In my IGCSE biznis exam next yr i'll b asked to demonstrate an understanding of the business activity in adding value and helping people satisfy their needs in a changing competitive environment.
Now, I'm not asking for ne explanantion here cuz tht's almost impossible. I'd really appreciate if sum1 cud post a link here, in relation to the specification i have given above.
THANKU,
THE NIGU MAN
Does the butcher add value to a dead cow? How does the butcher add value? Does he satisfy customer needs? How? How does the butcher adapt to competition?
yes he does.....umm by using it's hide to make clothes out of it and then the ppl put clothes on to meet their need: clothing
he adapts to competition by probably keeping prices low or by serving his customers really well (pls comment on my answer - tht's if u have the time to do so)
HERE I'D LIKE TO ASK U ANOTHER QUESTION; WOT EXACTLY IS THE DIFFERENCE BETWEEN ADDING VALUE N PROFIS? MY TEXT BOOK SAYS THT IT'S THE DIFFERENCE BETWEEN THE SELLING PRICE AND THE VALUE OF BOUGHT IN PRODUCTS.....AS FAR AS I KNOW PROFITS IS REALLY THE SAME THING!
No, profits depend on the costs.
Often, costs can be greater than the value...take making gasoline out of coal as an example.
Profit= value - cost
I understand you are preparing for your IGCSE business exam and have questions about demonstrating an understanding of business activity in adding value and satisfying customer needs in a changing competitive environment.
To find relevant resources, it is best to search online using specific keywords from your exam specification. Start by searching for terms like "business activity in adding value," "customer needs in a changing competitive environment," and "IGCSE business exam resources." This will help you find study guides, textbooks, and other materials that cover the specific topics you need to understand. You can also try looking for past papers and mark schemes to get a better idea of the type of questions you can expect in your exam.
Regarding your question about the butcher adding value to a dead cow, yes, the butcher does add value to the cow. The butcher takes the raw material, which is the cow's carcass, and transforms it into various products that people need, such as meat for consumption and hide for making clothes. By processing the cow, the butcher increases its value and creates products that satisfy customer needs.
In terms of competition, the butcher can adapt by employing strategies such as competitive pricing, ensuring high quality products, providing excellent customer service, or even offering unique products or services that differentiate themselves from competitors.
Regarding your question on the difference between adding value and profits, there is indeed a distinction between the two. Adding value refers to the process of enhancing a product or service to increase its worth or usefulness to customers. It involves activities like processing, refining, designing, or marketing that make the product more valuable and appealing to customers.
Profits, on the other hand, are the financial gains a business makes after subtracting costs from revenue. While adding value can contribute to higher profits, it is possible for a business to add value to a product or service without necessarily maximizing profits. Profitability also depends on factors such as pricing, cost management, economies of scale, and overall efficiency in operations.
It's great that you are actively seeking to understand these concepts. If you have any further questions, feel free to ask!