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Why does a business motivate its staff?
People in Business is a core part of GCSE Business Studies. Revise the key concepts and common mistakes below, then lock them in with the free games.
Key concepts
RecruitmentAttracting candidates to apply for a job
SelectionChoosing the best applicant for the role
Internal recruitmentFilling a job from existing staff
External recruitmentHiring from outside the business
CVCurriculum vitae — summary of skills/experience
Assessment centreMulti-task day to test applicants
HierarchyLayers of authority within an organisation
Span of controlNumber of staff one manager directly oversees
DelayeringRemoving management layers to cut costs
RetentionKeeping good staff in the business
Labour turnover% of staff who leave in a period
EmpowermentGiving staff authority to make decisions
InductionTraining given to new staff in their first days
On-the-jobTraining done at the workplace by doing the job
What your exam board covers
Where People in Business sits in each exam board's specification. Tap a board to see what it lists.
OCRBusiness activitySpec J204
- The role of business enterprise and entrepreneurship
- Business planning
- Business ownership
- Business aims and objectives
- Stakeholders in business
- Business growth
Source: OCR GCSE (9–1) Business Studies (J204) specification, accessed 23 June 2026.
Cambridge IGCSEPeople in businessSpec 0450
- Motivating employees
- Organisation and management
- Recruitment, selection and training of employees
- Internal and external communication
Source: Cambridge IGCSE Business Studies (0450) syllabus, accessed 23 June 2026.
LLearn People in Business step by step
Free interactive mini-lessons: short screens, worked examples and quick checks. Pick your exam board:
Common mistakes to avoid
Questions where students often pick the tempting wrong answer — make sure you know the right one:
Why does a business motivate its staff?✗ Motivation has no effect on performance. ✓ Motivated staff are more productive and stay longer.
Theory Y managers believe staff are.✗ Lazy and avoid work ✓ Self-motivated and creative
Practise People in Business — free games
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