A 9 marker business structure question is a type of business studies question that asks you to discuss or assess two different business structures. Business structures are the legal frameworks under which businesses operate. They can have a significant impact on a business’s operations, finances, and taxes.
When answering a 9 marker business structure question, it is important to:
- Identify the two business structures that mytravelmagazine.co.uk you are being asked to discuss or assess.
- Research the two business structures and identify their key advantages and disadvantages.
- Organize your thoughts and ideas into a logical structure.
- Write your answer in a clear and concise style.
- Proofread your answer carefully before submitting it.
Here are some examples of 9 marker business structure questions:
- Discuss the advantages and disadvantages of a sole proprietorship and a partnership as business structures.
- Assess the suitability of a limited company as a business structure for a new technology start-up.
- Compare and contrast the advantages and disadvantages of a private limited company and a public limited company.
To answer a 9 marker business structure question well, you should:
- Be specific and provide examples to support your points.
- Discuss the implications of the advantages and disadvantages of each business structure for the business.
- Avoid simply stating the advantages and disadvantages of each business structure.
- Use appropriate business terminology.
- Write in a clear and concise style.
Here is an example of a well-structured answer to a 9 marker business structure question:
Question:
Discuss the advantages and disadvantages of a sole proprietorship and a partnership as business structures.
Answer:
A sole proprietorship is a business owned and operated by one person. It is the simplest and most common form of business structure. A partnership is a business owned and operated by two or more people.
Advantages of a sole proprietorship:
- Easy to set up and operate: There are few formalities involved in setting up and operating a sole proprietorship.
- Full control: The sole proprietor has full control over the business.
- Retains all profits: The sole proprietor retains all profits from the business after paying taxes.
Disadvantages of a sole proprietorship:
- Unlimited liability: The sole proprietor is personally liable for all debts and liabilities of the business.
- Difficult to raise capital: It can be difficult for a sole proprietor to raise capital for the business.
- Limited management expertise: The sole proprietor may not have all of the management expertise needed to run the business successfully.
Advantages of a partnership:
- Easy to set up and operate: There are few formalities involved in setting up and operating a partnership.
- Shared resources and expertise: Partners can share resources and expertise, which can benefit the business.
- Greater access to capital: Partners can pool their resources to raise capital for the business.
Disadvantages of a partnership:
- Unlimited liability: Partners are personally liable for all debts and liabilities of the business.
- Potential for conflict: There is the potential for conflict between partners, which can damage the business.
- Difficult to dissolve: It can be difficult to dissolve a partnership, especially if the partners disagree on how to do so.
Conclusion:
Both sole proprietorships and partnerships have their own advantages and disadvantages. The best business structure for a particular business will depend on the specific circumstances of that business.
For example, a sole proprietorship may be the best business structure for a small business with a low risk profile. A partnership may be the best business structure for a small business with two or more owners who have complementary skills and expertise.
It is important to note that there is no one-size-fits-all answer to the question of which business structure is best. The best business structure for a particular business will depend on a variety of factors, including the size of the business, the industry in which the business operates, the risk profile of the business, and the ownership structure of the business.
