Question 1

What is NCEA AS 91867 about?

Accepted Answer

This standard asks you to understand how different business structures (like sole trader, partnership, company, co-operative, or trust) work in primary industries like farming or fishing, and to explain which structure best suits a particular business's goals and needs. You need to compare structures, explain their impacts, and justify why one works better than another.

Question 2

What do students need to do for AS 91867?

Accepted Answer

1. Pick a primary industry business and identify its current business structure (sole trader, partnership, limited company, co-operative, trust, etc.) 2. Compare that structure with at least one alternative structure the business could use instead 3. Explain how each structure would affect the business—covering things like ownership, decision-making, costs, and liability 4. Link the choice of structure to the business's strategic needs (such as succession planning, raising capital, or long-term goals) 5. For Merit and Excellence, recommend the most suitable structure and justify why it's the best choice, considering both short-term and long-term impacts

Question 3

What's the difference between Achieved, Merit, and Excellence for AS 91867?

Accepted Answer

Achieved: You explain how a chosen business structure meets a primary industry business's strategic needs, with a comparison to another structure and clear discussion of the impacts on the business. Merit: You provide a thorough explanation that includes a clear recommendation of which structure is most relevant, with solid reasoning for why it fits the business's strategic needs better. Excellence: You evaluate the business structure choice by weighing up both the short-term benefits and long-term consequences, showing sophisticated thinking about how the structure serves the business over time.

Question 4

What mistakes do students typically make in AS 91867?

Accepted Answer

1. Comparing structures without clearly linking them to the business's actual strategic needs—the connection between structure and goals must be explicit 2. Describing what different structures are without explaining how they would impact the business operationally or financially 3. Failing to compare with an alternative structure, or only mentioning one structure without genuine comparison

Primary industry business · AS 91867

261 students sat this in 2024 · 82% passed

Documents (5)

The standard itself

Bundles

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