What is the relationship between international trade and globalization?

International trade and globalization are connected because international trade is the result of globalization. Globalization is more and more without borders without borders that occur between countries and territories. This type of trade is facilitated by removing or reducing restrictions in the form of tariffs and other things, such as import quotas. Globalization is used to take advantage of the possibilities and opportunities available in cooperation with various nations.

One relationship between international trade and globalization is the fact that the ease of transport across the international borders facilitates international trade. For example, globalization made it easier for people to travel from one part of the world to finding business lines and for the purpose of selling or buying goods and services. An entrepreneur in China may have to meet someone in Argentina to view some goods, sign Křetract and ensure the transport of goods from Argentina to China. Thanks to globalization, all this can be done within a few days.

Another relationship between international trade and globalization can be seen from the lightness of communication across the border. International communication is now much easier to improve technology and the influence of globalization. The ease of communication makes it easier for international trade by being much easier for entrepreneurs to communicate with each other using communication tools such as the Internet, phones and letters. Therefore, the company in Australia can fax the company's order in Japan on a number of copying machines for its company headquarters. They could also communicate via e -mails, by phone or sending letters via Courier Mail.

Globalization has led to increasing integration cultures in which other countries openly accept some aspects from cultures of other countries. This provides opportunities for other companies in different countries by opening new markets that would not be possible without the effects of globalization. For example, a company in the United States could openThe stores of their fast food chain in Asia, as the aspects of fast food culture are accepted in this part of the world. This is a link between international trade and globalization.

Another example of international trade and globalization can be seen in the effect of outsourcing. Outsourcing occurs when an enterprise accepts employees from other countries to work for them. This may be due to a number of reasons, including the company's desire to use cheaper international wages that can be less than half the minimum wage in their countries. The same concept applies to construction factories in countries with cheap laboratories because it saves money and increases profit margins with paid workers less. However, this can lead to cheaper products.