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EcoCar Question

Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA SBL Exams › EcoCar Question

  • This topic has 1 reply, 2 voices, and was last updated 8 years ago by Ken Garrett.
Viewing 2 posts - 1 through 2 (of 2 total)
  • Author
    Posts
  • October 30, 2016 at 9:24 am #346647
    Anonymous
    Inactive
    • Topics: 1
    • Replies: 0
    • ☆

    Dear Tutor,
    I am using the above question, in order to address my concerns on the reasonableness for some of the model answers given. In the above question, using the pestel model under the threats of the business, the comment was that there is a possibility that the CO2 will not be harmful to the environment in future and this will have adverse impact on the business, if not monitored.. I find some of the comments with no rational.. Are we making a comment on the basis that this maybe a possible threat, or are we suppose to make reasonable and sensible comments?. Further, the Eco Cars are more expensive, whereas they provide with significant savings per $ spend /km with regards to the conventional cars.Something like this was not addressed to the question. Also the company has significantly benefit from the grants and the policy of the government.that means it will benefit all other company’s that they will decide to enter the environmentally friendly market.With regards to outsourcing, the part in favour of outsourcing.. Why the selection was not made on the basis that Ecolife was the least profitable(given the contribution made). If we allocate the overheads this will be a loss making. Also, since there is no spare capacity(provided that only 112 hrs are utilised instead of 152 needed) to cover the demand, then outsourcing will deemed to be a good option.In any case, I found this course particularly subjective.. Maybe I am wrong, but trying to answer the question on a reasonable basis(i.e. applying the correct model) and answer through it, what it will be acceptable as an answer? This was commented as fairly easy and straight forward answer, however the rationale with the course is to apply judgement.. How is that possible with the answers given? The same apply in questions for substitute products. In an example given, due to the shortage in coffee, the sale of coffee has become more expensive and consumers turn to the purchase tea. Provided that I will be selling tea, the risk that I need to consider is the possibility that the coffee will not be in scarcity in the future and this will impact my sales. This is again purely subjective.. Consumers asking for coffee will definitely want turn to tea, no matter how expensive the price of the coffee will turn to be..How do I judge people’s tastes, how do I comment on them? Is this a belief is this a trend a style, or anything else?
    Thank you

    October 30, 2016 at 4:17 pm #346718
    Ken Garrett
    Keymaster
    • Topics: 10
    • Replies: 10589
    • ☆☆☆☆☆

    Sorry, I haven’t time nor interest to read all that.

  • Author
    Posts
Viewing 2 posts - 1 through 2 (of 2 total)
  • The topic ‘EcoCar Question’ is closed to new replies.

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