SECTION 3NATIONAL & GLOBAL

ECONOMY

National & Global Economy

GCSE ECONOMICS: UNIT 11

3.3 The Power of the consumer

SECTION 3NATIONAL & GLOBAL

ECONOMYAims of today’s lesson …

• Understand that consumers have buying power and that this can be used to influence businesses to supply goods that are ethically sound

• Identify the ways in which the UK Government works to reduce world poverty

SECTION 3NATIONAL & GLOBAL

ECONOMYConsumer Power

• As an individual you may think you have little say or power over the goods and services that are made available by firms

• However through your choices, as a collective group, consumers can almost force producers to adapt their products to consumer demand

• As you researched last lesson, consumers can boycott products, services and even countries

• This is the result of consumer empowerment

SECTION 3NATIONAL & GLOBAL

ECONOMYConsumer Power cont.

• Consumers also demand cheaper products or more for the price they pay

• In response to this many UK firms have moved all or part of their operations overseas , in order to compete with lower prices UK imports

Q. Other than price what else might influence you to buy or not buy a product?

A. Online customer reviews/feedback; are they fair-trade?; organic?

SECTION 3NATIONAL & GLOBAL

ECONOMYConsumer Power cont.

• Consumers may choose to boycott products based on the following– Are they fair-trade?– Are they locally produced?– Does their manufacture result in a huge carbon

footprint?– Does the product come with excessive packaging?– Have humans or animals been detrimentally

treated in its manufacture or supply?

SECTION 3NATIONAL & GLOBAL

ECONOMYOver to you…

• Open and complete the task below…

3.3 The power of consumers

SECTION 3NATIONAL & GLOBAL

ECONOMY

The role of the UK Gov. in reducing poverty

• The UK Government is one of the foremost governments working to rid the world of extreme poverty

• The Department for International Development (DFID) is the part of the UK Government that manages Britain’s aid to poor countries

• Open ‘Trade Matters’ from the SSA and summarise the work the UK Government is doing to help poorer countries on the Task Sheet