Flashcards: Fundamentals of International Trade and Global Markets — 20 cards

International Trade — definition?

Exchange of goods, services, capital across borders.

Exporters vs Importers — difference?

Exporters sell abroad; importers buy from abroad.

Trade Growth — drivers?

Technology, policies, globalization increase trade volume.

Market Entry Strategies — types?

Exporting, licensing, joint ventures, wholly owned subsidiaries.

Success factors in trade — key?

Logistics, regulations, cultural adaptation, partnerships.

Hofstede's Dimensions — purpose?

Compare cultural traits across nations.

Hall's Cultural Theory — high vs low?

High-context relies on implicit cues; low-context on explicit communication.

International Logistics — role?

Manage movement, packaging, and trade facilitation.

Trade Documents — examples?

Bill of lading, invoice, certificate of origin.

Incoterms — purpose?

Define responsibilities, risks, costs in shipping.

Transaction Risks — types?

Currency, political, payment default, legal risks.

Payment Methods — options?

Open account, letter of credit, cash-in-advance.

Customs — role?

Control imports/exports, enforce regulations, collect tariffs.

Tariffs — effect?

Increase import costs, protect domestic industries.

Trade Deficit — meaning?

Imports exceed exports; negative trade balance.

Trade Surplus — meaning?

Exports exceed imports; positive trade balance.

Bretton-Woods — significance?

Established IMF, World Bank, post-WWII economic order.

GATT — what?

Trade negotiation rounds reducing tariffs, leading to WTO.

WTO — role?

Enforce trade rules, resolve disputes, promote liberalization.

Major Exporters — top country?

China, with highest export value and share.