Question 1 Report
A startup that develops educational software is recruiting ten programmers. It can locate in a city with a university and many technology businesses, or in a coastal town where office rent is much lower. The city location has expensive accommodation, but the founder believes skilled people are more likely to live there. The business needs staff before it can start selling its product to schools.
(a) What type of employee is the startup seeking? [1]
(b) Identify one reason why the city may offer a larger pool of suitable workers. [1]
(c) Explain one way that a shortage of skilled workers could affect the business. [2]
(d) Which cost is likely to be lower in the coastal town? [1]
(a) The start-up is seeking programmers, also called software developers [1].
(b) The city may offer a larger pool of suitable workers because university graduates may be available there [1]. Existing technology businesses may also attract skilled people to the city.
(c) A shortage of skilled workers may mean that the business cannot recruit enough capable staff [1]. Product development could then be delayed, so sales to schools are also delayed [1].
(d) Office rent, or premises cost, is likely to be lower in the coastal town [1].
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