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Business Studies · 2024 · 3 marks

CBSE 2024 · Region 5 · Set 1 · Q23

‘Caro’, a car manufacturing company was manufacturing high cost, good
quality luxury cars. For the last few years, the company was not earning
good profits as the demand for the cars was very low.
Chief Executive Officer of the company, Piyush had a meeting with
the Production and Sales Managers to discuss how to increase the revenue
of the company. They found that nowadays instead of purchasing luxury
cars people prefer to have such cars on rental basis. So they decided to
start ‘Car rental service’. The Production Manager also suggested that as
these cars were sophisticated and each spare part was very costly it would
be better to provide these cars for rental service along with trained drivers
so that there would be less wear and tear. Piyush agreed and a training
unit was started. Two of the available cars were used for training the
drivers. People were very happy as they were getting these cars on rental
basis with trained drivers. The idea was a big hit and the company was
able to surpass its profit targets of the last $\displaystyle 20$ years.
(a)
Identify and explain the method of training given by ‘Caro’ to its
drivers.
(b)
Also, state any two advantages the drivers will get after this
training.

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