Economics Lesson Four
Resource type: Lesson
Skills: Aiming High, Staying Positive
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Helping Volord with Supply and Demand: In this activity, students analyse how global supply chain disruptions influence the price of related goods and services. Access our comprehensive resource package, including detailed teacher notes, PowerPoint, student worksheet and answer sheet. Adapt to your classroom’s needs for a dynamic learning experience. Login, or create an account, to download these resources.
In March 2020, the world was hit by a global Coronavirus pandemic. The global crisis impacted the automotive sector with new car production down by 29.3% in 2020 from 2019 levels. The automotive industry faced various setbacks in 2020 due to border closures and limited transportation. The crisis led to a significant fall in demand due to national lockdowns and a slow down of supplies as manufacturing plants had temporarily closed. The effects started in China, where car sales plummeted in February 2020. By April 2020, both USA and Europe car sales dropped by over 65%. Post Coronavirus there has been a further impact on the supply of new cars due to a shortage of chips.
James is Head of Sales at a Volord branch, an international car manufacturer. Some of his customers (who are purchasing brand new cars) are having to wait 6-8 months to receive their car. This is due to supply chain issues.
To be able to understand demand and supply in competitive markets, including individual supply and demand shifts and movements along the supply and demand curves.
Skills Builder Links
Aiming high step 6
I set goals informed by an understanding of what is needed.
Staying positive step 7
I look for opportunities in difficult situations.
|England: The national curriculum (England)
|The role of markets
Students must know and understand supply and demand in competitive markets, including individual supply and demand; market supply and demand; and shifts of and movements along the supply and demand curves.
|Scotland: The National 5 Business Management
|Economics of the market
Theory of demand: effective demand, demand schedules, and demand curves.
|Wales: WJEC GCSE in business specification
|Currently, there is no WJEC GCSE economics qualification available. WJEC only provides Economics at A-Level.