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Candidates answer questions based on SP’s price discrimination and The Lido’s income statement, including market segment definitions, public sector context, margin calculation, stakeholder impacts, and evaluation of whether to close the loss-making pool. The second case, Katie’s Cakes, uses production methods, revenue proportions by filling, product portfolio decisions, demand and partnership definitions, and analysis plus evaluation of a recruitment job description.",{"@graph":63,"@context":119},[64,80,102],{"@type":65,"itemListElement":66},"BreadcrumbList",[67,71,74,77],{"item":68,"name":69,"@type":70,"position":9},"https://docshare.wps.com","Home","ListItem",{"item":72,"name":10,"@type":70,"position":73},"https://docshare.wps.com/template/",2,{"item":75,"name":46,"@type":70,"position":76},"https://docshare.wps.com/template/paper-templates/",3,{"item":78,"name":59,"@type":70,"position":79},"https://docshare.wps.com/template/business-960921-data-response-paper-2-octobernovember-2018/260537/",4,{"url":78,"name":59,"@type":81,"image":82,"author":87,"headline":59,"publisher":90,"fileFormat":93,"inLanguage":57,"description":61,"dateModified":94,"datePublished":95,"encodingFormat":93,"isAccessibleForFree":96,"interactionStatistic":97},"DigitalDocument",{"url":83,"@type":84,"width":85,"height":86},"https://docshare.wps.com/thumbnails/business-960921-data-response-paper-2-octobernovember-2018/260537.png","ImageObject",442,249,{"name":88,"@type":89},"Aldword","Person",{"url":68,"name":91,"@type":92},"DocShare","Organization","application/pdf","2026-10-08","2026-09-13",true,{"@type":98,"interactionType":99,"userInteractionCount":101},"InteractionCounter",{"@type":100},"ViewAction",8,{"@type":103,"mainEntity":104},"FAQPage",[105,111,115],{"name":106,"@type":107,"acceptedAnswer":108},"What business topics are tested in the Data Response Paper 2?","Question",{"text":109,"@type":110},"The paper assesses market segmentation, public vs private context, price discrimination, product portfolio decisions, and evaluation of employment recruitment materials.","Answer",{"name":112,"@type":107,"acceptedAnswer":113},"How is The Lido’s performance information used?",{"text":114,"@type":110},"An extract from The Lido’s income statement is provided, and candidates calculate gross profit margin and consider impacts of a loss on relevant stakeholders and decisions about closing the Lido.",{"name":116,"@type":107,"acceptedAnswer":117},"What additional decision is required in Katie’s Cakes case study?",{"text":118,"@type":110},"Candidates evaluate whether Katie and James should stop selling cakes with jam filling, including effects on revenue (using given proportions), product portfolio considerations, and analysis of job production plus assessment of the job description.","https://schema.org",{"og:url":78,"og:type":121,"og:title":59,"og:site_name":91,"og:description":61},"article",{"robots":123,"canonical":78},"index,follow",{"doc_id":125,"site_id":56},260537,1790800240,{"code":4,"msg":5,"data":128},{"doc_id":125,"user_id":129,"nickname":88,"user_avatar":130,"doc_module":9,"category_id":45,"category_name":46,"doc_title":59,"doc_description":61,"doc_content":131,"file_id":132,"file_url":133,"file_type":134,"file_size":135,"view_count":101,"is_deleted":4,"is_public":9,"is_downloadable":9,"audit_status":9,"page_count":79,"language":136,"language_code":57,"site_id":56,"html_lang":57,"table_of_contents":137,"faqs":138,"seo_title":139,"seo_description":61,"update_tm":140,"read_time":73},2336478940917,"https://ap-avatar.wpscdn.com/davatar_6f874abed73319feea01a86fa6f0fab8","Cambridge International Examinations  \nCambridge International Advanced Subsidiary and Advanced Level  \nBUSINESS 9609/21  \nPaper 2 Data Response October/November 2018  \n1 hour 30 minutes  \nNo Additional Materials are required.  \nREAD THESE INSTRUCTIONS FIRST  \nAn answer booklet is provided inside this question paper. You should follow the instructions on the front cover of the answer booklet. If you need additional answer paper ask the invigilator for a continuation booklet.  \nAnswer all questions.  \nThe businesses described in this paper are entirely fictitious.  \nThe number of marks is given in brackets [ ] at the end of each question or part question.  \nThis document consists of 3 printed pages, 1 blank page and 1 Insert.  \nDC (CE/SG) 152739/4 © UCLES 2018  \n[Turn over  \n2  \n1 Swimming Pools (SP)  \nSP is a public sector organisation. SP operates many swimming pools across country X. The main objective for SP is to provide a quality service to the local community. Each swimming pool is used by consumers from different market segments (see Table 1) .  \nTable 1: SP’s market segments  \n\n| Market segment | Time when pool is used by this segment |\n| --- | --- |\n| Schools which rent the pool for swimming lessons | Daytime |\n| Children for fun swimming | Weekends |\n| Adults for fitness swimming | Evenings |\n\nSP currently uses price discrimination. Most of the swimming pools have a steady demand throughout each week.  \nOne of SP’s swimming pools, The Lido, is currently making a loss. Table 2 shows the income statement for The Lido for the last 12 months.  \nTable 2: Extract from The Lido’s income statement ($000s)  \n\n| Revenue | 280 |\n| --- | --- |\n| Cost of sales | 210 |\n| Gross Profit | 70 |\n| SP Head Office allocated costs* | 40 |\n| Overhead expenses | 60 |\n| Profit/(loss) for the year | (30) |\n\n5  \n10  \n15  \n20  \n*Each of SP’s swimming pools must pay for some of the Head Office costs  \nThe Lido is based in an area with many schools that are under the control of the government. Unemployment in the area is high. The manager has reduced the price for customers who are under 18 years old or do not have a job.  \n(a) (i) Define the term ‘market segment’(line 3) . [2]  \n(ii) Briefly explain the term ‘public sector organisation’(line 1) . [3]  \n(b) (i) Calculate the gross profit margin (%) for The Lido. [3]  \n(ii) Explain how one stakeholder of SP might be affected by The Lido making a loss. [3]  \n(c) Analyse one advantage and one disadvantage to SP of using price discrimination. [8]  \n(d) Recommend whether SP should close The Lido. Justify your answer. [11]  \n© UCLES 2018 9609/21/O/N/18  \n3  \n2 Katie’s Cakes (KC)  \nKC is a partnership, owned by Katie and her son James. KC makes birthday cakes. Each cake is made using job production. A customer will tell KC what filling they want and how to decorate the cake. There are three possible fillings for each cake. The proportion of annual revenue made from cakes with each filling is shown in Fig. 1.  \nFig. 1: Proportion of revenue generated from each cake filling – Annual revenue = $1m  \nCream 37%  \nChocolate 53%  \nJam  \nKatie and James are considering stopping selling cakes with a jam filling. However they are concerned about reducing the product portfolio of the business.  \nKatie is highly skilled and she does all of the cake production and decoration. James manages contact with customers and the business’s finances. Demand has increased steadily in the past few months and KC now needs to recruit a new employee.  \nJames has created a job description to help the recruitment process (see Fig. 2) .  \nFig. 2: Job description  \n5  \n10  \nJob title: Assistant cake decorator  \nThe role requires someone who knows how to produce and decorate cakes. The employee should be young and have a driving licence. They should also be creative.  \nThe employee will be required to work from 8am to 6pm each day. Full training will be given. The rate of pay will be based on the level of experience of the employee.  \n","cbCaimdBMelnqu41","https://ap.wps.com/l/cbCaimdBMelnqu41","pdf",1858463,"English","# Swimming Pools (SP)\n## \n# Katie’s Cakes (KC)\n##","[{\"question\":\"What business topics are tested in the Data Response Paper 2?\",\"answer\":\"The paper assesses market segmentation, public vs private context, price discrimination, product portfolio decisions, and evaluation of employment recruitment materials.\"},{\"question\":\"How is The Lido’s performance information used?\",\"answer\":\"An extract from The Lido’s income statement is provided, and candidates calculate gross profit margin and consider impacts of a loss on relevant stakeholders and decisions about closing the Lido.\"},{\"question\":\"What additional decision is required in Katie’s Cakes case study?\",\"answer\":\"Candidates evaluate whether Katie and James should stop selling cakes with jam filling, including effects on revenue (using given proportions), product portfolio considerations, and analysis of job production plus assessment of the job description.\"}]","BUSINESS 9609/21 - Data Response Paper 2 October/November 2018 | PDF",1789343301]