Business Studies and Economics

WHY SHOULD I STUDY BUSINESS STUDIES AND ECONOMICS?These subjects are very popular and are available at GCSE as well as AS and A level. They are valuable subjects for two reasons. Firstly they offer an insight into the world of work which all students enter eventually. Having some knowledge of business matters and the operation of the UK economy offers benefits to all irrespective of their future career intentions. Secondly the study of both subjects offers the opportunity to acquire important transferable study skills which will be applicable in other subjects. Analysing data, developing arguments, problem solving and decision making are just some of the skills you can acquire whilst studying Business Studies and Economics.

WHAT COURSES ARE AVAILABLE?

AS and A Level Business Studies (AQA)

AS and A Level Economics (OCR)

1. AS and A level Business Studies (AQA)

A level Business Studies is very popular at Saint Felix and nationally. Around 40 000 students each year take this subject and many of the students at Saint Felix who have studied it at A level progress to take a degree in Business Studies.

This A level builds on the work completed at GCSE, but you do not have to have studied GCSE to take this course. The A level is broken down into four units.

Unit One – Planning and Financing a Business. This is an introductory unit intended to give you an appreciation of the range of subjects included under the title ‘Business Studies’. You will be introduced to the notion of enterprise and looks at the activities of some well known entrepreneurs. Other topics to be studies will include business location, market research, the contents of a business plan, calculating profits and losses and managing cash. This unit is assessed through a case study in the form of an examination.

Unit Two – Managing a Business. This builds on the work completed in Unit One and considers how managers can improve the performance of a small or medium-sized business. This unit looks at how businesses measure their performance, apart from profits, through calculations such as capacity utilisation and unit costs. Thereafter it takes an active approach to examine how recruiting new staff, changing prices or advertising or using technology within the business might be used to enhance the business’s efficiency. This unit is assessed by an examination comprising two compulsory questions. Together these two units comprise the AS level course. This is a qualification in its own right, although most students continue to study the subject at A2 level to achieve a full A level in Business Studies. There are two A2 Units.

Unit Three – Strategies for Success. This unit looks at the operations of large-scale businesses and the long-term plans (strategies) that they can adopt to achieve success. Some of the strategies that will be assessed include moving to cheaper locations overseas (Eastern Europe or China), developing new innovative products (as Apple does), reducing costs to become very price competitive or using employees more flexibly. This unit involves interpreting data and carrying out calculations to analyse a business’s current performance to help identify weaknesses. This unit is assessed through a decision-making case study.

Unit Four – Managing Change. The final unit is in two parts. The first section considers the external and internal factors that can lead to change in an organisation. These changes could be economic (a recession, for example), social such as the large number of migrants from Eastern Europe entering the UK, political (a new government) or internal such as the business being taken over by a larger competitor. The second element of this unit examines how businesses manage change. You will consider the importance of leadership and study techniques such as project management that are designed to aid the management of change. This final unit is assessed through a piece of research and an essay.

2. AS and A level Economics (OCR)

Economics at A level is a fascinating subject that asks (and offers answers to) such critically important questions such as how can society use its resources to give the best possible standard of living for everyone? It considers what markets are and how they work and how they might be used to overcome many current global problems such as pollution and extreme poverty is less developed countries. Studying Economics will develop your analytical skills, your numerical skills and your ability to construct arguments and to make and support judgements.

This A level is divided into 4 Units.

Unit One – Markets in Action. This introductory unit looks at the choices faced by individuals and societies when making decisions on how to use resources. A major section of this unit explores how markets work and the potential benefits they can offer to governments, to businesses and to consumers. This is balanced by a consideration of why markets might not work – why after all do we have unemployment? If markets do not work this is called ‘market failure’ and this unit looks at the possible reasons for this and how government may react to this. This unit is assessed through an examination based on a case study.

Unit Two – The National and International Economy. The staring point of this unit is a consideration of the targets that the UK government pursues in its management of the economy. Its major targets will include low unemployment, price stability and steady economic growth. This might sound easy but it is in fact very difficult to achieve these goals simultaneously. This unit looks at the policies that the UK government might use to achieve these goals – interest rate change is an example of such a policy. The unit concludes by looking at the pattern of the UK’s trade with other countries and influences on it such as the value of the pound in terms of other currencies. Together these two units comprise the AS level course. This is a qualification in its own right, although most students continue to study the subject at A2 level to achieve a full A level in Economics Studies. There are two A2 Units.

Unit Three – The Economics of Work & Leisure. This unit focuses on concepts and theories that help Economists to understand the working of labour markets. It present leisure as the alternative to work and uses this distinction to highlight some of the issues facing employees and employers. The unit considers the structure of UK earnings and employment and influences on the labour markets such as trade unions, the government and the size and market power of businesses. The unit is assessed through an examination which is partly based on stimulus materials.

Unit Four – The Global Economy. This unit considers the causes and consequences of economic growth in developed economies such as the UK, regional groupings of countries such as the European Union, developing economies such as Vietnam and in the wider global economy. It will help you to understand the importance of trade to all economies and how the countries of the world are becoming more economically integrated through the process of globalisation.