07 Identify and explain two reasons why the quality of chocolates might be important to this company. [4]

[BASEL Moderator]

Javid is a company that manufactures a range of luxury chocolates using batch production. Over the past year, profit has fallen due to increased competition. In order to cut costs, the Finance Director has suggested the company introduces new technology into the production process. The Human Resources Director is not sure that workers would benefit from the introduction of new technology.

07 Identify and explain two reasons why the quality of chocolates might be important to this company. [4]

Possible KN Points:
• helps establishes brand image/loyalty
• ensure sales
• maintain reputation
• maintain standards
• no need to replace faulty products
• Charge/maintain high prices
• Add value
• Must meet legal requirements