Photo AI

The Toyota Group is one of the world’s largest multi-national corporations with its headquarters in Japan - Edexcel - GCSE Business - Question 3 - 2015 - Paper 1

Question icon

Question 3

The-Toyota-Group-is-one-of-the-world’s-largest-multi-national-corporations-with-its-headquarters-in-Japan-Edexcel-GCSE Business-Question 3-2015-Paper 1.png

The Toyota Group is one of the world’s largest multi-national corporations with its headquarters in Japan. It produces cars and electronics with factories in many di... show full transcript

Worked Solution & Example Answer:The Toyota Group is one of the world’s largest multi-national corporations with its headquarters in Japan - Edexcel - GCSE Business - Question 3 - 2015 - Paper 1

Step 1

Explain one possible disadvantage to Toyota of Egypt’s barriers to trade.

96%

114 rated

Answer

One possible disadvantage for Toyota due to Egypt’s barriers to trade is that it may face higher prices for imported components. This is because Egypt's trade restrictions can lead to increased tariffs on these components, making production costs higher for Toyota. Consequently, this situation may lead Toyota to either raise the prices of its vehicles to maintain profit margins or absorb the costs, resulting in reduced profitability. Therefore, the barriers to trade directly impact the overall cost structure of Toyota's operations in Egypt.

Join the GCSE students using SimpleStudy...

97% of Students

Report Improved Results

98% of Students

Recommend to friends

100,000+

Students Supported

1 Million+

Questions answered

;