Key Words Flashcards
Administrive Barriers
Rules and regulations that make it difficult for importers to penetrate an overseas market
Barriers to entry
Factors which prevent new competitors from entering the market
Code of Conduct
A set of rules outlining the proper practices of an organisation
Common market
A market where goods can move freely across the member states
Comparative advantage
A country should specialise in products that it can produce more efficiently than other countries
Competition policy
Government policy that exists to promote competition and ensure firms don’t abuse their market power
Customs union
Where member states remove all trade barriers between themselves and other members
Disposable income
Income remaining after deduction of taxes - available to be spent as one wishes
Transnational or multi national company
Companies that own production or service facilities outside the country which they are based
Tariffs
A tax on imports to make them more expensive
Subsidy
Financial support given to a domestic producer to help to compete with overseas firms
Stakeholders
Individuals who can be affected or affect business decisions
Specialisation
A production strategy where a business focuses on a limited scope of products
Skills shortages
Where potential employees do not have the skills demanded by employers
Single market
Where all trade members between members have been removed
