PRODUCT MARKETS

Introduction and meaning of market

By the end of the lesson, the learner should be able to:

- Define market in different contexts and applications
-Distinguish between market as meeting place and geographical area
-Explain market as price/business rate concept
-Identify essential features of any market
-Analyze contact between sellers and buyers

- Brainstorming on different market meanings
-Discussion on market contexts and applications
-Analysis of market as meeting place vs area
-Group work on essential market features
-Case studies on seller-buyer contact

Textbook, market examples, charts

Trendy Business Studies Form 3 Pg 40

PRODUCT MARKETS

Essential features and product market definition
Types of product markets overview

By the end of the lesson, the learner should be able to:

- Identify presence of sellers and buyers
-Examine commodity for sale requirements
-Analyze acceptable medium of exchange
-Define product markets comprehensively
-Classify markets by area, commodity and scale

- Discussion on market features
-Analysis of seller-buyer requirements
-Case studies on exchange mediums
-Group work on product market definition
-Classification exercises on market types

Textbook, market scenarios, classification charts
Textbook, market structure charts, examples

Trendy Business Studies Form 3 Pg 40-41

PRODUCT MARKETS

Pure competition - sellers, buyers and products
Pure competition - restraints and factor mobility
Pure competition - costs and market knowledge
Perfect competition vs pure competition

By the end of the lesson, the learner should be able to:

- Explain many sellers and buyers concept
-Analyze individual seller/buyer market impact
-Define homogeneous products
-Examine product similarity requirements
-Discuss buyer preference absence

- Analyze absence of transport costs
-Examine complete market knowledge
-Discuss information availability
-Evaluate no excess demand/supply
-Assess barriers to entry/exit absence

- Discussion on many sellers/buyers
-Analysis of individual market impact
-Case studies on homogeneous products
-Group work on product similarity
-Examination of buyer indifference

- Discussion on transport cost absence
-Analysis of complete knowledge
-Case studies on information flow
-Group work on market equilibrium
-Examination of entry/exit freedom

Textbook, competition examples, product cases
Textbook, factor examples, mobility cases
Textbook, transport examples, information cases
Textbook, comparison charts, theory examples

Trendy Business Studies Form 3 Pg 41
Trendy Business Studies Form 3 Pg 42

PRODUCT MARKETS

Criticism of perfect competition
Monopoly definition and characteristics
Causes of monopoly - ownership and technical factors

By the end of the lesson, the learner should be able to:

- Analyze homogeneous product rarity
-Examine consumer variety preferences
-Discuss large-scale operation tendencies
-Evaluate firm location realities
-Assess government interference presence

- Discussion on perfect competition limitations
-Analysis of product variety needs
-Case studies on scale economies
-Group work on location factors
-Examination of government intervention

Textbook, criticism examples, reality cases
Textbook, monopoly examples, Figure 3.1
Textbook, ownership examples, capital cases

Trendy Business Studies Form 3 Pg 42-43

PRODUCT MARKETS

Causes of monopoly - market and business factors
Advantages and disadvantages of monopoly

By the end of the lesson, the learner should be able to:

- Analyze market size limitations
-Examine government restrictions
-Discuss firm merging effects
-Evaluate restrictive practices
-Assess business combination impacts

- Discussion on market size effects
-Analysis of government protection
-Case studies on firm mergers
-Group work on restrictive practices
-Examination of business combinations

Textbook, market examples, merger cases
Textbook, advantage/disadvantage examples

Trendy Business Studies Form 3 Pg 43-44

PRODUCT MARKETS

Monopolistic competition - definition and features
Monopolistic competition - product differentiation
Monopolistic competition - operations and interdependence
Oligopoly - definition and characteristics

By the end of the lesson, the learner should be able to:

- Define monopolistic competition
-Analyze competition-monopoly combination
-Examine many buyers and sellers
-Discuss similar but differentiated products
-Evaluate real-life market relevance

- Analyze free entry and exit
-Examine firm interdependence
-Discuss non-price competition
-Evaluate price setting considerations
-Assess competitive responses

- Discussion on monopolistic competition
-Analysis of market combination
-Case studies on buyers/sellers
-Group work on product differentiation
-Examination of real market examples

- Discussion on entry/exit freedom
-Analysis of firm interactions
-Case studies on non-price competition
-Group work on price setting
-Examination of competitive responses

Textbook, competition examples, Kenyan cases
Textbook, differentiation examples, brand cases
Textbook, operation examples, competition cases
Textbook, oligopoly examples, rivalry cases

Trendy Business Studies Form 3 Pg 45
Trendy Business Studies Form 3 Pg 46

PRODUCT MARKETS

Oligopoly features - market control and products
Oligopoly - collusion and kinked demand curve
Kinked demand curve analysis

By the end of the lesson, the learner should be able to:

- Analyze market share control
-Examine pricing and output interdependence
-Distinguish differentiated vs pure oligopoly
-Discuss product homogeneity/differentiation
-Evaluate substitute relationships

- Discussion on market control
-Analysis of interdependence effects
-Case studies on oligopoly types
-Group work on product characteristics
-Examination of sugar market example

Textbook, control examples, sugar market cases
Textbook, collusion examples, Figure 3.2, graph papers
Textbook, price examples, elasticity cases

Trendy Business Studies Form 3 Pg 47

PRODUCT MARKETS

Pertinent issues - monopoly insensitivity and hoarding
Pertinent issues - government protection and liberalization

By the end of the lesson, the learner should be able to:

- Analyze customer insensitivity problems
-Examine impersonal service attitudes
-Discuss hoarding and overcharging
-Evaluate artificial shortage creation
-Assess "take it or leave it" mentality

- Discussion on monopoly problems
-Analysis of customer treatment
-Case studies on hoarding practices
-Group work on artificial shortages
-Examination of service attitudes

Textbook, monopoly cases, hoarding examples
Textbook, protection examples, liberalization cases

Trendy Business Studies Form 3 Pg 48-49

PRODUCT MARKETS

Pertinent issues - cartels and overcharging
Pertinent issues - business integrity and honest practices
Pertinent issues - product differentiation and advertising
Learning activities - market identification

By the end of the lesson, the learner should be able to:

- Identify cartel operations
-Analyze matatu operator examples
-Examine petroleum product sellers
-Discuss disproportionate price increases
-Evaluate new entrant prevention

- Analyze differentiation problems
-Examine customer retention strategies
-Discuss misleading advertisements
-Evaluate false information problems
-Assess honest advertising practices

- Discussion on cartel practices
-Analysis of matatu operations
-Case studies on petroleum cartels
-Group work on pricing patterns
-Examination of market barriers

- Discussion on differentiation issues
-Analysis of advertising problems
-Case studies on misleading ads
-Group work on honest advertising
-Examination of ethical marketing

Textbook, cartel examples, matatu cases, petroleum industry
Textbook, integrity examples, ethical cases
Textbook, advertising examples, marketing cases
Market visit guides, observation sheets

Trendy Business Studies Form 3 Pg 49

PRODUCT MARKETS
CHAIN OF DISTRIBUTION
CHAIN OF DISTRIBUTION

Learning activities - trader interviews
Meaning of distribution and process
Classification of intermediaries - merchant vs agent traders

By the end of the lesson, the learner should be able to:

- Interview local traders
-Determine trader market types
-Analyze business operations
-Examine pricing strategies
-Assess customer relations

- Trader interview activities
-Data collection exercises
-Analysis of business practices
-Group work on findings
-Examination of market behavior

Interview guides, data collection sheets
Textbook, distribution examples, packaging materials
Textbook, trader examples, classification charts

Trendy Business Studies Form 3 Pg 50

CHAIN OF DISTRIBUTION

Merchant traders - export/import merchants and stockist distributors
Agent traders - commission agents, factors and auctioneers

By the end of the lesson, the learner should be able to:

- Analyze export merchants and their operations
-Examine import merchants and direct importers
-Discuss stockist distributors and specialization
-Evaluate merchant traders' market assistance
-Analyze skilled staff employment by stockists
-Examine after-sale services provision

- Discussion on export/import operations
-Analysis of merchant trader functions
-Case studies on stockist specialization
-Group work on market assistance
-Examination of after-sale services
-Practical examples of merchant operations

Textbook, import/export examples, stockist cases
Textbook, Figure 4.1, agent examples

Trendy Business Studies Form 3 Pg 43

CHAIN OF DISTRIBUTION

Non-trading agents - brokers, clearing agents and warehouse keepers
Role of intermediaries and channels of distribution

By the end of the lesson, the learner should be able to:

- Define brokers and their connecting functions
-Analyze export and import broker operations
-Examine clearing and forwarding agents
-Discuss warehouse keepers and storage services
-Analyze brokerage and demurrage fees
-Evaluate lien rights of agents

- Discussion on broker functions
-Analysis of clearing agent services
-Case studies on warehousing operations
-Group work on fee structures
-Examination of lien rights
-Practical examples of non-trading agents

Textbook, broker examples, warehouse cases
Textbook, Figure 4.2, chain examples

Trendy Business Studies Form 3 Pg 44-45

CHAIN OF DISTRIBUTION

Channel levels - zero, one, two and three level channels
Four-level channels and product distribution patterns
Choosing distribution channels - cost, availability and business factors
Product nature and market development factors
Financial strength, reputation and competitive factors

By the end of the lesson, the learner should be able to:

- Define channel levels and intermediary numbers
-Analyze zero-level direct marketing
-Examine one-level channels and Bata example
-Discuss two-level consumer goods channels
-Analyze three-level intermediary chains
-Evaluate channel level selection factors

- Analyze factors in channel selection
-Examine cost considerations in channel choice
-Discuss availability of distribution channels
-Evaluate business objectives and policies
-Analyze unique product presentation needs
-Examine relationship between policies and channels

- Discussion on channel level concepts
-Analysis of Figures 4.3, 4.4, 4.5, 4.6
-Case studies on Bata Shoe Company
-Group work on level comparisons
-Examination of consumer goods distribution
-Practical examples of all channel levels

- Discussion on channel selection factors
-Analysis of cost-benefit considerations
-Case studies on channel availability
-Group work on business objectives
-Examination of policy alignment
-Practical examples of channel choice

Textbook, Figures 4.3-4.6, Bata examples
Textbook, Figures 4.7-4.9, product examples
Textbook, channel selection examples
Textbook, product examples, market cases
Textbook, financial examples, competitive cases

Trendy Business Studies Form 3 Pg 46-47
Trendy Business Studies Form 3 Pg 48-49

CHAIN OF DISTRIBUTION

Choice of specific intermediary within channels
Pertinent issues - HIV/AIDS prevalence and fatigue problems

By the end of the lesson, the learner should be able to:

- Analyze extent of coverage requirements
-Examine continuity guarantee importance
-Discuss intermediary reputation factors
-Evaluate other products handled
-Analyze effectiveness and reliability
-Examine credibility and trading standards

- Discussion on intermediary selection
-Analysis of coverage requirements
-Case studies on reputation factors
-Group work on effectiveness measures
-Examination of reliability factors
-Practical examples of selection criteria

Textbook, intermediary examples, selection cases
Textbook, health examples, safety cases

Trendy Business Studies Form 3 Pg 51

CHAIN OF DISTRIBUTION

Child labor and environmental degradation issues
Bribery, corruption and ethical business practices

By the end of the lesson, the learner should be able to:

- Analyze child labor temptations in distribution
-Examine under-age employment illegality
-Discuss children's rights violations
-Analyze environmental degradation from trucks
-Examine pollution from distribution activities
-Evaluate proper worker employment practices

- Discussion on child labor issues
-Analysis of rights violations
-Case studies on environmental damage
-Group work on pollution prevention
-Examination of proper employment
-Practical examples of responsible practices

Textbook, child labor examples, environmental cases
Textbook, corruption examples, ethical cases

Trendy Business Studies Form 3 Pg 52

CHAIN OF DISTRIBUTION
NATIONAL INCOME
NATIONAL INCOME

Learning activities, research and assessment
Meaning of national income and basic concepts
GDP, NDP and GNP definitions
NNP, NNI and per capita income
Circular flow of income - two-sector economy

By the end of the lesson, the learner should be able to:

- Conduct field research on local distributors
-Identify distributor types in local area
-Interview distributors about operations
-Organize debate on distributor necessity
-Analyze distribution challenges
-Evaluate distribution effectiveness and importance

- Define Net National Product and depreciation
-Analyze NNP formula and capital consumption
-Examine Net National Income at factor cost
-Discuss subsidies and indirect taxes
-Define per capita income calculation
-Analyze average income per head concept

- Field research activities
-Distributor identification exercises
-Interview local distributors
-Debate organization and participation
-Analysis of distribution value
-Comprehensive assessment activities

- Discussion on NNP and depreciation
-Analysis of capital consumption
-Case studies on NNI calculation
-Group work on per capita income
-Examination of tax and subsidy effects
-Practical calculations of income measures

Research guides, interview forms, debate materials, assessment tools
Textbook, Figure 5.1, income examples
Textbook, production examples, calculation sheets
Textbook, calculators, formula sheets
Textbook, Figure 5.2, flow diagrams

Trendy Business Studies Form 3 Pg 52-53
Trendy Business Studies Form 3 Pg 56

NATIONAL INCOME

Four-sector closed economy circular flow
Open economy and injections/withdrawals

By the end of the lesson, the learner should be able to:

- Analyze Figure 5.3 four-sector model
-Examine government and financial sectors
-Discuss tax payments and government services
-Analyze savings and investment flows
-Examine commercial bank roles
-Evaluate four-sector assumptions

- Discussion on four-sector complexity
-Analysis of Figure 5.3 comprehensive study
-Case studies on government intervention
-Group work on financial sector roles
-Examination of savings-investment link
-Practical examples of four-sector flow

Textbook, Figure 5.3, sector examples
Textbook, Figure 5.4, equilibrium examples

Trendy Business Studies Form 3 Pg 57-58

NATIONAL INCOME

Methods of measuring national income - income approach
Problems of income approach and output approach

By the end of the lesson, the learner should be able to:

- Analyze three approaches to measurement
-Examine income approach comprehensively
-Discuss factors of production incomes
-Analyze wages, rent, interest, and profit
-Examine transfer payments exclusion
-Evaluate foreign income considerations

- Discussion on measurement approaches
-Analysis of income approach details
-Case studies on factor incomes
-Group work on transfer payment exclusion
-Examination of foreign income issues
-Practical examples of income calculation

Textbook, income examples, calculation sheets
Textbook, Example 5.1, calculation sheets

Trendy Business Studies Form 3 Pg 59-60

NATIONAL INCOME

Output approach problems and expenditure approach
Problems in measuring national income
Additional measurement problems
Per capita income and economic welfare
International comparison problems

By the end of the lesson, the learner should be able to:

- Analyze output approach problems
-Examine double counting and subsistence issues
-Discuss depreciation estimation difficulties
-Define expenditure approach methodology
-Analyze GNE formula C+I+G+X-M
-Examine market price vs factor cost

- Define economic welfare concept
-Analyze per capita income as welfare measure
-Examine limitations of per capita income
-Discuss statistical problems
-Analyze money value change effects
-Evaluate international comparison difficulties

- Discussion on output approach problems
-Analysis of estimation difficulties
-Case studies on depreciation calculation
-Group work on expenditure components
-Examination of GNE formula application
-Practical examples of expenditure calculation

- Discussion on economic welfare
-Analysis of per capita limitations
-Case studies on statistical problems
-Group work on comparison difficulties
-Examination of welfare measurement
-Practical examples of welfare indicators

Textbook, expenditure examples, formula sheets
Textbook, Figure 5.5, measurement examples
Textbook, Figure 5.6, valuation examples
Textbook, welfare examples, comparison charts
Textbook, international examples, comparison cases

Trendy Business Studies Form 3 Pg 62-63
Trendy Business Studies Form 3 Pg 65-66

NATIONAL INCOME

Uses of national income statistics
Factors influencing national income level

By the end of the lesson, the learner should be able to:

- Analyze economic growth measurement
-Examine planning purposes applications
-Discuss Table 5.1 Kenya statistics
-Evaluate standard of living measurement
-Analyze investment decision basis
-Examine intercountry comparisons

- Discussion on statistics applications
-Analysis of Table 5.1 Kenya data
-Case studies on planning uses
-Group work on investment decisions
-Examination of growth measurement
-Practical examples of statistics use

Textbook, Table 5.1, statistics examples
Textbook, factor examples, level cases

Trendy Business Studies Form 3 Pg 68-69

POPULATION AND EMPLOYMENT

Introduction to population and sources of data
Sample surveys and registration methods

By the end of the lesson, the learner should be able to:

- Define population from Latin 'populus' meaning people
-Analyze population as total inhabitants of given area
-Define demography as study of population
-Examine population census methodology
-Analyze Kenya's census history (1969, 1979, 1989, 1999, 2009)
-Discuss enumerator roles and data collection

- Discussion on population definition
-Analysis of demographic importance
-Case studies on Kenya's census history
-Group work on enumeration process
-Examination of data collection methods
-Practical examples of population counting

Textbook, census examples, demographic data
Textbook, survey examples, registration cases

Trendy Business Studies Form 3 Pg 71-72

POPULATION AND EMPLOYMENT

Basic population concepts - fertility and birth rates
Mortality rates and migration concepts
Population growth rates and African comparisons
Overpopulation - definition and advantages
Disadvantages of overpopulation

By the end of the lesson, the learner should be able to:

- Define fertility rate comprehensively
-Analyze general fertility rate formula
-Examine Example 6.1 fertility calculation
-Define birth rate and crude birth rate
-Analyze factors affecting birth rates
-Examine marriage, ignorance, and cultural factors

- Define overpopulation comprehensively
-Analyze population explosion concept
-Examine factors leading to overpopulation
-Discuss advantages: large markets, labor availability
-Analyze investment expansion benefits
-Examine resource utilization improvements

- Discussion on fertility concepts
-Analysis of Example 6.1 calculations
-Case studies on birth rate factors
-Group work on cultural influences
-Examination of marriage effects
-Practical fertility rate calculations

- Discussion on overpopulation definition
-Analysis of population explosion factors
-Case studies on market advantages
-Group work on labor availability
-Examination of investment benefits
-Practical examples of resource utilization

Textbook, Example 6.1, calculators, formula sheets
Textbook, Figure 6.1, Example 6.2, calculators
Textbook, Table 6.1, calculators, comparison charts
Textbook, overpopulation examples, advantage cases
Textbook, migration examples, shortage cases

Trendy Business Studies Form 3 Pg 73-74
Trendy Business Studies Form 3 Pg 76-77

POPULATION AND EMPLOYMENT

Under-population and declining population
Optimum population and dependency concepts

By the end of the lesson, the learner should be able to:

- Define under-population characteristics
-Analyze small market disadvantages
-Examine under-utilization of resources
-Define declining population concept
-Analyze advantages of declining population
-Examine disadvantages including labor shortfalls

- Discussion on under-population problems
-Analysis of resource under-utilization
-Case studies on declining populations
-Group work on developed country trends
-Examination of labor shortfall effects
-Practical examples of population decline

Textbook, under-population examples, decline cases
Textbook, Figure 6.3, dependency examples

Trendy Business Studies Form 3 Pg 78-79

POPULATION AND EMPLOYMENT

Ageing and young populations
Population structure and Kenya's demographics

By the end of the lesson, the learner should be able to:

- Define ageing population characteristics
-Analyze disadvantages of ageing populations
-Examine pension and healthcare burdens
-Define young population concept
-Analyze challenges of young populations
-Examine dependency and unemployment issues

- Discussion on ageing population problems
-Analysis of pension burden effects
-Case studies on young population challenges
-Group work on dependency issues
-Examination of unemployment effects
-Practical examples of age structure impacts

Textbook, ageing examples, youth cases
Textbook, Tables 6.2 and 6.3, demographic data

Trendy Business Studies Form 3 Pg 80-81

POPULATION AND EMPLOYMENT

Population pyramids and international comparisons
Economic growth vs development and population effects
Population effects on technology, land, and labor
Population control methods and employment concepts
Unemployment types and causes

By the end of the lesson, the learner should be able to:

- Analyze Figures 6.4 and 6.5 population pyramids
-Compare developing vs developed country structures
-Examine bloated bottom vs middle characteristics
-Discuss workforce distribution patterns
-Analyze ageing population indicators
-Evaluate structural implications for development

- Analyze population control methods
-Examine family planning importance
-Discuss education and employment strategies
-Define employment and labor force
-Analyze ILO definitions
-Examine full employment conditions

- Discussion on population pyramids
-Analysis of Figures 6.4 and 6.5 comparison
-Case studies on country differences
-Group work on pyramid interpretation
-Examination of workforce implications
-Practical examples of structural analysis

- Discussion on control methods
-Analysis of family planning benefits
-Case studies on employment strategies
-Group work on labor force concepts
-Examination of ILO standards
-Practical examples of employment

Textbook, Figures 6.4 and 6.5, pyramid examples
Textbook, formula sheets, development examples
Textbook, Figure 6.6, land examples
Textbook, control examples, employment cases
Textbook, Figure 6.7, unemployment examples

Trendy Business Studies Form 3 Pg 83-84
Trendy Business Studies Form 3 Pg 86-87

POPULATION AND EMPLOYMENT

Technological and other unemployment types
Solving unemployment and pertinent issues

By the end of the lesson, the learner should be able to:

- Analyze technological unemployment
-Examine ATM effects on bank employment
-Discuss frictional unemployment
-Analyze residual and casual unemployment
-Examine unemployment causes in Kenya
-Evaluate high production costs

- Discussion on technological changes
-Analysis of ATM impact examples
-Case studies on Kenyan unemployment
-Group work on production costs
-Examination of casual employment
-Practical examples of technology effects

Textbook, technology examples, cost cases
Textbook, Figure 6.9, solution examples

Trendy Business Studies Form 3 Pg 88-89

POPULATION AND EMPLOYMENT
DETERMINING THE NET WORTH OF A BUSINESS

Pertinent issues - data honesty, HIV/AIDS, and poverty
Learning activities, review and assessment
Introduction and meaning of assets

By the end of the lesson, the learner should be able to:

- Analyze cooperation in census data collection
-Examine population growth control needs
-Discuss literacy and gender education issues
-Evaluate HIV/AIDS pandemic effects
-Analyze Figure 6.10 eradication campaigns
-Examine poverty and entrepreneurship needs

- Discussion on data collection challenges
-Analysis of Figure 6.10 campaign importance
-Case studies on literacy issues
-Group work on poverty eradication
-Examination of entrepreneurship needs
-Practical examples of pertinent issues

Textbook, Figure 6.10, poverty examples
Research guides, interview forms, assessment materials
Textbook, Charts showing asset types, Pictures of business assets, Classification worksheets

Trendy Business Studies Form 3 Pg 90-91

DETERMINING THE NET WORTH OF A BUSINESS

Types of assets (continued) and liabilities
Capital and its importance
The book-keeping equation
Application of book-keeping equation
The balance sheet - meaning and essentials
Format and structure of balance sheet
Preparation of simple balance sheets
Complex balance sheet preparation
Importance of balance sheet
Net worth calculation and analysis

By the end of the lesson, the learner should be able to:
- Differentiate between tangible and intangible assets
-Define liabilities and their characteristics
-Distinguish between long-term and current liabilities
-Give examples of different types of liabilities
-Explain the relationship between assets and liabilities
- Draw the correct format of a balance sheet
-Arrange items in order of permanency
-Explain the two-sided nature of balance sheets
-Demonstrate proper headings and dating
-Show the relationship between balance sheet and book-keeping equation

Group presentations on asset types; Case study analysis of business liabilities; Discussion on debt management; Practical examples from local businesses
Practical drawing exercises; Format demonstration; Group work on balance sheet structure; Step-by-step construction activities

Textbook, Case study materials, Charts on liability types, Local business examples
Textbook, Role play materials, Capital planning worksheets, Calculator
Textbook, Calculator, Problem solving worksheets, Formula charts
Textbook, Calculator, Practice worksheets, Real business data examples
Textbook, Sample balance sheets, Drawing materials, T-format templates
Textbook, Drawing materials, Rulers, Sample formats, Chart paper
Textbook, Calculator, Preparation worksheets, Sample data, Graph paper
Textbook, Calculator, Complex problem sets, Peer review sheets
Textbook, Case study materials, Role play cards, Real balance sheet examples
Textbook, Calculator, Comparative data, Analysis worksheets

Trendy Business Studies Form 3 Student's Book Pg 97-98
Trendy Business Studies Form 3 Student's Book Pg 99-101