International Trade Basics
This term refers to buying and selling goods across country borders.
(international trade)
This term describes goods or services brought in from another country.
(Import)
This benefit of international trade is this reduction in local supplier reliance.
(decreased dependency on local markets and suppliers)
A limit on the quantity of imports over a set time.
(quota)
This agreement replaced NAFTA and took effect in 2020.
(USMCA)
This type of marketplace increases competition and creates global opportunities.
(The international marketplace)
This process involves selling goods directly to foreign buyers or distributors.
(direct exporting)
A business must do this before expanding globally, to ensure success.
(determine if there’s a market for the product or service)
Japan uses this to restrict the number of imported cars.
(Automobile quota)
This office helps small U.S. businesses begin exporting.
(Office of International Trade (SBA)
E-commerce has allowed this kind of growth for companies involved in international trade.
(exponential growth)
Indirect exporting often relies on these individuals to connect with foreign buyers.
(commissioned agents or brokers)
One challenge many businesses might face in the global market, such as foreign regulations and political instability.
(factors to consider when operating globally)
A tax imposed on imported goods to protect domestic producers.
(tariff)
This federal agency helps ensure compliance with export laws.
(Bureau of Industry and Security (BIS)
Selling and buying internationally allows companies to access new ones of these.
(new markets)
This type of exporting involves less direct contact with international customers.
(indirect exporting)
Expanding globally can attract new customers and do this to sales.
(Increase sales)
These restrictions prevent imports that don’t meet certain product standards.
(qualitative restrictions)
This program offers loans and financial backing to companies exporting products.
(Export Financing)
International trade creates this kind of environment for businesses, encouraging innovation and efficiency.
(global competition)
Imported goods are sometimes used to do this before being sold again.
(To create new products or manufacture goods for distribution)
These five factors should be analyzed before entering the global market.
(political climate, economic conditions, foreign taxes & regulations, social & cultural issues)
These methods prevent foreign companies from competing with domestic producers.
(trade barriers)
This administration provides foreign market data, trade leads, and regulation help.
(International Trade Administration (ITA)