Edexcel Business A Level Revision

Global competitiveness -  is the ability of a business, usually a MNC, to perform better than its rivals across markets in different countries. This can be achieved through performance on price and quality or customers' perception of these factors.  Demand for highly skilled workers is outstripping their supply. This is impacting heavily on global businesses, many of whom are producing differentiated products. There is an imbalance in the global economy, with too many low skilled workers and not enough skilled workers. This is partly accounted for because many low skilled jobs have now been replaced by machinery. Machines find it more difficult to replace highly skilled workers e.g. the creative industries.  A lack of ability to recruit skilled workers could lead to a decline in competitiveness as global businesses will not be able to take advantage of lower unit costs and/or higher-quality products. This will be a particular risk for businesses that take the differ...

Global competitiveness -  is the ability of a business, usually a MNC, to perform better than its rivals across markets in different countries. This can be achieved through performance on price and quality or customers' perception of these factors.  Competitive advantage - is an advantage over competitors gained by offering consumers greater value, either by means of lower prices or by providing greater benefits and service that justifies higher prices.    Cost competitiveness - the differences in unit costs between competitors. Outsourcing -  A practice used by companies to reduce costs by transferring portions of work to outside suppliers rather than completing it internally. Outsourcing is an effective cost-saving strategy when used properly. Offshoring -  When a company moves various operations to another country for reasons such as lower labour costs or more favourable economic conditions in that other country. This topic is split into two; ...