preference to tourism services that are operated by inhabitants of the destination

ENVIRONMENTAL

  • Be informed about where and how to recycle at the destination
  • Reduce your consumption of water and electricity during your trip
  • Do not buy products that are made from plants or animals that are in danger of extinction
  • Select routes that cause the least impact on the landscape 
  • Use public transport where possible
  • Do not remove natural resources e.g. stones, fossils, plants, shells, flowers from their natural environment 
How can a tourism destination attract environmentally (people, planet, profit) conscious tourists?

A destination can attract environmentally conscious tourists in a number of ways. For example, they can:

  • Implement strategies to ensure businesses are sustainable and that they act responsibly towards people, the planet and the economic environment
  • Ensure that natural assets are well protected and marketed
  • Implement sustainable tourism certification among destination businesses
  • Ensure that public sites and facilities set good examples of environmental, social and economic practices
  • Encourage joint socio-economic and environmental programmes at destination level to which tourists can contribute
  • Market the destination according to its sustainability ethos and choose targeted channels to do so e.g. online travel information and booking websites supporting ethical travel, such as responsibletravel.com

The contribution of FTT towards encouraging responsible and sustainable practices

Fair trade: to make tourism more sustainable by ensuring that the people who contribute their land, resources, labour and knowledge to tourism are the ones who benefit 
  • Fair Trade in Tourism (FTT) is a non-governmental organisation (NGO) that promotes sustainable tourism development and responsible tourism management in South Africa, Madagascar, Mozambique and Zimbabwe.
  • FTTSA initiatives:
    • A certification scheme that provides a trademark (or label) to tourism businesses that can show that they meet FTT principles - assures tourists that the business is responsible
    • Research, support and skills building for FTT businesses 
    • To encourage tour operators who send tourists to Africa to promote packages to FTT-certified businesses
  • Principles of Fair Trade in Tourism:
    fair trade tourism
  • Tourists are able to identify tourism organisations that meet the FFT criteria as the logo will be included on the certified business’s marketing material
  • By using the services of FTT certified organisations, tourists can be assured of making a contribution to responsible and sustainable tourism

Tour planning

❖ Itinerary – is a detailed plan of the tourist’s journey.
❖ Tourist profile – is an indication of the tourists’ wants and needs.
❖ Element of a client profile

➢ Name, Gender, Age, Budget, Nationality, Location, Occupation, Purpose of visit, Type of tourist, Special needs

❖ Route planning – Why it is important when compiling a tour plan?

➢ It saves time, so that they can spend less time on travelling and more time on activities and attractions.
➢ It is logical and easy to follow
➢ Its economical

❖ Importance of having a budget in place when preparing a tour plan

➢ To be able to know all the different costs that they will have when they embark on their journey.
➢ A budget will help the tourist plan their trip effectively.

❖ Aspects /element of an itinerary

➢ Accommodation
➢ Transport
➢ Attractions and activities
➢ Meals
➢ Budget
➢ Number of people travelling
➢ Route to be taken
➢ Time of year
➢ No. of days

Mapwork

Concepts:
❖ Time zone – is a region on the earth where all the countries have adopted the same standard time, usually referred to as the local time.
❖ Greenwich – is the base from which all time is calculated.
❖ Equator – is an imaginary line around the Earth that is the same distance from the North and South Poles.
❖ Season- is any of the four seasons of the year created by the annual change in the weather.
❖ Standard time- is the uniform time that is used by all countries using the same line of longitude.
❖ Local time – is the actual time according to the position of the sun.
❖ Elapsed time also known as flying time – is the time spent on a flight.

Time calculations

Step 1
❖ Identify time zones of countries in question.

Step 2
❖ SSS DSA to find the time difference in time

Step 3
❖ Is a country with a question mark AHEAD or BEHIND?
❖ If a country with a question mark is AHEAD you ADD difference.
❖ If a country with a question mark is BEHIND you SUBTRACT the difference.

Step 4
❖ You Always ADD the flight time when calculating the ARRIVAL.
❖ You Always SUBTRACT the flight time when calculating the DEPARTURE.

Step 5
❖ When calculating the ARRIVAL TIME you ADD 1hr of DST if the country in question is practising DST at that time.
❖ When calculating the ARRIVAL TIME you SUBTRACT 1hr of DST if the country with time (departure country) is practising DST at that time.
❖ When calculating the DEPARTURE TIME you SUBTRACT 1hr of DST if the country in question is practising DST at that time.
❖ When calculating the DEPARTURE TIME you ADD 1hr of DST if the country with time is practising DST at that time.

Daylight Saving Time
❖ Daylight Saving Time is the practice of adjusting the clock one hour ahead in summer.

Reasons for practising daylight saving time/ Benefits of practising DST
❖ It increases productivity
❖ Boosts tourism as more people are able to engage in outdoor activities.
❖ Helps to reduce crime
❖ Helps save energy as fewer lights are needed during working hours.

Impacts of DST on travel planning
❖ A tourist must be able to calculate the correct time of arrival in a country practising DST.
❖ The tourist might miss a connecting flight by 1 hour if DST was not considered.
❖ To publish timetables and travel schedules with the correct times.

Jet lag
❖ Jet lag is a physical condition caused by crossing many time zones during the flight.
❖ Jet fatigue is the discomfort one feels from being in a confined space for a long time.

Symptoms
❖ Disturbed sleeping patterns
❖ Headache
❖ Lack of energy

How to prevent jet lag?
❖ Change the sleeping routine
❖ Drink lots of fluids, especially water
❖ Rest during the flight by taking short naps.
❖ Avoid alcohol and caffeine
❖ Keep active by walking around the cabin in order to stretch your hands and legs.

HEALTH AND SAFETY

Precautions and vaccinations

  1. Malaria – an infectious disease caused by being bitten by a mosquito carrying the parasite.
    ❖ Symptoms – flu-like symptoms, headaches, vomiting
    ❖ Prevent – Take anti-malaria tablets, use a mosquito repellent
  2.  Cholera – is a bacterial infection that passes into the body when one drinks infected water.
    ❖ Symptoms – Diarrhoea, vomiting, dehydration
    ❖ Prevent – use sealed bottled water, boil water before using it.
  3. Compulsory vaccinations and recommended vaccinations
    ❖ Compulsory vaccinations are regulated according to identified threats found in some countries. To contain the spreading of a high risk disease.
    ❖ Recommended vaccinations are just precautionary measure to ensure the health of individual tourists and are optional. Are not a measure for high risk diseases.

Places where tourists can get healthcare information:
❖ Internet
❖ Travel clinics
❖ Travel agencies
❖ Tourism Information offices
❖ Airports
❖ Libraries
❖ Travel magazines
❖ Travel websites

SAFETY TIPS

On the street
❖ Do not display your valuables
❖ Do not accept lifts from strangers.
❖ Use credit cards or carry small amounts of cash.

In the car
❖ Do not give lifts to strangers.
❖ Never display your valuables in the car.
❖ Drive within the speed limit of the road.

In the hotel
❖ Do not leave your luggage unattended.
❖ Keep your room door locked at all times.
❖ Check who is at the door before opening it.
❖ Check your credit card if you use it in the hotel.

At the airport
❖ Always keep your bags where you can see them.
❖ Make sure all your bags have locks.
❖ Do not allow anyone to check your bags except for designated security officers.
❖ Don’t carry goods through customs of a stranger.

In public places
❖ Be aware of your surroundings.
❖ Become familiar with the local police services.
❖ Ensure you use registered qualified guides.

After dark
❖ Avoid isolated places at night.
❖ Always travel in groups.
❖ Use well-known public transport.
❖ Ensure that your cell phone is charged.

TRAVEL DOCUMENTATION

  1. Passport
    ❖ Passport is a legal document that allows a person to leave or enter another country. ❖ Issued by the Department of Home Affairs
    ❖ Valid for 10 years adult, 5 years child
    ❖ Requirements: A completed Application from
    • Proof of identity
    • Two size photographs
  2. Visa
    ❖ A visa is an endorsement on a passport that gives a traveller permission to be in another country for a specified period.
    ❖ Issued by Consulate or Embassy
    ❖ Requirements:
    ➢Valid passport
    ➢Specific visa fee
    ➢Return air ticket
    ➢Two passport sized photographs
    ➢Proof of sufficient financial means
    ❖ Visa to apply for to gain access to England and France – Schengen visa
    Advantages of using Schengen visa / multi-visa
    ➢ Saves money because you only pay for one visa.
    ➢ Saves time because you don’t visit different embassies to apply for the different visas.
  3. International Driver’s Permit/Licence
    ❖ IDP can be obtained from AA (Automobile Association)
    ❖ Requirement needed to obtain International Driver’s Permit:
    ➢Valid driver’s licence,
    ➢2 photographs,
    ➢ Fees,
    ➢Identity document,
    ➢Application form,
    ➢Proof of residence.
    ❖ Functions of IDP
    ➢ Provides translation of the South African driver’s licence in several different languages.
    ➢ Helps the tourist to rent a vehicle in another country and obtain travel insurance.
  4. Health certificate / Yellow Fever certificate
    ❖ Health certificate can be obtained from TRAVEL CLINICS

CUSTOMS AND IMMIGRATION

❖ Customs office - is the authority that is responsible for monitoring the movement into and out of border areas.
❖ Customs - is the check point where luggage is checked for the carrying of any illegal or prohibited goods.
❖ Immigration - is the check point where all travel documentation is checked.
❖ Green Channel – channel at which nothing need to be declared.
❖ Red Channel – channel at which goods need to be declared.
❖ Duty free goods – goods that don’t have tax added to their price.
❖ Restricted goods – goods that can be carried by following strict rules that govern the carrying of these items.
❖ Prohibited goods – goods that cannot be carried by the passenger under any circumstances.

QUESTION 3

FOREIGN EXCHANGE
❖ GDP – Gross Domestic Product is a total value of all goods and services produced in a country in one year.
❖ Currency – another name for money.
❖ Foreign currency – money from another country.
❖ Exchange Rate – the value of one currency expressed in terms of another.
❖ Foreign exchange – the process of converting one currency to another currency.
❖ Fluctuations – the process whereby the value of money changes from time to time. Changes in the value of the exchange rate follow an upwards or downwards (strengthen and weakens) trend over an extended period of time.
❖ BBR – Bank Buying Rate is the rate used by the bank to buy foreign currency.
❖ BSR – Bank Selling Rate is the rate used by the bank to sell foreign currency.

Benefits of a healthy GDP
A healthy GDP results in
❖ Job creations
❖ Skills development
❖ Infrastructure development
❖ Great output of export
❖ Attract investment

How tourism contribute to the GDP of the country
❖ Using tourism products and services results in increase of taxes and levies which contribute to the GDP.
❖ Standards of living will be improved through money directly and indirectly earned by tourism.
❖ It will set the multiplier effect into motion, creating job and entrepreneurial opportunities thereby improving the standards of living.
❖ It contributes through infrastructural development.
❖ Skills development can be encouraged.

Causes for the Rand Fluctuation
❖ Economic upsets
❖ Strikes
❖ Labour unrest
❖ Global Events
❖ Seasonality
❖ Political changes

The Impact of weak rand on Inbound and outbound tourism
❖ Inbound- Increase of foreign visitors to South Africa. Increase in tourism spending- more value for money. Increase in length of stay.
❖ Outbound- Fewer South Africans choose to travel overseas because it is expensive. Tourists spend less at international destinations. More choose to travel domestically – increase in domestic travel.

Advantages of using EUR in European countries
❖ To simplify travelling and spending in neighbouring countries.
❖ To become a strong currency in the global market place, currency is stronger than other currencies.
❖ To strengthen the regional economy.

QUESTION 4

ICONS

❖ An icon is a significant feature of a country that makes that country famous all over the world.
❖ An attraction could be anything that causes tourists to visit a destination.

Ways which increasing number of visitors to a particular icon or attraction lead to economic growth in South Africa
❖ The tourism services providers make a profit, setting the multiplier effect into motion.
❖ Leads to increase in job opportunities, infrastructure development, rise of new businesses and expansion of existing establishments,
❖ Citizens benefit directly or indirectly due to the increased number of tourists entering the country.
❖ Earn valuable foreign exchange.

Factors contributing to the success of a tourist attraction
❖ Excellent marketing at both local and international level
❖ Sustainable and responsible management plans
❖ Efficiency and ethical behaviour of staff and management
❖ Positive experience of visitors
❖ Safety and crime prevention
❖ General appearance and upkeep of the attraction
❖ Considering the needs of people with disabilities and universal access

Characteristics of a successful tourist attraction
❖ Actual visitor number exceed target number
❖ Repeat visits
❖ Income generated exceeds target figures
❖ Positive impact on the local community and the environment

QUESTION 5

WORLD HERITAGE SITES
UNESCO

UNESCO – United Nations Educational, Scientific and Cultural Organisation

Main aim of UNESCO
❖ To contribute to peace and security in the world and by bringing the nations of the world together.
❖ To declare and protect world heritage sites.

Functions of UNESCO
❖ Constant monitoring to maintain and protect the status of the World Heritage Sites.
❖ Provide support in terms of management plans.
❖ Promote co-operation and development
❖ Assistance with upgrading of facilities in the event of an unforeseen occurrence.
❖ Encourage people to nominate sites to be included in the World Heritage Site list.

  1. Cradle of Humankind (Fossil Hominid Sites) – Cultural site
    ❖ Declared in 1999
    ❖ Found in Gauteng and North West Province and Limpopo
    ❖ Contains evidence of fossil remains dating back millions of years.
    ❖ Criteria: (iii)(vi)
    ❖ Criterion (iii): The nominated serial site bears exceptional testimony to some of the most important Australopithecine specimens dating back more than 3.5 million years.
    ❖ Criterion (vi): The serially nominated sites are situated in unique natural settings that have created a suitable environment for the capture and preservation of human and animal remains that have allowed scientists a window into the past.
  2. Robben Island – Cultural site
    ❖ Declared in 1999
    ❖ Found in Western Cape
    ❖ Buildings on Robben Island bear unusual evidence to our history.
    ❖ It was once used as a hospital, military base and prison.
    ❖ Robben Island symbolises freedom and democracy over oppression stemming from our history of apartheid which signifies universal significance.
    ❖ Criteria: (iii) (vi)
    ❖ Criterion (iii): The building of Robben Island bear eloquent witness to its sombre history.
    ❖ Criterion (vi): Robben Island and its prison buildings symbolise the triumph of the human spirit, of freedom and of democracy over oppression.
  3. Mapungubwe Cultural Landscape – Cultural site
    ❖ Declared in 2003
    ❖ Found in Limpopo Province
    ❖ Represents the Iron Age and is the site where the golden rhinoceros was found.
    ❖ Criteria: (ii)(iii)(iv)(v)
    ❖ Criterion (ii): Contains evidence of human cultural activities, over a period of time that led to cultural and social changes between the AD 900 and 1300.
    ❖ Criterion (iii): Remains in the area serve as evidence to the growth and decline of the culture/ civilisation which existed in the Mapungubwe state.
    ❖ Criterion (iv): Mapungubwe served as a powerful trading state through East African ports with Arabia and India.
    ❖ Criterion (v): The remains in the Mapungubwe graphically illustrate the impact of climate change and record the growth and then decline of the Kingdom of Mapungubwe as a clear record of a culture that became vulnerable to irreversible change.
  4. Isimangaliso Wetland Park – Natural site
    ❖ Declared in 1999
    ❖ Found in KwaZulu Natal
    ❖ Criteria: (vii)(ix)(x)
    ❖ Criterion (vii): The site is geographically diverse with superlative scenic vistas along its 220km coast.
    ❖ Criterion (ix): This site contains sensitive ecosystem from Africa’s marine, wetland and savannah environments.
    ❖ Criterion (x): A coastal site with the largest biodiverse estuarine system in the Southern Hemisphere.
  5. Cape Floral Region Protected Areas – Natural Site
    ❖ Declared in 2004
    ❖ Found in Western Cape and Eastern Cape Provinces
    ❖ Criteria: (ix)(x)
    ❖ Criterion (ix): Representing ongoing ecological and biological processes associated with the evolution of the unique Fynbos biome / the fynbos species are only found in this area of South Africa, the only habitat for this flora in the world.
    ❖ Criterion (x): It is one of the richest areas for plants when compared to any similar sized are in the world. It is one of the world’s 35 biodiversity hotspots.
  6. Vredefort Dome – Natural site
    ❖ Declared in 2005
    ❖ Found in Free State and North West Provinces
    ❖ Meteorite hit the earth thousands of years ago creating the largest meteorite impact site in the world.
    ❖ Criteria: (viii)
    ❖ Criterion (viii): Vredefort Dome is the oldest, largest, and most deeply eroded complex meteorite impact structure in the world.
  7. UKhahlamba Drakensberg Park – Mixed site
    ❖ Declared in 2000
    ❖ Found between KwaZulu Natal
    ❖ A high-altitude site with rolling grasslands, steep-sided river valleys, rocky gorges and examples of rock art.
    ❖ Criteria: (i)(iii)(vii)(x)
    ❖ Criterion (i): It is the largest and most concentrated group of rock paintings in Africa south of the Sahara.
    ❖ Criterion (iii): The San people lived in the mountainous area for more than four millennia, leaving behind them a corpus of outstanding rock art, providing a unique testimony which throws much light on their way of life and their beliefs.
    ❖ Criterion (vii): A high-altitude site with rolling grasslands, steep-sided river valleys, rocky gorges also contribute to the beauty of the site.
    ❖ Criterion (x): The property contains significant natural habitats for in situ conservation of biological diversity.
  8. Richtersveld Cultural and Botanical Landscape – Cultural site
    ❖ Declared in 2007
    ❖ Found in Northern Cape
    ❖ Criteria: (iv)(v)
    ❖ Criterion (iv): An outstanding example of a landscape which illustrates an important stage in human history of the Nama people.
    ❖ Criterion (v): Cultural site protects the living heritage of the Nama people.
  9. = Khomani Cultural Landscape – Cultural Site
    ❖ Declared in 2017
    ❖ Found in Northern Cape
    ❖ Criteria: (v)(vi)
    ❖ Criterion (v): The large expanse of sand contains evidence of human occupation from the Stone Age to the present and is associated with the culture of the formerly nomadic =Khomani San people and the strategies that allowed them to adapt to harsh desert conditions.
    ❖ Criterion (vii): Bears testimony to the way of life that prevailed in the region and shaped the site over thousands of years.
  10. Barberton Makhonjwa Mountains – Natural Site
    ❖ Declared in 2018
    ❖ Found in Mpumalanga Province
    ❖ Criteria: (viii)
    ❖ Criterion (viii): Represents the best preserved succession of volcanic and sedimentary rock dating back 3.6 to 3.25 billion years, when the first continents were starting to form on the primitive Earth.

THE VALUE OF THE WORLD HERITAGE SITES TO SOUTH AFRICA’S TOURISM INDUSTRY
❖ Gain prestige- making a country proud of the achievement. More people deciding to visit the country.
❖ People show added care for the heritage and learn to conserve for future generations ❖ Increased revenue for a country.
❖ Increased job opportunities.
❖ Infrastructural improvement
❖ Uplifts the overall standard of an area.

QUESTION 6

Marketing South Africa as a tourism destination

Role of SA Tourism in marketing South Africa internationally as a destination of choice for tourists
❖ Marketing activities showcase our country as a choice destination at various global travel trade shows.
❖ Vigorous advertising
❖ Their international offices help to extend marketing.

Tourism event that takes place at the ITB Berlin
❖ Travel trade show/ Travel trade exhibition

Role that SAT plays at the ITB Berlin
❖ SATourism is responsible for marketing South Africa.
❖ Show-casing the various tourism products and services available in South Africa.

Ways which South Africa is advantaged by SATourism’s activities at the ITB Berlin.
❖ It creates opportunities for South African tourism businesses and provincial tourism authorities to market at an international tradeshow.
❖ Awareness of South Africa as a value-for-money long-haul destination for the Germany and European markets and other delegates at the ITB.

TOMSA

❖ TOMSA – Tourism Levy South Africa

Sectors contributing to the TOMSA levy
❖ accommodation sector, car rental companies, tour operators

Relationship between TOMSA AND SA Tourism
❖ SAT can use the funds raised by TOMSA to promote the South Africa locally and internationally.

Way in which TOMSA collects money from tourism businesses in South Africa to fund SATourism’s marketing activities.
❖ Tourism businesses add a voluntary 1% tourism levy to tourists’ bills which is then paid over to TOMSA through TBCSA who are the administrators of TOMSA.

Involvement of the Tourism Business Council of South Africa (TBCSA) in TOMSA’s operations
❖ Levies are paid by the tourists which are paid to TBCSA who are the administrators of TOMSA.

The elements found on South Africa’s brand logo
❖ The South African flag is used and is an internationally recognised representation associated with SA.
❖ The country’s name is written out in full, leaving no room for confusion.
❖ Slogan: Inspiring new ways.
❖ The colours of the South African flag.

The importance of marketing South Africa as a destination of choice
❖ Ensures that South Africa competes in and taps into a highly competitive market place.
❖ It showcases the attractiveness of South Africa.
❖ It results in an increase in inbound tourism.

QUESTION 7

❖ Professional image – is the image you project through your appearance, attitude, behaviour and morals.
❖ Contract of employment – is an agreement between the employer and the employee which describes the rights and responsibilities required for the job.
❖ A code of conduct – is a set of rules that guide behaviour in a work place.
❖ The document that stipulate the laws under which an employee is employed – Basic Conditions of Employment Act (No. 75 of 1997)

The importance of signing the contract of employment before starting a new job
❖ Contact of employment protects the employer and the employee.
❖ It defines the conditions under which the employee is employed.

What is included in a contact of employment?
❖ Working hours
❖ Core duties
❖ Remuneration (salary)
❖ Travel benefits
❖ Leave
❖ Fringe benefits (are other benefits that an employee can enjoy while being employed at that company. E.g. cell phone costs, petrol allowance, vehicle purchase discounts, discounted travel and medical insurances)
Employees get 3 days of Family Responsibility leave.

The value of a code of conduct
❖ A code of conduct guides the conduct of staff in a business.
❖ It promotes integrity in the workplace
❖ It guides staff on ethical matters in the workplace.
❖ Encourages employees to act responsibly.

What is included in a code of conduct?
❖ The behaviour of employees when at work
❖ Confidentiality
❖ Use of company assets
❖ Honesty
❖ Appropriate dress
❖ Integrity of staff
❖ Obeying of laws and regulations
❖ Substance abuse

The importance of personal appearance of all employees.
❖ It is a reflection on the environment in which they work.
❖ It can create a sense of trust in the business or vice versa

How a business can portray the professional image
❖ The company name, logo and slogan
❖ The company stationery
❖ The physical appearance of the business
❖ Promotions and communication with customers and the website or social media sites.
❖ Marketing material and product packaging
❖ Credentials and awards
❖ Employee appearance and conduct
❖ Environmental policies
❖ Customer service policies

How the employees can maintain the professional image/ how the staff can contribute to the professional image of the company?
❖ Adhere to company policy, adhere to dress code, smile – it brings in the money, Personal appearance – be well groomed/ neat, Punctuality- manage time effectively, Behaviour and attitude- note posture/ approach. Have extensive knowledge. Acquiring excellent communication skills.

Consequences of a negative conduct
❖ Customers will support the opposition.
❖ Negative word of mouth may result in fewer customers.
❖ Decreasing profit margins
❖ Loss of employees

Intervention strategies to management that can improve the negative conducts of employees
❖ The employees can undergo additional training sessions.
❖ The employees can work under supervision until the conduct is acceptable.
❖ The employee can get a written warning.
❖ Disciplinary procedures can be started.

QUESTION 8

THE THREE PILLARS OF SUSTAINABLE TOURISM
Sustainable – something which can be kept in the same condition or a better condition for the future.

Social – People                               Environmental – Planet                          Profit/ financial – Profit

Environment (planet) – how socially responsible the company is with regard to the natural environment.
Economy (profit) – how responsibly the company acts in terms of ownership, procurement, employment.
Social (people) – what effect the company has on its employees and the communities in which it operates.

  1. Environment (Planet)
    ❖ Resource management – businesses should make sure that they conserve energy and water. This can be done by:
    switching off lights and appliances when not in use, use solar heating for hot water, collect rainwater in a tank to water the garden and grounds, not wasting water by allowing taps and pipes to leak, using water-saving showers and toilets, use washing
    ❖ Waste management – If a business wants to control the amount of waste it generates, it should make sure that it obeys the three principles of reduce, recycle and re-use
    ❖ Litter and pollution control – businesses should make sure that they limit the amount of pollution it causes. This can be done by:
    Encourage all staff to pick up litter when they see it.
    Taking care not to pollute streams and rivers with chemicals and rubbish.
    Avoiding extremely bright lights, as light pollution can also cause problems, particularly in game reserves.
    ❖ Environmentally friendly buildings- This can be done by:
    Using building material that are not harmful to the environment.
    Making sure that the buildings are well insulated so that they keep cool in summer and warm in winter, thus minimising the need for heating and air-conditioning.
    ❖ Promotion of indigenous flora and control of alien plants
    Plant indigenous plants in the grounds, which need less water to grow.
  2. Economy (Profit)
    ❖ Ownership – offer shares to employees
    ❖ Employment –
    ➢job vacancy for local people
    ➢Fair wages and working conditions
    ➢Provide skills training programmes for staff.
    ➢Practices must be transparent
    ➢Provide staff with incentives and bonuses linked to performance or service levels.
    ➢Procurement of local goods and services – buy local goods and services
  3. Social (People)
    ❖ Stakeholders to be part of decision making
    ❖ Provide training & empowerment of staff
    ❖ Corporate Social Investment (CSI) – is a way in which a tourism business can give back to the local community in which it operates.
    ❖ Forms of CSI:
    ➢ adopting a local school
    ➢Provide bursaries to local school learners
    ❖ Corporate Social Responsibility (CSR) – is where a business engages in a project from time to time, more as a marketing initiative.(e.g. the business will help set up a mobile clinic or library for a community not necessarily where they operate from)

Responsible tourism and tourists
Responsible tourism – form of practising tourism so that it is sustainable.
Responsible tourism – is an approach to the management of tourism, aimed at maximising economic, social and environmental benefits and minimising costs to destinations.

Codes of conduct for tourist behaviour
❖ A code of conduct is a set of rules, which are written down, on how people are expected to behave.

How can a tourist destination attract environmentally conscious tourist.
❖ The business must have a responsible travel and/or environmental policy.
❖ The business must stimulate the local economy by buying local products and services.
❖ Have a recycling programme in place.
❖ Practise the triple bottom – line approach
❖ Responsible marketing of businesses
❖ Encourage visitors to use water sparingly
❖ Do not buy or sell products made from endangered species, e.g. hard woods, shells from beach traders
❖ Going green
❖ Developing partnerships
❖ Joining FTT
❖ Promoting emerging and local businesses

Types of responsible tourist behaviour that visitors should exhibit when visiting an attraction.
❖ Use water and energy sparingly.
❖ Recycle, reduce and re-use.
❖ Avoid an form of pollution
❖ Do not vandalise.
❖ Leave only footprints.

Benefits that responsible tourism behaviour has for a community
❖ It ensures that visitors and local communities alike share the benefits of tourism and travel equally.
❖ It creates a sense of pride.
❖ It promotes greater understanding of and appreciation for fair and equitable business practice.

Fair Trade Tourism

FTT (Fair Trade Tourism) - is a non-profit organisation that promote sustainable tourism development in Southern Africa and beyond.
The aim of FTT is to make tourism more sustainable by ensuring that the people who contribute their land, resources, labour and knowledge to tourism are the ones who reap the benefits.
This is done by growing awareness about responsible tourism to travellers; assisting tourism businesses to operate more sustainably; and by facilitating a Fair Trade Tourism certification programme across Southern Africa.
Tourism businesses that adhere to the FTT standard use the FTT label as a way of signifying their commitment to fair and responsible tourism.

FTT six principles

  1. Fair share- all participants involved in a tourism activity should get their fair share of the income, in direct proportion to their contribution to the activity.
  2. Democracy (fair say) – all participants involved in a tourism activity should have the right and opportunity to participate in decisions that concern them.
  3. Respect – both host and visitor should have respect for human rights, culture and environment (safe working conditions and practices, protection of young workers, promoting gender equality, HIV/AIDS awareness).
  4. Reliability – the services delivered to tourists establish mechanism of accountability (ownership must be clearly defined, sharing of profits, benefits and losses must be transparent, employees and other participants should be able to access information that concern them).
  5. Sustainability – the tourism businesses should strive to be sustainable.

Fair Trade good practices:
❖ Fair Wages and working conditions
❖ Products must be obtained from local producers
❖ Have respect for human and environmental rights
❖ Reliability and Transparency
❖ Practicing sustainability

QUESTION 9

GLOBAL EVENTS
➢ A global event is something that all countries know of and affect or change the whole world.

HOW DO WE DETERMINE WHETHER AN EVENT HAS THE STATUS OF BEING CLASSIFIED AS A GLOBAL EVENT?
➢ It involves multi-country participation.
➢ It draws large crowds from all over the world.
➢ It generates multi-country interest.
➢ Has major global media attention.
➢ The event requires proper planning and preparation.
➢ Large sums of money is invested in the event.

Sporting events: 2010 FIFA World Cup (football), Wimbledon (tennis), Comrades Marathon (running), Tour de France (cycling), Olympic Games (all sporting codes).
Non- Sporting Events: G8 Summit, Summits on climate change, Miss Universe and Miss World), World Conferences.

POSITIVE IMPACTS OF GLOBAL EVENTS ON INTERNATIONAL TOURISM
➢ ECONOMIC- Increased foreign revenue, increased business transactions and therefore increased profits, Creation of employment opportunities, Skills developments, Publicity via media experiences at the destination, Creations of other investment opportunities.
➢ SOCIAL – Communities are uplifted through skills development and job creation, communities are able to showcase their cultures.
➢ ENVIRONMENTAL – More money is invested in protecting the environment, more funding becomes available as profits made from the event, physical and natural environment are upgraded to enhance its tourism attractiveness.

NEGATIVE IMPACTS OF GLOBAL EVENTS ON INTERNATIONAL TOURISM
➢ ECONOMIC – Large sums of money are invested in preparation for the event, increased employment is only temporary, many people over-invest and once the event is over the investment is not sustainable, Negative publicity if something goes wrong.
➢ SOCIAL - Cultural disrespect can result in conflict situations, increase in criminal activity, a superficial image is created about the destination for the duration of the event.
➢ ENVIRONMENTAL – Mass tourism can result in increased stress on the natural environment, air pollution from increased demand for transport, litter created by the event creates more pressure on the environment, and the natural environment can be cleared away for infrastructure development.

THE IMPACT OF HOSTING A GLOBAL EVENT ON DOMESTIC TOURISM IN THE HOST COUNTRY.
POSITIVE – Domestic tourists see it as an opportunity to participate in such unique event, Pride in their country and the need to support the event.
NEGATIVE – Major construction in infrastructure may make it inconvenient for people to travel, Prices are usually higher due to increased demand, Places may be fully booked, and congestion and overcrowding may discourage domestic tourists.

THE IMPACT OF HOSTING A GLOBAL EVENT ON THE ECONOMY OF THE HOST COUNTRY

POSITIVE
➢ Creation of employment opportunities
➢ Attracts investment
➢ Wide scale of infrastructural development
➢ Increased foreign revenue
➢ Increased marketing for the host country
➢ All tourism sectors tend to benefit from the influx of tourists
➢ Skills development and entrepreneurial opportunities for locals
➢ It will set the multiplier effect into motion
➢ Will result in positive GDP growth
➢ Increased publicity/ positive image
➢ International publicity and exposure

NEGATIVE
➢ Increased levels of crime
➢ Increased pollution/ traffic congestion
➢ Negative media coverage if the event proves to be unsuccessful
➢ Exploitation of cultures and surrounding environments
➢ Disruption of daily commuting patterns of the local people
➢ Overcrowding with international and domestic visitors flocking to the city.

Political situation
❖ Political situation – is any event that involves the countries government and the way in which the country is run.
❖ Types of political situations
➢ Acts of terrorism
➢ Protests
➢ Xenophobia
❖ The impact this situation have on international tourism and the economy of the affected country
➢ Tourists may chose not to visit the country which will decrease foreign revenue.
➢ Investors will pull out
➢ Jobs will be lost due to fewer tourists visiting the country.
➢ The negative WOM/media coverage may discourage potential tourists from visiting the country.

Unforeseen circumstances
❖ An unforeseen circumstance - is an event that cannot be predicted in advance.
❖ Types of unforeseen occurrences
➢ Natural disasters
➢ Economic upsets
➢ Accidents
➢ Diseases
❖ The impact this unforeseen occurrence have on international tourism and the economy of the affected country
➢ Tourists may chose not to visit the country which will decrease foreign revenue.
➢ The country may lose potential investors.
➢ Jobs will be lost due to fewer tourists visiting the country.
➢ Loss of profits may lead to retrenchments.

Why it is important for SATourism to have statistics
❖ To provide for the needs and wants of customers.
❖ To monitor travel trends.
❖ To gather information in order to market South Africa as a preferred destination.

Reasons why the European markets visit more in South Africa (more number of tourists from these countries)
❖ Favourable exchange rate for them (South Africa is a VFM destination)
❖ Travelling time is convenient
❖ Business opportunities
❖ South Africa is considered a safe destination compared to other major destinations.
❖ Our climate attracts tourists

Reasons why other countries don’t like to visit South Africa (least number of tourists from these countries)
❖ We are not a VFM destination for them.
❖ Travelling time is too long
❖ Attractions we have may be similar to what they provide.
❖ Our climate may not be appeal to them

Ways that SATourism can use to encourage inbound tourism from a least visiting country
❖ Intensive marketing programmes
❖ Offering incentives to tourists
❖ Research their specific needs and develop packages around those research.
❖ Examine possibility of offering direct flights
❖ Dropping visa regulations for tourists

QUESTION 10

❖ Customer feedback: is the process of collecting information from customers regarding the satisfaction or dissatisfaction they feel with a product or service.

The purpose of customer feedback
❖ To gain information on what they are doing right, what they are doing wrong, how they can improve and how they can attract more customers.

Types of customer feedback:
❖ Surveys, Questionnaires, Feedback cards, Follow-up calls, sms services, web-based responses, mystery customer.

Analysing customer feedback

  1. Study and capture the feedback data to determine the extent of customer satisfaction.
  2. Identify the most common complaints
  3. Decide on an action plan
  4. Start the intervention process

Ways how feedback methods help to improve the level of service delivery of tourism businesses
❖ Feedback gathered from clients is used to evaluate service delivery.
❖ To ensure satisfaction levels of customers are established.
❖ The message that the tourism business cares about its customers are established,
❖ The information captured can be used to improve service delivery levels at the business.
❖ Quick feedback and problems are addressed immediately.

Intervention plans that should be implemented to improve service delivery OR Suggest strategies that can be used to improve service
❖ Staff sent for regular training courses to improve service delivery skills.
❖ Training methods adopted to improve the speed of service.
❖ Offer incentives to employees to maintain good work ethics.
❖ Continuous feedback from customers.

Negative impacts that poor review could have on a business
❖ Loss of customers
❖ Loss of business profitability
❖ Loss of income
❖ Negative publicity due to negative word of mouth
❖ Loss of repeat visit

Impacts of excellent service on business profitability
❖ More money for the business.
❖ The business gets a better reputation.
❖ Increased customer satisfaction.
❖ Customer loyalty
❖ Repeat business
❖ Positive word-of-mouth

NCS (CAPS) LEARNER
SUPPORT DOCUMENT
GRADE 12
TOURISM
STEP AHEAD PROGRAMME
2021

Guide

PREFACE

This support document serves to assist learners on how to deal with curriculum gaps and learning losses as a result of the impact of COVID-19 in 2020. It also captures the challenging topics in the Grade 11 and 12 work. The lesson plans should be used in conjunction with the 2021 Recovery Annual Teaching Plan. Activities should serve as a guide on how to assess topics dealt with in this document. It will cover the following:

   
   
   
   
   
F    

Time Zones

The section on Time Zones is covered under the Map work and Tour Planning Section. The topic is made up of two parts:

  1. The theory behind Time Zones including concepts and related aspects to the way in which time is calculated across the world
  2. The actual calculation of time across the globe as is used by people who travel one place to another.

There are certain aspects of this section that you need to master in order to answer the questions asked in exam papers.
This section will be tested in all tests and exams in your Grade 12 year as it is taught in Term 1. It makes up Section B (Question 2) of your exam papers.
Many learners believe that this section is difficult because there are calculations involved. There are in fact a few steps that you will need to master in order to get all your calculations correct. We will come to that in a little while.
The following is a checklist of what you should know in this section:

  1. Understand how to use the 24-hour clock when completing time zone calculations
  2. Understand the given terms and how they impact on world time zones 
  3. Be able to read, interpret and use the Time Zone Map to complete your calculations.
  4. Use the concepts of longitude and latitude to locate destinations on the Time Zone Map
  5. Understand the practice of Daylight Savings Time and how it impacts on travel
  6. Understand how travelling across time zones lead to Jetlag and Jet Fatigue (including the symptoms, causes and prevention).

The 24-hour clock. In tourism we use the 24-hour clock which goes from 24:00/00:00 to 23:59. We don’t use the ‘am” and “pm” method of telling time.
1 dfsdThe earth has imaginary lines that run from East to West and North to South. These lines are called latitudes and longitudes.

LATITUDES LONGITUDES 

latitudes

  • Latitudes are lines that run from East to West on the Earth.
  • They divide the Earth into the Northern and Southern Hemisphere.
  • A hemisphere is a half of the earth. 
  • The main line of latitude (0°) is called the Equator. It runs through the centre of the earth from East to West.
  • Latitudes are not used to calculate time but they are used to find the location of places on a time zone map.

longitudes

  • Longitudes are also called meridians. 
  • Longitudes run from North to South on the earth but they dive the earth into the Eastern and Western Hemispheres.
  • Each meridian measures equal distance away in a Westerly or Easterly direct, from the central meridian called the Prime meridian or the Greenwich Meridian (0°). The Greenwich Meridian is abbreviated as the GM.
  • On the opposite side on the earth the meridians end at the 180° line of longitude called the International Date line.

time zone 1

The space between two longitudes is called a TIME ZONE.
time zone 2

  • Each time zone is 15º(degrees) apart.
  • There is a 1-hour time difference between each time zone.

The earth is round and therefore measures 360º. There are 24 hours in a day.
The movement around the earth around the Sun, in 24 hours is called Rotation. The earth rotates from WEST to EAST.

360º ÷ 24 = 15 = the earth moves 15º every 1 hour.

The Greenwich Meridian was first identified to be used as the meridian from which time is calculated. The time at this meridian was called the Greenwich Mean Time.
The Universal Time Coordinate (UTC) lies on the Greenwich Meridian. All clocks take its time from the UTC, i.e. it standardises how time is kept.
The movement of the earth on its axis over the year (365days) is called Revolution.
The revolution of the earth results in the different Seasons of the year.
revolution
The local time is the exact time according to the position of the sun. Places close to each other may experience different times due to the shape of the earth and the effect this has on rotation. It was therefore decided by scientists to use the concept of standard time.
weird people
Standard Time is measured from the Greenwich Meridian using the GMT as a guide. Smaller countries where there is only one meridian running through it, takes its time from the same meridian. This is called standard time.
The earth rotates from West to East. Therefore:

All places to the East of the GM are ahead in time
All places to the West of the GM are behind in time.
The (+) and the (-) indicates direction.

If we are at the GM and we want to know the time East of us, we are going to go forward in time, i.e. earlier in time and therefore we will look at the (+). The opposite is true if we want to know the time West of us, then we use the (-)
utc
The International Date Line (180º) meridian is 12 hours across the Greenwich meridian (GM).
gm

  • When crossing over the IDL, there is a change in the calendar day. 
  • When one travels West over the IDL (E.g. Japan to Canada), the date will change from today to yesterday.
  •  When one travels East over the IDL (E.g. Canada to Japan), the date will change from today to tomorrow.

EXAMPLE
example
Some countries are very wide across their longitudes and therefore all the places in that country cannot take their time from the same time zone, E.g. Australia.
contries ajhyd
Daylight Saving Time(DST) also referred to as Summer time is a system used by some countries which lie further away from the equator. These countries generally have the sun rising earlier in the mornings and setting earlier in the evening. The sun rises much earlier than for example the norm of 06:00.
These countries therefore feel that they are wasting a lot of valuable daylight when businesses could be operating. They have decided to adapt to the way in which the rotation of the earth takes place.
Daylight Saving Time is where the country decides to set the clocks 1 hour ahead of standard world time in summer. This allows for one hour of daylight to move from morning to evening. The change forward is known as Spring forward. The country will turn their clocks back to standard time once summer is over. This change back is referred to as Fall back.
spring fall jhygad
There have been many reasons for country’s adopting DST. Some of these reasons include:

  • Cool hours in the morning could be used more productively rather than the warmer hours later on in the afternoon. This will increase productivity and hence lead to the growth of the economy.
  • This practice is actually a green practice because it encourages energy saving because less lights and air conditioners are used.
  • It can lead to a reduction in crime as more people return home well before dark.
  • There will be reduced road deaths as the evening rush hour would now have more daylight.
  •  There will be more time for recreation, leisure, family time for both parents and children.
  • Recreational areas and tourism establishments make money as they can open for longer hours.

Time zones and Daylight savings time will have an impact on tourists travelling outside of their country, especially across different time zones and hemispheres.
Tourists need to know how the times will change as they move across the globe, i.e. if they move East they are going ahead in time and if they move West they are going behind in time.
If their host country is practicing Daylight Savings Time, they will need to change their watches according and this will also impact on how they plan their itineraries. The times to visit attractions or participate in activities will be impacted by the time being used by the host country.
Changes in time either due to the impact of time zones or DST will also impact on other travel arrangements including flight times and changes, boarding times for trains and cruises, checking into to accommodation, etc. Tourists will also have to be informed about the business hours for establishments such as banks, foreign exchange bureaux’s, etc.
There is also an impact on how the tourist feels when they are travelling. The tourist physical and mental health can be affected by two aspects, namely:
Jetlag which is a tiredness that one feels when travelling across time zones
Jet Fatigue which is a tiredness that one feels from being confined to a space for a prolonged period of time. The cause of jet fatigue is not restricted to the crossing of time zones. A person can feel this even if they have not crossed over time zones.

JETLAG

SYMPTOMS OF JETLAG  MINIMISING THE IMPACT OF JETLAG
  • Fatigue (tiredness) and disorientation (unsure of your surroundings, confused)
  • Sleep pattern is interrupted often not allowing you to have a good full night sleep, leaving you tired.
  • Confusion and unclear thinking patterns.
  • Getting annoyed easily.
  • Dehydration, needing something to drink all the time.
  • Swollen or sore feet and legs
  • Ensure that you are well rested before and during a flight.
  • Avoid caffeine such as coffee
  • Avoid alcohol
  • When on a flight, walk around, stretching your arms and legs
  • Control your eating and eat healthy meals to avoid indigestion etc.
  • Take prescribed medication to help with jetlag
  • Reduce your stress by being prepared for the long flight.

 

Understanding and Interpreting the Time Zone map

time zones

The International Date Line is located at 180°
B The Greenwich Meridian/Prime Meridian is located at 0°. This is the point from which we calculate time.
C (-8) is the 120°W Line of Longitude. It means that all places who take their time using the 120°E meridian are 8 hours behind in time compared to the GM
D (+4) is the 60° Line of longitude. It simply means that places who take their time from the 60°Emeridian are 4 hours ahead in time from the GM.
Grey shaded areas mean that all the places with grey will take their time from the same meridian, corresponding to the longitude coloured in grey. E.g. all the places in the Eastern hemisphere shaded in grey and marked +8, take their time from the 120°E meridian.

Steps Used to Calculate Time Across time zones

Step 1: Write down all the given information.

  • Identify time zones of countries in question.
  • In problems where flying time is needed, note the departure time and point as well as the flying time.

Step 2 : Find out if the places are in the same or in different hemispheres.

  • If they are in the same hemisphere SUBTRACT, if they are in different hemispheres, ADD
  • Same Signs Subtract (SSS) and Different Signs ADD(DSA) to find the time difference in time.

Step 3: Is a country with a question mark AHEAD or BEHIND

  •  If a country with a question mark is AHEAD you ADD difference. 
  • If a country with a question mark is BEHIND you SUBTRACT the difference. 
  • Always start with the place in question, in your statement.

Step 4: When dealing with flight time:

  •  You Always ADD the flight time when calculating the ARRIVAL.
  • You Always SUBTRACT the flight time when calculating the DEPARTURE.

Step 5: When dealing with DST:

  • When calculating the ARRIVAL TIME you ADD 1hr of DST if the country in question is practising DST at that time.
  • When calculating the ARRIVAL TIME you SUBTRACT 1hr of DST if the country with time (departure country) is practising DST at that time.
  • When calculating the DEPARTURE TIME you SUBTRACT 1hr of DST if the country in question is practising DST at that time.
  • When calculating the DEPARTURE TIME you ADD 1hr of DST if the country with time is practising DST at that time.

NOTE:

  • Some problems include transit time between destinations
  • Past papers have also asked for learner to calculate the departure time rather than the arrival time.

YOU MUST GO THROUGH AS MANY PAST PAPERS AS YOU CAN, IN ORDER TO BECOME FAMILIAR WITH THE DIFFERENT TYPES OF PROBLEMS IN TIME ZONE CALCULATIONS.

Examples Using the Steps
Sandile is travelling from Johannesburg to New York. His flight will leave O.R. Tambo at 17:00 on the 12 June. His elapsed time from O.R. Tambo to John F Kennedy International is 16hrs 30mins. Give his arrival time in New York

Step 1: Write down all the given information

  • Johannesburg (30ºE) +2             New York (75ºW) -5
    17:00, 12 June                                        ?
    Flying time = 16hrs30mins

Step 2: Are both places in the same or different hemispheres

  • Johannesburg = 30°E => Eastern hemisphere
    New York = 75°W => Western Hemisphere

Rule: Both places are in different hemispheres, therefore you will ADD (2+5 = 7HRS) There are 7 hours between both places.

Step 3: Is the place in question East or West of the known place?

  • New York (place in question) is West of Johannesburg, therefore you will SUBTRACT

Step 4: Calculate time difference

  • 17:00 – 7hrs = 10:00 -> When it is 17:00 in Johannesburg it is 10:00 in New York

Step 5: Add flight time

  • 10:00 + 16hrs 30 mins = 02:30 13 June: arrival time

You need to master this kind of problem before your teacher shows you other kinds of time zone problems. You may use your textbooks to examine other examples related to calcualtions.

Learner Activities: Time Zones

Activity 1 – Spot Test on Concepts

QUESTION 1:
Match the term in Column A with the description in Column B. Write only the letter of the correct term.

Column A  Column B 
1.1. IDL A. Artificial divisions of the world’s surface
1.2. GMT B. An artificial time boundary corresponding to 180⁰ from the Greenwich Meridian
1.3. Greenwich Meridian C. The time used in a country, calculated from the meridian that they take their time from.
1.4. Standard Time D. A temporary change in a country’s standard time during the summer months.
1.5. DST E. The point of the globe representing the 0⁰ longitude.
1.6. Time Zones F. Local time at the Greenwich Meridian.


QUESTION 2: Correct the following statement by replacing the incorrect term/concept

2.1. GMT is the temporary change in a country’s standard time.
2.2. Latitudes divide the Earth into the Eastern and Western hemisphere. 2.3. South Africa has two standard time zones.
2.4. IDL stands for International Data Link.
2.5. The world is divided into 12 time zones
2.6. The International Date Line is also known as Greenwich Meridian.

Activity 2

Read the following article before answering the questions that follow
Daylight Savings Time

Daylight Saving Time (or Summertime as it is called in many countries) is a way of getting more light out of the day by advancing clocks one hour during the summer. During Daylight Saving Time, the sun appears to rise one hour later in the morning,
when people are usually asleep anyway, and sets one hour later in the evening, seeming to stretch the day longer. The reason DST works is because its saves energy due to less artificial light needed during the evening hours - clocks are set one hour ahead during the Spring, and one hour back to standard time in the Autumn. Many countries observe DST, but many do not.
Benjamin Franklin first suggested Daylight Saving Time in 1784, but it was not until World War I, in 1916, that it was adopted by several counties in Europe that had initially rejected the idea.
Note: Between March-April through September-November, it is summer in the northern hemisphere, where many countries may observe DST, while in the southern hemisphere it is winter. During the rest of the year the opposite is true; it is winter in the northern hemisphere and summer in the southern.

Adapted:(https://ticktocktony.com/Newsletter/daylight-savings.html

  1. What is the abbreviation for Daylight Savings Time?
  2. Explain why Canada adopts this practice in March.
  3. Briefly describe the process of Daylight Savings Time.
  4. “that it was adopted by several counties in Europe that had initially rejected the idea.” Determine TWO reasons why many European countries may have decided to adopt Daylight Savings Time.
  5. There are arguments on the idea that daylight saving time reduces electricity usage and promotes energy efficiency.
    Why is the above statement not completely true? Justify your answer with a good reason.
  6. Identify reasons why there are many countries who choose not to use Daylight Savings Time.

Activity 3 – Jetlag

Study the picture below and then answer the questions that follow
act 3 1

  1. Explain the difference between jet lag and jet fatigue.
  2. Refer to the picture and identify symptoms of jet lag that this tourist could be feeling.
  3. Refer to the diagram below and then answer the question that follows.
    act 3 2
    Why would a person travelling from West to East suffer greater symptoms of jetlag compared to a person travelling from East to West?

Activity 4

Using the World Time Zone Map, answer the following questions.

  1. Give the location (longitude and continent) where one will find the following countries:
    1. San Francisco
    2. Lagos
    3. Johannesburgh
    4. Adelaide
  2. India is +5,5 on the Time Zone Map. What does this mean?
  3. For each of the following time zones, give the time difference with the UTC:
    1. 75ºW
    2. 30º E
    3. 120ºE
    4. 15ºW
  4. Complete the following table, if the time at the UTC is 12:00
    COUNTRY  DIFFERENCE IN º  DIFFERENCE IN TIME  AHEAD/BEHIND OF THE UTC  TIME 
    Rio de Janeiro        
    Berlin        
    Perth        
    Tehran Between 45ºE and 60ºE = 3,5hrs 3,5hrs Ahead 15:30

Activity 5

Using your Time Zone Map, complete the following calculations. Show all workings.

  1. Zandile is working late in her Johannesburg (30ºE) office. She needs to make a phone call to her colleague Jane in Canada (105ºW). She will make the call at 16:00 SAST. Is this call possible?
  2. A businessman flies from Hong Kong (120ºE) to Johannesburg. He leaves Hong Kong at 12:30 on Sunday. What time and day will he arrive in Johannesburg, if he takes a 13-hour flight.
  3. Skhumbuzo will be departing from OR Tambo International Airport (30ºE) for Auckland (180ºE). He will leave at 18:00, Tuesday. His flight time is 18hrs. Auckland is practicing Daylight Savings Time.
  4. Peter leaves Paris (15ºE) on Friday at 08:00. He travels to New York (75ºW) on a 9-hour flight. What is his arrival time in New York?
  5. Keshnee who is studying in Lima, Peru (75ºW) makes a phone call to her parents who are living in Riyadh (45ºE). If she makes the call at 06:00, at what time will they receive the call? Lima is practicing DST.
  6. A group of educational tourists travel from Sao Paulo(45ºW) to Namibia (15ºE). They leave Sao Paulo at 05:00 on Wednesday and take a 6 hour flight to New York. The will remain in transit in New York for 4 hrs before flying to Namibia. The flight from New York to Namibia is 16 hours.
  7. Ayanda flew from San Francisco (120ºW) to Dallas (90ºW). She arrived in Dallas at 08:00 on Wednesday. Calculate her departure time from San Francisco if the flight was 3 hours long.

MAP WORK AND TOUR PLANNING

TRAVEL DOCUMENTS

  1. Passport
    1. PASSPORT - A document issued by a national government that certifies the identity (name, date of birth, gender and place of birth) and nationality of its holder.
      • The passport is issued by the Department of Home Affairs
      • Valid for 10 years’ adult
      • Requirements: A completed Application from
      • Proof of identity
      • Two size electronic photographs will be taken inside the DHA
      • Required fee
    2. Different types of Passports
        Types of Passports  Description  Valid for 
       Passport  These passports are issued to citizens who are 16 years of age or older, and are intended for occasional travel, such as vacations and business trips  10 years.
       Maxi passport  Similar to regular passports, but they contain 48 pages to cater for frequent travellers. Like regular passports, they are issued to citizens aged 16 and older  10 years and are non-renewable.
      New passport applications have to be filed.
      3  Child passport  These passports are issued to citizens who are 15 years of age or younger.  5 years, and are non-renewable
      4  Official passport  These passports are issued to officials attached to government institutions who have to travel on official business.  They are valid for five years.
       Diplomatic passport  Issued to diplomats and representatives for work related travel, and to their accompanying dependents.  
  2. Visa
    A visa is an endorsement on a passport giving the holder permission to travel to, enter, transit or remain in a foreign country.
    The visa is issued by Consulate or Embassy
    1. Requirements:
      • Valid passport
      • Specific visa fee
      • Return air ticket
      • Two passport sized photographs
      • Proof of sufficient financial means
    2. Types of Visas – Uni-visa, Multi-visa / Schengen visa
      Example: Schengen Visa countries
      visa countries
      Advantages of using Schengen visa / multi-visa
      • Saves money because you only pay for one visa.
      • Saves time because you don’t visit different embassies to apply for the different visas.
  3. Health Certificate / Yellow Fever certificate
    A health certificate is a statement signed by a health-care provider (such as a registered travel doctor) that proves the health of the bearer of the certificate. Health certificate can be obtained from TRAVEL CLINICS
  4. International drivers permit
    Permits a tourist to drive in a foreign country
    IDP can be obtained from AA (Automobile Association)
    1. Requirement needed
      Requirement needed to obtain International Driver’s Permit: 
      • Valid driver’s Licence,
      • 2 photographs, Fees,
      • Identity document,
      • Application form,
      • Proof of residence.
    2. Functions of IDP
      • Helps the tourist to rent a vehicle in another country and obtain travel insurance.

ACTIVITIES

ACTIVITY 1

Four options are provided as possible answers to the following questions. Choose the answer and write ONLY the letter (A–D) e.g. 1.1.21 A.
1.1.1This type of visa applied for when travelling to European Union Countries.

  1. Brazilian
  2. Scottish
  3. Schengen
  4. American

1.1.2. An IDP is required to …

  1.  participate in local cultural activities.
  2. fly an light aircraft in a foreign country.
  3. hire a vehicle at certain foreign destinations
  4. participate in white water rafting activities.

1.1.3 A South African applying for this travel document needs to submit a South African identity document, a completed application form and pay a fee.

  1. Passport
  2. Health certificate
  3. International driving permit
  4. Visa

1.1.4 A South African outbound international tourist who wants to visit China will apply at the … for a holiday visa.

  1. Department of Home Affairs
  2. National Department of Tourism
  3. Asian Embassy
  4. Chinese Embassy

1.1.5 A South African outbound international tourist would apply to the …for a transit visa when changing flights at Heathrow International Airport in London.

  1. Department of Economic Affairs
  2. British Embassy
  3. Department of Home Affairs
  4.  American Embassy

MAP OF EUROPE

map of europe
1.1 Name the 22 Schengen member countries and colour each country using their flag colours.
1.2 Eric wants to take a gap year, touring France, Italy and Germany. List FOUR travel documents that Eric would need for his trip.

ACTIVITY 2

2.1 Choose a service from COLUMN B that matches the service provider in COLUMN A. Write only the letter (A–F) next to the question number

  COLUMN A  COLUMN B 
 Travel clinic a. international driver's permit 
 Department of Home Affairs b. visa document
 AA (Automobile Association) c. yellow fever certificate
 Embassy d. passport

 

ACTIVITY 3

Study the information below and answer the questions that follow.

switzerland  A Schengen Visa gives a tourist entry into 22 countries who are members of the European Union.
John has to go to the Switzerland Embassy to apply for a Schengen Visa. 

3.1 Differentiate between a passport and a visa. (2 × 2) (4)
3.2 Give ONE reason why John would require a Schengen Visa for the race. (2)

USA Visa Requirements:

  • Valid passport that does not expire within six months of the trip
  • Non-immigrant Visa application form
  • One 5 x 5 cm colour photo taken within the last 6 months
  • Additional required documents for Media and Journalists to be produced at US Embassy or Consulate interview:
    • Proof of employment
    • A copy of the official Press-ID, if applicable
JOHN
john

3.3 Name the place where John will hand in an application to obtain a passport (1)
3.4. Suggest ONE reason why visa applicants are required to provide the US Embassy or Consulate with supporting documents in order to obtain a visa. (2)

Topic: Tourism Sectors

Content: Professional image in the tourism industry

Professional image in the tourism industry

  • When working in the tourism industry it is important that professional image is portrayed at all times.
  • Company and staff image are important when dealing with tourists from different countries and backgrounds.
  • They contribute to the professional image in the tourism industry.

Factors contribute to a professional image in the tourism industry.

Examples of aspects to consider include:

COMPANY IMAGE:
company image
Name of company

People get to know a company’s name and they learn to trust it tOR associate it with poor service.
Logo

  • A company’s identity is expressed by its logo and the colour thereof. The logo (or symbol or trademark) is the recognisable feature of the brand or company.
  • The logo is used on most visible features of the company, such as uniforms, stationery, marketing material and signage.
  • All of this together is called a company’s branding and is what establishes its corporate identity.

Slogan

  • A slogan is a short phrase that communicates a brand’s core values.
  • Slogans should be printed on all the company’s promotional items, including its website, stationery, marketing material and merchandise.
  • A slogan must be memorable and reflect the company philosophy.

    slogan

Website

  • The website must be up to date, user-friendly and well designed.

    website

Stationary

  • Stationery refers to office supplies such as letterheads, envelopes, registration forms, invoices, notepads, business cards.
    stationarystationary 2

Marketing

  • Marketing material is all printed material with information about a company’s products, such as flyers, brochures, maps, business cards, leaflets, fact sheets, postcards, and posters as well as videos.
  • Marketing material also includes online marketing through websites, newsletters, and social media.
    marketing

Product packaging

  • Product packaging refers to the way in which product features and benefits are combined to appeal to consumers.
  • Example: A package holiday is made up of elements such as flights, coach transfers, accommodation, excursions, and the attractions that have been selected by the tour operator. It is important that all components reflect the tour operator’s image
    product packaging

Physical appearance of the business

  • The physical appearance – exterior and interior elements of a company – also portrays an image.
  • Exterior elements include signage, the parking area and landscaping, and interior elements include the design, layout and equipment.
  • For example, windows must be clean, signage must be visible, and the décor must reflect the image of the company.
    physical appearance

Environmental policies

  • An environmental policy is a written statement that outlines a company’s aims and principles with regards to managing (limiting) the effect it has on the environment.
  • Consumers are increasingly choosing to do business with companies that are committed to protecting the environment.
  • A commitment to responsible tourism and conserving the environment projects a positive and responsible image.
    environmental policies

Customer service policies

  • Contains a statement to the customer about the levels of service they can expect
  • Standards that can be expected.
    environmental policies 2

Factors contributing to a professional image in the tourism industry.

IMAGE OF THE STAFF
What is a staff image?

  • Staff image refers to the presentability of employees when dealing with tourists and when carrying out their duties.

Aspects to consider to create professional image.
staff imaging

Professional appearance

  • A professional appearance is key to making a good impression and creating a professional image of yourself and your company

Uniforms

  • Staff uniforms must be appropriate to the image and type of company.
    uniforms

Dress Code

  • If employees are not required to wear a uniform, they will still have to adhere to a dress code that specifies what they may or may not wear.
  • Having a dress code ensures that staff still looks neat, tidy and professional even though they aren’t in uniform.
    unifofrms 2

Personal hygiene

  • Staff should be free of body odour and avoid strong fragrance. 
  • Nails and hair must be clean and neat.
    personal hygiene

Personal grooming

  • Staff should be neatly groomed.
  • Women should wear little make- up.
  • Jewellery should be limited and must be appropriate.
    personal grooming

Interaction with customers

  • Staff must be always polite and courteous to guests.
  • Excellent service can enhance a company’s image; poor service will damage a company’s image and business.
  • Avoid bad habits, such as smoking in front of customers.
    interaction with customers

Communication Skills

  • Whenever staff deals with customers, they are communicating, whether it is face to face, over the telephone, in writing or non-verbally (through body language).
  • The way in which an employee speaks, presents information in person or in writing and/or their body language determines the impression that employee makes personally and of the company.
  • Communicate confidently and honestly.
  • Do not use slang or bad language.
    communication skills

Conditions of Employment

The Basic Conditions of Employment Act 75 of 1997

  • It refers to the terms under which employer has employed a person.
  • The Department of Labour is the South African Government responsible for matters related to employment.
  • The Act applies to all employees and employers.
  • The Act protects employees and employers by outlining the minimum basic working conditions.
  • The Act gives effect to the right to fair labour practices.
  • The basic conditions of employment contained in the Act form part of the employment contract between the employer and employee.

The Contract of Employment

  • A contract of employment is a signed agreement between an employer and an employee.
  • Signing a job contract signifies an agreement between the employer and employee.
  • The contract of employment has rules that the employee should abide by when working for the company that has issued it.

Information Contained in The Contract of Employment.
Employer and employee details

  • Employer’s full name and address
  • Employee’s full name and address

Employment details

  • Place of work
  • Date on which employment starts
  • Job title
  • A brief description of the job including core duties
  • Working hours

Remuneration and deductions

  • Agreed minimum salary or wage
  • Rate for overtime
  • Frequency of payment (daily, weekly, monthly)
  • Any deductions (UIF, medical aid, pension fund, trade union membership fees, home loan and tax e.g. PAYE)

Notice and contract period

  • Period of contract
  • otice period required from the employee as well as the employer, should either wish to terminate the contract

Leave details

  • Any leave to which the worker is entitled
  • This includes, but it is not limited to sick leave, annual leave, study leave, maternity leave, family responsibility leave

Uniform allowances

  • Depending on the company policy, the employer could provide one uniform, more than one uniform, seasonal uniforms or the policy may stipulate that employees are entitled to a uniform allowance

Travel benefits

  • This is a decision of the employer
  • Some airlines provide discounted flight travel benefits to employees
  • Some hotels may agree to a travel allowance for employees
  • National Parks grant travel benefits to employees for the performance of official duties

Fringe benefits

  • Fringe benefits are benefits in addition to an employee's wages.
  • Any benefit offered to employees in exchange for their services (not including salary) is a fringe benefit
  • Examples include: pension fund, medical scheme, unemployment insurance, disability insurance, vehicle allowance, study loans and bursaries

Professional accountability and responsibility

  • The obligation/requirement to fulfil duties and accept responsibility for the consequences of actions and decisions, be they positive or negative.

Service ethics

  • The moral principles that govern a company's conduct with its customers, potential customers and ex customers.
  • They are based on a set of values relating to the question of what is “right” or “wrong.”

Disciplinary and grievance procedures

  • A disciplinary procedure is used by an employer to address an employee's conduct or performance
  • The aim of a disciplinary procedure is to encourage and maintain standards of conduct and ensure consistent and fair treatment for all e.g. verbal warning, written warning, firing an employee
  • A grievance procedure is used to deal with a problem or complaint that an employee raises.

Signatures

  • Signature of the employer
  • Signature of the employee.

Purpose and value of a code of conduct

Code of conduct

  •  A code of conduct is a set of rules that provides guidance to all staff on what is acceptable behaviour.
  •  It contains procedures to follow in certain situations and requires certain behaviour.

The purpose of a code of conduct

  •  It spells out the expected conduct of staff in their performance of duties. 
  • Offers guidance for staff with ethical challenges.
  • Guides behaviour.
  • Acts as a public statement providing the customers of a business with an understanding of the ethics of the company.

The value of a code of conduct

  • Creates a cooperative, collaborative atmosphere.
  • Promotes integrity in the workplace.
  • Creates agreed upon behaviours and methods of operation for the business. 
  • Leads to improved company performance if linked to the aims and objectives of the company.
  • States the company’s unique set of values and beliefs.
  • Can be used to create publicity and attract new customers, thus helping the organisation to grow.

TOURISM SECTORS: LEARNER ACTIVITIES

ACTIVITY 1

Study the information below and answer the questions that follow.
activity 1 

  1. Refer to the above extract and explain how this company succeeded in establishing a positive brand image through the following:
    1. It’s logo (2)
    2. The name of the business (2) 
    3. The physical appearance of the business (2)
    4. The special attraction for parents with young children (2)
  2. State TWO advantages of the Steak Beef Ranches having a recognizable, positive image. (4)
  3. Refer to the photographs above and discuss TWO points that can form part of the dress code for waiters working at a Steak Beef Ranches restaurant. (4)[16]

ACTIVITY 2

Study the web designs underneath and rates them according to the criteria provided and the information in the extract:

WEB 1
web 1 ada

WEB 2
web 2 jagda

CRITERIA  WEB 1 WEB 2 
 Image  ✓✓  ✓✓
 Target audience  ✓✓  ✓✓
 Usability  ✓✓  ✓✓
 Layout  ✓✓  ✓✓
 Content  ✓✓  ✓✓
 Media  ✓✓  ✓✓

[28]

ACTIVITY 3

Identify the problem in the cartoon taken from Cartoon Stock below and provide a possible solution, explaining two reasons for your answer. Your answer must be in a paragraph format.
activity 3 ajgda
(5)

ACTIVITY 4

4.1. Study the picture below and answer the question that follows.

AFRICAN SKY HOTEL SPAS AND RESORTS
activity 4auygd

African Sky Hotel Spas and Resorts is the great company to work for. They really look after the wellbeing of their employees. If you are in the lower to upper management you can enjoy the benefits of the use of the various properties and their facilities. There is a lot of passion within the company and hard workers are recognised through company incentives for example the company give workers fully paid holidays and they held year end functions where they award hard working employees. Great value system in place with the correct people. The company want to move forward and stay in line with technology and ever changing markets.

 4.1.1. Professional image is very important in ensuring the success of a business. What do you understand by the term professional image? (2)
4.1.2. In the extract, discuss two ways in which the African Sky Hotel Spas and Resorts motivate its employees. (4)
4.1.3. The employees play a huge role in attracting customers to their business. Suggest two ways in which employees can maintain the professional image of a business. (5)
4.1.4. Define the following conditions that are included in a contract of employment.

  1. Fringe benefits (2) 
  2. Remuneration (2) [15]

ACTIVITY 5

5.1. Study the extract below and answer the questions that follow. 
activity 5 aygd
5.1.1. Identify the document from which this extract has been taken. (2)
5.1.2. ‘Many of the conditions of employment, such as leave and working hours, are governed by government legislation.’ Name the government legislation that is being referred to in this statement. (2)
5.1.3. The document mentioned in 5.1.1 is a vital agreement in the workplace. Explain why would you consider this document an essential in the workplace? (4)
5.2. Study the pictures of employees at the I CARE CAR RENTAL below and answer the questions that follow.
5.2 aihda
5.2.1. Identify the inappropriate behaviour shown in picture A and picture B. (2)
5.2.2. Discuss TWO ways in which the inappropriate behaviour of the staff members in the pictures above can impact negatively on the profitability of the I CARE CAR RENTAL Company. (2)
5.2.3. 

  1. State the document that the company should have in place in order to prevent what is happening in the pictures shown above. (1)
  2. Explain the purpose of the document mentioned above. (2) [15]

Topic: Tourist attractions

Content: Famous world icons and attractions

The difference between a tourist attraction and an icon  A tourist attraction is a place, an area, a building or an event of interest that tourists visit for its historical significance, cultural value, natural or human-made beauty or entertainment opportunities e.g. natural attractions (waterfalls, mountains, forests and wildlife) and human-made attractions (theme parks, festivals, historical buildings and statues).
An icon in the tourism context is an attraction or feature that is world famous, has symbolic value and is closely associated with a particular destination. 
Reasons why specific tourism attractions and/or physical features are regarded as icons
  • Unique architectural or construction features e.g. the Taj Mahal in India
  • Unique and remarkable natural features e.g. the Grand Canyon in Arizona
  • Religious significance e.g. Mecca in Saudi Arabia
  • A distinctive and impressive size or shape e.g. Mount Everest in Nepal
  • A sense of magic and mystery e.g. Machu Picchu in Peru
  • A symbol of extraordinary human achievement e.g. the Great Pyramids in Egypt
  • Attract a certain number of visitors each year
The economic significance of icons for a country/area

Some of the factors that contribute to the economic significance of icons are that they:

  • earn valuable foreign exchange from the visitors attracted to the site
  • provide the government with extra revenue through taxes, such as airport tax and sales tax so that it has more money to spend on its own needs
  • creates local jobs and business opportunities
  • have a multiplier effect – new money is brought into the economy
  • lead to improved infrastructure that will benefit the entire country, not just the tourist industry
  • lead to increased regional development particularly in isolated areas.

ICONS & ATTRACTIONS

NAME OF ICON  Sydney Opera House  1
COUNTRY Australia
CITY/ TOWN City: Sydney
WHY IT IS AN ICON? It is universally recognised as an architectural masterpiece of the 20th century because of its design and construction.
DESCRIPTION It is located in Sydney Harbour, close to the Sydney Harbour Bridge.
It’s creative roof design of interlocking “shells” are shaped like sails of a sailboat
It is one of the most famous performing arts centres in the world
The building houses five theatres, a recording studio, cafés, restaurants, bars and souvenir shops.
 NAME OF ICON Ayers Rock / Uluru-Kata Tjuta National Park* 2
COUNTRY Australia
CITY/ TOWN State: Northern Territory
WHY IT IS AN ICON? Uluru or Ayers Rock is a unique, massive, round rock formation composed of hard, red sandstone.
DESCRIPTION Ayers Rock or Uluru lies in the Uluru-Kata Tjuta National Park in the Northern Territory of Australia.
The park is named after Uluru, a single rock dome and Kata Tjuta, a range of rock domes.
Formed through erosion over 500 million years, it is the most spectacular natural landmark in Australia.
NAME OF ICON The statue of Christ the Redeemer 3
COUNTRY Brazil
CITY/ TOWN City: Rio de Janeiro
WHY IT IS AN ICON? With its outstretched arms overlooking the city of Rio de Janeiro it is one of the most famous statues in the world and is known not only for its dramatic location and size, but also as a symbol of Christianity and peace.
DESCRIPTION The statue of Christ the Redeemer is situated on top of Corcovado Mountain
At a height of 700 m it overlooks the city of Rio de Janeiro.
It was built to commemorate the 100th anniversary of Brazil’s independence from Portugal in 1922
It offers spectacular views of the city, Sugar Loaf Mountain, the Maracana Soccer Stadium and the famous beaches of Copacabana and Ipanema
NAME OF ICON Niagra Falls 4
COUNTRY Canada and USA
CITY/ TOWN Niagara Falls, Ontanario (Canada)and Niagara Falls, New York (USA
WHY IT IS AN ICON? The Niagara Falls is the most famous waterfall in the world. It is one of the biggest and most powerful and receives more visitors than any other waterfall.
DESCRIPTION Niagara Falls on the Niagara River is located on the international border between the province of Ontario, Canada and the State of New York.
NAME OF ICON Colosseum 5
COUNTRY Italy
CITY/ TOWN City of Rome
WHY IT IS AN ICON? It is the largest amphitheatre constructed during the Roman Empire and is regarded as the greatest example of Roman engineering and architecture. It is nearly 2 000 years old.
DESCRIPTION It was originally known as the Flavian Amphitheatre. The Colosseum, which could seat over 50 000 people, was built to provide a place of entertainment for Roman citizens.
NAME OF ICON Learning Tower of Pisa 6
COUNTRY Italy
CITY/ TOWN City of Pisa
WHY IT IS AN ICON? Because of its beauty and the fact that it has tilted. It is the most recognisable structure in the world.
DESCRIPTION The Tower or campanile is one of three historic buildings located on the Piazza del Duomo (Cathedral Square).
NAME OF ICON Venice 7
COUNTRY Italy
CITY/ TOWN City Of Venice
WHY IT IS AN ICON? It was built on 118 small islands linked by canals and bridges, it is one of the most beautiful cities in the world and its famous for its architecture and art.
DESCRIPTION It is located in the lagoon on the shore of the northern Adriatic sea.
NAME OF ICON Vatican City 8
COUNTRY Italy
CITY/ TOWN Rome
WHY IT IS AN ICON? Vatican City also known as the Vatican, is the world smallest independent city state, the city of the Roman Catholic church and its ruled by its head, the Pope.
DESCRIPTION It was established in 1929 and is completely surrounded by the City of Rome.
NAME OF ICON The Great Pyramids of Giza 9
COUNTRY Egypt
CITY/ TOWN City of Giza
WHY IT IS AN ICON? They were constructed over 4500 years ago as massive tombs for the Egyptian pharaohs
DESCRIPTION There are nearly 1000 pyramids in Egypt. The three most famous pyramids are located near the Nile River.
NAME OF ICON The Sphinx 10
COUNTRY Egypt
CITY/ TOWN City of Giza
WHY IT IS AN ICON? It is a huge statue with the body of a lion and the head of human.
DESCRIPTION It is located in front of the Great Pyramid at Giza, 25 km from Cairo. Its exact construction date and purpose is not known.
NAME OF ICON Berlin Wall 11
COUNTRY Germany
CITY/ TOWN City of Berlin
WHY IT IS AN ICON? It was built in 1961, separating West Berlin from East Berlin.
DESCRIPTION In 1945, World War II came to an end with the defeat of Hitler’s Nazi Germany.
Germany and the City of Berlin was divided into four allied (USA, Britain, France and the USSR) occupation zones.
NAME OF ICON Black Forest  12
COUNTRY  Germany
 CITY/ TOWN  State : Baden-Wurttemberg
 WHY IT IS AN ICON?  It is known for its beautiful scenery consisting of mountains covered with pine and fir trees.
 DESCRIPTION  The region is 200 km long and 60 km wide and lies in the state of Baden-Wurttemberg is Southern Germany
NAME OF ICON The Dome of the Rock 13
COUNTRY Israel
CITY/ TOWN Jerusalem
WHY IT IS AN ICON? Is an Islamic shrine built on sacred rock. It is the third most holy site in the world for Muslims.
DESCRIPTION Is located on the Temple mount, is the oldest Islamic monument in the world.
NAME OF ICON The Wailing Wall 14
COUNTRY Israel
CITY/ TOWN Jerusalem
WHY IT IS AN ICON? It is located on the west of the Temple Mount in the old City of Jerusalem. The most holiest Jewish site in the world.
DESCRIPTION Also known as the Western Wall or Kotel (Hebrew), this 2000 year old wall is all that remains of a retaining wall that surrounded the second Temple built by Herold the Great.
NAME OF ICON The Great Wall of China 15
COUNTRY China
CITY/ TOWN Beijing
WHY IT IS AN ICON? It dates back 2000 years and is the world’s longest human made defence structure.
DESCRIPTION It was built between the 5th century BC and the 16th century AD by several Chinese emperors to protect China against invaders.
NAME OF ICON The Parthenon 16
COUNTRY Greece
CITY/ TOWN Athens
WHY IT IS AN ICON? It is the remains of a 2 500 year old temple located on the Acropolis, a hill overlooking the city of Athens.
DESCRIPTION The temple was built in honour of Greek goddess, Athena, the patron of Athens, for protecting Athens during war.
NAME OF ICON The Taj Mahal 17
COUNTRY India
CITY/ TOWN Agra
WHY IT IS AN ICON? The Taj Mahal is constructed of white marble. It was built by an Indian ruler as a symbol of his everlasting love for his deceased wife.
DESCRIPTION Shah Jahan, the Mughal Emperor of Southern Asia, ordered the construction of the Taj Mahal in 1631 to honour the memory of his favourite wife, Mumtaz Mahal, who died while giving birth to their 14th child.
NAME OF ICON The Blue Mosque 18
COUNTRY Turkey
CITY/ TOWN Istanbul
WHY IT IS AN ICON? The Blue Mosque in Istanbul, Turkey, with its cascading domes, decorated with ceramic blue tiles on the inside, its courtyards and six minarets, is considered one of the most beautiful mosques in the world.
DESCRIPTION The Blue Mosque was built by Sultan Ahmed I between 1609 and 1616. Its official name is the Sultan Ahmet Mosque. The 34 m-high main dome is surrounded by eight smaller cascading domes and semi-domes.
NAME OF ICON The Eiffel Tower 19
COUNTRY France
CITY/ TOWN Paris
WHY IT IS AN ICON? The Eiffel Tower is the world’s most famous tower and a symbol of Paris. It is the tallest structure in Paris and the most-visited tourist attraction in the world that charges an admission fee.
DESCRIPTION The Eiffel Tower is made from iron lattice and is situated on the southern bank of the Seine River in Paris, France.
It was built by the French structural engineer Gustave Eiffel as an archway to the International Exhibition of Paris in 1889 and to celebrate the 100th anniversary of the French Revolution
NAME OF ICON The French Riviera 20
COUNTRY France
CITY/ TOWN Nice
WHY IS  IT AN ICON? The French Riviera or Côte d’Azur is one of the most famous and luxurious coastal resort areas in the world. It lies on the Mediterranean coast of south-eastern France on the border with Italy.
DESCRIPTION The French Riviera is known for its blue water, scenic beauty, dramatic coastline, warm weather and beaches.
NAME OF ICON Mount Fuji 21
COUNTRY Japan
CITY/ TOWN Tokyo
WHY IS  IT AN ICON? Mount Fuji is the highest mountain in Japan. This volcanic mountain is world famous for its near perfect symmetrical cone shape and is recognised as a symbol of Japan.
DESCRIPTION Mount Fuji is surrounded by five beautiful lakes and is in the Fuji-Hakone-Izu National Park approximately 100 km south-west of Tokyo, the Japanese capital.
The volcano last erupted in 1707 but although it has been dormant since then, geologists still regard it as active.
NAME OF ICON Chichen Itza* 22
COUNTRY Mexico
CITY/ TOWN Region: Yucatán Peninsula
WHY IS  IT AN ICON? Chichen Itza is the ruined remains of a large, ancient Mayan city. It is one of the best preserved archaeological sites of the ancient Mayan civilization
DESCRIPTION Chichen Itza lies on the Yucatán Peninsula in Mexico. With its stone temples, pyramids, astronomy observatory and ball courts Chichen Itza was a powerful Mayan political, spiritual, ceremonial and trading centre between 500 AD and 1100 AD. The city was later abandoned and visited by Mayan pilgrims only until the Spanish arrived in the 16th century.
NAME OF ICON Petra 1 petra 
COUNTRY Jordan
CITY/ TOWN Wadi Musa
WHY IS  IT AN ICON? This desert city, hidden in a narrow valley between mountains, has been carved from solid rock, making it one of the most spectacular ancient cities in the world. Petra, which means “rock” in Greek, was constructed around 100 BC as the capital city of the
DESCRIPTION Petra is located outside the town of Wadi Musa in southern Jordan. From 600 BC to 106 AD the Nabateans settled in Petra and developed it into a wealthy caravan trading centre that linked the spice and silk routes of China, India and Arabia with Egypt, Syria, Greece and Rome.
NAME OF ICON Mount Everest 2 everest
COUNTRY Nepal
CITY/ TOWN Kathmandu
WHY IT IS AN ICON? Mount Everest is the highest mountain in the world. The peak is 8 848 m above sea level.
DESCRIPTION Mount Everest lies on the border between Nepal and Tibet (China) in South Asia and forms part of the Himalaya mountain range.
This 60-million-yearold mountain is always covered with ice and snow. Its peak is shaped like a pyramid.
NAME OF ICON Mecca 3 mecca
COUNTRY Saudi Arabia
CITY/ TOWN Mecca
WHY IT IS AN ICON? Mecca, the most sacred city of the Islam faith, is the spiritual centre of all Muslims. It is the birthplace of the Prophet Muhammad, the founder of the Islamic faith, and the focal point of Muslim pilgrimage.
DESCRIPTION The most holy site in Mecca is the Kaaba, located in the courtyard of the Masjid al Haram (Grand Mosque), the holiest mosque in the world.
NAME OF ICON The Swiss Alps 4 swiss alps
COUNTRY Switzerland
CITY/ TOWN Area: Cantons of Berne and Valais
WHY IT IS AN ICON? The Swiss Alps Jungfrau-Aletsch is a protected area in south-western Switzerland. This beautiful region has high mountain peaks that are permanently covered in snow, glaciers and valleys.
DESCRIPTION The Jungrau-Aletsch is located between the cities of Interlaken and Brig in the Swiss cantons of Berne and Valais.
There are nine mountains of over 4 000 m high each in the region. Of these, the peaks of Eigar, Monch and Jungfrau are the most spectacular.
NAME OF ICON Windmills 5 windmills
COUNTRY The Netherlands
CITY/ TOWN Area: All over the Netherlands
WHY IT IS AN ICON? Windmills are one of the main symbols associated with the Netherlands. Not only are they characteristic of the Dutch landscape, they are also a symbol of the Dutch struggle against water.
DESCRIPTION Windmills in the Netherlands date back to the 14th century and there were over 10 000 in use by the early 20th century.
NAME OF ICON Machu Picchu 6 machu pichu
COUNTRY Peru
CITY/ TOWN Cuzco
WHY IT IS AN ICON? Machu Picchu, an ancient Inca city in the Andes Mountain in Peru, is one of the most important and mysterious archaeological sites in the world.
DESCRIPTION Machu Picchu is located in the Andes Mountains, 80 km from the city of Cuzco in Peru. It lies at 2 430 m above sea level.
NAME OF ICON Auschwitz 7 adag
COUNTRY Poland
CITY/ TOWN Auschwitz
WHY IT IS AN ICON? Auschwitz was Nazi Germany’s largest concentration camp, forced labour and extermination camp complex in Europe from 1940 to 1945
DESCRIPTION Auschwitz in southern Poland is the town where the Nazis established their largest concentration camps after invading Poland in 1939.
NAME OF ICON The Algarve 8 algarve
COUNTRY Portugal
CITY/ TOWN Faro
WHY IT IS AN ICON? The Algarve is Portugal’s most popular tourist region and one of Europe’s favourite holiday destinations. This region is renowned for the natural beauty of its dramatic coastline, sunny weather, excellent beaches, opportunities for outdoor activities and great food.
DESCRIPTION The Algarve lies on the southern tip of Portugal with the Atlantic Ocean as its southern and western border.
NAME OF ICON Alcazar of Segovia 9 alcazar
COUNTRY Spain
CITY/ TOWN Segovia
WHY IT IS AN ICON? The Alcázar of Segovia is the most recognisable fortress castle in Spain. It is built on top of a huge rocky hill and shaped like the bow of a ship. This fortress dates back centuries and is one of the most visited monuments in Spain.
DESCRIPTION -The Alcázar (castle) lies in the old city of Segovia in the province of Segovia in Spain. Originally built as a wooden fortress by the Arabs during their occupation of Spain, it was recaptured by the Spanish who rebuilt it as a stone structure in the 12th century.
NAME OF ICON Bull fights 10 bull fights
COUNTRY Spain
CITY/ TOWN Madrid, Seville and Pamplona
WHY IT IS AN ICON? The practice of bullfighting, in which a bullfighter in the public display provokes and then kills a bull with a sword, is universally associated with
Spain’s history and culture.
DESCRIPTION Bullfights take place in a large outdoor arena. When the bull (toro) enters the ring the bullfighter (matador), who is carrying a cape and sword, wearing a colourful embroidered silk costume, provokes it.
NAME OF ICON Floating markets 11 floating markets
COUNTRY Thailand
CITY/ TOWN Bangkok
WHY IT IS AN ICON? The colourful and vibrant floating markets where traders sell their goods from their boats on the rivers and canals have become a symbol of the traditional way of life in Thailand
DESCRIPTION Floating markets (Talaat Naam) are known for the Thai women dressed in blue shirts (Mor Hom) and flat topped hats (Muak Nob) who paddle alongside the canal.
NAME OF ICON The Kremlin 12 the kremlin
COUNTRY Russia
CITY/ TOWN Moscow
WHY IT IS AN ICON? The Kremlin is a fortified complex of buildings in the city of Moscow.
DESCRIPTION The Kremlin lies on a hill in the centre of Moscow, on the Moscow River. It is surrounded by a 2,2 km-long red brick wall and 20 defensive towers forming an irregular triangle.
Cathedral Square is at the centre of the Kremlin.
NAME OF ICON The Red Square 13 the red square
COUNTRY Russia
CITY/ TOWN Moscow
WHY IT IS AN ICON? The Red Square in the centre of Moscow, is a large public square surrounded by significant buildings. It has been the site of many historical events since the 15th century and is considered to be the most famous tourist attraction in Moscow.
DESCRIPTION The Red Square separates the Kremlin from the rest of the city of Moscow.
Landmarks surrounding the Red Square include the brightly domed Basil’s Cathedral, Lenin’s mausoleum containing the embalmed body of Vladimir Ilyich Lenin (the founder of the Soviet Union), the State Historical Museum, Kazan Cathedral and GUM, the city’s famous department store.
NAME OF ICON Big Ben 14 big ben
COUNTRY United Kingdom
CITY/ TOWN London
WHY IT IS AN ICON? Popularly referred to as Big Ben, the Elizabeth Tower of the Palace of Westminster is recognised worldwide as a symbol of the city of London and the United Kingdom
DESCRIPTION The Palace of Westminster, with its neo-Gothic architecture and more than 1 000 rooms, is built on the banks of the Thames River in London.
It is the home of the British Houses of Parliament called the House of Commons and the House of Lords. The 93 m, free-standing Elizabeth Tower at the northeast of the Palace of Westminster houses the Great Clock of Westminster or Big Ben that has four faces.
NAME OF ICON Buckingham Palace 15 buckingham palace
COUNTRY United Kingdom
CITY/ TOWN London
WHY IT IS AN ICON? Buckingham Palace is the official residence and administrative headquarters of the British monarch. It is a major tourist attraction in London.
DESCRIPTION Built as a house for the Duke of Buckingham in 1703, the palace became the royal residence in 1837 when Queen Victoria ascended the throne. Queen Elizabeth II has been the reigning monarch since 1952.
NAME OF ICON Tower of London 16 tower of london
COUNTRY United Kingdom
CITY/ TOWN London
WHY IT IS AN ICON? The Tower of London is an ancient fortress palace complex and one of the oldest buildings in London. It is a symbol of royal power dating back to the 11th century.
DESCRIPTION It is not just a single tower, but a complex of many buildings added by other kings until its completion. Two defensive walls and towers surround the tower.
NAME OF ICON Tower Bridge 17 tower bridge
COUNTRY United Kingdom
CITY/ TOWN London
WHY IT IS AN ICON? London's Tower Bridge is one of the most recognizable bridges in the world. Tower Bridge (built 1886–1894) is a combined bascule and suspension bridge in London which crosses the River Thames.
DESCRIPTION The bridge consists of two towers tied together at the upper level by means of two horizontal walkways. It took 8 years, 5 major contractors and the relentless labour of 432 construction workers to build theTower Bridge.
When it was built, Tower Bridge was the largest and most sophisticated bascule bridge ever completed ("bascule" comes from the French for "see-saw"). These bascules were operated by hydraulics, using steam to power the enormous pumping engines.
In 1982 the Tower Bridge opened to the public for the first time since 1910, with a permanent exhibition inside called The Tower Bridge Experience
NAME OF ICON The Statue of Liberty 18 the statue of liberty
COUNTRY USA
 CITY/ TOWN New York
 WHY IT IS AN ICON? The Statue of Liberty was a gift from France to the USA. It has become one of the most recognisable landmarks in the world.
 DESCRIPTION  The Statue of Liberty is a huge sculpture of a robed woman wearing a crown, holding a lit torch in her right hand and a tablet in her left hand. At her feet is a broken chain.
 NAME OF ICON  The Grand Canyon 19 grand canyon
COUNTRY USA
CITY/ TOWN Arizona
WHY IT IS AN
ICON?
The Grand Canyon is one of the largest gorges in the world. With its overwhelming size and magnificent landscape, it is one of the most spectacular natural wonders
DESCRIPTION The Grand Canyon lies in the Grand Canyon National Park in the state of Arizona, USA.


ACTIVITY 1

1.1.1 The Black Forest is located in …

  1. Switzerland
  2. Germany
  3. Russia
  4. Turkey

1.1.2 This world icon is one of the seven new wonders of the world:

  1. Machu Picchu
  2. Eiffel Tower
  3. The Sphinx
  4. Big Ben

1.1.3 … is the ruined remains of a large, ancient Mayan city 

  1. Taj Mahal
  2. Cuzco
  3. Vatican City
  4. Chichen Itza

1.1.4 An example of universal accessibility at an attraction:

  1. The restaurant offers kosher dishes
  2. Toilet facilities are provided for people in wheelchairs
  3. Staff members are able to communicate with visitors in a variety of international languages
  4. All of the above

1.1.5 Gondolas and canals are associated with this city:

  1. New York
  2. Johannesburg
  3. Moscow
  4. Venice

1.1.6 A factor that contributes to Machu Picchu being a successful tourist attraction:

  1. Machu Picchu limits the number of tourists visiting the attraction.
  2. Tourists to Machu Picchu are offered free accommodation.
  3. Tourists on wheelchairs are not allowed to visit Machu Picchu.
  4. Machu Picchu does not advertise their tourist packages.

1.2 Choose the correct word(s) from those given in brackets. Write only the word(s) next to the question number (1.2.1–1.2.5) in the ANSWER BOOK.
1.2.1 (The Dome of the Rock/Ayers Rock) is a unique natural landmark, composed of hard, red sandstone that lies in the Uluru-Kata Tjuta National Park.
1.2.2 The (Alcázar of Segovia/Parthenon) is considered to be the most beautiful castle in Spain.
1.2.3 Tourists interested in ancient civilisations must travel to Jordan to explore (the Kremlin/Petra).
1.2.4 (The Blue Mosque/Mecca) is regarded as the spiritual centre of the Muslim faith.
1.2.5 (Mount Everest/Mount Fuji) is a nearly perfectly shaped volcano that is worshiped as a sacred mountain by Buddhists.
1.3
1.3 ajgda
1.3 2 akhda
1.3.1 State the continent where icons A and D are located and provide their correct names. (3)
1.3.2 Name the country where the above mentioned (1.3.1) icons are found. (1)
1.3.3 Provide the name of the activity experienced in icon E. (1)
1.3.4 Explain the structural condition of icon C. (1)
1.3.5 Give the continent and country where world icon B located? (2)
1.3.6 The crowns jewels are associated with this icon. Write the letter and the name of this icon. (2)

ACTIVITY 2

A Lesson in Project Failure: Sydney's National Opera House
You can't tell from looking at it, but Sydney Australia's iconic Opera House is actually a study in a project failure. Its original plan had a four-year timetable and an AU $7 million budget, but in the end, it took AU $102 million and 14 years to complete.
Fortunately, the final product more than met the expectations of Opera-goers, the world's architectural community, and ultimately the Australian government, which recouped the massive cost after only two years. How the project rolled out over time offers a series of abject lessons in how not to manage a construction (or any kind of) project.
activity 2 ajtgda
The Opera House project failed because it did not follow any of the processes that normally signify proper project management and accounting processes:
Inadequate resource management planning resulted in no one dedicated person responsible for project activities, and the budget was at best a suggestion.
No management and no accounting expectations lead to excessive and wasteful materials costs. No resource scheduling lead to delays at all stages of the project's development.

  1. What other icon is found in Australia other than the one mentioned in the case study? (1)
  2. Why is Sydney Opera House regarded as a failed project? (2) 
  3. From the extract identify two problems hindering the success of Sydney Opera House project. (4) 
  4. For each of the above mentioned problems hindering the success, recommend the solutions for them. (4)[11]

ACTIVITY 3

T H E N E G A T I V E I M P A C T S O F O V E R T O U R I S M
activity 3 jaygda
When I visited Cairo a few years ago, dozens of air-conditioned tour buses swarmed around the Giza plateau, the museum, and tourist hotspots like Khan El Khalili every single day. They congested the roads around these attractions even more than usual, attracting exploitative cottage industries such as touts, papyrus factory tours, and unethical camel rides. The result has created a massive work and monetary imbalance in the city.
More recently, the tourism industry in and around Cairo has suffered a massive blow. Overblown safety warnings and fears have caused the local economy to crash. As Egyptian tourism starts to recover, Cairo and Giza should take a step back and learn from their past mistakes. This is their chance to embrace responsible tourism, controlling visitor numbers and encouraging travelers to explore the ancient history and culture of the whole area, not just a few tourist hotspots. –Mike Huxley of Bemused Backpacker

  1. From the case study above identify the name of the icon and the continent it is located (2)
  2. From the extract above identify the problem that is threatening the sustainability of the above mentioned icon (2)
  3. Advise the Egyptian authorities on two measure that would ensure the continuity success of the above attraction(4)

TOUR PLANNING

  • Itinerary – is a detailed plan of the tourist’s journey.
  • Tourist profile – is an indication of the tourists’ wants and needs.
  • Element of a client profile
    • Name, Gender, Age, Budget, Nationality, Location, Occupation, Purpose of visit, Type of tourist, Special needs
  • Route planning – Why it is important when compiling a tour plan?
    • It saves time, so that they can spend less time on travelling and more time on activities and attractions.
    • It is logical and easy to follow
    • Its economical
  • Importance of having a budget in place when preparing a tour plan
    • To be able to know all the different costs that they will have when they embark on their journey.
    • A budget will help the tourist plan their trip effectively.
  • Aspects /element of an itinerary
    • Accommodation
    • Transport
    •  Attractions and activities
    • Meals
    • Budget
    • Number of people travelling
    • Route to be taken
    • Time of year
    • No. of days
  1. COMPILING A TOUR BUDGET
    A tour budget is a document that specifies all the costs of a tour. Preparing a tour budget will give you an idea of expected costs. Therefore, the tour budget will serve as a basis for the final costing of the tour. The development of a tour is dependent on a combination of factors,including:
    • The type of tour
    • The tour group
    • Transport
    • Accommodation
    • Sundry expenses
  2. HEALTH AND SAFETY
    The tourist’s health and safety refers to the well-being or welfare and safety of visitors; from their places of origins to destinations and most importantly during their stay at their destination of choice.
    Travellers must be aware about health and safety issues and precautions when travelling. It is important that the destination continues to inform them so that tourists can take necessary precautions.
    Precautions and vaccinations
    DISEASES  PRECAUTIONS  SYMPTOMS
     Malaria (an infectious disease caused by being bitten by a mosquito carrying the parasite).

    ❖ take anti-malaria tablets, use a mosquito repellent
    ❖ avoid outdoor activities from dust to dawn
    ❖ wear protective clothing

    flu-like symptoms, headaches, vomiting
    Cholera (a bacterial infection that passes into the body when one drinks infected water). ❖ use sealed bottled water
    ❖ boil water before using it. 
    Diarrhoea, vomiting, dehydration
     Bilharzia (waterborne disease caused by parasites found in
    streams, lakes and rivers)
    ❖ Look out for signs that warn of contaminated water in dams Skin rash within few hours of contact with water
    followed by fever
    Yellow fever (transmitted by a bite of a female mosquito in South America Northern Africa) ❖ Avoid mosquito bite in affected areas Fever, nausea, pain
    Hepatitis A (viral infection of the liver transmitted through direct person person contact) ❖ Avoid ice and shell fish from contaminated water
    ❖ Boil water and cook food
    ❖ Do not eat raw fruits and vegetables that are contaminated with sewerage
     
    Hepatitis B (a chronic liver infection that is deadly, transmitted from person to person contact through body fluids, especially bloods and through unprotected sexual contact; transfusion of contaminated blood, tattooing or other skin piercing procedures, by sharing needles, and also from mother to baby) ❖ Practice safe sex
    ❖ Avoid contaminated instruments for injections or skin piercing.
     
  3. Compulsory vaccinations and recommended vaccinations
    ❖ Compulsory vaccinations are regulated according to identified threats found in some countries. To contain the spreading of a high risk disease.
    ❖ Recommended vaccinations are just precautionary measures to ensure the health of individual tourists and are optional. They are not a measure for high risk diseases.
    1. Places where tourists can get healthcare information:
      • Internet
      • Travel clinics
      • Travel agencies
      • Tourism Information offices
      • Airports
      • Libraries
      • Travel magazines
      • Travel websites
    2. SAFETY TIPS
      1. On the street
        • Do not display your valuables.
        • Do not accept lifts from strangers.
        • Use credit cards or carry small amounts of cash.
      2. In the car
        • Do not give lifts to strangers.
        • Never display your valuables in the car.
        • Drive within the speed limit of the road.
      3. In the hotel
        • Do not leave your luggage unattended.
        • Keep your room door locked at all times.
        • Check who is at the door before opening it.
        • Check your credit card if you use it in the hotel.
      4. At the airport
        • Always keep your bags where you can see them.
        • Make sure all your bags have locks.
        • Do not allow anyone to check your bags except for designated security officers.
        • Don’t carry goods through customs of a stranger.
      5. In public places
        • Be aware of your surroundings.
        • Become familiar with the local police services.
        • Ensure you use registered qualified guides.
      6. After dark
        • Avoid isolated places at night.
        • Always travel in groups.
        • Use well-known public transport.
        • Ensure that your cell phone is charged.

When travelling it is important to research the health requirements of one’s destination, as well as the precautions one should take. Safety is an important factor to consider when travelling. These factors play an important part in the decisions that tourists take when travelling.

TOUR PLANNING MIND MAP

mind map 

ACTIVITIES

QUESTION 1
1.1 Four options are provided as possible answers to the following questions. Choose the answer and write only the letter (A-D) next to the question number (1.1.1-1.1.20) in the ANSWER BOOK, e.g. 1.1.21 A.
1.1.1 When planning an itinerary a tour planner should take into account that travellers on international flights must check in for their flight ... prior to departure.

  1. 30 minutes
  2. 90 minutes
  3. 2 to 3 hours
  4. 1 to 2 hours

1.1.2 A disease contracted in the same way as HIV Aids:

  1. Hepatitis A
  2.  Hepatitis B 
  3. Malaria 
  4. Cholera

1.1.3 The disease caused by drinking contaminated (polluted) water:

  1. Malaria
  2. Yellow fever
  3. Cholera
  4. Bird flu

1.1.4 The... virus, found mainly in South America, caused panic in the tourism industry in 2016. 

  1. bird flu
  2. SARS
  3. Ebola 
  4. Zika

1.1.5 Name the function of the organisation represented by the following logo:
1.1.5 akuhda

  1. Informs tourists about health regulations
  2. Informs tourism role-players about global tourism statistics
  3. Regulates air travel in the aviation industry
  4. Regulates trading in endangered species

1.2 Choose a concept provided in the list that best completes the sentences below. You may only use each of the concepts given ONCE. Write only the concept next to the question number (1.2.1-1.2.4) in the ANSWER BOOK

 Yellow fever, TB, HIV AIDS, Bilharzia, Malaria, Hepatitis B, visa, Hepatitis A, HIV, Cholera

1.2.1 Use of insect repellent on exposed skin, staying indoors, spraying an aerosol insecticide in the sleeping area or burning of mosquito coils
and mosquito mats are precautionary measures against contracting ...
1.2.2 Transmitted by a bite of a female mosquito in South America and Northem Africa
1.2.3 Prolonged coughing, difficulty in breathing and chest and joint pain are symptoms of
1.2.4 Avoiding potentially contaminated rivers and not drinking or washing in contaminated water are precautionary measures against contracting (4 x 1) (4)
1.3 It is important to compile a client profile before developing an itinerary for a tourist
1.3.1 Give ONE reason why it is important to compile a profile for Mr Jackson before developing his itinerary. (2)

Mr Jackson wants to take biltong (dried meat) to Germany as a Proudly South African gift for his German friend. He was informed that meat products are prohibited from being taken into Germany.

1.3.2 Give TWO reasons why Germany do not allow meat products into the country.
1.4
1.4 kagyda
1.4.1 Advise Mr Jackson on TWO safety precautions he should consider when in the hotel.(4)
1.4.2 State TWO consequences for the hotel if guests are not adequately informed on safety and security issues during their stay. (4)

QUESTION 2
Read the extract and answer the questions that follow.
question 2 ajygda
2.1 The above-mentioned tour is an example of a package tour. Do you agree with this statement? Motivate your answer. (2)
2.2 Taking the activities into account, identify ONE type of tourist that would consider going on this tour. (1)
2.3 Explain the term inclusions used in the extract. (1)
2.4 Advise a tourist making a booking on this tour regarding TWO items that he/she should pack before departure. (2 x 1) (2)

Understanding Time Zones
Developed by E.Engelbrecht

WHAT DOES THE CAPS REQUIRE?
CURRICULUM AND ASSESSMENT POLICY STATEMENT

9 Map work and tour planning 

World time zones: 

  • Concepts: Time zone, UTC, Greenwich, hemispheres, equator and seasons, standard time, local
    time, the international date line, the 24-hour dock (00:00-23:59), latitude, longitude
  • Introduction to a world time zone map .
  • Concept Daylight saving time (DST). Reasons for this practice
  • The impact of time zones and daylight saving on travel planning and travelling 
10  Map work and tour planning

Calculations of world times when travelling between countries: 

  • Calculations to determine arrival time and departure time with and without DST and flying time (a time zone map must be provided. Learners are not required to know which countries apply DST)
  • Concepts: jet lag and jet fatigue. Symptoms of jet lag. How to minimise and ease the effects of jet lag

WORLD MAP & CARDINAL POINTS

world map and cardinal points

EARTH REVOLVES AROUND THE SUN

earth revolves around the sun

ROTATION OF THE EARTH

rotatiopn of the earth

DAY AND NIGHT ON EARTH

day and night on earth

DEMONSTRATING TIME ZONES

demonstarting time zones

LINES OF LONGITUDE

lines of longitude

24 LINES OF LONGITUDE

24 lines of longitude

THE 0º LINE OF LONGITUDE

the o line of longitude

GREENWICH

greenwich

INTERNATIONAL DATE LINE (IDL)

idl

TIME ZONE MAP

time zone map

THE 24-HOUR CLOCK

24 hour clock

TIME DIFFERENCES

time difference

TIME ZONE LINE

time zone line

DAYLIGHT SAVING TIME (DST)

A way of making better use of the natural daylight by setting your clock forward one hour during the summer months, and back again in autumn.
dst

Daylight saving time is in use between March and April and ends between September and November as the countries return to Standard Time.

JET LAG / JET FATIQUE

jet lag

JET LAG / JET FATIQUE

jet lag 2

thank you
Thank You!

BUSINESS STUDIES
GRADE 12 
NSC EXAMS PAST PAPERS AND MEMOS SEPTEMBER 2019
PREPARATORY EXAMINATIONS

NOTES TO MARKERS 

PREAMBLE 
The notes to markers are provided for quality assurance purposes to ensure the  following:  

  1. Fairness, consistency and reliability in the standard of marking
  2. Facilitate the moderation of candidates' scripts at the different levels 
  3. Streamline the marking process considering the broad spectrum of markers  across the country 
  4. Implement appropriate measures in the teaching, learning and  assessment of the subject at schools/institutions of learning
  1. Comprehensive marking guidelines have been provided but this is by no means  exhaustive. Due consideration should be given to an answer that is correct, but:
    • Uses a different expression from that which appears in the marking guidelines
    • Comes from another source
    • Original 
    • A different approach is used
      NOTE: There is only ONE correct answer in SECTION A. 
  2. Candidates’ responses must be in full sentences for SECTIONS B and C.  However, this would depend on the nature of the question. 
  3. Take note of other relevant answers provided by candidates and allocate marks  accordingly. (In cases where the answer is unclear or indicates some  understanding, part-marks should be awarded, for example, one mark instead of  the maximum of two marks). 
  4. The word ‘Sub-max’ is used to facilitate the allocation of marks within a question  or sub-question. 
  5. The purpose of circling marks (guided by ‘max’ in the breakdown of marks) on the  right-hand side is to ensure consistency and accuracy in the marking of scripts as  well as for calculation purposes. 
  6. Subtotals to questions must be written in the right-hand margin. Circle the  subtotals as indicated by the allocation of marks. This must be guided by ‘max’ in  marking guidelines. Only the total for each question should appear in the left-hand  margin next to the appropriate question number. 
  7. In an indirect question, the theory as well as the response must be relevant and  related to the question. 
  8. Incorrect numbering of answers to questions or sub-questions in Section A and B  will be severely penalised. Therefore, correct numbering is strongly  recommended in all sections. 
  9. No additional credit must be given for repetition of facts. Indicate with an R.
  10. Note that no marks will be awarded for indicating Yes/No in evaluation type  questions requiring substantiation or motivation. 
    (Applicable to SECTIONS B and C). 
  11. The differentiation between 'evaluate' and 'critically evaluate' can be explained as  follows: 
    11.1 When ‘evaluate’ is used, candidates are expected to respond in either a positive/negative manner or take a neutral (positive and negative)  stance, e.g. Positive: ‘COIDA eliminates time and costs spent √ on  lengthy civil court proceedings.’ √ 
    11.2 When ‘critically evaluate’ is used, candidates are expected to respond  in either a positive/negative manner or take a neutral (positive and  negative) stance. In this instance candidates are also expected to  support their responses with more depth, e.g. 'COIDA eliminates time  and costs spent√ on lengthy civil court proceedings, √ because the  employer will not be liable for compensation to the employee for  injuries sustained during working hours as long as it can be proved that  the business was not negligent.’ √ 
    NOTE:
    1. The above could apply to 'analyse' as well.
    2. Note the placing of the tick (√) in the allocation of marks. 
  12. The allocation of marks must be informed by the nature of the question, cognitive  verb used, mark allocation in the marking guidelines and the context of each  question.
    Cognitive verbs, such as:  
    12.1 Advise, name, state, mention, outline, motivate, devise, recommend,  suggest, (list not exhaustive) do not usually require much depth in  candidates' responses. Therefore, the mark allocation for each  statement/answer appears at the end. 
    12.2 Describe, explain, discuss, elaborate, compare, distinguish,  differentiate, justify, analyse, evaluate, critically evaluate (list not  exhaustive) require a greater depth of understanding, application and  reasoning. Therefore, the marks must be allocated more objectively to  ensure that assessing is conducted according to established norms so  that uniformity, consistency and fairness are achieved. 
  13.  Mark only the FIRST answer where candidates offer more than one answer for  SECTION B and C questions that require one answer.
  14. SECTION B
    14.1 If, for example, FIVE facts are required, mark the candidate’s FIRST FIVE  responses and ignore the rest of the responses. Indicate by drawing a line  across the unmarked portion or use the word ‘Cancel’.
    NOTE: This only applies to questions where the number of facts is  specified.
    14.2 If two facts are written in one sentence, award the candidate FULL credit.  Point 14.1 above still applies.
    14.3 If candidates are required to provide their own examples/views,  brainstorm this to come up with alternative answers.
    14.4 Use of the cognitive verbs and allocation of marks: 
    14.4.1 If the number of facts are specified, questions that require  candidates to 'describe/discuss/explain' may be marked as  follows:
    • Fact 2 marks (or as indicated in the marking  guidelines) 
    • Explanation 1 mark 
      The 'fact' and 'explanation' are given separately in the marking  guidelines to facilitate mark allocation. 
      14.4.2 If the number of facts required is not specified, the allocation of  marks must be informed by the nature of the question and the  maximum mark allocated in the marking guidelines. 
      14.5 ONE mark may be awarded for answers that are easy to recall,  requires one word answers or is quoted directly from a  scenario/case study. This applies to SECTIONS B and C in particular  (where applicable).
  15. SECTION C
    15.1 The breakdown of the mark allocation for the essays is as follows:

    Introduction

    Maximum: 

    32 

    Content

    Conclusion

    Insight 

    8

    TOTAL 

    40

    15.2 Insight consists of the following components:

    Layout/Structure 

    Is there an introduction, a body and a conclusion? 

    2

    Analysis and  interpretation

    Is the candidate able to breakdown the question into  headings/sub-headings/interpret it correctly to show understanding of what is being asked? 
    Marks to be allocated using this guide: 
    All headings addressed: 1 (One ‘A’) Interpretation (16 to 32 marks): 1 (One ‘A’) 

    2

    Synthesis 

    Are there relevant decisions/facts/responses made  based on the questions?  
    Marks to be allocated using this guide: 

    No relevant facts: 0 (Two ‘-S’) 
    Some relevant facts: 1 (One ‘-S’) 
    Only relevant facts: 2 (No ‘-S’) 

    Option 1: Where a candidate answers 50% or more  of the question with only relevant facts; no   '-S' appears in the left margin. Award the  maximum of TWO (2) marks for synthesis. 
    Option 2: Where a candidate answers less than 50%  of the question with only OR some relevant   facts; one '-S' appears in the left margin.  
    Award a maximum of ONE (1) mark for  synthesis. 
    Option 3: Where a candidate answers less than 50%  of the question with no relevant facts; two  '-S' appear in the left margin. Award a  ZERO mark for synthesis. 

    2

    Originality 

    Is there evidence of examples, recency of information,  current trends and developments? 

    2

    TOTAL FOR INSIGHT: 
    TOTAL MARKS FOR FACTS: 
    TOTAL MARKS FOR ESSAY (8 + 32):


    32
    40

     NOTE: 

    1. No marks will be awarded for contents repeated from the  introduction and conclusion. 
    2. The candidate forfeits marks for layout if the words 
      INTRODUCTION and CONCLUSION are not stated. 
    3. No marks will be allocated for layout, if the headings 
      ‘INTRODUCTION and CONCLUSION are not supported by an  explanation.
      15.3 Indicate insight in the left-hand margin with a symbol e.g. (‘L, A, -S and/or O’).
      15.4 The breakdown of marks is indicated at the end of the suggested  answer/ marking guidelines to each question. 
      15.5 Mark all relevant facts until the SUB MAX/MAX mark in a subsection  has been attained. Write SUB MAX/MAX after maximum marks have  been obtained. 
      15.6 At the end of each essay indicate the allocation of marks for facts and  marks for insight as follows:
      (L – Layout, A – Analysis, S – Synthesis,  O – Originality) as in the table below.

      CONTENT 

      MARKS

      Facts 

      32 (max.)

      2

      2

      2

      2

      TOTAL 

      40

       15.7 When awarding marks for facts, take note of the sub-maxima indicated,  especially if candidates do not make use of the same subheadings.  Remember headings and sub-headings are encouraged and contribute  to insight (structuring/logical flow/sequencing) and indicate clarity of  thought. 
      (See MARKS BREAKDOWN at the end of each question.) 
      15.8 If the candidate identifies/interprets the question INCORRECTLY, then  he/she may still obtain marks for layout. 

  16.                
    16.9 If a different approach is used by candidates, ensure that the answers  are assessed according to the mark allocation/subheadings as indicated  in the memorandum. 
    16.10
    16.10.1 Award TWO marks for complete sentences. Award ONE  mark for phrases, incomplete sentences and vague answers.
    16.10.2 With effect from November 2015, the TWO marks will not  necessarily appear at the end of each completed sentence. 
    The ticks (√) will be separated and indicated next to each fact, e.g. “Product development is a growth strategy/where  businesses aim to introduce new products √ into existing  markets.”√
    This will be informed by the nature and context of the  question, as well as the cognitive verb used.
    16.11 With effect from November 2017, the maximum of TWO (2) marks for  facts shown as headings in the marking guidelines, will not necessarily  apply to each question. This would also depend on the nature of the  question.

MEMORANDUM

SECTION A: COMPULSORY 
QUESTION 1  
1.1
1.1.1 D √√ 
1.1.2 A √√ 
1.1.3 C √√ 
1.1.4 A √√ 
1.1.5 D √√ 
1.1.6 D √√ 
1.1.7 B √√ 
1.1.8 C √√ 
1.1.9 A √√ 
1.1.10 B √√ (10 x 2) (20) 

1.2
1.2.1 National Credit √√ 
1.2.2 written report √√ 
1.2.3 CSR √√ 
1.2.4 association √√ 
1.2.5 external √√  (5 x 2) (10) 

1.3
1.3.1 J √√ 
1.3.2 E √√ 
1.3.3 H √√ 
1.3.4 G √√ 
1.3.5 A √√  (5 x 2) (10) 
TOTAL SECTION A: 40 

BREAKDOWN OF MARKS

QUESTION 1 

MARKS

1.1 

20

1.2 

10

1.3 

10

TOTAL 

40

SECTION B 
Mark ONLY the FIRST THREE (3) questions in this section. 
QUESTION 2: BUSINESS ENVIRONMENTS 
2.1 Defensive strategies 

  • Retrenchment √
  • Divestiture √
  • Liquidation √ 

NOTE: Mark the first THREE (3) only. (3 x 1) (3) 
2.2 Steps in strategy evaluation 

  • Examine the underlying basis of a business strategy. √√ 
  • Look forward and backward into the implementation process. √√ 
  •  Compare the expected performance with the actual performance. √√ 
  • Measure business performance in order to determine the reasons for  deviations and analyse these reasons. √√ 
  •  Take corrective action so that deviations may be corrected. √√ 
  • Set specific dates for control and follow up. √√ 
  • Draw up a table of the advantages and disadvantages of a strategy. √√ 
  • Decide on the desired outcome. √√ 
  • Consider the impact of the implementation of a strategy in the internal  and external environments of the business. √√ 
  • Any other relevant answer related to the steps in evaluating a strategy.

NOTE:

  1. Accept steps in any order. 
  2. Mark the first FOUR (4) only. (4 x 2) (8) 

2.3.1 Provisions of leave from the scenario 

PROVISIONS FOR  LEAVE

MOTIVATION

1. Maternity leave √√ 

PFM requires their female employees  to report to work immediately after  giving birth. √

2. Family responsibility  leave √√

Workers are also not allowed to take  time off to attend the funeral of a  relative. √

Sub-max. (4) 

Sub-max. (2)

NOTE: 

  1. The answer does not have to be in tabular format. 
  2. Do not award marks for the motivation quoted, if  the provision for leave was not mentioned. 
  3. Award marks for the provision for leave even if the  quote is incomplete. Max. (6)

2.3.2 Impact of BCEA on PFM 
Positives/Advantages 

  • Creates a framework of acceptable employment practices, √ e.g.  legal employment contracts, work hours, leave, √ etc. 
  • Promotes fair treatment √ of employees in business. √ 
  • The rules and regulations are very specific, √ which clearly guides  the employer how to deal with employment issues. √ 
  • Encourages consultation √ between employers and employees. √ 
  • Outlines minimum requirements √ that form the basis of  employment contracts. √ 
  • Working hours are specified so that the employer √ cannot exploit  employees. √ 
  • Employees are permitted to consult labour unions √ in cases  where the BCEA conditions are violated. √ 
  • Employees may submit complaints √ to labour inspectors who can  address them. √ 
  • Any other relevant answer related to the positive impact of BCEA  on PFM. 

AND/OR 
Negatives/Disadvantages 

  • Developing/Drafting a formal/legal employment contract √ may be  time-consuming/costly.√ 
  • Businesses may regard employment contracts as  restrictive/negative and may refrain from implementing it, √ which  results in non-compliance/penalties.√ 
  • No employer may force an employee to work more than 45 hours  in a week/nine hours in a five-day (or less) work week/eight hours  in a six-day work week √ which may result in low productivity. √ 
  • Hiring cheap labour is no longer possible, √ so businesses cannot  exploit workers. √ 
  • BCEA forces businesses to comply with many legal  requirements, √ which may increase labour costs. √ 
  • Businesses not complying to the Act, may be charged with high  penalties, √ which may affect their cash flow negatively.√ 
  • Businesses may consider the provisions of the BCEA as  unimportant, √ and an unnecessary administrative burden that  increase operating costs. √ 
  • Any other relevant answer related to the negative impact of BCEA  on PFM. Max. (8)

2.4 Purpose of the Employment Equity Act 

  • The Employment Equity Act states that employees who do the same  work (work of equal value) √ must be paid equally (equal pay). √ 
  • There should be no discrimination √ on grounds of gender in the  workplace. √ 
  • Promotes equal opportunity √ and fair treatment in the workplace.√ 
  • Protects employees from victimisation √ if they exercise the rights given  to them by the EEA. √ 
  • Provides for employees to refer unresolved disputes √ to the CCMA. √ 
  • Any other relevant answer related to the purpose of the Employment  Equity Act. Max. (6) 

2.5 Human Resources Development Strategy  

  • Addresses skills shortages √ in the South African workforce.√ 
  • Aims at achieving faster economic growth/ higher employment levels √  and reduced levels of poverty. √
  • Promotes social development and social justice √ which helps to alleviate  poverty. √
  • Develops short term √ and long term workforce skills. √ 
  •  Improves the supply √ of skills.√ 
  • Increases employee participation √ in lifelong learning. √
  •  Any other relevant answer related to the Human Resources Development  Strategy. Max. (6) 

2.6 Challenges and the extent of control over business environment 

CHALLENGES (2.6.1)

BUSINESS  ENVIRONMENTS (2.6.2)

EXTENT OF  CONTROL(2.6.3)

1. Kevin, the farmer, does not have  any knowledge of poultry farming.√

Micro √ 

Full control √

2. The suppliers of chicken feed have  increased their prices by 30%.

Market √ 

Some/Limited  control √

3. CCF lost more than half of their  chicks due to a heavy rain storm.√

Macro √ 

No control √

Sub-max. (3) 

Sub-max. (3) 

Sub-max. (3)

NOTE: 

  1. Do not award marks for challenges that are not fully  quoted from the scenario.
  2. Do not award marks for business environments if it is  not linked to the challenge. 
  3. Award marks for the business environments even if the  quote is incomplete. 
  4. The extent of control must be linked to the business  environment. 
  5. Do not award marks for the extent of control if the  businesses environment is not mentioned. 
  6. The order may be different. 
  7. The answer does not have to be in tabular format. Max. (9)

2.7 Advantages of intensive strategies  

  • Increased market share √ reduces the business's vulnerability to actions of  competitors.√ 
  • Increase in sales/income √ and profitability. √
  • Improved service delivery √ may improve business image.√
  • Businesses may have more control √ over the prices of  products/services. √ 
  • Gain loyal customers √ through effective promotion campaigns.√
  • Decrease in prices √ may influence customers to buy more products.√
  • Regular sales to existing customers √ may increase.√
  • Eliminate competitors √ and dominate market prices.√ 
  • Enables the business to focus on markets/well-researched quality  products √ that satisfy the needs of customers.√
  • Any other relevant answer related to the advantages of intensive strategies. Max. (6) 

2.8 Porter’s Five Forces Model 
2.8.1 Bargaining power of buyers/Buyer power 

  • Business must assess how easy it is for its buyers/customers to  drive prices down. √√
  • Determine the number of buyers/the importance of each buyer to  the business and the cost of switching to other products. √√ 
  • A few powerful buyers are often able to dictate terms to the  business. √√ 
  • Buyers buying in bulk can bargain for prices in their favour. √√
  • If buyers/customers can do without the business's products they  may have more power to determine the prices and terms of  sale. √√
  • Conduct market research to gather more information about its  buyers. √√ 
  • Any other relevant answer related to the bargaining power of  buyers/buyer power as a Porter's Five Forces. Sub-max. (4)

2.8.2 Competitive rivalry 

  • If competitors have a unique product/service, they have greater  power/impact on the market. √√
  • Draw up a competitor's profile of each similar business in the area  to determine its strength √√/Business should determine how many  competitors there are and how influential they are in the  market. √√
  • If a business has many competitors with similar products, the  business will have very little power in the market. √√
  • Some businesses have the necessary resources to start price  wars and continue selling at a loss until some/all competitors  leave the market. √√ 
  • Any other relevant answer related to competitive rivalry as a  Porter's Five Force. Sub-max. (4)
    Max. (8)
    [60] 

BREAKDOWN OF MARKS

QUESTION 2 

MARKS

2.1 

3

2.2 

8

2.3.1 

6

2.3.2 

8

2.4 

6

2.5 

6

2.6.1 

3

2.6.2 

3

2.6.3 

3

2.7 

6

2.8 

8

TOTAL 

60

QUESTION 3: BUSINESS VENTURES 
3.1 Types of preference shares 

  • Participating √ 
  • Non-participating √ 
  • Non-cumulative √ 
  • Cumulative √ 
  •  Redeemable √ 
  • Non-redeemable √ 
  •  Convertible √ 
  •  Non-convertible √ 

NOTE: Mark the first THREE (3) only. (3 x 1) (3) 
3.2 Functions of the Johannesburg Securities Exchange Ltd (JSE) 

  • Gives opportunities to financial institutions such as insurance companies to  invest their funds in shares. √√ 
  • Serves as a barometer/indicator of economic conditions in South Africa. √√
  • Keeps investors informed about share prices by publishing the share prices  daily. √√ 
  • Acts as a link between investors and public companies. √√ 
  • Shares are valued and assessed by experts. √√ 
  • Small investors are invited to take part in the economy of the country through  the buying of shares. √√ 
  • Venture capital market is made possible. √√ 
  • Orderly market for securities serves as a disciplined market for securities. √√ 
  • Encourages new investments. √√ 
  • Mobilises the funds of insurance companies and other institutions. √√ 
  • Raises primary capital. √√ 
  • Regulates market for dealing with shares. √√ 
  • Plans, researches and advises on investment possibilities. √√ 
  • Ensures that the market operates in a transparent manner. √√ 
  • Provides protection for investors. √√ 
  • Encourages short-term investments. √√ 
  • Facilitates electronic trading of shares/STRATE. √√ 
  • Any other relevant answer related to the functions of the Johannesburg  Securities Exchange (JSE.) Max. (8) 

3.3 Types of investments 
3.3.1 Shares √√ 
3.3.2 Fixed property √√ 
3.3.3 Unit trusts √√ 
3.3.4 Mutual funds/stokvels √√ (4 x 2) (8)
3.4 Importance/Advantages of insurance 

  • Transfer the risk form business/insured √ to an insurance  company/insurer. √
  • Transfer of the risk is subject to the terms and conditions √ of the  insurance contract.√
  • Protects the business against theft and loss of stock and/or  damages √ caused by natural disasters such as floods, storm damage,  etc. √ 
  • The business will be compensated √ for insurable losses, e.g. destruction  of property through fire. √
  • Business assets √ e.g. vehicles/equipment/buildings need to be insured  against damage and/or theft. √ 
  • Business is protected against the loss of earnings √ e.g. strikes by  employees result in losses worth millions of rands.√ 
  • Protects the business against deeds of dishonesty √ by employees. √
  • Life insurance can be taken against the life of partners√ in a partnership,  to prevent unexpected loss of capital.√ 
  • Should the services of key personnel be lost due to accidents or death, √  the proceeds of an insurance policy can be paid out to the  business/beneficiaries. √ 
  • Replacement costs for damaged machinery/equipment are very  high, √ therefore, insurance can reduce/cover these costs. √ 
  • Protects businesses from claims made by members of the public √ for  damages that the business is responsible for. √ 
  • Protects the business against losses √ due to the death of a debtor. √ 
  • Any other relevant answer related to the importance/advantages of  insurance to businesses. Max. (6)

3.5 Form of ownership 
3.5.1 Sole trader/proprietorship √√ (2)
Motivation 
Luke is the only owner of the business and is also liable for all the business  debts.√ (1)
NOTE: Do not award marks for the motivation, if the form of  ownership was incorrectly identified. Max. (3)
3.5.2 Success factors of a sole trader/proprietorship and a private  company

CRITERIA 

SOLE TRADER 

PRIVATE COMPANY

(a) Management 

  • There is only one  owner √ so there is no  disagreement. √
  • The business can make  quick decisions √  without having to  consult others.√ 
  • The owner has  personal interest √ in  the business and will be  motivated to work hard/  actively involved in the  management. √
  • Any other relevant  answer related to the  influence of  management on the  success of a sole  trader.
  • Business managed  by directors √ with  expertise. √
  • Directors are usually  highly skilled  individuals √ who  know how to run a  business. √ 
  • Directors are  accountable √ to  shareholders. √ 
  • It is easy to make  quick decisions √  regarding new  opportunities that  arise, since only one  board member is  needed. √ 
  • Any other relevant  answer related to the  influence of  management on the  success of a private company.
 

Sub-max. (2) 

Sub-max. (2)

CRITERIA 

SOLE TRADER 

PRIVATE COMPANY

(b) Legislation 

  • It is easy/inexpensive √ to  start. √
  • There are limited  regulatory requirements √  regarding the name of the  business. √
  • It is not compulsory √ to  have financial statements  audited. √ 
  • Any other relevant answer  related to the influence of  legislation on the success  of a sole trader.
  • Procedures to form a  private company √  have been simplified  by the new  Companies Act 71 of  2008. √ 
  • Limited liability allows  for greater risk  taking, √ which may  lead to growth of the  business. √ 
  • Auditing of financial  statements (if  required), √ gives  shareholders the  assurance that the  business is being  properly managed and  supports raising  additional finance. √
  • There is no longer a  limit √ on the number  of shareholders in a  private company. √ 
  •  A private company  can benefit from  government  programmes √ if they  comply with the  relevant legislation. √ 
  •  Personal liability of  shareholders √ does  not affect the  company's assets. √
  • Any other relevant  answer related to the  influence of legislation  on the success of a  private company.

Sub-max. (2) 

Sub-max. (2)

CRITERIA 

SOLE TRADER 

PRIVATE COMPANY

(c) Division of  profits

  • Owner receives all  profits √ from the  business. √ 
  • The owner may use the  profit √ to expand the  business. √ 
  • Any other relevant answer  related to the influence of  division of profits on the  success of a sole trader.
  • Profits generated can  be reinvested √ to  expand business  operations. √ 
  • Shareholders receive  profits according to the  type √ and number of  their shares.√ 
  • Any other relevant  answer related to the  influence of division of  profits on the success  of a private company.

Sub-max. (2) 

Sub-max. (2)

NOTE: 

  1. The answer does not have to be in tabular format. 
  2. Consider similarities if the sole trader was incorrectly  identified. Max. (12)

3.6 Factors to consider when preparing for a presentation Clear purpose/intentions/objectives √ and main points of the  presentation. √  

  • Main aims captured √ in the introduction/opening statement of the  presentation. √ 
  • Information presented √ should be relevant and accurate. √ 
  • Fully conversant √ with the content/objectives of the presentation. √ 
  • Background/diversity/size/pre-knowledge of the audience √ to  determine the appropriate visual aids. √ 
  • Prepare a rough draft of the presentation √ with a logical  structure/format with an introduction, body and conclusion. √ 
  • The conclusion must summarise the key facts √ and how it relates to  the objectives/shows that all aspects have been addressed. √ 
  • Create visual aids/graphics √ that will consolidate the  information/facts to be conveyed to the board of directors. √
  • Find out about the venue for the presentation, √ e.g. what equipment  is available/appropriate/availability of generators as backup to load  shedding. √ 
  • Consider the time frame√ for presentation, e.g. fifteen minutes  allowed. √ 
  • Rehearse √ to ensure a confident presentation/effective use of time  management. √ 
  • Prepare for the feedback session, √ by anticipating possible  questions/comments. √ 
  •  Any other relevant answer that relate to the factors to be considered  when preparing for a presentation. Max. (8) 

3.7 Situation in which democratic leadership style could be applied in the  workplace 
This leadership style can be used when: 

  • Group members are skilled and eager to share their ideas. √√ 
  • The leader does not have all the information needed to make a  decision and employees have valuable information to contribute. √√
  • Cooperation is needed between a leader and a team. √√ 
  • Decisions need to be looked at from several perspectives. √√ 
  • Any other relevant answer related to situations in which the democratic  leadership style may be applied in the workplace.
    NOTE: Mark the first TWO (2) only. (2 x 2) (4)

3.8 Impact of autocratic leadership style 
Positives/Advantages 

  • Quick decisions can be taken √ without consulting/considering followers/  employees. √ 
  • Work gets done √ in time/on schedule. √ 
  • Line of command/communication is clear √ as it is top-down/followers  know exactly what to do. √ 
  • Direct supervision and strict control √ ensure high quality  products/service.√ 
  • Provides strong leadership √ which makes new employees feel confident  and safe. √ 
  • Works well in large companies where consultation√ with every employee is impractical.√ 
  • Clear guidance can be given √ to low-skilled/inexperienced/new staff. √
  • Useful in a crisis/urgent situation, √ e.g. after an accident/meeting tight  deadlines. √ 
  • Any other relevant analysis related to a positive/advantages impact of an  autocratic leadership style. 

AND/OR 
Negatives/Disadvantages 

  • Leaders and followers may become divided √ and may not agree on  ways to solve problems. √ 
  • Workers can be demotivated √ as their opinions/ideas are not  considered. √
  • De-motivated workers √ impact negatively on productivity. √ 
  • New/Creative/Cost reducing ideas √ may not be used/implemented/never  be considered. √ 
  • Followers may feel that they are not valued √ resulting in high  absenteeism and high employee turnover. √ 
  • Experienced and highly skilled workers will resist an autocratic  leadership style √ because it results in less growth, participation and  creativity. √ 
  • Any other relevant analysis related to a negative/disadvantages impact of  an autocratic leadership style. Max. (8)
    [60] 

BREAKDOWN OF MARKS

QUESTION 3 

MARKS

3.1 

3

3.2 

8

3.3 

8

3.4 

6

3.5.1 

3

3.5.2 

12

3.6 

8

3.7 

4

3.8 

8

TOTAL 

60

QUESTION 4: BUSINESS ROLES 
4.1 Examples of unfair advertising 

  • Giving goods deceptive names/False labelling. √ 
  • Selling second-hand goods as new goods. √ 
  • Exaggerating the merits of the product. √ 
  • Using fine print to conceal important information. √ 
  • Criticising competitor’s goods. √ 
  • Exploitation of children’s lack of understanding. √ 
  • Misuse of people with disabilities in advertisements. √ 
  • Advertising that encourages violence. √ 
  • Advertising goods at a very low price to attract customers but when the  customer reaches the store the item is no longer there/Bait and switch. √ 
  • Advertising a product showing additional items, but do not clearly state that  these items are excluded. √ 
  • Any other relevant examples of unfair advertising. 

NOTE: Mark the first FOUR (4) only. (4 x 1) (4) 
4.2 Causes of conflict 

  • Lack of proper communication between management and workers. √√
  • Ignoring rules/procedures may result in disagreements and conflict. √√
  • Management and/or workers may have different personalities/  backgrounds. √√ 
  • Different values/levels of knowledge/skills/experience of  managers/workers. √√ 
  • Little/no co-operation between internal and/or external  parties/stakeholders. √√ 
  • Lack of recognition for good work, e.g. a manager may not show  appreciation for extra hours worked to meet deadlines. √√ 
  • Lack of employee development may increase frustration levels as workers  may repeat errors due to a lack of knowledge/skills. √√ 
  • Unfair disciplinary procedures, e.g. favouritism/nepotism. √√ 
  • Little/no support from management with regard to supplying the necessary  resources. √√ 
  • Leadership styles used, e.g. autocratic managers may not consider worker  inputs. √√ 
  • Unrealistic deadlines/Heavy workloads lead to stress resulting in  conflict. √√ 
  • Lack of agreement on mutual matters, e.g. remuneration/working hours. √√
  • Unhealthy competition/Inter-team rivalry may cause workers to lose focus  on team targets. √√ 
  • Lack of commitment which may lead to an inability to meet pre-set  targets. √√ 
  • Any other relevant answer related to the causes of conflict. Max. (8)

4.3.1 Problem-solving techniques 

PROBLEM-SOLVING TECHNIQUE

MOTIVATION

Nominal group technique √√ 

Employees are requested to first  generate ideas and then share the ideas  with other group members. √

Delphi technique √√ 

The management also contacted  designer experts to complete a  questionnaire on how to change the  designs. √

Sub-max. (4) 

Sub-max. (2)

NOTE: 

  1. The answer does not have to be in tabular format.
  2. Do not award marks for the motivation quoted, if the  problem-solving technique were not mentioned.
  3.  Award marks for the problem-solving technique even if  the quote is incomplete. Max. (6) 

4.3.2 Advantages of creative thinking in the workplace 

  • Better/Unique/Unconventional ideas/solutions √ is generated. √ 
  • May give the business a competitive advantage √ if unusual/unique  solutions/ideas/strategies are implemented. √ 
  • Complex business problems √ may be solved. √ 
  • Productivity increases √ as management/employees may quickly  generate multiple ideas which utilises time and money more  effectively. √ 
  • Managers/Employees have more confidence √ as they can live up to  their full potential. √ 
  • Managers will be better leaders √ as they will be able to  handle/manage change(s) positively and creatively. √ 
  • Managers/Employees can develop a completely new outlook, √ which  may be applied to any task(s) they may do. √ 
  • Leads to more positive attitudes √ as managers/employees feel that  they have contributed towards problem solving. √ 
  • Improves motivation √ amongst staff members. √ 
  • Managers/Employees have a feeling of great accomplishment √ and  they will not resist/obstruct the process once they solved a problem/  contributed towards the success of the business. √
  • Management/employees may keep up √ with fast changing technology. √ 
  • Stimulates initiative from employees/managers, √ as they are  continuously pushed out of their comfort zone. √ 
  • Creativity may lead to new inventions √ which improves the general  standard of living. √ 
  • Any other relevant answer related to the advantages of creative  thinking. Max. (8)

4.4 Positive impact of corporate social responsibility (CSR) on  communities 

  • Socio-economic issues are attended to √ which will improve the welfare  of the community. √ 
  • Training opportunities in the community increase the possibility √ of  appointments of members of the community. √ 
  • Implementing developmental programmes in the community √ improves  entrepreneurial skills of communities. √ 
  • Provision of bursaries √ encourages communities to improve their  skills. √ 
  • The standard of living of the community √ is uplifted √/quality of life of  communities √ is improved.√ 
  • Better educational facilities are established √ in poor communities. √ 
  • Improve the health of communities √ by providing medical  infrastructure. √ 
  • Provide rehabilitation centres to community members √ who have  addiction problems. √ 
  • Any other relevant answer related to a positive impact of CSR in the  community.  Max. (6) 

4.5
4.5.1 Quotation of the responsibilities of employees in promoting  human health and safety in the workplace from the scenario 

  •  The management is very proud of the way in which their  workers are taking responsibility for their own safety. √ 
  • The workers also report unsafe and unhealthy conditions to the  management. √
    NOTE: Mark the first TWO (2) only. (2 x 1) (2) 

4.5.2 Other responsibilities of employees in promoting human  health and safety in the workplace 

  • Co-operate and comply with the rules and procedures √ e.g.  wear prescribed safety clothing. √ 
  • Report accidents √ to the employer by the end of the shift. √
  • Use prescribed √ safety equipment. √ 
  • Take reasonable care √ of their own safety. √ 
  • Inform the employer of any illness √ that may affect the ability to  work. √ 
  • Any other relevant answer related to the responsibilities of  employees in promoting human health and safety in the  workplace.
    NOTE: Do not award marks for responses quoted in  QUESTION 4.5.1. Max. (6)

4.5.3 Strategies to protect the environment and human health in the  workplace 

  • Laws and regulations should be adhered to so that profits are not  generated at the expense of the environment. √√ 
  • Pollution and other environmental issues should always be  considered in all business activities, e.g. safe disposal of  waste/dumping of toxic waste √√, etc. 
  • Become involved in environmental awareness programs. √√ 
  • The environment can be protected by altering production  techniques in favour of cleaner and greener technologies. √√ 
  • Water for human consumption should be tested before it is used.  √√ 
  • Promote nature conservation by looking after natural  resources. √√ 
  • Minimise pollution, by re-using, reducing and recycling. √√ 
  • Reduce consumption of goods/services which are  environmentally unfriendly. √√ 
  • Register/Engage with recognised institutions/bodies that promote  green peace. √√ 
  • Physical working conditions should always be worker friendly,  safe and promote occupational health. √√ 
  • Physical working conditions, e.g. adequate lighting/ventilation  should be available and functional. √√ 
  • Machines must be serviced/maintained regularly. √√ 
  • Educate people about hygiene issues. √√ 
  • Encourage employees to do regular health checks. √√ 
  • Any other relevant answer related to strategies to protect the  environment and human health in the workplace. Max. (4) 

4.6 Dealing with diversity issues in the workplace 
4.6.1 Language 

  • Business may specify that all communications should be in one  specific language only √ and would expect employees to have a  certain level of fluency in that language. √ 
  • Provide training √ in the official language of the business. √ 
  • Employ an interpreter √ so that everyone can fully understand  what is being said in a meeting. √ 
  • All business contracts should be in an easy-to-understand  language √ and should be available in the language of choice for  the relevant parties signing the contract.√ 
  • No worker should feel excluded in meetings √ conducted in one  language only. √ 
  • Any other relevant answer related to how business could deal  with language as a diversity issue in the workplace. Sub-max. (4)

4.6.2 Age 

  • Promotions should not be linked to age, √ but rather to a specific  set of skills. √ 
  • A business may not employ children √ aged 15 or younger. √ 
  • The ages of permanent workers should vary √ from 18 to 65 to  include all age groups. √ 
  • A business may employ a person who is older than the normal  retirement age, √ provided that person is the most suitable  candidate. √ 
  • Businesses must encourage older employees to help young  employees √ to develop their potential. √ 
  • Young employees must be advised to respect and learn √ from  older employees. √
  • The business should encourage employees to be sensitive √ to  different perspectives of various age groups.√ 
  • Any other relevant answer related to how businesses could deal  with age as a diversity issue in the workplace. Sub-max. (4)
    Max. (8) 

4.7 Handling conflict in the workplace 

  • Acknowledge that there is conflict in the workplace. √√ 
  • Identify the cause of the conflict. √√ 
  • Pre-negotiations may be arranged where workers/complainants will be  allowed to state their case/views separately. √√ 
  • A time and place are arranged for negotiations where all employees  involved are present. √√ 
  • Arrange a meeting between conflicting employers/employees. √√ 
  • Make intentions for intervention clear so that parties involved may feel at  ease. √√ 
  • Each party has the opportunity to express his/her own opinions/feelings/  Conflicting parties may recognise that their views are different. √√ 
  • Analyse the cause(s) of conflict by breaking it down into different  parts/Evaluate the situation objectively. √√ 
  • Blame shifting should be avoided and a joint effort should be made. √√ 
  • Direct conflicting parties towards finding/focusing on solutions. √√
  • Devise/Brainstorm possible ways of resolving the conflict.√√ 
  • Conflicting parties agree on criteria to evaluate the alternatives.√√
  • The best possible solution(s) is/are selected and implemented.√√
  • Parties must agree to on the best solution. √√ 
  • Evaluate/Follow up on the implementation of the solution(s). √√ 
  • Monitor progress to ensure that the conflict has been resolved. √√
  • Expertise on handling conflict maybe sourced from outside the  business. √√ 
  • Any other relevant answer related to how businesses should handle  conflict in the workplace. 

NOTE: If problem-solving steps do not demonstrate the handling of  conflict (explanation), award a maximum of FOUR (4) marks. Max. (8) 
[60]

QUESTION 5: BUSINESS OPERATIONS
5.1 Methods of salary determination 

  • Piecemeal √ 
  • Time-related √
    NOTE: Mark the first TWO (2) only.

BREAKDOWN OF MARKS 

QUESTION 4 

MARKS

4.1 

4

4.2 

8

4.3.1 

6

4.3.2 

8

4.4 

6

4.5.1 

2

4.5.2 

6

4.5.3 

4

4.6 

8

4.7 

8

TOTAL 

60

5.2 Placement procedure  (2 x 1) (2) 

  • Businesses should outline the specific responsibilities of the new  position, √ including the expectations/skills required for this position. √ 
  • Determine the successful candidate’s  strengths/weaknesses/interests/skills √ by subjecting him/her to a range of  psychometric tests. √ 
  • Determine the relationship between the position √ and the competencies  of the new candidate. √ 
  • Any other relevant answer related to the placement procedure that  businesses should follow to place a new employee. Max. (6) 

5.3.1 Quotation of Maggie’s role during the interview 

  • During the interview Maggie carefully listened to the questions  before responding to them. √ 
  • She made eye contact with the interviewer √ 
  • and asked clarity seeking questions. √ 

NOTE: Mark the first THREE (3) only. (3 x 1) (3)

5.3.2 Role of the interviewer during the interview 

  • Allocate the same amount of time √ to each candidate. √ 
  • Introduce members of the interviewing panel √ to each  candidate/interviewee. √ 
  • Make the interviewee √ feel at ease. √ 
  • Explain the purpose of the interview √ to the panel and the  interviewee. √ 
  • Record interviewees' responses √ for future reference. √ 
  • Do not misinform/mislead√ the interviewee. √ 
  • Avoid discriminatory/controversial types of questions, √ e.g. asking a  female candidate about family planning/having children. √ 
  • Provide an opportunity for the interviewee √ to ask questions. √ 
  • Close the interview by thanking the interviewee √ for attending the  interview. √ 
  • Any other relevant answer related to the role of the interviewer during  the interview. Max. (8) 

5.4 Difference between job description and job specification 

JOB DESCRIPTION 

JOB SPECIFICATION

  • Describe duties/responsibilities √ of  a specific job √/Summary √ of the  nature/type of the job.√ 
  • Describe the minimum  acceptable personal  qualities/skills/qualifications √  needed for the job.√ 
  •  Written description of the job √ and its requirements.√ 
  • Written description of specific  qualifications/skills/experience √  needed for the job.√ 
  • Describe key performance  areas/tasks for a specific job.√ e.g.  job title/working  conditions/relationship of the job  with other jobs in the business, √  etc. 
  • Describes key requirements for  the person who will fill the  position, √ e.g. formal  qualifications/willingness to  travel/work unusual hours, √ etc. 
  • Any other relevant answer related to  job description.
  • Any other relevant answer  related to job specification.

Sub-max. (4) 

Sub-max. (4)

NOTE: 

  1. The answer does not have to be in tabular format but  differences must be clear.
  2.  Allocate a maximum of FOUR (4) marks if distinction is  not clear./Mark either job description or job  specification only. Max. (8)

5.5 Contribution of the quality indicators of the financial function to the  success of a business 

  •  Obtain capital √ from the most suitable/available/reliable sources. √ 
  • Negotiate better interest rates √ in order to keep financial cost down.√ 
  • Draw up budgets √ to ensure sufficient application of monetary resources.√ 
  • Keep financial records up to date√ to ensure timely/accurate tax  payments.√ 
  • Analyse strategies √ to increase profitability.√ 
  • Invest surplus funds √ to create sources of passive income. √ 
  • Implement financial control measures/systems √ to prevent fraud. √ 
  • Implement credit granting/debt collecting policies √ to monitor cash flow. √ 
  • Draw up accurate √ financial statements timeously/regularly. √ 
  • Accurately analyse and interpret √ financial information. √ 
  • Invest in strategies √ that will assist the business to remain profitable. √ 
  • Avoid over/under-capitalisation √ so that financial resources will be utilised  effectively.√ 
  • Any other relevant answer related to the contribution of the quality  indicators of the financial function to the success of a business. Max. (6) 

5.6.1 Total quality management 

TQM ELEMENTS 

MOTIVATION

1 Total client  satisfaction/Total  customer satisfaction√√ 

The management always ensure that  customer complaints are handled within  a short period of time.√

2 Continuous skills  development/ Education  and training √√

The employees regularly attend training  courses. √

3 Involvement of all  employees/ People  Based Management √√

The management also allows staff to  make inputs during designing  sessions. √

Sub-max. (6) 

Sub-max. (3)

NOTE: 

  1. Mark the first THREE (3) only.
  2. The answer does not have to be in tabular format. 
  3. Do not award marks for the motivation quoted, if  the TQM elements were not mentioned. 
  4. Award marks for the TQM element even if the  quote is incomplete. Max. (9)

5.6.2 Benefits of a good quality management system 

  • Effective customer service will be rendered, resulting in increased  customer satisfaction.√√ 
  • Time and resources are used efficiently. √√ 
  • Productivity increase through proper time management and using  high quality resources. √√
  • Products and services are constantly improved, resulting in  greater customer satisfaction. √√
  • Vision and mission may be achieved. √√ 
  • The business may achieve a competitive advantage over its  competitors. √√ 
  • Continuous training will continuously improve the quality of  employees’ skills and knowledge. √√ 
  • Employers and employees will have a healthy working relationship  which results in happy workers. √√ 
  • Increased market share and profitability. √√ 
  • Any other relevant answer related to the benefits of a good quality  control system. Max. (6) 

5.7 Negative impact if TQM is poorly implemented 

  • Setting unrealistic deadlines √ that may not be achieved. √ 
  • Employees may not be adequately trained √ resulting in poor quality  products. √ 
  • Decline in productivity, √ because of stoppages. √ 
  • Businesses may not be able to make necessary changes √ to satisfy the  needs of customers. √ 
  • The reputation of the business √ may suffer because of faulty goods. √ 
  • Customers will have many alternatives to choose from √ and the impact  could be devastating to businesses. √ 
  • Investors might withdraw investment, √ if there is a decline in profits. √ 
  • Bad publicity √ due to poor quality products supplied. √
  • Decline in sales, √ as returns from unhappy customers' increase. √
  • High staff turnover, √ because of poor skills development. √ 
  • Undocumented quality control systems/processes √ could result in error or  deviations from pre-set quality standards. √ 
  • Any other relevant answer related to the negative impact on businesses if  TQM is poorly implemented. Max. (6)

5.8 Impact of continuous improvement to processes and systems on large  businesses 
Positives/Advantages 

  • Large businesses have more resources √ to check on quality performance  in each unit/business function. √ 
  • Enough capital resources are available for new equipment required √ to  stay relevant to new developments. √ 
  • Large businesses have a person dedicated √ to the improvement of  systems and processes. √ 
  • Willing to take risk on/try new processes and systems √ because they are  able to absorb the impact of losing money. √ 
  • They can afford to use the services of the quality circles √ to be  competitive.√ 
  • Large businesses use the PDCA model √ to continuously  plan/do/check/act on new/revised processes and systems. √ 
  • Any other relevant answer related to the positive impact of continuous  improvement to processes and systems on large businesses. 

AND/OR 
Negatives/Disadvantages 

  • Large scale manufacturing √ can complicate quality control. √ 
  • Systems and processes take time and effort to be implemented in large  businesses √ as communication/buy-in/distrust may delay the  implementation process. √ 
  • Face the risk of changing parts of the business √ that are actually working  well. √ 
  • Not all negative feedback from employees and customers is going to be  accurate, √ which may result in incorrect/unnecessary changes to systems  and processes. √ 
  • Any other relevant answer related to the negative impact of continuous  improvement to processes and systems on large businesses. Max. (6)
    [60] 

BREAKDOWN OF MARKS

QUESTION 5 

MARKS

5.1 

2

5.2 

6

5.3.1 

3

5.3.2 

8

5.4 

8

5.5 

6

5.6.1 

9

5.6.2 

6

5.7 

6

5.8 

6

TOTAL 

60

QUESTION 6: MISCELLANEOUS TOPICS 
BUSINESS ENVIRONMENTS 
6.1 Pillars of BBBEE 
6.1.1 Enterprise and supplier development (ESD) √√ 
6.1.2 Socio-economic development/social responsibility √√ 
6.1.3 Ownership √√ 
6.1.4 Skills development √√ (4 x 2) (8) 
6.2 Difference between market development and product development 

MARKET DEVELOPMENT 

PRODUCT DEVELOPMENT

It is a growth strategy where businesses aim to sell their existing products √ in new markets. √

Businesses generate new It is a  growth strategy where  businesses aim to introduce new  products √ into existing markets. √

Business implements √ the idea of  expanding/selling products/services  in other areas. √

Business improves the product  line √ by adding different types  of related products/services. √

Finds new ways √ of distributing  products/services. √ 

Conduct test marketing/market  research √ to establish whether  new products will be accepted  by existing customers. √

Restructure pricing policies √ to  cater for customers of all income  levels. √

- Ensure that new products of a  higher quality are more reasonably priced √ than those  of competitors. √

 Any other relevant answer related to  market development.

Any other relevant answer  related to product development.

Sub-max. (4) 

Sub-max. (4)

NOTE: 

  1. The answer does not have to be in a tabular format but  the distinction must be clear.
  2. Award a maximum of FOUR (4) marks if the distinction  is not clear./Mark either market development or product  development only. Max. (8) 

BUSINESS VENTURE 
6.3 Forms of ownership 
6.3.1 Public company √√ 
6.3.2 Personal liability company √√ 
6.3.3 Partnership √√ (3 x 2) (6)
6.4 Role of personal attitude in successful leadership 

  • Positive attitude √ releases leadership potential. √ 
  • A leader's good/bad attitude √ can influence the success/failure of the  business. √ 
  • Leaders must know their strengths and weaknesses √ to apply their  leadership style effectively. √ 
  • Great leaders understand that the right attitude √ will set the right  atmosphere. √ 
  • Leaders attitude can influence employees/teams' thoughts √ and  behaviour. √ 
  • Leaders should model the behaviour √ that they want to see in team  members. √ 
  • Leaders must know/understand their teams √ to be able to allocate  tasks/roles effectively. √ 
  • Enthusiasm √ produces confidence in a leader. √ 
  • A positive attitude is critical for good leadership √ because good leaders  will stay with the task regardless of difficulties/challenges. √ 
  • Successful employees and leaders have a constant desire to work √ and  achieve personal and professional success. √ 
  • Leaders with a positive attitude know that there is always more to  learn √ and space to grow.√ 
  • Any other relevant answer related to the role of personal attitude in  successful leadership. Max. (8) 

BUSINESS ROLES 
6.5.1 Quotation of the characteristics of a successful team from the  scenario 

  • The workers have good interpersonal relationships √ 
  • and show mutual respect towards each other despite their  differences. √ 
  • The workers support and trust each other √ 
  • and have open discussions that lead to effective solutions of  problems.√ 

NOTE: Mark the first FOUR (4) only. (4 x 1) (4)
6.5.2 Benefits of having a diverse workforce 

  • Workforce diversity improves the ability of a business √ to solve  problems/innovate/cultivate diverse markets. √ 
  • Employees value each other's diversity √ and learn to  connect/communicate across lines of difference.√ 
  • Diversity in the workforce improves √ morale/motivation. √ 
  • Employees demonstrate greater loyalty to the business √  because they feel respected/accepted/understood. √ 
  • A diversified workforce can give businesses a competitive  advantage √ as they can render better services. √ 
  • Being respectful of differences/demonstrating diversity √ makes  good business sense/improves profitability. √
  • Diverse businesses ensure that its policies/practices √ empower  every employee to perform at his/her full potential. √ 
  • Customers increasingly evaluate businesses √ on how they  manage diversity in the workplace. √ 
  • Employees from different backgrounds √ can bring different  perspectives to the business. √ 
  • A diversified workforce stimulates debate √ on new and improved  ways of getting things done. √ 
  • Employees represent various groups √ and are therefore better  able to recognise customer needs and satisfy consumers. √ 
  • Businesses with a diverse workforce are more likely to have a  good public image √ and attract more customers. √ 
  • Any other relevant answer related to the benefits of having a  diverse workforce. Max. (6) 

6.6 Ways to promote cultural rights in the workplace  

  • Provide the environment in which employees are free to use their own  language when interacting with others during their free time. √√ 
  • Encourage employees to participate in cultural activities. √√ 
  • Allow employees to provide solutions to challenges from their own cultural  perspective. √√ 
  • Regular cultural information sessions will help employees to respect each  other's culture in the workplace. √√ 
  • Make provision for different cultures, such as food served in the  canteen/entertainment at staff functions. √√
  • Employ people from various cultural backgrounds. √√ 
  • Employees should be trained on cultural tolerance. √√ 
  • Any other relevant answer related to ways in which businesses could  promote cultural rights in the workplace. Max. (6)

BUSINESS OPERATIONS 
6.7 Importance of quality circles 

  • Solve problems related to quality and implement improvements. √√ 
  • Investigate problems and suggest solutions to management. √√ 
  • Ensure that there is no duplication of activities/tasks in the workplace. √√
  • Make suggestions for improving systems and processes in the workplace. √√
  • Improve the quality of products/services/productivity through regular reviews  of quality processes. √√ 
  • Monitor/Reinforce strategies to improve the smooth running of business  operations. √√ 
  • Reduce costs of redundancy in the long run. √√ 
  • Increase employees' morale/motivation. √√
  • Quality circles discuss ways of improving the quality of work/ workmanship. √√ 
  • Contribute towards the improvement and development of the  organisation. √√ 
  • Reduce costs/wasteful efforts in the long run. √√
  • Increase the demand for products/services of the business. √√ 
  • Create harmony√ and high performance in the workplace. √ 
  • Build a healthy workplace relationship between the employer and  employee. √√ 
  • Improve employees’ loyalty and commitment to the business and its  goals. √√ 
  • Improve employees’ communication at all levels of the business. √√ 
  • Develop a positive attitude/sense of involvement in decision making  processes of the services offered. √√ 
  • Any other relevant answer related to the importance of quality circles in  TQM. Max. (4) 

6.8 Differences between quality performance and quality management 

QUALITY PERFORMANCE 

QUALITY MANAGEMENT

Total performance of each  department measured √ against specified standards. √

It is techniques/tools √ used to  design/improve the quality of a product. √

Can be obtained if all departments  work together √ towards the same  quality standards.√

Can be used for accountability √  within each of the business  functions.√

Quality is measured √ through  physical product/statistical output of processes/surveys of the users  and/or buyers of goods/services. √

Aims to ensure that the quality of  goods/services √ is consistent √/ Focuses on the means √ to  achieve consistency. √ 

Any other relevant answer related to  quality performance. 

Any other relevant answer related  to quality management.

Sub-max. (2) 

Sub-max. (2)

Max. (4) 
NOTE:

  1. The answer does not have to be in a tabular format but  the distinction must be clear. 
  2. Award a maximum of TWO (2) marks if the distinction  is not clear./Mark either quality performance or quality  management only.

6.9 Impact of TQM on the reduction of the cost of quality 

  • Introduce quality circles to discuss ways of improving the quality of  work/workman-ship. √√
  • Schedule activities to eliminate duplication of tasks. √√ 
  • Share responsibility for quality output amongst management and  workers. √√ 
  • Train employees at all levels, so that everyone understands their role in  quality management. √√ 
  • Develop work systems that empower employees to find new ways of  improving quality. √√ 
  • Work closely with suppliers to improve the quality of raw  materials/inputs. √√ 
  • Improve communication about quality challenges/deviations, so that  everyone can learn from experience. √√ 
  • Reduce investment on expensive, but ineffective inspection procedures in  the production process. √√ 
  • Implement pro-active maintenance programmes for equipment/machinery  to reduce/eliminate breakdowns. √√ 
  • Any other relevant answer related to the impact of TQM on the reduction  of the cost of quality. Max. (6)
    [60] 

BREAKDOWN OF MARKS 

QUESTION 6 

MARKS

6.1 

8

6.2 

8

6.3 

6

6.4 

8

6.5.1 

4

6.5.2 

6

6.6 

6

6.7 

4

6.8 

4

6.9 

6

TOTAL 

60

TOTAL SECTION B: 180
SECTION C
Mark the first TWO (2) questions only. 
QUESTION 7: BUSINESS ENVIRONMENTS (LEGISLATION) 
7.1 Introduction 

  • The Compensation for Occupational Injuries and Diseases Amendment  Act (COIDA), 1997 (Act 61 of 1997) was introduced to protect the health  and safety of employees in the workplace. √ 
  • COIDA provides guidelines for the compensation of employees who are  disabled because of injuries sustained/diseases contracted at work. √  - It also provides for compensation if a worker dies due to a work related injury/ disease. √ 
  •  Injuries and diseases for which claims can be made are specified  in the Act. √ 
  •  Any other relevant introduction related to COIDA.
    (Any 2 x 1) (2) 

7.2 Purpose of COIDA 

  • COIDA applies to all casual and full-time workers who become  ill/injured/disabled/killed √ due to a workplace accident/disease. √ 
  • It excludes workers √ who are guilty of willful misconduct/workers  working outside South Africa for at least twelve months/members of  the SA Defence Force/Police services. √ 
  • It provides for the establishment of a Compensation Board √ whose  function is to advise the Minister of Labour on the  application/provisions of COIDA. √ 
  • Medical expenses/Other types of compensation are paid to employees  and/or their families √ depending on the type/severity of the injuries. √ 
  • Employers have to pay a monthly amount to the  Compensation Fund √ depending on the number of employees/the  level of risk they are exposed to. √ 
  • Employees must be a bona-fide employee of the company √ and the  injury must have been caused while carrying out duties. √ 
  • Provides compensation for employees/families for injuries or death √  occur while carrying out their duties. √ 
  • Any other relevant answer related to the purpose of COIDA. Max. (10)

7.3 Penalties/Consequences for non-compliance with COIDA 

  • Businesses can be fined √ for refusing to lodge the claim/contravening the  Act. √ 
  • Businesses can be forced to make large payments √ if it did not take the  necessary precautions according to the Act. √ 
  • Businesses can be forced to pay any recovery costs √ required by the  Compensation Fund. √ 
  •  The employee may take the business to court √ for not registering him/her  with the Commissioner of the Compensation Fund. √ 
  • If the business is found guilty of any misconduct, √ they will have to pay  large penalties/face imprisonment. √ 
  • Any other relevant answer related to penalties for non-compliance with  COIDA. Max. (8) 

7.4 Impact of COIDA on businesses 
Positives/Advantages 

  • Promotes safety √ in the workplace. √ 
  • Creates a framework √ for acceptable employment practices/safety  regulations. √ 
  • Supply administrative guidelines/mechanisms √ for dealing  with/processing claims. √ 
  • Eliminates time and costs spent √ on lengthy civil court proceedings. √ 
  • Employers are protected from financial burden should an accident occur  in the workplace √ provided that the employer was not negligent. √ 
  • Claiming processes √ are relatively simple. √ 
  • Makes businesses more socially responsible √ as they cannot just employ  workers at random in dangerous working conditions. √ 
  • Workers are treated with dignity and respect √ as businesses view them  as valuable assets and not just as workers. √ 
  • Covers all employees at the workplace √ if both parties meet all the  necessary safety provisions of the Act. √ 
  • Employees do not contribute √ towards this fund. √ 
  • Employees are compensated financially for any injury/disability √ resulting  from performing their duties at their workplace. √ 
  • In the event of the death of an employee as a result of a work-related  accident/ disease, √ his/her dependent(s) will receive financial support. √ - Employees receive medical assistance √ provided there is no other  medical assistance option. √/Cannot claim medical assistance from the  fund √ and medical aid. √ 
  • Any compensation to an employee/the family √ is exempt from income  tax. √ 
  • Any other relevant answer related to the positive impact/advantages of  COIDA on businesses. 

AND/OR
Negatives/Disadvantages 

  • Claiming processes/procedures √ can be time consuming.√ 
  • Processes/Procedures required by this Act may be costly √ as paperwork  places an extra administrative burden on businesses. √ 
  • Employers have to register all their workers/make annual contributions to  COIDA, √ which may result in cash flow problems. √ 
  • Employers may be forced to pay heavy penalties √ if they are found guilty  of negligence/not enforcing safety measures. √ 
  • Workers who are temporarily/permanently employed in foreign  countries √ are not covered. √ 
  • Domestic/Military workers √ are not covered. √ 
  • Any other relevant answer related to the negative impact/disadvantages of COIDA on businesses. Max. (14) 

7.5 Compliance to COIDA 

  • Businesses should provide a healthy/safe working  environment. √√ 
  • They should register with the Compensation Commissioner and  provide the particulars of the business. √√ 
  • Must keep records of employees' income and details of work for  four years. √√ 
  • Obliged to report all incidents causing death/injury/illness of  employees. √√ 
  • Businesses should submit returns of earnings by no later than  1 March annually. √√ 
  • Levies must be paid to the Compensation Fund. √√ 
  • Ensure that the premises/equipment/machinery is in good working  condition. √√ 
  • Should allow regular assessment of the workplace by inspectors  in order to determine the level of risk their employees are  exposed to. √√ 
  • Employers may not make deductions for COIDA from employees'  remuneration packages. √√ 
  • Businesses must ensure that claims are lodged within twelve  months of the date of the accident. √√ 
  • Any other relevant answer related to the ways in which businesses  can comply with COIDA. Max. (14) 

7.6 Conclusion 

  • Good progress has been made as businesses are now more socially  responsible in improving safety measures/working conditions/being  responsible for workers and their dependents. √√ 
  • Workers in some industries are being compensated for contracting  diseases such as tuberculosis, silicosis, √√ etc. 
  • If death occurs, families may benefit as the deceased worker may be  substituted by another family member in the same industry. √√ 
  • Any other relevant conclusion related to COIDA. (Any 1 x 2) (2) 
    [40]

QUESTION 7: BREAKDOWN OF MARKS 

DETAILS 

MAXIMUM 

TOTAL

Introduction 

2

Max. 

32

Purpose of COIDA 

10

Penalties of non-compliance 

8

Impact of COIDA on businesses 

14

Compliance to COIDA 

14

Conclusion 

2

INSIGHT

   

Layout 

2

8

Analysis, interpretation 

2

Synthesis 

2

Originality/Examples 

2

TOTAL MARKS 

 

40

*LASO – For each component: 

  • Allocate 2 marks if all requirements are met.
  • Allocate 1 mark if only some of the requirements are met.
  • Allocate 0 marks where requirements are not met at all. 

QUESTION 8: BUSINESS VENTURES 
8.1 Introduction 

  • Insurance is a contract between a person/business/insured requiring  insurance cover and the insurance company/insurer bearing the financial  risk. √ 
  • The law requires businesses to contribute to compulsory insurance on  behalf of employees. √ 
  • The purpose of insurance is to indemnify/cover the insured against certain  kinds of insurable risks. √ 
  • The purpose of a verbal presentation is to exchange information as it  involves speaking and listening for both the presenter and the  audience/directors. √
  • When responding to questions/remarks, the presenter should not be  aggressive/defensive. √ 
  • Any other relevant introduction related to insurance and responding to  feedback. (Any 2 x 1) (2)

8.2 Differences between compulsory and non-compulsory insurance 

COMPULSORY INSURANCE 

NON-COMPULSORY INSURANCE

Is required by law/There are legal  obligations √ for it to be taken out  and paid for. √ 

Is voluntary/The insured has a  choice √ whether to enter into an  insurance contract. √

It is regulated by government √  and does not necessarily require  insurance contracts/brokers. √

Insured will enter into a legal  insurance contract with the  insurer, √ who may be  represented by an insurance  broker. √

Payment is in the form of a levy/  contribution paid into a common  fund √ from which benefits may  be claimed under certain  conditions. √

Monthly/Annual  payments/premiums that must be  paid √ in order to be covered for  a nominated risk/insured event. √

Any other relevant answer  related to compulsory insurance.

Any other relevant answer  related to non-compulsory  insurance.

Sub-max. (4) 

Sub-max. (4)

NOTE: 

  1. The answer does not have to be in tabular format but  differences must be clear.
  2. Allocate a maximum of FOUR (4) marks if distinction is  not clear./Mark either compulsory or non-compulsory  insurance only. Max. (8) 

8.3 Types of compulsory insurance  
8.3.1 Unemployment Insurance Fund (UIF) √√ 

  • The UIF provides benefits to workers who have been working √  and become unemployed for various reasons. √ 
  • Businesses contribute 1% of basic wages towards UIF, √  therefore reducing the expense of providing UIF benefits  themselves. √
  • Employees contribute 1% √ of their basic wage to UIF. √ 
  • The contribution of businesses towards UIF √ increases the  amount paid out to employees that become unemployed. √ 
  • All employees who work at least 24 hours per month √ are  required to be registered for UIF/contribute to the UIF. √ 
  • It is an affordable contribution that makes it possible for  businesses √ to appoint substitute workers in some instances. √ 
  • The business cannot be held responsible for unemployment  cover √ as the UIF pays out to contributors directly/dependants  of deceased contributors. √ 
  • Businesses are compelled to register their employees with the  fund √ and to pay contributions to the fund. √ 
  • Any other relevant answer related to UIF as a compulsory  insurance.
    Identification (2)
    Explanation  (4)
    Sub-max. (6)

8.3.2 Road Accident Fund (RAF)/Road Accident Benefit Scheme  (RABS) √√ 

  • RAF/RABS insures road-users against the negligence √ of other  road users. √ 
  • The RAF/RABS provides compulsory cover for all road users in  South Africa, √ which include South African businesses. √
  • Drivers of business vehicles are indemnified √ against claims by  persons injured in vehicle accidents. √ 
  • RAF/RABS is funded by a levy √ on the sale of  fuel/diesel/petrol. √ 
  • The amount that can be claimed for loss of income √ is limited  by legislation. √ 
  • The next of kin of workers/breadwinners who are injured/killed in  road accidents, √ may claim directly from RAF/RABS. √ 
  • Injured parties and negligent drivers √ are both covered by  RAF/RABS.√ 
  • The injured party will be compensated, √ irrespective of whether  the negligent driver is rich/poor/insured/uninsured.√ 
  • RABS aims to provide a benefit scheme √ that is  reasonable/equitable/affordable/sustainable, √ etc. 
  • RABS aims to simplify/speed up the claims process √ as victims  of road accidents no longer have to prove who caused the  accident. √ 
  • RABS enables road accident victims speedy access to medical  care √ as delays due to the investigation into accidents has  been minimised. √ 
  • Any other relevant answer related to RAF/RABS as a  compulsory insurance.
    Identification (2)
    Explanation (4)
    Sub-max. (6)
    NOTE: Mark the first TWO (2) only.  (2 x 6) (12)

8.4 Visual aids 
8.4.1 PowerPoint Presentation 
Positives/Advantages 

  • Graphic programmes have the capacity to convey ideas √  and support what the presenter says. √ 
  • Easy to combine √ with sound/video clips. √ 
  • Simple/Less cluttered slides √ may capture the interest of  the audience. √ 
  • Video clips can provide variety √ and capture the attention  of the audience. √ 
  • Variations of colour/background/sound immediately  capture the attention of the audience √ and retain their  interest throughout the presentation. √ 
  • Slides should only be used √ where they can enhance the  facts or summarise information. √ 
  • PowerPoint slides can help to convey a large amount of  facts √ in a short time. √ 
  • Any other relevant answer related to the positive impact of  a PowerPoint presentation. 

AND/OR 
Negatives/Disadvantages 

  • Unprofessional handling of the data projector/PowerPoint  presentation material √ may lead to irritation/may result in  the audience losing interest.√ 
  • Less effective √ to people with visual impairments.√ 
  • Simply reading off the slides √ makes a presentation  boring/meaningless.√ 
  • Unable to show slides √ without electricity/data projector.√ 
  • Any other relevant answer related to the negative impact  of PowerPoint presentation. Sub-max. (8)

8.4.2 Hand-outs 
Positives/Advantages 

  • Meaningful hand-outs may be handed out at the start of the  presentation √ to attract attention. √ 
  • Notes/Hard copies of the slide presentation can be  distributed at the end of the presentation √ as a reminder of  the key facts of the presentation. √ 
  • Extra information, e.g. contact details/price lists √ may be handed out √ to promote the services of the business. √ 
  • Useful information for improving the next presentation may  be obtained, √ when the audience completes feedback  questionnaires after the presentation.
  • Any other relevant answer related to the positive impact of  hand-outs. 

AND/OR 
Negatives/Disadvantages 

  • Hand-outs cannot be combined with audio material, √ so it  only focuses on the visual aspects of support material. √ 
  • Handing out material at the start of the presentation √ may  distract the audience. √ 
  • Any other relevant answer related to the negative impact of  hand-outs. Sub-max. (8)
    Max. (16) 

8.5 Ways to respond to feedback in a professional manner 

  • Ms Witbooi must stand up throughout the feedback session. √√
  • Be polite, confident and courteous/humorous. √√ 
  • Listen and then respond. √√ 
  • Make sure that you understand the question/s before responding. √√
  • Acknowledge good questions. √√ 
  • Rephrase questions if uncertain. √√ 
  • Do not get involved in a debate. √√ 
  • Do not avoid the question. If you do not know the answer, refer the  question to the audience or the employees √√ /Rectify if incorrect answers  are given. √√ 
  • Address the whole audience and not only the person asking the  question. √√ 
  • Provide feedback as soon as possible after the observed event. √√ 
  • Be direct, honest, sincere. √√ 
  • Use simple language and support what you say with an example/keep the  answer short and to the point. √√ 
  • Presenter must encourage questions from the audience. √√ 
  • Do not allow any one member of the audience to dominate the  discussion. √√ 
  • Note/write down the questions asked to be able to respond correctly. √√
  • Ms Witbooi should address questions in an orderly manner. √√ 
  • Any other relevant answer related to how Ms Witbooi may respond to  feedback in a professional manner. Max. (10) 

8.6 Conclusion 

  • The insurance agreement should take into consideration the risks  applicable to each situation. √√ 
  • Compulsory insurance reduces the financial risk of businesses. √√
  • Effective presentation of business information is one of the key elements of  communicating with various stakeholders. √√ 
  • A good presentation promotes the image of the business/owner/management. √√ 
  • Professional behaviour during a presentation/feedback/questions session  should contribute to the success of the presentation. √√
  • Any other relevant conclusion related to insurance, visual aids and  responding to feedback. (Any 1 x 2) (2)
    [40]

QUESTION 8: BREAKDOWN OF MARK ALLOCATION 

DETAILS 

MAXIMUM 

TOTAL

Introduction 

2

Max. 

32

Compulsory and non-compulsory  insurance 

8

Types of compulsory insurance 

12

PowerPoint presentation and hand-outs 

16

Ways to respond to questions 

10

Conclusion 

2

INSIGHT

   

Layout 

2

8

Analysis, interpretation 

2

Synthesis 

2

Originality/Examples 

2

TOTAL MARKS 

 

40

*LASO – For each component: 

  • Allocate 2 marks if all requirements are met.
  • Allocate 1 mark if only some of the requirements are met.
  • Allocate 0 marks where requirements are not met at all. 

QUESTION 9: BUSINESS ROLES 
9.1 Introduction 

  • Ethical behaviour and business practice are expected from every  employee in the business. √ 
  • Ethical and professional behaviour means that the highest legal and moral  standards are upheld when dealing with stakeholders. √ 
  • Businesses that adopt professional, responsible and ethical business  practices will remain profitable/sustainable over a long period of time. √
  • Any other relevant introduction related to ethical and professional business  practices.  (Any 2 x1) (2)

9.2 Differences between professional behaviour and ethical behaviour 

PROFESSIONAL BEHAVIOUR 

ETHICAL BEHAVIOUR

Refers to what is  right/wrong/acceptable √ in a  business. √ 

Refers to the principles of right  and wrong/acceptable √ in  society. √

Set of standards √ of expected  behaviour. √ 

Conforms to a set of values √  that are morally acceptable. √ 

Applying a code of conduct √ of a  profession or business.√ 

Forms part of a code of  conduct √ to guide employees to  act ethically. √ 

Focuses on upholding the  reputation √ of a  business/profession.√ 

Focuses on developing a moral  compass √ for decision making. √

Includes guidelines √ on employees'  appearance/communication/attitude/ responsibility, √ etc.

Involves following the principles  of right or wrong √ in business activities/practices/dealings. √ 

Any other relevant answer related to  professional behaviour.

Any other relevant answer  related to ethical behaviour. 

Sub-max. (6) 

Sub-max. (6)

NOTE:

  1. The answer does not have to be in tabular format but  differences must be clear. 
  2. Allocate a maximum of SIX (6) marks if distinction  is not clear./Mark either professional behaviour or  ethical behaviour only. Max. (12) 

9.3 King Code principles 
Transparency 

  • Regular audits should be done √ to determine the effectiveness of the  business.√
  • Auditing and other reports √ must be accurate/available to  shareholders/employees. √
  • Business deals should be conducted openly √ so that there is no hint/sign  of dishonesty/corruption. √
  • Staffing and other processes √ should be open and transparent. √
  • Employees/Shareholders/Directors should be aware √ of the employment  policies of the business. √ 
  • Any other relevant application of transparency as a King Code principle. Sub-max. (6)

Accountability 

  • There must be regular communication √ between management and the  stakeholders like shareholders. √
  • Company should appoint internal and external auditors √ to audit financial  statements. √ 
  • Businesses should be accountable √ for their decisions and actions. √
  • Business should present annual report √ to shareholders at the Annual  General Meeting (AGM). √
  • Top management should ensure that all other levels of management are  clear about their roles √ and responsibilities to improve accountability. √
  • The board should ensure that the company's ethics √ are effectively  implemented. √ 
  • Any other relevant application of accountability as a King Code principle. Sub-max. (6) Max. (12) 

9.4 Ways to conduct business professionally, responsibly, ethically and  effective 

  • Businesses should not start other business ventures at the expense of  others. √√
  • They should pay fair wages. √√ 
  • All employees should be treated equally. √√ 
  • Appoint honest/trustworthy accountants with a good reputation. √√
  • Staffing and other processes should be open and transparent. √√
  • Draw up a code of ethics. √√ 
  • Managers must set the tone for professional/responsible/ethical  behaviour. √√ 
  • There must be adequate internal control systems in place. √√ 
  • There should be honesty in all relationships/transactions in the  business. √√ 
  • Employees should understand ethical business practices through effective  communication/training. √√ 
  • Seminars on business ethics should be held for managers and the  employees to help them understand the importance of the ethical work  culture of the business. √√ 
  • Management must consider the impact of their decisions/actions on all  stakeholders. √√ 
  • Regulations applicable to environmental protection should be taken  seriously. √√ 
  • They should charge fair prices in rural areas. √√ 
  • Any other relevant recommendation related to ways in which businesses  should conduct business professionally, responsibly and ethically. Max. (14)

9.5 Unethical business practices 
9.5.1 Abuse of work time 

  • Businesses should speak directly to those employees who abuse  work time. √√ 
  • Businesses should monitor employees to ensure that tasks are  completed. √√ 
  • Structure working hours in such a way that employees have  free/flexible time for personal matters. √√ 
  • Create a culture of responsibility/strengthen team spirit in order  for all employees to feel responsible for what has to be  achieved. √√ 
  • Any other relevant answer related to strategies to deal with  pricing of goods in rural areas. Sub-max. (4) 

9.5.2 Pricing of goods in rural areas 

  • A business may lobby with other businesses in the area to  convince government to improve infrastructure in the rural  area. √√ 
  • Charge fair/market related prices for goods and services. √√ 
  • Avoid unethical business practices to attract customer loyalty. √√ 
  • Investigate cost-effective ways of transporting products./Hire a  large truck to combine deliveries to shop-owners in the same  area. √√ 
  • Work together with suppliers to share delivery costs to remote  rural areas. √√ 
  • Any other relevant answer related to strategies to deal with  pricing of goods in rural areas. Sub-max. (4)
    Max. (8) 

9.6 Conclusion 

  • A business code on ethics and conduct should improve relationships and  eliminate unethical business practices. √√ 
  • Employees who do not adhere to a code of ethics and conduct should be  disciplined. √√ 
  • Businesses can make use of good corporate governance to address  issues that challenge ethical and professional behaviour. √√ 
  • Any other relevant conclusion related to ethical and professional  business practices. (Any 1 x 2) (2)
    [40]

QUESTION 9: BREAKDOWN OF MARK ALLOCATION 

DETAILS 

MAXIMUM 

TOTAL

Introduction 

2

Max 

32

Differences between professional behaviour  and ethical behaviour 

12

King Code principles 

12

Ways to conduct business professionally,  responsibly, ethically and effective 

14

Unethical business practices 

8

Conclusion 

2

INSIGHT

 

8

Layout 

2

Analysis, interpretation 

2

Synthesis 

2

Originality/Examples 

2

TOTAL MARKS 

 

40

*LASO -For each component: 

  • Allocate 2 marks if all requirements are met.
  • Allocate 1 mark if only some of the requirements are met.
  • Allocate 0 marks where requirements are not met at all. 

QUESTION 10: BUSINESS OPERATIONS 
10.1 Introduction 

  • Employers and employees should adhere to the terms and conditions of  the employment contract. √ 
  • The aim of induction is to introduce the new employee to the job/the  new environment. √ 
  •  Induction is the process of introducing new employees to a  business/work environment. √ 
  • A good induction programme will enable the new employee to settle in  quickly. √
  • Businesses should ensure that induction is done before the employee  starts in his/her new position. √ 
  • Any other relevant introduction related to employment contract, benefits and induction (Any 2 x 1) (2)

10.2 Legal requirements of an employment contract 

  • Employment contract is an agreement between the employer and the  new employee and is legally binding. √√ 
  • Employer and employee must agree to any changes to the contract. √√
  • Aspects of the employment contract can be renegotiated during the  course of employment. √√ 
  • No party may unilaterally change aspects of the employment contract.√√ 
  • BBF and the new employee must both sign the contract. √√ 
  • The employment contract should include a code of conduct and code of ethics. √√ 
  • BBF must explain the terms and conditions of the employment contract  to the employee. √√ 
  • It may not contain any requirements that are in conflict with the  BCEA. √√ 
  • Conditions of employment/duties/responsibilities of the employees must  be stipulated clearly. √√ 
  • The remuneration package/including benefits must be clearly  indicated. √√ 
  • All business policies, procedures and disciplinary codes/rules can form  part of the employment contract. √√ 
  • The employer must allow the employee to thoroughly read through the  contract before it is signed. √√ 
  • Any other relevant answer related to the legal requirements of the  employment contract.  Max. (12) 

10.3 Impact of fringe benefits on businesses 
Positives/Advantages 

  • Attractive fringe benefit packages √ may result in higher employee  retention/reduces employee turnover.√ 
  • Attracts qualified/skilled/experienced employees √ who may positively  contribute towards the business goals/objectives.√ 
  • It increases employee satisfaction/loyalty√ as they may be willing to go  the extra mile.√ 
  • Improves productivity √ resulting in higher profitability. √ 
  • Businesses save money √ as benefits are tax deductible. √ 
  • Fringe benefits can be used as leverage √ for salary negotiations. √ 
  • Any other relevant answer related to the positive impact of fringe benefits  on businesses.  

AND/OR
Negatives/Disadvantages 

  • Fringe benefits are additional costs √ that may result in cash flow  problems. √ 
  • Administrative costs increase √ as benefits need to be correctly  recorded for tax purposes. √ 
  • Decreases business profits, √ as incentive/package/remuneration costs  are higher.√ 
  • It can create conflict/lead to corruption √ if allocated unfairly. √ 
  • Workers only stay with the business for fringe benefits, √ and may not be  committed/loyal to the tasks/business. √ 
  • Businesses who offer employees different benefit plans may create  resentment √ to those who receive fewer benefits resulting in lower  productivity.√ 
  • Businesses who cannot offer fringe benefits √ fail to attract skilled  workers. √ 
  • Businesses have to pay advisors/attorneys √ to help them create benefit  plans that comply with legislation. √ 
  •  Errors in benefit plans √ may lead to costly lawsuits/regulatory fines. √
  • Any other relevant answer related to the negative impact of fringe benefits  on businesses. Max. (12) 

10.4 Purpose of induction 

  • Introduce new employees to management/colleagues √ to establish  relationships with fellow colleagues at different levels. √ 
  • Create opportunities for new employees √ to experience/explore different  departments. √ 
  • Explain safety regulations and rules, √ so that new employees will  understand their role/responsibilities in this regard. √ 
  • Communicate information √ about the products/services of Blue Bay  Fisheries. √ 
  • Allow new employees the opportunity to ask questions √ that will put them  at ease/reduce insecurity/anxiety/fear. √ 
  • Make new employees feel welcome √ by introducing them to their  physical work space.√ 
  • Give new employees a tour/information √ about the layout of the  building/office. √ 
  • Improve skills √ through in-service training. √ 
  • Familiarise new employees√ with the organisational structure/their  supervisors. √ 
  • Ensure that employees understand their roles/responsibilities √ so that  they will be more efficient/productive. √ 
  • Communicate business policies √ regarding ethical/professional  conduct/procedures/employment contract/conditions of employment, √  etc.
  • Any other relevant answer related to the purpose of induction. Max. (10)

10.5 Benefits of induction 

  • Increases quality of performance/productivity. √√ 
  • Allows new employees to settle in quickly and work effectively. √√ 
  • Ensures that new employees understand rules and restrictions in the  business. √√ 
  • The results obtained during the induction process provide a base for  focused training. √√ 
  • Minimises the need for on-going training and development. √√ 
  • New employees may establish relationships with fellow employees at  different levels. √√ 
  • Employees will be familiar with organisational structures, e.g. who are  their supervisors/low level managers. √√ 
  • Opportunities are created for new employees to experience/explore  different departments. √√ 
  • New employees will understand their role/responsibilities concerning  safety regulations and rules. √√
  • New employees will know the layout of the  building/factory/offices/where everything is, which saves production  time. √√ 
  • Learn more about the business so that new employees understand  their roles/responsibilities in order to be more efficient. √√
  • Make new employees feel at ease in the workplace, which reduces  anxiety/insecurity/fear. √√ 
  • Company policies are communicated, regarding conduct and  procedures/safety and security/employment contract/conditions of  employment/working hours/ leave. √√ 
  • Realistic expectations for new employees as well as the business are  created. √√ 
  • New employees may feel part of the team resulting in positive morale  and motivation. √√ 
  • Employees may have a better understanding of business policies  regarding ethical/professional conduct/procedures/CSR, √√ etc. 
  • Any other relevant answer related to the benefits of induction.  Max. (12) 

10.6 Conclusion 

  • The relationship between the employer and employee should be guided  by the employment contract. √√
  • A good induction programme enables new employees to have a basic  understanding of what is expected in the new job/position. √√ 
  • Employees are one of the most important resources in any business,  therefore their success should be guaranteed by an effective induction  programme. √√
  • It is important that the employer and employees sign the employment  contracts. √√
  • Any other relevant introduction related to related to induction,  employment contract and benefits. (Any 1 x 2) (2)
    [40]

QUESTION 10: BREAKDOWN OF MARK ALLOCATION 

Details 

Maximum 

Total

Introduction 

2

Max. 

32

Legal requirements of an employment  contract 

12

Impact of fringe benefits 

12

Purpose of induction 

10

Benefits of induction 

12

Conclusion 

2

INSIGHT

 

8

Layout 

2

Analysis, interpretation 

2

Synthesis 

2

Originality/Examples 

2

TOTAL MARKS 

 

40

*LASO – For each component: 

  • Allocate 2 marks if all requirements are met.
  • Allocate 1 mark if only some of the requirements are met.
  • Allocate 0 marks where requirements are not met at all.
    TOTAL SECTION C: 80
    GRAND TOTAL: 300

INSTRUCTIONS AND INFORMATION 
Read the following instructions carefully before answering the questions.

  1. This question paper consists of THREE sections and covers all FOUR main topics.
    SECTION A: COMPULSORY
    SECTION B: Consists of FIVE questions.
    Answer any THREE of the five questions in this section.
    SECTION C: Consists of FOUR questions.
    Answer any TWO of the four questions in this section. 
  2. Read the instructions for each question carefully and take particular note of what is  required.
  3. Number the answers carefully according to the numbering system used in this  question paper. NO marks will be awarded for answers that are numbered  incorrectly. 
  4. Except where other instructions are given, answers must be written in full  sentences. 
  5. Use the mark allocation and nature of each question to determine the length and  depth of an answer. 
  6. Use the table below as guide a for mark and time allocation when answering each  question.

    SECTION 

    QUESTION 

    MARKS 

    TIME 

    (minutes)

    A: Objective-type questions COMPULSORY 

    40 

    30

           

    B: FIVE direct/indirect type  questions 

    CHOICE: 

    Answer any THREE.

    60 

    30

    60 

    30 

    60 

    30 

    60 

    30

    60 

    30 

           

    C: FOUR essay-type questions CHOICE: 

    Answer any TWO.

    40 

    30

    40 

    30 

    40 

    30

    10 

    40 

    30

    TOTAL 

     

    300 

    180

  7. Begin the answer to EACH question on a NEW page, e.g. QUESTION 1 – new  page, QUESTION 2 – new page, etc. 
  8. You may use a non-programmable calculator. 
  9. Write neatly and legibly.

QUESTIONS 

SECTION A (COMPULSORY) 
QUESTION 1
1.1 Various options are provided as possible answers to the following questions.  Choose the answer and write only the letter (A–D) next to the question number  (1.1.1–1.1.10) in the ANSWER BOOK, e.g. 1.1.11 D. 
1.1.1 This Act was introduced to promote simple procedures for the  resolution of labour disputes in the workplace: 

  1. Consumer Protection Act, 2008 (Act 68 of 2008)
  2. Broad-Based Black Economic Empowerment Act, 2003 (Act 53 of  2003)
  3. National Credit Act, 2005 (Act 34 of 2005)
  4. Labour Relations Act, 1995 (Act 66 of 1995) 

1.1.2 The role of SETAs is to … 

  1. appoint accredited service providers.
  2. eliminate discrimination in the workplace.
  3. compensate workers for work-related injuries.
  4. train employees. 

1.1.3 PB Banking specialises in offering financial services to individuals and  businesses. It operates in the … sector. 

  1. primary
  2. secondary
  3. tertiary
  4. public 

1.1.4 Michelle invested R30 000 in a fixed deposit at a financial institution  at 12% compounded interest per year for two years. Michelle will  earn … interest after two years. 

  1. R7 632
  2. R7 200 
  3. R3 600 
  4. R37 632 

1.1.5 A(n) … leader motivates workers by trusting them to do things  themselves/on their own. 

  1. bureaucratic
  2. democratic
  3. autocratic 
  4. laissez-faire/free-reign

1.1.6 An example of a non-insurable risk: 

  1. Fidelity insurance 
  2. Natural disaster 
  3. Injuries on premises 
  4. Shoplifting 

1.1.7 During this stage of team development the differences among  members are appreciated and the team is achieving their goals: 

  1. Forming
  2. Performing
  3. Norming
  4. Storming 

1.1.8 The process a manager uses to choose the best solution, is known  as … 

  1. problem-solving.
  2. routine thinking. 
  3. decision-making.
  4. brainstorming. 

1.1.9 A thorough understanding of the supply chain management is a  way to improve the quality performance within the … function. 

  1. purchasing
  2. general management
  3. public relations 
  4. production 

1.1.10 Mr Smith took business products without permission therefore the  reason for the termination of his employment contract was   a … 

  1. retirement. 
  2. dismissal.
  3. resignation.
  4. retrenchment. (10 x 2) (20)

1.2 Complete the following statements by using the words provided in the list  below. Write only the word(s) next to the question number (1.2.1–1.2.5) in the  ANSWER BOOK. 

video conferencing; CSR; association; internal; Consumer Protection;  external; CSI; expression; National Credit; written report  

1.2.1 The … Act makes provision for consumers to access debt  counselling. 
1.2.2 Information in the form of a … is an example of a non-verbal  presentation. 
1.2.3 The … focus is on improving the image as well as increasing the  profits of a business. 
1.2.4 The right of employees to join trade unions is known as freedom of …  
1.2.5 Networking is an example of … recruitment. (5 x 2) (10)
1.3 Choose a description from COLUMN B that matches a term in COLUMN A.  Write only the letter (A–J) next to the question number (1.3.1–1.3.5) in the  ANSWER BOOK, e.g. 1.3.6 K. 

COLUMN A 

COLUMN B

1.3.1 Divestiture 
1.3.2 Limited liability
1.3.3 Conflict 
1.3.4 Screening 
1.3.5 Quality  assurance 

  1. an inspection carried out during and after the  production process 
  2. conducting interviews with applicants
  3. complaint of an employee relating to poor  working conditions 
  4. an inspection of the final product to ensure that  it meets the required standards
  5. owner’s personal assets are protected against  the debts of the business
  6. when businesses sell all their assets to pay  their creditors
  7. performing background checks of applicants 
  8. disagreement between two or more parties in  the workplace
  9. owner’s personal assets may be seized to pay  for the debts of the business
  10. when businesses sell some assets that are no  longer profitable

(5 x 2) (10) 
TOTAL SECTION A: 40

SECTION B 
Answer ANY THREE questions in this section. 
NOTE: Clearly indicate the QUESTION NUMBER of each question that you  choose. The answer to EACH question must start on a NEW page, e.g. QUESTION 2 on a new page, QUESTION 3 on a NEW page, etc. 

QUESTION 2: BUSINESS ENVIRONMENTS 
2.1 List the THREE types of defensive strategies. (3)
2.2 Outline any FOUR steps in evaluating a strategy. (8)
2.3 Read the scenario below and answer the questions that follow.

PERFECT FRAME MANUFACTURERS (PFM) 

Perfect Frame Manufacturers employs ten workers to manufacture door  frames. PFM requires their female employees to report to work immediately  after giving birth. Workers are also not allowed to take time off to attend the  funeral of a relative. 

2.3.1 Identify TWO provisions for leave as stipulated in the Basic  Conditions of Employment Act (BCEA), 1997 (Act 75 of 1997) that  PFM is not complying with. Motivate your answer by quoting from  the scenario above. (6) 
Use the table below as a guide to answer QUESTION 2.3.1. 

PROVISION FOR LEAVE 

MOTIVATION

1.

 

2.

 

2.3.2 Evaluate the impact of the Basic Conditions of Employment Act (BCEA), 1997 (Act 75 of 1997) on PFM. (8) 
2.4 Describe the purpose of the Employment Equity Act, 1998 (Act 55 of  1998). (6) 
2.5 Explain the Human Resources Development Strategy. (6)
2.6 Read the scenario below and answer the questions that follow.

CHICK CHICKEN FARM (CCF) 

Chick Chicken Farm specialises in the production of poultry. Kevin, the  farmer does not have any knowledge of poultry farming. CCF lost more than  half of their chicks due to a heavy rain storm. The suppliers of chicken feed  have increased their prices by 30%. 

Use the table below as a guide to answer the questions that follow. 

CHALLENGES
(2.6.1)

BUSINESS  ENVIRONMENTS
(2.6.2)

EXTENT OF  CONTROL 
(2.6.3)

1.

   

2.

   

3.

   

2.6.1 Quote THREE challenges from the scenario above that CCF have  to deal with. (3) 
2.6.2 Classify EACH challenge quoted in QUESTION 2.6.1 according  to the business environment. (3) 
2.6.3 State the extent of control that CCF has over EACH business  environment. (3) 
2.7 Discuss the advantages of intensive strategies for businesses. (6) 
2.8 Advise businesses how they could apply the following forces from the  Porter’s Five Forces model: 
2.8.1 Bargaining power of buyers/Buyer power (4) 
2.8.2 Competitive rivalry (4) [60]

QUESTION 3: BUSINESS VENTURES 
3.1 State any THREE types of preference shares. (3)
3.2 Outline the functions of the Johannesburg Securities Exchange Ltd (JSE). (8) 
3.3 Identify the types of investments opportunity that is available for Fred in  EACH statement below: 
3.3.1 Fred will receive a vote and the right to a dividend. 
3.3.2 Fred buys a piece of land and earns rental from Eco Farms.  
3.3.3 Fred’s investment is pooled together with a number of investors and  is managed by a fund manager. 
3.3.4 Fred is invited to invest R500 in Masikhule Saving Scheme. (4 x 2) (8) 
3.4 Explain the importance/advantages of insurance for businesses. (6)
3.5 Read the scenario below and answer the questions that follow. 

LUKE LEATHER POUCHES (LLP) 

Luke Leather Pouches specialises in manufacturing leather cellphone  pouches. Luke is the only owner of the business and is also liable for all the  business debts

3.5.1 Name the form of ownership of LLP. Motivate your answer by  quoting from the scenario above. (3) 
3.5.2 Describe the success factors of the form of ownership identified in  QUESTION 3.5.1 and those of a private company. 
Use the table and criteria below as a guide to answer QUESTION 3.5.2. 

CRITERIA 

FORM OF OWNERSHIP  IDENTIFIED  

(3.5.1)

PRIVATE  

COMPANY

(a) Management

   

(b) Legislation

   

(c) Division of profits 

   

(12) 
3.6 Explain factors that must be considered when preparing for a  presentation. (8) 
3.7 Recommend TWO situations in which a democratic leadership style could  be applied in the workplace. (4) 
3.8 Analyse the impact of an autocratic leadership style on a business. (8) [60]

QUESTION 4: BUSINESS ROLES 
4.1 Give FOUR examples of unfair advertising. (4) 4.2 Outline the causes of conflict in the workplace. (8) 4.3 Read the scenario below and answer the questions that follow.

GOOD LOOKING CARS (GLC) 

Good Looking Cars want to change the design of some of their cars.  Employees are requested to first generate ideas and then share the ideas  with other group members. The management also contacted designer  experts to complete a questionnaire on how to change the designs. 

4.3.1 Identify TWO problem-solving techniques used by Good Looking  Cars. Motivate your answer by quoting from the scenario above. (6) 
Use the table below as a guide to answer QUESTION 4.3.1. 

PROBLEM-SOLVING  TECHNIQUE

MOTIVATION

1.

 

2.

 

4.3.2 Discuss the advantages of creative thinking in the workplace. (8) 
4.4 Explain the positive impact of corporate social responsibility (CSR) on  communities. (6) 
4.5 Read the scenario below and answer the questions that follow.

GEMS MINES (GM) 

Gems Mines specialises in the extraction of gems stones. The management  is very proud of the way in which their workers are taking responsibility for  their own safety. The workers also report unsafe and unhealthy conditions  to the management. 

4.5.1 Quote TWO responsibilities of workers in promoting human health  and safety in the workplace from the scenario. (2) 
4.5.2 Discuss other responsibilities of workers in promoting human  health and safety in the workplace at Gems Mines. (6) 
4.5.3 Suggest strategies which Gems Mines could use to protect the  environment and human health in the workplace. (4)
4.6 Explain how businesses could deal with the following diversity issues in  the workplace: 
4.6.1 Language (4)
4.6.2 Age (4) 
4.7 Advise businesses on how they should handle conflict in the workplace. (8) [60] 

QUESTION 5: BUSINESS OPERATIONS 
5.1 Name TWO methods of salary determination. (2) 
5.2 Outline the placement procedure that businesses should follow to place a  new employee. (6) 
5.3 Read the scenario below and answer the questions that follow.

TIGER SLEEPWEAR (TS) 

Maggie was invited for an interview at Tiger Sleepwear. During the interview  Maggie carefully listened to the questions before responding to them. She  made eye contact with the interviewer and asked clarity seeking questions. 

5.3.1 Quote from the scenario above THREE of Maggie’s roles during  the interview. (3) 
5.3.2 Explain the role of the interviewer during the interview. (8) 5.4 Distinguish between job description and job specification. (8) 
5.5 Explain how quality indicators of the financial function can contribute to the  success of a business. (6)
5.6 Read the scenario below and answer the questions that follow.

FAHIM FOOTWEAR (FF) 

Fahim Footwear is a large business that specialises in the manufacturing  of quality designer shoes. The management always ensures that customer  complaints are handled within a short period of time. The employees regularly attend training courses. The management also allows staff to  make inputs during designing sessions. 

5.6.1 Identify THREE total quality management (TQM) elements  applied by Fahim Footwear. Motivate your answer by quoting from  the scenario above. (9) 
Use the table below as a guide to answer QUESTION 5.6.1. 

TQM ELEMENTS 

MOTIVATION

1.

 

2.

 

3

 

5.6.2 Advise Fahim Footwear on the benefits of a good quality  management system. (6)
5.7 Discuss the negative impact on businesses if TQM is poorly implemented. (6) 
5.8 Evaluate the impact of continuous improvement to processes and  systems on large businesses. (6) [60] 

QUESTION 6: MISCELLANEOUS TOPICS 
BUSINESS ENVIRONMENTS 
6.1 Identify the relevant pillar of Broad-Based Black Economic Empowerment  Act (BBBEE), 2003 (Act 53 of 2003) that ABC Books Ltd complied with in  EACH case below. 
6.1.1 The purchasing manager uses Lucky Book Providers which is BBBEE complaint. 
6.1.2 ABC Books Ltd donate books to a local rural school. 
6.1.3 The management issues shares to all their long serving  employees. 
6.1.4 Litha, a storybook writer, is encouraged to attend a creative  writing workshop. (4 x 2) (8) 
6.2 Explain the differences between market development and product  development. (8)

BUSINESS VENTURES 
6.3 Identify the form of ownership represented by EACH of the following  statements: 
6.3.1 Khan Ltd may invite the public to buy shares. 
6.3.2 The directors of Hello PLC are jointly and severally liable for the  debts of the business. 
6.3.3 Salty Spices is owned and managed by Sarah and Sive and they are personally liable for the debts of the business.  (3 x 2) (6) 
6.4 Describe the role of personal attitude in successful leadership. (8)

BUSINESS ROLES 
6.5 Read the scenario below and answer the questions that follow. 

CRYSTAL SHADES (CS) 

Crystal Shades employs workers from different cultural backgrounds and  race. The workers have good interpersonal relationships and show mutual  respect towards each other despite their differences. The workers support  and trust each other and have honest discussions that lead to effective  solutions of problems.

6.5.1 Quote FOUR characteristics of a successful team that the workers  of Crystal Shades demonstrate. (4) 
6.5.2 Discuss the benefits of Crystal Shades having a diverse workforce. (6) 
6.6 Suggest ways in which businesses could promote cultural rights in the  workplace. (6) 

BUSINESS OPERATIONS 
6.7 Outline the importance of quality circles. (4)
6.8 Differentiate between quality performance and quality management. (4) 
6.9 Advise businesses on how TQM could impact on the reduction of the cost  of quality. (6) [60] 
TOTAL SECTION B: 180

SECTION C 
Answer ANY TWO questions in this section. 
NOTE: Clearly indicate the QUESTION NUMBER of each question chosen.  The answer to EACH question must start on a NEW page, e.g. QUESTION 7 on a NEW page, QUESTION 8 on a NEW page, etc. 

QUESTION 7: BUSINESS ENVIRONMENTS (LEGISLATION) 

The Compensation for Occupational Injuries and Diseases Act (COIDA), 1997 (Act 61 of 1997) recognises that workers are exposed to health risks in the  workplace and that workplace-related accidents can occur. Businesses who do  not comply with this Act will be penalised.   

As an expert on recent legislation, write an essay on the following aspects: 

  • Explain the purpose of COIDA. 
  • Discuss the penalties/consequences that may be imposed for non compliance with COIDA.
  • Analyse the impact of COIDA on businesses. 
  • Recommend ways in which businesses can comply with COIDA. [40]

QUESTION 8: BUSINESS VENTURES (INSURANCE AND PRESENTATION) 

Ms Witbooi is the managing director at Insure Success Ltd. She has to do a  presentation on different types of insurance at a meeting of business owners.  She wants to use a PowerPoint presentation and hand-outs to enhance the  quality of her presentation. She is knowledgeable about insurance aspects, but  she lacks confidence in answering questions posed by the audience.  

Write an essay in which you address the following aspects: 

  • Differentiate between compulsory and non-compulsory insurance. 
  • Explain TWO types of compulsory insurance except COIDA.
  • Evaluate a PowerPoint presentation and hand-outs as visual aids that would  enhance her presentation. 
  • Suggest ways in which Ms Witbooi may respond to feedback in a professional  manner. [40]

QUESTION 9: BUSINESS ROLES  

The challenges that exist within the business environment often test the ethical  values and principles of organisations and business people. The manner in  which businesses conduct business should be professional, responsible and  ethical. Businesses must apply the King Code principles for good corporate  governance. 

With reference to the statement above: 

  • Differentiate between professional behaviour and ethical behaviour.
  • Explain how businesses should apply the King Code principles of  transparency and accountability to improve their corporate governance.
  • Suggest ways in which professional, responsible, ethical and effective  business practices should be conducted.
  • Recommend ways in which businesses may address abuse of work time and  pricing of goods in rural areas as unethical business practices. [40] 

QUESTION 10: BUSINESS OPERATIONS 

BLUE BAY FISHERIES (BBF) 

Blue Bay Fisheries recently appointed Samar as their production manager.  Samar was given an employment contract which included fringe benefits. The  management also prepared an induction programme for Samar. 

Keeping the scenario above in mind, write an essay on the following aspects: 

  • Outline the legal requirements of an employment contract.
  • Discuss the impact of fringe benefits on Blue Bay Fisheries.
  • Explain the purpose of induction as a human resources activity.
  • Advise businesses on the benefits of induction. [40]
    TOTAL SECTION C: 80
    GRAND TOTAL: 300

ACCOUNTING
GRADE 12 
NSC EXAMS PAST PAPERS AND MEMOS SEPTEMBER 2019
PREPARATORY EXAMINATIONS

INSTRUCTIONS AND INFORMATION 
Read the following instructions carefully and follow them precisely. 

  1. Answer ALL the questions. 
  2. A special ANSWER BOOK is provided in which to answer ALL the questions. 
  3. Show ALL workings to earn part-marks.
  4. You may use a non-programmable calculator. 
  5. You may use a dark pencil or blue/black ink to answer the questions. 
  6. Where applicable, show all calculations to ONE decimal point. 
  7. Write neatly and legibly.
  8. Use the table below as a guide when answering the question paper. Try  NOT to deviate from it.

QUESTION 1: 50 marks; 30 minutes

Topic of the question: 

This question integrates:

Debtors’ Age Analysis and Reconciliation

Financial accounting 

  • Debtors age analysis
  • Concepts
  • Bank Reconciliation 

Managing resources 

  • Internal control 

QUESTION 2: 35 marks; 20 minutes

Topic of the question: 

This question integrates:

Inventory Valuation

Managing resources 

  • Stock valuation methods
  • Inventory calculations
  • Internal Control

QUESTION 3: 45 marks; 25 minutes

Topic of the question: 

This question integrates:

Cost Accounting

Managerial accounting 

  • Production Cost Statement
  • Break-even point and cost analysis 

Managing resources 

  • Internal control 

QUESTION 4: 60 marks; 35 minutes

Topic of the question: 

This question integrates:

Companies: Financial Statements

Financial accounting 

  • Concepts
  • Statement of financial position (Balance sheet)

Managing Resources 

  • Ethics

QUESTION 5: 80 marks; 50 minutes

Topic of the question: 

This question integrates:

Companies: Cash flow and Interpretation

Financial accounting 

  • Cash flow statement
  • Interpretation of financial information

QUESTION 6: 30 marks; 20 minutes

Topic of the question: 

This question integrates:

Cash Budgets

Managerial accounting 

  • Calculations and interpretation of budgets

Managing resources 

  • Internal control 

QUESTIONS 

QUESTION 1: DEBTORS AGE-ANALYSIS AND BANK RECONCILIATION (50 marks; 30 minutes) 
1.1 DEBTORS AGE-ANALYSIS 
The owner of Jumbo Traders, Sumi, approached you for assistance in connection  with managing the debtors. 
REQUIRED: 
1.1.1 Explain how the Debtors’ Age Analysis can assist with the control over  debtors. Provide ONE point. (2) 
1.1.2 Calculate the average debtors’ collection period (in days) for the financial  year ended 31 August 2019. (5)

  • Comment on whether the business should be satisfied with this. (2) 

1.1.3 Refer to Information C: 
Identify TWO different problems revealed by the Debtors’ Age Analysis.  
Quote evidence and/or figures. In each case, provide advice to improve  the internal control relating to the problem identified.  (6)  

INFORMATION: 

  1. The balance of the debtors’ control was R19 800 on 1 September 2018.
  2. Total sales for the year amounted to R750 000.
    40% of sales are for cash and the rest on credit.
  3. Debtors’ age analysis on 31 August 2019 

Credit Policy:  Debtors are granted 30 days in which to settle their debts.

NAME

CREDIT LIMIT

TOTAL

CURRENT MONTH

30 DAYS

60 DAYS

60 DAYS+

B. Botha

R 8 000

R 6 000

R 6 000

     

C. Coma

30 000

32 000

11 574

R 3 000

R 3 710

R13 716

P. Pule

20 000

18 600

-

8 000

10 600

 

R. Rome

18 600

19 600

3 000

4 240

12 360

 
   

76 200

20 574

15 240

26 670

13 716

      27%  20%  35%  18%

1.2 BANK RECONCILIATION  
You are provided with information relating to Simms Traders for July 2019.
REQUIRED: 
1.2.1 Indicate whether the following statements are TRUE or FALSE. Write  only true or false next to the question number ((a)–(d)) in the ANSWER  BOOK. 

  1. A cheque that is more than six months old will not be cashed by the  bank because it is a stale cheque.
  2. Service fees and interest on bank overdraft will be recorded as bank  charges in the Cash Payments Journal. 
  3. A debit balance on the bank statement reflects an unfavourable  balance. 
  4. An internal auditor should inspect the bank reconciliation statement  at the end of each month. (4) 

1.2.2 Calculate the correct totals for the Cash Receipts Journal and the Cash  Payments Journal for July 2019. Use the tables provided. (14) 
1.2.3 Prepare the Bank Reconciliation Statement on 31 July 2019. (10) 
1.2.4 Explain how cheque no. 908 should be treated when preparing the  financial statements on 31 July 2019, the financial year-end. (2) 
1.2.5 Refer to information F.  
The bookkeeper has decided to write off the amount of R50 000. 

  • Identify the GAAP principle applied by the bookkeeper. (1)
  • Provide TWO suggestions on how a similar problem can be  prevented in the future. (4) 

INFORMATION: 

A. Bank reconciliation statement on 30 June 2019

 

Debit 

Credit

Balance as per Bank Statement 

R19 310

 

Outstanding deposit (10 May 2019) 

 

R50 000

Outstanding cheques:

   

No. 892 (1 January 2019) 

12 340

 

No. 897 (22 June 2019) 

8 700

 

Balance as per Bank Account 

9 650

 
 

50 000 

50 000

B. Before receiving the July 2019 Bank Statement, the following provisional  totals appeared in the Cash Journals for July 2019: 

  • CRJ R 127 670
  • CPJ R 68 900 

C. The Bank Statement for July 2019 reflected the following: 

  • Bank charges R1 300
  • Interest on overdraft R920 
  • Debit order for insurance R600 
  • Direct deposit of R1 800 for rent from a tenant. 

D. Cheque no. 892 was issued as a donation. It was not cashed. 
E. Cheque no. 897 did not appear in the July 2019 bank statement. 
F. The outstanding deposit (10 May 2019) cannot be traced and the cashier  at that time has since disappeared. It was decided to write off this amount. 
G. A cheque received from Redman Traders dated 25 November 2019 for  R15 000 was not recorded in the July 2019 Cash Receipts Journal. It was  also not deposited during July. 
H. The following items appear in the July 2019 Cash Journals but not on the  July Bank Statement: 

  • A deposit of R18 000, dated 27 July 2019 
  • Cheque No. 905, dated 31 July 2019
  • Cheque No. 908, R3 100, dated 15 December 2019 was issued to a  creditor D. Hart for supplying goods. 

I. The Bank Statement on 31 July 2019 reflects a credit balance of  R44 040. [50]
QUESTION 2: INVENTORY VALUATION (35 marks; 20 minutes) 
Omega Electronics is a business that sells televisions. The business is owned by Ching Lee. They make use of the WEIGHTED AVERAGE method for stock valuation and use  the periodic inventory system. The financial year ended on 28 February 2019. The  mark-up is 25% on cost. 
REQUIRED: 
2.1 Calculate the following on 28 February 2019: 
2.1.1 Value of the closing stock (10)
2.1.2 Gross profit for the year ended (5) 
2.2 The owner and the accountant disagree on the method of stock valuation.  The accountant wants to use the FIFO method. 
2.2.1 Calculate the stock value on 28 February 2019 using the FIFO method. (7)
2.2.2 Explain the effect on gross profit if the FIFO method is used. (2) 
2.2.3 As an internal auditor, explain the benefits of using the FIFO method to  the owner and the accountant. State TWO points. (4) 
2.3 Ching Lee feels that she was not able to achieve her targeted mark-up % for  2019.  

  • Do (or perform) a calculation to confirm whether she is correct. (3)
  • Provide TWO suggestions that can be implemented in order to improve  profitability. (4) 

INFORMATION: 
A. Stock of television sets:

Date 

Details 

Total

1 March 2018 

49 units 

R195 424

28 February 2019 

220 units 

?

B. Purchases and returns of television sets during the year. 

 

Number of units 

Total 

Purchases:

July 2018 

200 units @ R4 680 each 

R936 000

Oct 2018 

388 units @ R5 145 each 

1 996 260

Jan 2019 

200 units @ R5 512 each 

1 102 400

 

788 units in total 

4 034 660

Returns:

7 units from January 2019 purchases.

C. Sales for the year, R3 450 300. [35]

QUESTION 3: MANUFACTURING (45 marks; 25 minutes)
3.1 VUMA MANUFACTURERS 
You are provided with information relating to VUMA Manufacturers for the year  ended 28 February 2019. The business produces handbags.
REQUIRED: 
3.1.1 Prepare the following notes to the Production Cost Statement: 

  • Direct labour cost (6)
  • Factory overhead cost (10) 

3.1.2 Prepare the Production Cost Statement for the year ended  28 February 2019. (10)
INFORMATION: 
A. Stock on hand on 1 March 2018 

Raw Materials 

R138 000

Work in progress 

79 000

Finished goods 

68 000

B. Stock on hand on 28 February 2019: 

Raw Materials 

R142 000

Work in progress 

?

Finished goods 

172 000

C. Raw materials 

  • Raw materials purchased during the year amounted to R1 450 000.
  • Raw materials costing R19 000 were returned to the supplier. 

D. Labour 

  • The factory has five workers involved in production. Together they  worked a total of 800 hours per month at R50 per hour (normal time).  Only three workers worked 60 hours each per month for overtime  during the current financial year.  The overtime rate is 1½ times the normal rate.
  • The employer contributes 1% of normal wage to UIF for all employees.
  • Indirect labour amounts to R135 340 including benefits.

E. Figures obtained from the Trial Balance: 

Water and Electricity 

R77 000

Rent expense 

288 000

Depreciation on factory equipment 

18 900

Depreciation on office equipment 

5 300

Insurance 

108 000

Sundry expense 

84 000

Additional information relating to the above: 

  • The water and electricity bill are shared among factory, office and  sales departments in the ratio 4 : 2 : 1.
  • 75% of all sundry expenses relate to the factory.
  • Rent remained unchanged throughout the financial year. Rent is  allocated according to floor area occupied, as follows: 1 500 square  meters, 500 square meters and 400 square meters for factory, sales  and office departments respectively.
  • Insurance cost on equipment is split amongst factory, sales and  office as follows:
    • Factory R48 500
    • Sales 37 400 
    • Office 22 100 

3.2 JPC MANUFACTURERS 
The information relates to JPC Manufacturers consisting of two factories  producing different products: Suitcases and laptop bags. 
The owner, JP has found out that his profit has declined from 2018 to 2019. He  asks for advice.  
REQUIRED: 
3.2.1 Identify ONE variable cost that is not well controlled in each department. Quote figures. In each case, provide a solution for the problem identified. (8) 
3.2.2 Calculate the break-even point of suitcases for 2019. (4) 
3.2.3 Explain whether the business should be satisfied with the production of  suitcases. Quote figures. (3) 
3.2.4 JP wants to adjust the selling price of ONE of the products. What advice  would you offer him? Provide a valid reason for your suggestion by  quoting relevant figures. (4)
INFORMATION: 

  SUITCASES  LAPTOP BAGS 
  2019 2018 2019 2018

General information

       

Total fixed costs

R3 500 000

R3 500 000

R2 100 000

R2 100 000

Net profit/(loss)

(118 000)

1 050 000

1 692 000

1 932 000

         

Variable costs per unit

R242

R218

R92

R82

Direct material cost

R68

R70

R54

R40

Direct labour cost

R150

R130

R32

R32

Selling and distribution cost

R24

R18

R6

R10

         

Additional information

       

Selling price per unit charged by JP

R420

R400

R250

R250

Selling price per unit charged by competitors

R405

R405

R265

R260

         

Number of units produced and sold

19 000 units

25 000 units

24 000 units

24 000 units

Break-even units

? (see) 3.2.2

19 231 units

13 292 units

12 500 units

[45]

QUESTION 4: FINANCIAL STATEMENTS (60 marks; 35 minutes) 
4.1 Choose the correct description in COLUMN B to match the concept in  COLUMN A. Write only the letters (A–E) next to the question numbers  (4.1.1–4.1.5) in the ANSWER BOOK. 

COLUMN A 

COLUMN B

4.1.1 SAICA 
4.1.2 CIPC 
4.1.3 IFRS 
4.1.4 Internal auditor
4.1.5 External auditor 
4.2 CDJ LTD 
  1. Guidelines for preparation of financial  statements to ensure consistency 
  2. Appointed by the board of directors 
  3. Maintaining the integrity of the profession and  institute disciplinary action against those who  breach standards
  4. Expresses an unbiased opinion on the financial  statements of the company 
  5. Maintaining records and control of new/existing  companies

 (5 x 1) (5) 

4.2 CDJ LTD
The information relates to a public company with an authorised share capital of  1 500 000 ordinary shares. The financial year-ended 28 February 2019. 
REQUIRED:  
4.2.1 Complete the Retained Income Note to the Statement of Financial  Position (Balance Sheet). (12) 
4.2.2 Complete the Statement of Financial Position (Balance Sheet) on  28 February 2019. (35) 
4.2.3 At the annual general meeting, the board of directors proposed the  following TWO programmes:  

  • Programme 1 R1 500 000 to be allocated for staff training and  development initiatives during the next two financial  years. 
  • Programme 2 R1 000 000 to be spent on the upliftment of the  computer facilities at three local schools.  

Vic Pienaar, a young shareholder, was not pleased about this proposal.  He feels that greater dividends should be given to shareholders. 

  • Explain why the directors included these proposals in their directors  report. Provide TWO points. (4)
  • Provide a different benefit of each of the programmes proposed, to  the company. (4)

INFORMATION: 
A. Balances/Totals on 28 February 2019: 

 

Debit

Credit

Ordinary share capital (1 000 000 shares)

 

R4 200 000

Retained income (1 March 2018)

 

468 000

Loan: Central Bank

 

352 400

Fixed assets at cost

R4 919 040

 

Accumulated depreciation

 

201 520

Trading stock

255 340

 

Debtors’ Control

235 000

 

Provision for bad debts

 

4 000

Fixed deposit: King Bank

?

 

Bank

381 300

 

Creditors’ Control

 

22 000

SARS (income tax)

340 000

 

Insurance

23 520

 

Rent Income

 

34 600

B. Additionalinformation
(i) Share Capital: 

200 000 

Shares were in use at the beginning of the current  financial year.

600 000 

Additional shares were issued on 1 April 2018 at R3,90  per share.

200 000 

Additional shares were issued on 31 October 2018 at  R5 per share.

50 000 

On 28 February 2019, shares were bought back from the  estate of a diseased shareholder for R237 500. This  transaction has not yet been recorded.

(ii) Loan agreement with Central Bank: 

Opening balance of loan on 1 March 2018. 

R550 000

Repayment during the year, including interest 

197 600

Closing balance 

420 000

  • The interest on loan is capitalised. 
  • R150 000 of the loan will be paid in the next financial year.

(iii) Dividends: 

  • An interim dividend of 30 cents per share was paid on  31 August 2018.
  • A final dividend of 22 cents per share was declared on 28 February  2019 and must still be brought into account.

(iv) The following adjustments must be taken into consideration for the  drafting of the Balance Sheet only: 

  • The rent for February 2019 was not received yet. The space was  rented out since 1 December 2018.
  • An additional insurance policy on granite saws was taken out on  1 October 2018. The annual premium of R13 440 was paid. 
  • Consumable stores on hand, R1 580. 
  • A debtor owing R35 000 was declared insolvent. No entry was made.
  • The provision for bad debt must be adjusted to R6 000.
  • Audit fees of R9 000 are still outstanding on 28 February 2019. 

(v) Net profit and income tax: 
Income tax for the year was calculated at 30%. 
Net profit before tax is R1 085 600 after all adjustments above were  taken into account. [60]

QUESTION 5: CASH FLOW AND INTERPRETATION (80 marks; 50 minutes) 
The following information relates to Frankfurt Ltd that distributes perfumes to  retailers. The financial year ended on 31 August 2019. 
REQUIRED: 
5.1 Calculate the following concerning the cash flow statement: 
5.1.1 The cash generated from operations (15)
5.1.2 The cash flow from investing activities (10)
5.1.3 The cash flow from financing activities (7)
5.1.4 The net change in cash and cash equivalents (5) 
5.2 Calculate the following financial indicators for 2019: 

  • Acid test ratio (4)
  • Debt-equity ratio (4)
  • Net asset value per share (4)
  • Percentage return on total capital employed (8) 

5.3 It was a good decision for the directors to increase the loan. Explain by quoting  TWO financial indicators with figures to support the director’s decision. (6) 
5.4 One of the shareholders wants to sell his shares at 550 cents per share. Explain  why the business should not repurchase these shares. Quote TWO financial  indicators (with figures) to support your opinion. (4) 
5.5 Identify TWO major decisions taken by the directors, as evident from the Cash  Flow Statement. Quote figures. Explain how these decisions would benefit the  business in future. (8) 
5.6 Lee Jenkins owns 20 000 shares in the company. She is not satisfied with the  low dividends she obtained this year.  

  • Calculate the amount of dividends she obtained. (2)
  • Explain to her why you think the directors changed the dividend pay-out  policy this year. Quote figures. (3)

INFORMATION: 
A. Extract from the Income Statement on 31 August 2019: 

Depreciation

R950 000

Interest expense

144 150

Net profit before tax

1 230 000

Income tax

?

Net profit after tax

861 000

B. Extract from the Balance Sheet on 31 August: 

 

Note 

2019 

2018

Fixed assests at carrying value 

 

R3 616 400 

R2 300 000

Financial assets 

 

300 000 

712 500

Current assets 

 

1 231 050 

1 116 650

Inventories 

 

903 900 

1 044 700

Trade and other receivables 

See (iv)  

257 150

70 950

Cash and cash equivalents 

 

70 000 

1 000

Ordinary share capital 

  1 932 000 

2 000 000

Retained income 

 

1 413 800 

1 156 000

Loan 

 

1 622 000 

300 000

Bank overdraft 

   

62 000

Trade and other payables 

See (v) 

944 800

?

C. Additional information: 
(i) Ordinary share capital: 

1 000 000 

Shares in issue at beginning of year 

R2 000 000

200 000 

Additional shares issued on 30/11/2018 

520 000

280 000 

Shares repurchased on 31 May 2019 

(588 000)

920 000 

Issued shares on 31 August 2019 

1 932 000

(ii) Extract from Retained income: 

Repurchase of shares 

(R266 000)

(iii) Fixed assets 

  • Fixed assets were bought during the year for R? 
  • Fixed assets were sold during the year at book value, R225 000. 

(iv) Trade and other receivables:

 

2019 

2018

Net Trade debtors 

R208 150 

R70 000

Prepaid expenses 

950

SARS (Income tax) 

49 000

 

(v) Trade and other payables: 

 

2019 

2018

Trade creditors 

R944 800 

R860 700

Income received in advance 

28 300

SARS (Income tax) 

 

163 700

Shareholders for dividends 

193 200 

120 000

D. Financial indicators: 

 

2019 

2018

% Return on shareholder’s equity 

16,3%

Earnings per share 

80 cents 

56 cents

Dividends per share 

33 cents 

50 cents

% Return on total capital employed 

21,2%

Interest rate on loan 

15% 

14%

Net asset value per share (NAV) 

315,6 cents

Debt/equity ratio 

0,1 : 1

Market price per share 

380 cents 

360 cents

Current ratio 

1,6 : 1 

1,5 : 1

Acid-test ratio 

0,4 : 1

[80]

QUESTION 6: CASH BUDGET (30 marks; 20 minutes) 
You are provided with information relating to Stutt LTD. The financial year of the  business ended on 31 July 2019.  
REQUIRED: 
6.1 Provide ONE point why is it a good idea to compare actual figures against  budgeted figures. (2) 
6.2 Refer to the Cash Budget under Information D: 
Identify TWO items that were incorrectly entered in the Cash Budget (2)
6.3 Complete the Debtors Collection Schedule for July 2019. (7)
6.4 Calculate the following: 
6.4.1 Percentage increase in salary and wages with effect from July 2019. (3)
6.4.2 Missing figures, (i) and (ii), in the extract of the Cash Budget. (8) 
6.5 At the end of July 2019 you identified the following when comparing the  budgeted against the actual figures: 

  • Explain what you would mention to shareholders about each of the  following items at the end of July 2019.
  • In each case advise what effect these items will have on the company. (4) 
 

JULY 2019

 

BUDGETED 

ACTUAL

Audit fees 

75 000 

157 500

Advertising 

30 000 

0

6.6 Shareholders are thinking of purchasing the business premises rather than  renting it. 
Explain ONE advantage and ONE disadvantage of this option. (4)
INFORMATION: 
A. Sales, purchases of stock and cost of sales: 
Total sales for April 2019 to July 2019 were as follows:

Month 

Total sales

April 

R180 000

May 

300 000

June 

420 000

July 

480 000

  • 40% of all sales are cash, the rest is on credit. 
  • The mark-up is 60% on cost of sales at all times. 
  • Stock is replaced on monthly basis. 
  • 70% of all purchases are cash, the rest is on credit. 

B. Debtors’ collection: 
Debtors are expected to pay as follows: 

  • 30% are expected to pay their account in the month of sale (current) to  qualify for 2,5% discount for early payment. 
  • 50% pay in the month following the sales transaction month (30 days).
  • 18% pay in the second month (60 days). 
  • 2% are written off. 

C. Creditors’ payment: 
Creditors are paid in the month after purchases. 
D. STUTT LTD 
Extract from cash budget for June and July 2019 

 

JUNE 2019 

JULY 2019

RECEIPTS

   

Cash sales 

180 000 

210 000

Collection from debtors 

?

PAYMENTS

   

Directors fees 

300 000 

255 000

Audit fees 

75 000

Salary and wages 

135 000 

151 200

Funds for share buy-back 

450 000

Vehicles bought on credit 

285 000 

-

Payment to creditors 

53 438 

(i)

Cash purchase of stock 

183 700 

(ii)

Depreciation 

19 200 

19 200

Advertising 

30 000 

30 000

Land and buildings 

4 500 000

Rent expense 

46 125 

46 125

[30 ]

TOTAL: 300