What does a high value or 'strong' pound indicate about UK exports?

A strong pound indicates that the value of the British currency is high compared to other currencies. This situation leads to an increase in the cost of UK products for foreign buyers, making them more expensive in the international market. As a result, consumers and businesses abroad may opt for cheaper alternatives from other countries rather than purchasing UK goods, which subsequently can lead to a decrease in the quantity of goods sold abroad. Therefore, the correct interpretation of a strong pound's impact on UK exports is that it results in fewer goods being sold abroad due to the higher prices. This relationship is crucial for understanding international trade dynamics, as the strength of a currency directly affects competitiveness in global markets.