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Investigating exporting potential · Part 1 of 5
3 exam-style questions with model answers, plus 3 quick multi-choice questions — every question on this part of the standard, grouped by the 1 page of notes they come from.
Write a full answer before you reveal the model one. That comparison is where the learning happens.
Explain what exporting potential means, and explain why an investigation that establishes strong demand for a product in Japan, but says nothing about the New Zealand business itself, has not answered the question it set out to answer.
A student's plan for an investigation reads:
Fully explain TWO ways this plan will stop the student investigating exporting potential, and how each affects the conclusion they will be able to reach.
Two businesses have offered to work with you, and you can investigate only one.
Option A — Tasman Timber Toys (invented). Makes wooden toys in Motueka, sells through New Zealand toy shops and its own website, and has never exported. The owner is interested in Australia but has done nothing about it. She will meet you twice and answer questions.
Option B — Southern Sea Salt (invented). Harvests and packs salt in Marlborough and already sends about 40 per cent of its output to Australia through one Melbourne distributor. You would investigate whether it should grow that Australian business. The owner will give you full access to costs, freight documents and compliance records.
Evaluate which business you should investigate. Justify your recommendation, including any new information.