Export is a function of international trade in which the goods produced in a country will be sent to another country for future sale or trade. Therefore, by selling of such goods and services it will increase the producing nation gross output. Export also one of the oldest form of economic grow, and occur on a large scale between nations that have fewer restrictions on trade, such as tariffs or subsidies. Another process involve in international trade is import, import is a process good or services brought from another country to another. Together with exports, imports also are the backbone of international trade.
The transnational co-operations (TNC) are important market players in world trading system. They are aimed on the specialization and internationalization of supply being induced from the production centers across the world and the international confluence of demand as consumers get acquainted about the worldwide available products. Globalization has developed rapidly and profoundly. All humans are formally tied to all others through their countries membership in United Nations (UN) and various trade organizations. In today’s world every major international issue affects us.
In the contemporary society, there are an increasing number of people involved in the globalisation. I choose the topic of international trade. And in the following paragraphs, I am going to introduce what is international trade, other possible benefits of trading globally and the bottom line. (Heakal 2015) Thanks to the international trade that allows us to expand the market for goods and services. And also, as a result of international trade, the market contains greater competition with more competitive price and cheaper products.
The term "export" is derived from the conceptual meaning as companies produce products in their own countries and sell goods to customers in foreign countries. Exporting allows a company to centrally produce its products for several markets and therefore to gain economies of scale since many countries do not offer a large enough opportunity to justify local production. ‘Export development is associated to high levels of cooperation between exporters and importers, high levels of trust, and communication sufﬁciency.’(Rodriguez, Wize & Martinez 2013, p.1646)One of the advantages is that makes the company less dependent on sales in its home market and provides a wider range of goods and services In addition, the potential market is bigger by selling overseas. Foreign sales over the long term, it will increase overall profitability once export development costs have been covered. Besides, exporting also provides a greater degree of control over all aspects of transaction such as design, production decisions and research.
Globalization is right for sure countries, along with the ones within the evolved world or global North where wealthy countries just like the U.S., united kingdom, and Germany can sell extra products and items to new markets inside the global South or poorer nations which include the Philippines and Indonesia. Globalization plays a vital function in presenting no longer only products and services but also method of living and the manner of boom and improvement. the following are some of the monetary benefits of globalization in connection to overseas groups: • Reduces worldwide poverty via imparting work to people. • Contributes to the spread of era by way of introducing new techniques of development. • Provides to the profitability of companies and agencies via earnings and global income.
The purpose of economic globalization is making country richer, and improving people’s standards of living. Nowadays, economic globalization has become one of the controversial topics in the world. But the truth is almost every country in this world have involved in economic globalization. In my opinion, whatever they are developed countries or developing countries, economic globalization can help them develop their economy, and making their country
The ability for countries to cooperate could lead to new jobs, workplaces, culture, more money and ideas (Denton). Lastly, another pro for globalization is it allows for less expensive products for American consumers to purchase. This is due to cheaper labor throughout production processes. Reduced prices lead to American living standards to
Globalization and Nation States Globalization has integrated and intertwined the economies of the world. In the world today, every nation has become independent on every other nation, be it through trade or through finance. Developing countries today are attracting large rounds of foreign investment, and this foreign investment is coming from the developed countries. Thus, the money of the developed countries is today invested in the developing countries. At the same time, the world has also become interdependent due to trade relations.
An economics field of study that applies both macroeconomic and microeconomic principles to international trade, which is the flow of trade among nations, and to international finance, which is the means of making payment for the exchange of goods among nations. International economics studies the economic interactions among the different nations that make up the global economy. Often this interaction is viewed in terms of the domestic economy and the foreign sector. The key economic principle underlying international economics is the law of comparative advantage. International economics is growing in importance as a field of study because of the rapid integration of international economic markets.
Globalization has a huge impact to nearly every aspect of life in this modern era. Globalization refers to the movement towards a borderless world and the interdependence of global economies. In other words, we can consider globalization as an economic integration of the world through the greater trading, investments, marketing demands and the dispersion of technologies. It involves other aspects of life such as exchanging thoughts and ideas from all over the world and some of the people are also moving to other countries. However, the speed of globalization varies from nation to nation and sector to sector.