Mendez Bakery Co is a family-owned bakery chain based in Guadalajara, Mexico. It employs 45 people across five branches and has an annual revenue of $2.1 mi...

Assessment: Business Studies 0450 | Paper 1 Mock 01 | Short Answer and Data Response Subject: Business Studies - 0450

Question 1 Report

Mendez Bakery Co is a family-owned bakery chain based in Guadalajara, Mexico. It employs 45 people across five branches and has an annual revenue of $2.1 million. The business has just secured a location for a sixth branch and needs to appoint a new branch manager within eight weeks. The owner, Sofia Mendez, is unsure whether to promote an existing head baker into the role or to advertise the vacancy publicly. Two of the current head bakers have expressed strong interest in the promotion, but neither has formal management experience. Sofia is also aware that hiring someone from outside the business could bring fresh ideas about running a new branch in an unfamiliar part of the city.

(a) Define the term 'internal recruitment'. [2]

(b) Identify two methods of external recruitment Mendez Bakery Co could use to find a new branch manager. [4]

(c) Explain two advantages and two disadvantages of internal recruitment for Mendez Bakery Co. [8]

(d) Recommend whether Mendez Bakery Co should use internal or external recruitment to fill the branch manager vacancy. Justify your answer. [6]

Answer Details

(a) Define the term 'internal recruitment'. [2]

Internal recruitment is filling a job vacancy with someone who already works for the business [1 mark], for example by promoting or transferring an existing employee into the new role [1 mark].

(b) Identify two methods of external recruitment Mendez Bakery Co could use to find a new branch manager. [4]

  1. Job advertisement in local newspapers or online job sites [1 mark]: This would reach candidates outside the business who may have management experience [1 mark].
  2. Use of a recruitment/employment agency [1 mark]: An agency could pre-screen candidates with branch management experience, saving Sofia time in the shortlisting process [1 mark].

(c) Explain two advantages and two disadvantages of internal recruitment for Mendez Bakery Co. [8]

Advantages:

  1. Cheaper and quicker [1 mark]: No advertising or agency fees are needed, and the branch must open within eight weeks, so a faster process is valuable [1 mark].
  2. Known candidate [1 mark]: The head bakers' skills, work rate, and reliability are already known, reducing the risk of a poor appointment [1 mark].

Disadvantages:

  1. Limited pool of applicants [1 mark]: Promoting internally means a possibly better-qualified external candidate with proven management experience is missed [1 mark].
  2. Neither head baker has management experience [1 mark]: Training and support will be needed, which costs time and money that the business may not have in the eight-week window [1 mark].

Other valid points include: internal promotion motivates other staff; creates a vacancy for a head baker that must then be filled; may cause resentment among the head baker who is not promoted.

(d) Recommend whether Mendez Bakery Co should use internal or external recruitment to fill the branch manager vacancy. Justify your answer. [6]

For internal recruitment: The tight eight-week deadline favours promoting a known, loyal employee who already understands the company's products, culture, and standards. The head bakers have expressed strong interest, which suggests motivation. Sofia can provide management training alongside the transition.

For external recruitment: The new branch is in an unfamiliar part of the city, so proven management experience may be more important than product knowledge. Neither head baker has formal management experience, and the demanding role of opening a new branch from scratch carries significant risk if the manager is learning on the job.

Justified conclusion: Given the eight-week deadline and the small scale of the business (45 employees, five branches), internal recruitment is the more practical choice. Sofia should promote the stronger of the two head bakers and provide structured management training. However, she should acknowledge the limitation by pairing the new manager with mentoring support for the first few months to compensate for the lack of formal management experience.

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