INTERNATIONAL BUSINESS AND TRADE Flashcards
Refers to any business that operates across international borders. At its most basic, it includes the sale of goods and services between countries.
International Business
Encompasses all commercial activities that take place to promote the transfer of goods, services, resources, people, ideas, and technologies across national boundaries.
International Business
Exchanges capital, products, and services across international borders or territories. It includes all commercial transactions—private or public—between two or more countries.
International Business
It can also include transactions driven by non-financial goals (such as the triple bottom line, corporate social responsibility, and political favor) that impact an organization’s long-term success.
International Business
What is the importance of international business for the firms?(6)
- Higher profits than domestic markets
- Optimum utilization of capacity
- Economies of scale
- Escape to stiff domestic competition
- Product maturity
- Enhanced business growth
What is the importance of international business for the nation?(7)
- Earning foreign exchange
- Optimum use of national resources
- Creation of employment opportunities
- Enhanced growth perspective
- Cultural exchange
- Political cooperation
- Improving the standard of living
The purchase and sale of goods and services by companies in different countries. Consumer goods, raw materials, food, and machinery all are bought and sold in the international marketplace.
International Trade
These are economic transactions that are made between countries. Among the items commonly traded are consumer goods, such as television sets and clothing; capital goods, such as machinery; and raw materials and food. Other transactions involve services, such as travel services and payments for foreign patents.
International Trade
Transactions which are facilitated by international financial payments, in which the private banking system and the central banks of the trading nations play important roles.
International Trade
International Trade and the accompanying financial transactions are generally conducted for the purpose of ____________________; such transactions, functioning with other economic policies, tend to improve a nation’s standard of living.
providing a nation with commodities it lacks in exchange for those that it produces in abundance
Much of the modern history of international relations concerns efforts to promote ____________________.
freer trade between nations
____________________, or foreign trade, as it is otherwise known, is the purchase or sale of goods and services outside national geographic borders, so that the parties involved in the commercial transaction are in different countries. Its main objective is to satisfy the demand of local consumers by taking advantage of the benefits or products that other countries can offer.
International Trade
____________________ not only expands the capacity of the domestic market and provides access to a greater variety of products from third countries, but also allows surpluses to be sold in foreign markets when production exceeds domestic demand, thus contributing to the growth of the national economy.
International Trade
Treaties in which a country promises to engage in fewer trade protections with another country or multiple other countries to engage in more trade.
Trade agreements
A negotiation between two or more countries regarding the terms of trade between them—tariffs, quotas, restrictions on imports and exports, and provisions, such as trade facilitation, intellectual property rights, and investment protection.
Trade agreements
