Discuss advantages for UK firms of a depreciation in the value of sterling.

You must discuss at least 2 advantages to gain full marks.

1 mark for each valid discussion point.

1 mark for a valid development.

A model answer looks like this:

As British goods become cheaper for foreign consumers, UK exporters can benefit as their goods become more competitive (1). The increase in demand can result in higher export sales volumes and increased market share in international markets (1).

The UK tourism industry will see increased profits as the UK becomes a more affordable destination for foreign visitors (1).