国际财经基础.pptVIP

INTERNATIONAL TRADE Introduction of International trade Questions The Fields of International Trade Foreign manufacturing The growing services industry in areas such as transportation, tourism, banking, advertising, constructing, retailing, wholesaling, and mass communications. Private---- in the case of private firms the transactions are for profit. Governmental --- government-sponsored activities in international business may or may not have a profit orientation. Text P3 To expand sales Companies’ sales are dependent on two factors: the consumers’ interest in their products or services and the customers’ willingness and ability to buy them. Companies may try to increase their sales by entering into international markets. To acquire resources… Manufactures and distributors seek out products, services and components produced in foreign countries. They also look for foreign capital and technologies they can use at home. Sometimes they do this to reduce their costs. Sometimes a company buys abroad in order to acquire a service not readily available within the company’s home country. To diversify sources and supplies… Companies usually prefer to avoid wild swings in their sales and profits; so they seek out foreign markets as a means to this end. Thus while sales decrease in one country that is experiencing a recession, they increase in another that is undergoing recovery. Summary Thanks for your listening Why Do We Need To Have International Trade ? Reasons of international tradeThere are various reasons for conducting business on an international scale. Trade between countries arise because it is to their mutual advantage.  If a country is enjoying a monopoly is the production of a certain commodity, it will have an absolute advantage in the production of that commodity over other countries. The other nations have to import that commodity. International trade arises because some countries have a co