How a large business responds to external factors

Practice

Recall it first, then use it — testing yourself builds the memory, where rereading the notes above only feels easier.

Recall and application shuffled together — you have to work out what each item wants before you can answer it, which is the part the exam actually tests. Both kinds feed the same spacing schedule, so anything you miss comes back sooner.

Say the answer out loud before flipping — that attempt is where the learning happens, even when you get it wrong.

Exam-style only. Instant feedback, shuffled each attempt, best score saved on this device.

What actually comes up

One task, four parts (a)–(d), every year, built around a real (or your own studied) large business. The same rotation of external factors recurs: technology, resource-management/privacy law, employment relations (a contract dispute or industrial action), and a social/demographic factor tied to tikanga, kaitiakitanga, or rangatiratanga. Every part (iii) is a Justify task, always naming at least two things to weigh against each other.

Across 4 years

The pattern — what to prepare

The 2025 paper ↗ Marking schedule ↗

Part (a) — Technology

Kōwhai Grove uses drones with sensors to monitor crop health, reducing its need for seasonal workers.

• a Using specific examples, explain ONE positive and ONE negative impact on a business when it invests in new technology. Merit

Part (b) — Resource management law

The drones help Kōwhai Grove monitor and reduce water use, supporting compliance with the Resource Management Act.

• b(i) Identify a business action and explain why it complies with laws about the management of resources. Achieved
• b(ii) Explain ONE positive and ONE negative impact on a business when it complies with laws about the management of resources. Merit
• b(iii) Justify whether complying with laws about the management of resources improves the business relationship with TWO key stakeholder groups. Excellence

Part (c) — Employment relations

Workers are unsettled by increasing technology use and unauthorised pay deductions for gear; the union is considering industrial action.

• c(i) Identify and explain a method of industrial action that may be taken by employees. Achieved
• c(ii) Explain ONE specific action that management could take in response to the stated industrial action. Merit

Part (d) — Societal expectations, rangatiratanga and kaitiakitanga

A large business (student's own choice) must demonstrate rangatiratanga or kaitiakitanga to meet society's expectations.

• d(i) Explain one potential challenge or cost a business might face when demonstrating rangatiratanga or kaitiakitanga to meet society's expectations. Achieved
• d(ii) Using TWO specific examples, explain how a business demonstrates rangatiratanga or kaitiakitanga to meet society's expectations. Merit
• d(iii) Justify, with TWO reasons, whether the benefits of demonstrating rangatiratanga or kaitiakitanga outweigh the costs involved. Excellence

The 2024 paper ↗ Marking schedule ↗

Part (a) — Economic factors (customs duties)

Customs duties on CeeGee's imported suits are rising to reflect inflation, in an already competitive, declining-sales market.

• a With reference to TWO specific business functions (e.g. marketing, sales, production, HR), explain how an increase in customs duties could impact the business. Merit

Part (b) — Societal expectations and a local supplier

A local manufacturer offers CeeGee's a more expensive, sustainably-made suit as an alternative to the imported brand.

• b(i) Explain why using a local manufacturer, rather than importing, would be an advantage in meeting societal expectations for the environment. Achieved
• b(ii) Explain, with TWO solutions, how a business could manage the increased costs of using a local manufacturer. Merit
• b(iii) Justify whether changing to a local manufacturer aligns with responsible business practice, considering the impact on at least TWO different stakeholders. Excellence

Part (c) — Employment relations and tikanga

A student employee complains about being underpaid compared to their contract; the owner always reviews contracts WITH employees before signing.

• c(i) Why is it important for the business owner to ensure that all employees have an employment contract? Achieved
• c(ii) How does creating a contract in consultation with the employee provide an opportunity for the business to practice tikanga? Merit

Part (d) — Demographic change

A younger clientele is asking CeeGee's for smart-casual wear rather than traditional suits.

• d(i) Identify a demographic change and explain why it may have an impact on sales. Achieved
• d(ii) Explain TWO actions a business could take to ensure economic sustainability when dealing with the demographic change. Merit
• d(iii) Justify, with TWO reasons, why one action would be better for the business to implement than the other. Excellence

The 2023 paper ↗ Marking schedule ↗

Part (a) — Technology and rising costs

Tohunga o waho has developed an online pre-departure course, amid rising living costs and changing household spending.

• a(i) Why would it be a benefit to a business to implement new technology such as educational online courses for its customers? Achieved

Part (b) — Economic factors and affordability

Households are prioritising spending on affordability, affecting family and school-fundraised course fees.

• b(i) Explain why a change in household spending habits would have an impact on business profitability. Achieved
• b(ii) Explain, with TWO solutions, how a business could make its services more affordable for households while maintaining service quality. Merit
• b(iii) Justify, with TWO reasons, why one solution would be better than the other for the business. Excellence

Part (c) — The Privacy Act

The business collects student data through its online course and outdoor programmes.

• c(i) Explain why the business you have studied should be aware of its obligations under the Privacy Act. Merit

Part (d) — Employer associations

General questions on the value of employer-association membership.

• d(i) Explain why it is a benefit to a business to belong to an employer association, and how membership may assist business operations. Achieved
• d(ii) Why is it a benefit to the community that businesses and employer associations have a code of ethics, and how could following this code affect business profitability? Merit

The 2022 paper ↗ Marking schedule ↗

Part (a) — Ethical practice

WLB Furniture, a home-office furniture manufacturer, pays its employees the living wage rather than the minimum wage.

• a(i) Explain why paying the living wage as opposed to the minimum wage is considered ethical. Achieved
• a(ii) Explain, with TWO examples, how operating ethically could impact business profitability. Merit

Part (b) — Social media

WLB Furniture has focused its advertising resources on social networking sites (Facebook, Twitter, Instagram) to reach potential new customers.

• b(i) Explain why the use of social networking sites could be an advantage to a business, and how it might impact the business in the future. Achieved
• b(ii) Explain why the use of social networking sites could be a disadvantage to a business, and how it might impact the business in the future. Merit
• b(iii) Justify, with TWO reasons, whether the use of social networking sites will have a positive impact on the long-term economic sustainability of the business. Excellence

Part (c) — Resource Management Act

WLB Furniture's factory operates late at night to meet demand; noise complaints from residential neighbours have reached the local council over breaches of the Resource Management Act.

• c(i) Explain why it is important for businesses to comply with the Resource Management Act when operating. Achieved
• c(ii) With reference to TWO specific business functions (e.g. marketing, sales, production, HR), explain how the requirement to comply with the Resource Management Act might impact the short-term profitability of the business. Merit

Part (d) — Government policy

A student-named large business responds to a chosen government policy (taxation, subsidies, bans on materials/processes, health and safety initiatives, incentives, or import duties).

• d(i) State a government policy that has impacted, or could impact, the named business. Achieved
• d(ii) Explain TWO possible actions the named business could take in response to this policy change, and how doing so would affect the business. Merit
• d(iii) Justify, with TWO reasons, which of these actions would be more effective for the business. Excellence

Grades above are read from each year's own Achievement/in-depth/comprehensive evidence, condensed to the actual task — the schedule reads each answer as a whole and grades holistically, not per bullet point.

Past exams & resources

⏱ Timed opens the paper and starts a countdown matching the exam length. Official NZQA PDFs. If a link 404s, that year’s paper may sit under a slightly different code: browse the NZQA subject page.