4.2.1 Conditions that prompt trade Flashcards
1
Q
Conditions that prompt trade
A
- saturated market
- competition
- offshoring, outsourcing
- risk spreading
- economies of scale
2
Q
Push factors for international trade
A
- competition in market
- saturated market - few opportunities, high regulations, declines stage of product life cycle, economy, diversification
3
Q
Pull factors for international trade
A
-outsourcing, offshoring, economies of scale, cheap labour, risk spreading, exploit opportunities, government incentives, emerging economy
4
Q
Features of growing economies
A
- growth of middle class
- rapidly increasing GDP
- Improvements to infrastructure (technology)
- rising literacy rate and HDI
- Increase in industrialisation
- transition
- struggle to acmes global markets
