Trade and access to markets Flashcards
Why do nations trade (reduced dependence)?
Why do nations trade (increased profits)?
Why do nations trade (increased production)?
What is comparative advantage? Why is this good for global trade?
Where businesses in different locations can specialise in something they produce efficiently. This enables countries to avoid additional costs and import in traded goods that the host country is not as effective at producing.
Why do nations trade (innovation)?
The exporting of goods globally increases unique product development to solve problems and meet the needs of the wider customer base.
Why do nations trade (economic growth)?
More overseas trade increases GDP and growth opportunities to benefit both businesses and the economy.
Why do nations trade (increased variety of goods)?
Why do nations trade (supply demands)?
Able to access the same products at all times of the year (‘winter’ UK strawberries are imported from Spain traditionally)
