 
A2 Business Studies Course Overview
The A2 units build upon the AS units by considering more complex business scenarios and focusing on strategy, as opposed to tactics.
The transferable skills underpinning these A2 units include: carrying out calculations, interpreting data, making and presenting arguments, making and justifying business decisions, identifying problems and proposing solutions, recognising that a problem exists, conducting research and challenging assumptions.
Unit 3 focuses on larger businesses which may be trading in international markets, and how managers might measure the performance of the business. This unit considers functional strategies that larger businesses might want to adopt to achieve their objectives.
Unit 4 assesses the external factors that can act as catalysts for change, and considers these in relation to a range of businesses. This unit also examines the ways in which businesses can manage change successfully when responding to external stimuli.
Both A2 units are synoptic. You will be expected to draw upon your knowledge from ALL other units.
Unit 3 – Strategies for Success
Functional Objectives and Strategy
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Using Objectives and Strategies
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• functional objectives and their relationship with corporate objectives
• the relationship between functional objectives and strategies
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Financial Strategies and Accounts
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Understanding Financial Objectives
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• financial objectives
• assessing internal and external influences on financial objectives
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Using Financial Data to Measure and Assess Performance
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• analysing balance sheets
• analysing income statements
• using financial data for comparisons, trend analysis and decision making
• assessing strengths and weaknesses of financial data in judging performance
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Interpreting Published Accounts
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• conducting ratio analysis: the selection, calculation and interpretation of ratios to measure financial performance
• assessing the value and limitations of ratio analysis in measuring a business’s performance
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Selecting Financial Strategies
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• raising finance
• implementing profit centres
• cost minimisation
• allocating capital expenditure.
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Making Investment Decisions
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• conducting investment appraisal: selection of appropriate methods, calculation and interpretation of findings
• investment criteria
• assessing the risks and uncertainties of investment decisions
• evaluating quantitative and qualitative influences on investment decisions
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Marketing Strategies
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Understanding Marketing Objectives
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• marketing objectives
• assessing internal and external influences on marketing objectives
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Analysing Markets and Marketing
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• reasons for, and the value of, market analysis
• methods of analysing trends
• the use of information technology in analysing markets
• difficulties in analysing marketing data.
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Selecting Marketing Strategies
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• low cost versus differentiation
• market penetration
• product development and market development strategies
• diversification
• assessing effectiveness of marketing strategies.
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Developing and Implementing Marketing Plans
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• components of marketing plans
• assessing internal and external influences on marketing plans
• issues in implementing marketing plans.
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Operational Strategies
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Understanding Operational Objectives
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• operational objectives
• assessing internal and external influences on operational objectives.
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Operational Strategies: Scale and Resource Mix
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• choosing the right scale of production:
economies and diseconomies of scale
• choosing the optimal mix of resources: capital and labour intensity.
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Operational Strategies: Innovation
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• innovation, research and development
• purpose, costs, benefits and risks of innovation.
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Operational Strategies: Location
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• methods of making location decisions
• benefits of optimal location
• the advantages and disadvantages of multi-site locations
• issues relating to international location.
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Operational Strategies: Lean Production
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• the effective management of time
• assessing the value of critical path analysis
• the effective management of other resources through methods of lean production.
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Human Resource Strategies
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Understanding HR Objectives and Strategies
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• HR objectives
• assessing internal and external influences on HR objectives
• HR strategies.
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Developing and Implementing Workforce Plans
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• components of workforce plans
• assessing internal and external influences on workforce plans
• issues in implementing workforce plans
• the value of using workforce plans.
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Competitive Organisational Structures
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• factors determining choice of organisational
structures
• adapting organisational structures to improve competitiveness.
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Effective Employer/Employee Relations
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• choosing effective suppliers
• the role that suppliers play in improving
operational performance.
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Unit 4 – The Business Environment and Managing Change
Corporate Aims and Objectives
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Understanding Mission, Aims and Objectives
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• mission statements
• corporate aims and objectives
• corporate strategies
• differing stakeholder perspectives.
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Assessing Change in the Business Environment
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The Relationship between Businesses and the Economic Environment
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• assessing the effects of the following factors on business organisations:
– impact of economic factors
– trends in key economic variables
– globalisation of markets
– developments in emerging markets
• evaluating the strategies businesses might
deploy in response to these changes.
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The Relationship between Businesses and the Political and Legal Environment
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• assessing the effects of:
– government intervention in the economy
– government economic policies
– political decisions affecting trade and access to markets
– the impact of legislation relating to businesses
• evaluating responses of businesses to a
changing political and legal environment.
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The Relationship between Businesses and the Social Environment
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• assessing the effects of:
– changes in the social environment
– the changing nature of the ethical environment
• evaluating responses of businesses to a
changing social environment including corporate social responsibility.
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The Relationship between Businesses and the Technological Environment
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• assessing the effects of technological change
• evaluating the response of businesses to
technological change.
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The Relationship between Businesses and the Competitive Environment
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• assessing the effects of changes in competitive structure
• evaluating responses of businesses to a
changing competitive environment..
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Managing Change
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Internal Causes of Change
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• change in organisational size
• new owners/leaders
• poor business performance.
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Planning for Change
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• purpose of corporate plans
• assessing internal and external influences on corporate plans
• assessing the value of corporate plans.
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Key Influences on the Change Process:
Leadership
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• the meaning of leadership
• the range of leadership styles
• assessing internal and external factors
influencing leadership style
• the role of leadership in managing change
• assessing the importance of leadership.
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Key Influences on the Change Process:
Culture
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• types of organisational culture
• reasons for and problems of changing
organisational culture
• assessing the importance of organisational
culture.
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Making Strategic Decisions
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• the significance of information management
• the value of different approaches to decision making
• assessing influences
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Implementing and Managing Change
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• techniques to implement and manage change successfully
• assessing the factors that promote and resist change.
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