Business A-Level
exchange rate movements
What exchange rate movements means in Business A-Level, as defined for AQA.
Definition of exchange rate movements
Check what you remember
Read the wording for your board, then hide it and explain exchange rate movements in your own words. Rough notes are fine. This is a self-check, with no mark or grade.
Reference: AQA
A weaker pound makes imported components dearer and squeezes contribution per unit, while making exports more price competitive; a strong pound means imports cheaper and exports dearer.
Topics that use exchange rate movements
- Assessing globalisation and internationalisation (AQA A-Level)
Related terms
- competitive rivalry
- contribution per unit
- cultural distance
- Economies of scale
- emerging economy
- falling transport and communication costs
- franchising
- global and transnational strategy
Using exchange rate movements in the exam
Check the command word and mark scheme for your exact question. After comparing your explanation with the reference, use the term in an answer on the linked topic. This practice does not predict an exam mark.
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