High real incomes increase demand for imports as domestic supply is unable to meet their needs thus net trade decreases unless the growth in real incomes is a result of export-led growth
State of World Economy
If the UK's main exports (pharmaceuticals, precious metals and cars) are in high demand and their trading partners have a stable economy then exports will increase
Non-Price Factors
High quality, good design and successful marketing increase demand for exports and make them more price inelastic
Degree of Protectionism
High protectionism limits demand for UK exports and whilst the UK can introduce their own protectionist measures to reduce imports it will likely lead to retaliation and a decrease in exports
Prices
High prices make goods less internationally competitive thus the volume of imports will increase. High relative inflation and low productivity increase costs and if PED is elastic exports fall.
