the increase in a country's productive capacity, usually measured using GDP

UK has strong and growing service sector whereas emerging economies product mainly manufactured goods

part of the economy that draws raw materials from the natural environment

part of the economy that transforms raw materials into manufactured goods

China has efficient suppliers + good infrastructure allowing for further growth + access to lower labour costs

increase spending in SEA - increasing demand + helping local producers + distrbution

central + South America + Africa creating big international companies., often have to find new ways to grow and develop due to China's dominance

around 70% of world's GDP growth belong to emerging economies, with India + China making up 40-50%

when economy is growing - consumption may be growing - good for firms looking to invest or sell their products/services

increase in growth = increase in disposable income = increase in goods + services

demand likely to become more income elastic providing greater revenues + profits

these goods +services may be produced domestically or imported = creates many trade opprtunties

amount of disposable income consumers have determines how many good they can buy, when out of work = not enough to buy many

areas of high unemployment may be good for businesses wanting to set up there = easy to find labourers

increase in tech = fewer needed workers to manufacture = having cheap labour = no longer advantage for emerging economies