U1 AOS3 - Impact of Technology on Consumer and Business Behaviour

Question 1

Innovation

Answer 1

Changing processes or creating more effective processes, products and ideas

Question 2

Advantages of Innovation

Answer 2

• Develop competitive advantage over similar businesses
• More efficient processes
• More effective processes
• Flow on benefit to industry and customers with lower prices

Question 3

Disadvantages of Innovation

Answer 3

• Costs
• Not all innovations are successful
• High short term expense for long term gain

Question 4

Positive Impacts of Technology on Consumers

Answer 4

• Provides consumers with more choice
• Easier access to products
• More information which allows for more informed decisions

Question 5

Positive Impact of Technology on Businesses

Answer 5

• Decreases cost of production with automation
• Better meet needs of consumers - online shopping allows greater exposure
• Improved efficiency of marketing with targeted advertising

Question 6

Negative Impacts of Technology on Businesses

Answer 6

• High upfront costs and costs of replacements and updates
• Need to train staff on how to use technology
• Repairs can slow down production
• Errors can raise costs and reduce production
• Worker redundancies

Question 7

Significant Changes in Technology

Answer 7

• Development of internet
• Improvements in automation and AI
• Data collection and analysis
• Cashless transactions