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EDEXCEL GCSE BUSINESS
STUDIES



Case study Guide











WebDesPix


Monday June 7th







Overview

CONTEXT ­ WebDesPix Ltd (WDP)
In 1999, three students (Tom, Dee and Ali) in the final year of their Computer Studies degrees at Bristol
University decided to start a business designing websites. The business was called…

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The initial capital of £8 000 was raised from the three families. Ali left the company after two years and
was bought out by Tom and Dee, who each now own 50% of the shares. They are planning to give
John shares in the company. It is company…

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Company policy to reinvest profits
Has bank overdraft
Never had a bank loan
4 Key objectives:
o Sustained growth 15% on turnover per annum
o Market all products online
o Increase use of ecommerce
o Continue trading in competitive web design market
Web Design is core business
Expanded…

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1. Business Activity and the changing environment

Types of organisations

Exam board says:

You must have an understanding of the different types of ownership and what would influence a
businesses choice of this o
wnership type.


Case study

We know from the case study that WDP is a…

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WDP is a web design business.

Customers ­ are largely located in the SW of Engalnd, but 25% of their income is from clients in
London they can charge them more money.
Employees ­ 2 part time, rest full time.
Suppliers possibly anyone they buy computer parts or…

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An understanding of how the changing business environment influences decisions on the location of a
business and how this may provide opportunities for, and impose constraints upon, the pursuit of
business objectives. An understanding that the relevant factors include production, competition in the
location, legislation regarding marketing/trading, availability…

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If interest rates go up then it will be more expensive to borrow money and be better to save money (you
will get a higher rate of interest on your savings). WDP does not have a bank loan, however they will be
charged interest on their overdraft. If…

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Technology is a big issue as this at the core of their business. Its is essential that you understand what
is meant by the following terms.

Ecommerce
Domain registrations: hosting
Search engine optimisation.

The intend to market all products online, think about the type of technology they would…

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study, but remember you could still get asked questions on other issues not yet flagged up in the case
study.

2.1 Internal organisation


Tom, Dee appear to manage the company and are majority share holders, each with 50%. The
organisational structure is quite flat as there are few…

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2.4 Training


One way to improve the quality of staff in any organisation is obviously to provide training.

Two different types of training:

On the job Off the job
Training in the workplace Training undertaken away from the job,
usually outside of the business.

Find some examples of…

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