Factor Endowments

Knowledge Center

• About
• Home
• Dictionary
• Encyclopedia
• Question?
• Views

• Register
• Log in
• Help

• Change & Organization
• Communication & Skills
• Decision-making & Valuation
• Ethics & Responsibility
• Finance & Investing
• HRM
• Knowledge & Intangibles
• Leadership
• Marketing
• Program & Project
• Strategy
• Supply Chain & Quality

Description of Factor Endowments. Explanation.

Definition Factor Endowments. Description.

Factor Endowments are the resources which a country possess. The traditional main factors of production are land, location, resources, labor, capital, and population. These factors taken together make up the Comparative Advantage of a Nation.

Factor endowments are determined by:

• geographical features such as climatic conditions and natural resources.

• historical development and political stability.

• social and demographic issues.

• economic development, size and quality of the workforce and access to capital.

• entrepreneurial skills and the freedom to pursue entrepreneurial activities.

Porter suggested in his book: "The Competitive Advantage of Nations" that it is competitive advantage (based on lower costs, technological innovation and product differentiation) rather than comparative advantage that is becoming an important factor in determining the pattern and direction of international trade.

Factor Endowments Forum   Quotes on Factor Endowments. Quotations Hi, do you know of a remarkable, humorous quote by...         Begin a new topic

Factor Endowments Special Interest Group Special Interest Group

Best Practices - Factor Endowments Premium

Expert Tips - Factor Endowments Premium

Resources - Factor Endowments Premium   News about Factor Endowments         Videos about Factor Endowments         Presentations about Factor Endowments         More about Factor Endowments

Compare also: Competitive Advantage of Nations  |  Industry Attractiveness  |  Depletion

Return to Management Hub: Finance & Investing  |  Strategy

More on Management  |  Return to Management Dictionary  | 

This ends our Factor Endowments summary and forum.