Trade
2.International Trade is the exchange of what among nations?
Goods and services
Absolute Advantage is when a country has the economic resources that allow it to produce a product at a BLANK than any other country.
Lower unit cost
Advantages of World Trade Organization:
●CREATES WEALTH IN RICH AND POOR COUNTRIES
Licensing involves letting another company, or licensee, use a what
fee or royalty
●TRADEMARK
●PATENT
●SPECIAL FORMULA
●COMPANY NAME
3.Imports are goods and services WHAT from other countries.
purchased
Comparative Advantage is when countries have an absolute advantage in
BLANK, so they compare the unit cost of each
product to decide which ones to produce and export.
More than one product
When more money leaves a country than enters, that country is in debt, also known as a
Debtor nation
Disadvantages of World Trade Organization:
●RAISE CONCERNS ABOUT DEMOCRACY
●RAISE CONCERNS ABOUT LABOR RIGHTS
●RAISE CONCERNS ABOUT THE ENVIRONMENT
FDI stands for:
●FOREIGN DOMESTIC INVESTMENT
4.Exports are goods and services WHAT to other countries.
sold
Benefit of International Trade for Consumers:
●HIGH-QUALITY GOOD AT LOW COST
Free Trade allows exchange between nations that is conducted on free market principles without an
Regulations
NAFTA stands for:
●NORTH AMERICAN FREE TRADE AGREEMENT
A Global Environmental Scan is conducted using what type of analysis?
●PEST
BLANK refers to countries who do not produce or manufacture all the goods and services they need, therefore relying other nations who possess unique resources and capabilities.
INTERDEPENDENCE OF NATIONS
Benefit of International Trade for Producers:
●EXPAND BUSINESS IN OTHER COUNTRIES
Three main trade barriers
Tariff, quota, embargo
NAFTA is an international trade agreement among:
●U.S.
●CANADA
●MEXICO
The letters in ‘PEST’ Analysis stand for:
● POLITICAL FACTORS
● ECONOMIC FACTORS
● SOCIO-CULTURAL FACTORS
● TECHNOLOGY FACTORS
BLANK exists because countries need to trade with one another.
Global market
Benefit of International Trade for Workers:
●HIGHER EMPLOYMENT RATES
What are tarrifs
Taxes
What is the main goal of NAFTA?
●ABOLISH ALL TRADE BARRIERS/ INVESTMENT RESTRICTIONS IN THESE 3
COUNTRIES
The 3 Global Marketing Strategies:
●GLOBALIZATION (Sell same product using same promotion in all countries)
●ADAPTATION (changes to existing product or promotion to for different countries)
●CUSTOMIZATION (create special designed products or promotions for certain countries)