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Macro Environment Toyota

Macro Environment Toyota

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Title: Macro Environment Toyota

Essay Details:

Subject: Business

Author: James A

Date: May 7, 2014

Level: University

Grade: A

Length: 4 / 963

Essay text:

The four most important of these forces are: • the growth rate of the economy • interest rates • currency exchange rates • inflation. The growth rate of the economy leads to increased expenditure and, by increasing demand, reduces competitive pressures in industry. • Lower interest rates determine a company’s cost of capital, and thereby its fixed cost structure, stimulating investment, but also lowering barriers to entry by potential competitors. • Currency exchange rates directly impact on a company’s competitive position in the global marketplace, making its products more or less competitive in foreign markets, depending on the rate of exchange...

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