2.4 Flashcards
Globalisation
is the
trend for markets to
become worldwide in
scope.
A multinational
company (MNC)
produces goods and services in more than one country. They are also called transnational corporations (TNCs).
Tariff
A tax on foreign goods exported into a country
Growth
Occurs when a business sells increased quantities of its products
Economies of scale
Occur when the cost of producing a single unit falls as output increases
Inward investment
When governments, businesses and individuals invest capital into another country , for example, building new factories or buying companies.
Takeover
This occurs when one business buys control of another one
Product design
Translates the needs of consumers or the inventiveness of entrepreneurs, into a saleable product
Quality
Is the extent to which a consumer is satisfied with a product
Price
The amount a business asks a customer to pay for a single product
Exchange rate
Is the price of one currency expressed in terms of another
Imports
Are goods and services purchased from overseas customers in the domestic market
Profit
Is the amount by which a business’s revenue from all its sales exceeds its total costs
