SACE Stage 2 Business Innovation study guide
SACE Stage 2 Business Innovation · Work through your exam, one topic at a time.
Business Innovation is a SACE Stage 2 subject (code 2BNV20, 20 credits) for students in their final year who want to understand how businesses are designed, sustained and transformed in a changing world. According to the SACE Board, Stage 2 students engage with complex, dynamic real-world problems, identifying, designing, testing, iterating and communicating viable business solutions. The subject builds on Stage 1 Business Innovation, where students consider start-up and existing businesses, digital and emerging technologies, and the responsibilities and impacts of business models on local and global communities. Assessment is split between school assessment (70%) and external assessment (30%); the SACE Board publishes a Subject Outline that sets out the assessment requirements in detail. Topics on this exam: School assessment and External assessment. The SACE Stage 2 Business Innovation study guide has 2 sections and about 804 words.
01School Assessment: The Business Model, the Business Plan and the Folio
School assessment in Business Innovation is built around a business model and a business plan that you develop, test and refine, supported by a folio of evidence. You must be able to name and apply the core components: the value proposition (what problem you solve and for whom), customer segments, channels, customer relationships, revenue streams, key resources, key activities, key partnerships and cost structure. You also need to explain how these components interact - a change in one forces changes elsewhere. For example, shifting from a direct-to-consumer channel to a retail partnership alters revenue streams, cost structure and customer relationships simultaneously.
406 words, about 2 min02External Assessment: Applying Concepts to Unfamiliar Business Scenarios
The external assessment tests whether you can apply business concepts to a business you have never seen, using stimulus material supplied in the examination. You will not be asked to recall your own business plan. Instead you will interpret a scenario - often including financial and market data - and make justified recommendations. You must be fluent in the concepts that recur: value proposition and competitive advantage, market segmentation and targeting, pricing strategies (cost-plus, penetration, skimming, competitive), marketing mix, break-even and contribution margin, cash flow versus profit, sources of finance (debt versus equity), operations and supply decisions, and risk management including SWOT analysis.
398 words, about 2 min