Globalisation

Question 1

Imports advantages

Answer 1

Allows a business to import materials at a lower price than they would be able to in the uk or wherever the business is initially located

Question 2

Imports disadvantages

Answer 2

Importing increases competition from foreign businesses trying to sell in the uk.

Question 3

Exports advantages

Answer 3

Opens up a new international market giving the business the potential to grow.

Question 4

Export’s disadvantages

Answer 4

May be very different to selling in the uk and they may run into problems due to lack of experience.

Question 5

Location advantages

Answer 5

Allows the business to benefit from lower labour costs or tax benefits.

Question 6

Trade barriers

Answer 6

Tariffs - taxes on imports
Non tariff barriers- quality or safety barriers
Trade blocs - promoting trade between groups of countries
Quotas - physical limits on imports
Subsidies- money given to help domestic priducers

Question 7

E commerce

Answer 7

E-commerce enables businesses to access international markets without having to distribute or sell their products through foreign retailers.

Question 8

Globalisation

Answer 8

Adapting products to fit foreign markets.