CUEGIS
MOST important part of assessment is your writing structure.
The 6 concepts have been incorporated into your Paper 2 exam, question C which is a 20 mark essay. Here you
will have to discuss two concepts in relation to a real world organization of your choice. Therefore, you must
understand the concepts and also have knowledge of real world examples and case studies. I will of course
provide some examples in lessons, but there is also further emphasis on you now, as the learner, to take the
initiative and keep up to date on the dynamic nature of business around you.
A key task will be to understand how different theories that you learn (content) fit into each applicable concept,
through a case study (context). In other words, you must be able to recognize and pick out relevant points made
considering the concepts, and discuss these based on syllabus content, supported by evidence from the context
of the case.
The CUEGIS Essay in short Paper 2 HL/SL, Section C
• The principal focus of questions in this section is on the concepts of change, culture, ethics, globalization,
innovation and strategy that underpin the business management course.
• While the principal focus for each question is on two of the concepts, students need to draw on their knowledge
of other relevant topics in the syllabus.
• There is no stimulus material provided for the questions.
• Students are required to address the question in relation to one real-world organization but may use
information from a range of sources, which may include real-world case studies examined in class and IA
research. The real-world organization that students use in their response must not be the case study
organization featured in paper 1.
• The response should consider the perspectives of individuals and societies upon which the real-world
organization impacts.
• Students answer one extended response question from a choice of three.
• Assessment objective level 3 (AO3) command terms is used in each question.
• Each question hence requires: knowledge and understanding (AO1); application and analysis (AO2); synthesis
and evaluation (AO3); and a variety of appropriate skills (real-world organization knowledge).
• Section C is worth a total of 20 marks. Marks are allocated using assessment criteria.
The meaning of the CUEGIS concepts
Change: reflecting the greater speed with which decisions need to be made and circumstances change in the
operating environment of most businesses.
Due to the conflicting forces, change must be managed within organisations if they are to move forward and
remain competitive. The relative strength of these forces determines whether the change should take place.
Force-field analysis is a popular management tool to aid this process. It acts as a framework for helping
managers to understand the pressures for and against any change. By identifying these forces, managers are
able to assess the effects that the forces may have. Managers can then plan to strengthen the forces supporting
a decision for change, and reduce the impacts of opposition to change.
Consider the following example. For generations, Kodak was synonymous with photography. Founded in 1889,
the company was one of the best-known brands of the twentieth century. However, with the rise of digital
cameras, the market for camera films (dominated by Kodak) died a pretty quick death. Kodak, however, ignored
the change, having expanded its global workforce and increased production of the old technology. By 2006 it
was selling an obsolete product, and in 2013 the company filed for bankruptcy protection.
Culture: appreciating that businesses need to align a broad spectrum of individual, collective and societal goals.
Culture is the values, beliefs and norms of an organisation, country or other social grouping. It shapes the
customs of people and how things get done. Culture-related questions relevant to the IB business management
course include: What are the cultural norms in your country regarding women’s rights in the workplace? What
does ‘equal opportunities’ mean in your country? How is this translated in the workplace? What does ‘inequality’
mean? How important is business etiquette in your country? What about in other countries?
Language is an integral part of culture. Even countries that share a common language (such as Australia and the
USA) have cultural differences embedded in their language.
Ethics: emphasizing the fact that the ethical considerations businesses face are substantial and near all
pervasive, instead of being peripheral and isolatable.
Ethics are the socially accepted moral principles that guide decision making, based on the collective belief of
what is right and what is wrong. The rather subjective nature of ethics means it is sometimes unclear what is
‘right’ or ‘wrong’, especially when looking at an issue from the perspective of various cultures. Consider the
examples below: Is it morally acceptable for a business to fabricate its financial accounts if this prevents mass
job losses?
Is it possible to ensure equity and equality in the workplace? Is it acceptable for a business to monitor the online
activities of employees, e.g. their e-mail correspondence? Can it ever be morally acceptable to take credit for the
work of others? Can acting unethically ever be ‘good’ for a business? Does acting ethically hinder the profitability
of an organisation?
Globalization: reflecting the interconnected patterns of production and consumption shaped by businesses and
affecting them.
Globalisation provides both opportunities and threats for businesses. Consider these examples: Globalisation
considerably increases the level of competition, such as Vodafone (UK) competing with mobile operator 3,
owned by Hutchison Telecom (Hong Kong). Meeting customer expectations and needs becomes increasingly
more demanding. To have any competitive advantage, businesses must meet the ever-greater
customer demands for quality, service, price and after-sales care. Businesses can strive to build a
global presence. Li Ka-Shing, a self-
made multibillionaire and Asia’s richest man, has a reported wealth of over $28.8 billion through the
diversity of his global businesses in the property, food, consumer electronics, telecommunications,
utilities and ports industries.
Multinational companies have greater choice of location of their production facilities. For example,
Apple chose to outsource production to China due to the relatively low costs of labour and land.
Mergers, acquisitions and joint ventures allow businesses to grow at a faster pace than if they were
to expand organically. For example, BMW’s joint venture with Brilliance China Automotive in 2003
gave the German car manufacturer direct access to the lucrative Chinese market. Multinational
companies and e-commerce businesses benefit from the increased customer base that globalisation
brings. With China and India embracing globalisation, there are huge opportunities for businesses
that trade with the two most populated countries in the world. Innovation: emphasizing the need for
businesses to renew themselves in the competitive, technologically advanced market place with
increasingly sophisticated customers.
Innovation in the corporate world can empower businesses and give them competitive advantages.
Many of the most economically successful businesses and countries are ones that have an innovative
corporate culture. Innovative entrepreneurs are those who come up with and commercialise new
ideas or reinvent (redefine) old ideas. In some cases, they even create new industries, such as
smartphones and tablet computers. In today’s highly unpredictable business world, innovation can
be an important strategy. Hence, the vast majority of large multinational companies are financially
committed to innovation.
Innovation can apply to all aspects of business activities, not just products. For example, innovation
is integral to kaizen. Management guru Michael Porter said that innovation is essential for the
prospects of a business and for the economic prosperity of a country. Innovation requires managers
to think creatively and more holistically about their entire business operations. For example, many
hotels and restaurants use customer feedback forms to improve their services. Schools often use
assessment data to measure student performance and to take appropriate actions for continuous
improvements to student learning.
Strategy: reflecting the importance of holistic long-term planning in an operating environment with
the above attributes.
Strategy is about devising plans to achieve an organisation’s long-term goals. There are three stages
to the strategic process.
Stage 1: Strategic analysis
Determining the current position of an organisation (where is the business now?) Most organisations
strive to anticipate the future needs of their stakeholders in order to be successful. Strategic analysis
is a thorough review of an organisation’s current situation. It is concerned with examining an
organisation’s vision, mission, aims and objectives. Strategic analysis is vital for the prosperity of a
business because managers can become too focused on current needs, so fail to see the future
direction of the organisation. It can help to provide a clear framework to aid decision making and this
can help to allocate resources more effectively. It can also involve, in form and inspire those affected
by the process.
Stage 2: Strategic choice
Determining the desired future of the organisation (where does the business want to be?) Strategic choice is
concerned with generating strategic options for the organisation so it can move on. It requires an assessment of
the financial costs and benefits of the available choices and a consideration of qualitative factors before selecting
the most appropriate strategy.
Stage 3: Strategic implementation
Determining how to get the organisation to where it wants to be (how does the business get there?) Strategic
implementation is about putting the strategic choice into practice and developing the strategy. Implementing
strategy usually involves change and change management. Effective leadership is at the heart of successful
change management and strategic implementation.
The CUEGIS concepts give you a framework or structure to apply your knowledge to different contexts. You
should become familiar with them and practise applying them to your learning.
How you work with CUEGIS during the course?
Paper 2, section C of the DP business management assessment is a conceptual extended response question.
You are asked to use two of the six concepts of change, culture, ethics, globalization, strategy and innovation to
discuss the situation and issues faced by real-life organization(s) you have studied during the course, making
use of business management tools, techniques and theories.Consequently, throughout the business
management course, you need to identify real-life organizations to which these concepts apply. For example,
you can identify organizations facing a period of significant change, cultural challenges, ethical dilemmas, issues
related to globalization, strategic decisions or innovation opportunities. Although the examination questions in
paper 2, section C will ask you to discuss only two of the concepts in the context of your chosen organization(s),
you should select organizations to which several of the concepts apply so that you have flexibility to apply your
knowledge in a way required by the specifics of your chosen examination question.
After selecting an organization, you then need to study the change, culture, ethics, globalization, strategy or
innovation aspects of the case holistically: what is going on in the organization with respect to, say, cultural
clashes or responses to globalization? Researching answers through concrete events or decisions is strongly
advisable. You should also think which business management tools, techniques or theories would help you to
understand the situation and issues facing the organization better, and use these to support your analysis.
Finally, you need to identify and examine what other perspectives on the case are possible, from the view point
of different stakeholders within and outside the organization.
Tips:
1. Provide a definition of the concepts and the business management content given in the question.
2. Make sure you consistently demonstrate a clear link between the title question and the contents of your essay.
3. Structure your essays using an introduction, body, and conclusion. There should be fit-for-purpose paragraphs
throughout the essay.
4. Use examples of real business organizations which are up to date and link these to the essay title question.
5. You can use the same organization in your IA or an Extended Essay. Have a few real-world organizations to
fall back on.
6. Before starting the essay take time to think about most appropriate organization and consider relevant aspects
of the content.
7. Avoid generic statements and make sure your arguments are substantiated with examples and evidence.
8. Make sure you fully understand the five assessment criteria.
9. Ensure you provide reasoned judgements in your arguments. Answer the why? And give lots of explanation.
10. Knowledge of and reference to the CEO is a good way to identify an individual’s perspective.
The hardest part of the response is the TRIANGULATION between concepts, content and your business. It is
recommended that you outline in full before you start your essay, to avoid ramble. The best responses start with
real examples from businesses that link the concepts and content.
How to write the CUEGIS essay?
Before you start your essay, it is worthwhile doing a quick plan. Simply having paragraphs in an essay does not
mean that your ideas flow well. Criterion D (structure) requires you to write “fit-for-purpose” paragraphs. This
means that you must write with clarity, with each paragraph clearly addressing the essay question.
To score maximum marks, you must have:
1.An introduction to the essay
2.A main body (with around 3 or 4 paragraphs)
3.A conclusion
4.Fit for purpose paragraphs (clear ideas that allow flow of arguments)
1. Introduction
· Define the concepts.
· Define the key terms/content
· Explain the business (some general background information)
2. Main body - 3 paragraphs ideal.
· Make your CLAIM or main point. Use examples /scenarios from the business that link the concept
and content.
· Relevant concept
· Relevant content
· STAKEHOLDERS (individuals or group)
· ANALYSIS (balanced) ...answer why to your claim triangulating all of your evidence. Give
advantages and disadvantages.
3. LINK
· Make sure you answer the question explicitly, justifying your answer based on the points made in
the main body.
· Summary of your main points.
· Final view (substantiated)
IBO examples of CUEGIS essay questions
·With reference to one or two organization(s) that you have studied, discuss how marketing
strategies may differ in two cultures that you are familiar with.
· With reference to one organization that you have studied, examine what changes globalization
brings about in the management of human resources.
· With reference to one organization you have studied, compare and contrast the importance of
innovation and ethics for Research and Development (R&D).
· With reference to one or two organizations that you have studied, evaluate different strategies
businesses can adopt to respond to issues of globalization.
· With reference to one organization that you have studied, discuss the importance of innovation and
of ethics in marketing.
BUSINESS EXAMPLES
Examples of Businesses you might choose:
·Emirates
·Amazon
·Uber
·Facebook
·Starbucks
·McDonalds
·KFC
You need to choose a business that has a range of issues that can exemplify the concepts required
and then be applied to a business function, such as Marketing, HRM, or Accounts and Finance.
