Final answer:
Raw data is systematically turned into valuable information through the 'information value chain,' a process crucial for business operation and strategic decisions. This concept is closely related to the global economy's specialization and intra-industry trade, where production is divided across various geographic locations.
Step-by-step explanation:
From a business perspective, raw data is transformed systematically during various stages, transforming it into valuable information, in a process called the information value chain. The information value chain entails the series of steps that convert data into actionable insights, which can be utilized for strategic decision-making. This transformation occurs as information is collected, processed, analyzed, and distributed, allowing businesses to gain competitive advantages and operate more efficiently in the global economy.
Specialization and international trade reflect the dynamics of the modern global economy, where the production process is fragmented across different geographic locations. This is facilitated by advancements in technology, communication, and transportation, enabling firms to divide the value chain and focus on specific segments where they have a competitive edge. Such intra-industry trade emphasizes the importance of processing raw data into refined information, which supports innovation and learning within firms and across industries.