Centre Number Candidate Number
Pearson Edexcel
Level 3 GCE
Business
Advanced
Paper 1: M
arketing, people and global
businesses
Monday 12 June 2017 – Afternoon Paper Reference
Time: 2 hours 9BS0/01
You do not need any other materials. Total Marks
Instructions
• Use black ink or ball-point pen.
• Fill in the boxes at the top of this page with your name,
centre number and candidate number.
• Answer allthequestions.
Answer
• – there may bequestions in the spaces provided
more space than you need.
Information
• The total mark for this paper is 100.
• T–heusemarks for each question are shown in brackets
this as a guide as to how much time to spend on each question.
• You may use a calculator.
Advice
• Read each question carefully before you start to answer it.
• Try to answer every question.
• Check your answers if you have time at the end.
, Answer ALL questions.
SECTION A
Read the following extracts (A to D) before answering Question 1.
Write your answers in the spaces provided.
Extract A
Annual growth in global air traffic passenger demand from 2005 to 2015
Air passenger numbers were forecast to be 3.5bn people in 2015 and 3.75bn people
in 2016.
2
, Extract B
Jet fuel prices
$4.50
$4.00
$3.50
$3.00
$2.50
Price per
gallon $2.00
$1.50
$1.00
$0.50
$0.00
05 06 07 08 09 10 11 12 13 14 15
Price at July of each year (2005–2015)
(Source: adapted from http://uk.businessinsider.com/cheap-oil-
is-having-an-impact-on-air-travel-2015-8?r=US&IR=T)
Extract C
Marketing strategies in the airline industry
Spirit Airlines is one of the fastest growing airlines in the USA. However, it brings little
to the new markets it serves. It operates fewer scheduled flights on existing routes in
markets that already have many competing airlines.
Spirit Airlines’ pricing strategy is not simply to undercut other airlines, but to offer a 5
radically different pricing structure. Whilst it offers lower fares, customers have less
legroom and there are additional charges for all extras, including luggage and boarding
pass printing. Spirit Airlines does not use travel agents; customers can only book online.
Emirates is one of the fastest growing airlines in the Middle East and Europe. It has always
been clear about its market positioning. Emirates has established itself by offering a 10
better product than many competitors, with a fantastic business class experience based
on high specification aircraft and exceptional customer service.
(Source: adapted from http://www.eyefortravel.com/revenue-and-data-
management/airline-pricing-and-high-growth-strategy-tactics)
3
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