To what extent does a recession present a growth opportunity for retailers who are prepared to invest in new products and locations? Exam-style question What goes into a good paragraph point?PPoint Make 1 Per ParaEExplain & Eviden ce E Eval- uation LLink (to title & next point) An example for youP Customers still want product innovation, despite recessionE Technology change shortens product life cycles & creates opportunity E.g. AppleE Significant in many consumer & industrial markets, regardless of economic conditionsL New product developme nt can a big growth opportunity Example the paragraph as a chain of argument using connectives Customers still welcome product innovation, despite a recession which affects disposable income For example, demand for tablets and smartphones has boomed despite the global recession as firms like Apple & HTC have launched many new products, leading to high growth in those markets Rapid technological change has enabled innovative firms like Apple to gain market share as a result of new products which in turn has shortened the product life cycle of established brands and products like Nokia phones and Dell desktop computers who, as a consequence, have suffered during the recession. This suggests that new product innovation is a significant opportunity in many consumer markets. Also, products like tablets and smartphones are demanded worldwide, particularly in emerging markets where economic growth is much higher than in countries like the UK, leading to a better growth opportunity for innovative firms. = 1 chunky paragraph Overall, a recession has the effect of reducing or slowing demand in many established markets. However, firms that use innovation to improve their competitiveness should still be able to achieve growth in a recession provided that they have products or services that customers demand. What level has that paragraph reached? Customers still welcome product innovation, despite a recession which affects disposable income. For example, demand for tablets and smartphones has boomed despite the global recession as firms like Apple & HTC have launched many new products, leading to high growth in those markets. Rapid technological change has enabled innovative firms like Apple to gain market share as a result of new products which in turn has shortened the product life cycle of established brands and products like Nokia phones and Dell desktop computers who, as a consequence, have suffered during the recession. This suggests that new product innovation is a significant opportunity in many consumer markets. Also, products like tablets and smartphones are demanded worldwide, particularly in emerging markets where economic growth is much higher than in countries like the UK, leading to a better growth opportunity for innovative firms. Overall, a recession has the effect of reducing or slowing demand in many established markets. However, firms that use innovation to improve their competitiveness should still be able to achieve growth in a recession provided that they have products or services that customers demand. L5 + E marks in one paragraph Pick a possible point and have a go using at least three of the following connectives Over to you P Recession provides opportunities for retailers who sell inferior goods to grow which in turn may result in As a consequence, A possible benefit of this might be although this would depend on becauseleading too therefore To what extent does a recession present a growth opportunity for retailers? The external environment in which businesses operate can have a significant effect on their success. To what extent do you think the external environment in the UK is favourable for businesses at the moment? Justify your answer with reference to external factors and/or businesses that you know. (40 marks)