Companies keep the brand name and packaging, but change the product to better suit their country.
Companies change the entire product for a specific country.
Companies will use the exact same products for every country.
Control over a product or the means of producing it.
Basic physical structures and facilities needed for the operation of a society.
Free Enterprise System
Individuals have the opportunity to make economic decisions without the government’s rule.
Setting a price on a product based on what competition markets are charging (Walmart making beef 3 dollars a pound sets a benchmark for Safeway).
Competitors would not lower the price of their products due to a fear of a price war. Instead, they focused on promotion to highlight the benefits of their products.
A gain in the difference between the amount of money earned versus the amount spent in buying or producing something.
The difference between a country’s unlimited wants and limited resources.
Pure Market Economy
No government involvement, let’s consumer decide whether a business will survive or fail.
Lots of government involvement.
Some government involvement.
Private ownership of business, market place competition, and a motive to make a profit (no public schools, state owned highways, etc.).
Government runs everything to share common political and economic goals. No unemployment, free medical care, prices low, no economic freedom.
Production, distribution, and exchange should be made by the whole community. Higher taxes, medical care and education is free or low cost. Keep prices low and provide employment.
All the sources in the earth.
All the people who work.
The money to start and operate a business.
People willing to invest their time and money to start a business.