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
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