The Dynamic Nature of Business

Question 1

How do you new business ideas come about?

Answer 1

Change in technology, change customer needs and products becoming obsolete.

Question 2

What are the benefits of new technology?

Answer 2

New business opportunities arise, improve products and services and makes them more desirable.

Question 3

What can new technology do?

Answer 3

1. make products and services faster
2. make products smaller
3. make products and services cheaper
4. make products and services easier to use
5. makes products safer.

Question 4

What’s the benefit of society changing?

Answer 4

1. consumers spend their money in different ways

2. new business opportunities arise because of consumer wants and needs.

Question 5

What are the changes in consumer needs?

Answer 5

1. changes in fashion
2. changes in the economy
3. changes in national demographics
4. changes in lifestyle
5. changes in technology.

Question 6

Describe obsolescence/planned obsolescence

Answer 6

New technology and the changing nature of consumer needs means that products and services become obsolete very quickly, many products are designed to only last a short time and consumers are encouraged to buy newer and improved version of these products, this is called planned obsolescence.