Question 1 Report
A software business plans to expand by selling its appointment-booking service to dental practices in three countries. The business will store more customer data and employ a new sales manager in each country. The owners want growth, but they also want to protect the business's reputation.
(a) Identify one stakeholder likely to be affected by this expansion. [1]
(b) Explain one reason why the business should invest in data security before expanding. [2]
(c) Explain one benefit of employing local sales managers in each new country. [3]
(a) Customers are one stakeholder affected by this expansion because the business will store more customer data. Employees, owners, dental practices and government would also be acceptable. [1]
(b) Expanding into three countries means storing more customer data, increasing the risk of data loss or misuse. A security failure could damage trust in the business and reduce future sales, so investment in security protects its reputation. [2]
(c) Local sales managers understand the language and business culture of their country. They can communicate more effectively with dental practices and adapt their sales approach to local expectations. This may help the business win contracts and increase sales in each new country. [3]
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