DHS_H2_ECONS_P1

Name: Index Number: Class: DUNMAN HIGH SCHOOL Preliminary Examination Year 6 ECONOMICS 9757/01 (Higher 2) Paper 1 19 September 2018 2 hours 15 minutes Additional Materials: Writing Papers READ THESE INSTRUCTIONS FIRST Answer all questions. Write your name and class on all pieces of work handed in. Write in dark blue or black pen on both sides of the paper. You may use a soft pencil for any diagrams, graphs or rough working. Do not use staples, paper clips, highlighters, glue or correction fluid. The number of marks is given in brackets [ ] at the end of each question or part question. At the end of the examination, submit your answers to the two questions as two separate bundles. This document consists of 7 printed pages including this cover page. [Turn over

© DHS 2018 Answer all questions. Question 1: Vietnam and Samsung Electronics Figure 1: Samsung Electronics’ Total Operating Profits Source: Samsung Newsroom Extract 1: Samsung Electronics divestment and acquisition moves Samsung Electronics’ printer business will disa ppear in history. The company’s decision to sell its printing solution business division to U.S. based HP Inc., a printer and personal computer manufacturer, is part of its efforts to concentrate on its core business areas. In November the same year, Samsung Electronics announced a deal to buy U.S. car infotainment and audio company Harman. The deal could make Samsung a mainstay in the automotive electronics market, as it looks to diversify revenue. The market for automotive electronics is projected to grow to over $100 billion by 2025, according to Samsung. By acquiring Harman, Samsung should be able to gain solid footing in the automotive component business since Harman already has a large and established clientele network. Furthermore, analysts say Samsung has diversified its businesses from computer chips, flat screens and mobile phones to secure stability in its revenue streams. Sources: Samsung Newsroom, 12 September 2016 and Forbes, 16 November 2016 Extract 2: China anti-trust regulator questions Samsung about chip price fixing China's anti-trust regulator decided to have a talk with Samsung after receiving a slew of complaints from phone makers about price hikes in its memory chips, sources told the 21st Century Business Herald on Thursday. The National Development and Reform Commission (NDRC), China's anti-trust body for price- related enforcement, has interviewed Sams ung about the company's sixth consecutive quarterly hike in memory chip prices, but whether an anti-trust investigation will be initiated is still unknown. A scarcity in memory chips, widely used in phones and computers, has caused prices to jump since last year. As one of the world's largest chipmakers, Samsung's DRAM chips account for 48 percent of the global DRAM chip market, while its