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Unlock This CourseEvaluation and justification are the highest-level skills you'll need for your iGCSE Business exam. These skills separate good students from great ones! Think of evaluation as being like a judge - you need to weigh up evidence, consider different viewpoints and reach a balanced conclusion. Justification is about backing up your decisions with solid reasons and evidence.
In business, managers constantly evaluate options and justify their choices. Should we launch a new product? Which supplier should we choose? These decisions need careful evaluation of pros and cons, followed by clear justification of the final choice.
Key Definitions:
Evaluate: Make a judgement by weighing up evidence and arguments
Assess: Consider the importance and value of different factors
To what extent: How far do you agree with a statement?
Discuss: Present arguments for and against, then conclude
Recommend: Suggest the best option with clear reasons
Think of evaluation like building a case in court. You need to present evidence, consider opposing arguments and reach a verdict. The key is being balanced - acknowledging both sides whilst still reaching a clear conclusion.
Follow this proven framework to tackle any evaluation question:
Identify the key factors, stakeholders and options involved in the business situation.
Examine the advantages and disadvantages of each option. Consider short-term vs long-term impacts.
Weigh up which factors are most important. Consider the context and make a balanced judgement.
When Netflix decided to expand globally, they had to evaluate multiple factors: high setup costs vs potential revenue, different cultural preferences, competition from local providers and regulatory challenges. They justified their expansion by arguing that global scale would reduce content costs per subscriber and create competitive advantages. The evaluation showed that despite short-term losses, long-term benefits outweighed the risks.
Your arguments need structure and evidence. Think of each paragraph as a building block - it should have a clear point, supporting evidence and link to your overall conclusion.
Use this structure for each paragraph in evaluation answers:
Point: Make your main argument clearly
Evidence: Support with facts, figures, or examples
Explain: Show how the evidence supports your point
Link: Connect back to the question and your overall argument
Evidence is what transforms opinion into compelling argument. In business, this might include financial data, market research, case studies, or business theory. The key is choosing relevant evidence that directly supports your point.
Numbers, percentages, financial figures that provide measurable proof of your arguments.
Customer feedback, expert opinions, case studies that provide context and depth.
Business theories, models and concepts that provide framework for understanding.
Understanding typical business contexts helps you prepare for different types of evaluation questions. Each context has specific factors you should consider.
When evaluating business investments, consider these key factors:
Initial costs: How much money is needed upfront?
Payback period: How quickly will the investment pay for itself?
Risk level: What's the chance of losing money?
Return on investment: How much profit will it generate?
Tesla's decision to build massive battery factories required careful evaluation. The advantages included reduced battery costs, increased production capacity and supply chain control. Disadvantages included enormous upfront costs, technological risks and market uncertainty. Tesla justified the investment by arguing that scale would create competitive advantages and support their mission of accelerating sustainable transport adoption.
Business decisions affect different groups in different ways. Strong evaluation considers multiple stakeholder perspectives and weighs their relative importance.
Employees, managers, shareholders - those inside the business who are directly affected by decisions.
Customers, suppliers, local community - those outside the business but still impacted by its actions.
Different groups often want different things - part of evaluation is managing these competing interests.
Evaluation questions typically carry the highest marks in business exams. They test your ability to think like a business manager, weighing up complex decisions under uncertainty.
For a typical 12-mark evaluation question, spend your time wisely:
2 minutes: Read and plan your answer
12 minutes: Write your response
1 minute: Check and improve your conclusion
Remember: Roughly 1 minute per mark available
Learn from these typical errors that cost students marks in evaluation questions:
Only presenting advantages OR disadvantages rather than evaluating both sides fairly.
Ending with "it depends" without explaining what it depends on or making a clear judgement.
Ignoring the specific business situation and giving generic answers that could apply anywhere.
The best evaluation answers show sophisticated thinking by considering context. A strategy that works for a small local business might not work for a multinational corporation. A decision that makes sense in a growing market might be wrong in a declining one. Always consider the specific circumstances described in the question.
Evaluation skills improve with practice. Start by evaluating everyday decisions - which phone to buy, which university course to choose. Apply the same framework: identify options, analyse pros and cons, consider context, make a justified decision.
Remember, there's rarely one "correct" answer in business evaluation. What matters is the quality of your reasoning, the evidence you use and how well you justify your conclusions. Examiners are looking for thoughtful, balanced arguments that demonstrate real understanding of business concepts and their application to specific situations.