Ch 7: Understanding Foreign Trade

About This Chapter

Determine how well you understand foreign trade by reviewing this chapter. Enhance your confidence concerning commerce-related topics by using these lessons to brush up on the most significant foreign trade policies, terms, and major concepts so you can feel better prepared for an upcoming exam.

Understanding Foreign Trade - Chapter Summary

If you are feeling uncertain about the inner workings of foreign trade, allow this chapter to help get you back up to speed. Our instructors are ready to remind you about such concepts as the pros and cons of international trade, the advantages and disadvantages of open trade, general trade procedures, and common exports. At the close of this chapter, you will be able to do the following:

  • Compare external trade with internal trade
  • Describe the politics and economics of international trade
  • Define the terms export and import and provide examples
  • Explain the significance and process of global market importing and exporting
  • Offer examples of international trade document types
  • Outline the purpose and history of the World Trade Organization

To make these comprehensive study materials for you, we hire experts who each have years of experience teaching commerce-related topics to students of all levels. They design every lesson to help you prepare for upcoming exams by making sure to discuss key vocabulary words, policies, and more. At the end of each lesson, you can take a short multiple-choice quiz to determine how well you understand what you've reviewed.

7 Lessons in Chapter 7: Understanding Foreign Trade
Test your knowledge with a 30-question chapter practice test
Internal Trade vs. External Trade

1. Internal Trade vs. External Trade

When we think of trade, we often think of international trade. However, trade happens even within a country's borders. This lesson will analyze the differences between internal and external trade, and examine the advantages and disadvantages of international trade.

The Economics & Politics of International Trade

2. The Economics & Politics of International Trade

We will discuss the economics & politics of international trade through the definition of open trade and its benefits and drawbacks. In addition, the ideas of competitive advantage and political patience will be shown as key indicators of global success.

What is an Import? - Definition & Example

3. What is an Import? - Definition & Example

Are those shoes you just got an import? How about that new vehicle that you bought or leased? Find out what imports are and why countries buy goods and services from other countries. Learn about some of the most common imported items today.

What is an Export? - Definition & Example

4. What is an Export? - Definition & Example

Learn about exports and discover what some of the most common exports in the United States are today. Find out how things such as balance of trade, customs, and imports relate to the exporting business.

Importing and Exporting in a Global Market: Definition, Process & Importance

5. Importing and Exporting in a Global Market: Definition, Process & Importance

The lifeblood of the global market is trade. In this lesson, you'll learn about the importance of importing and exporting and related concepts including trade deficits, balance of payments, and formal and informal barriers to trade.

Types of International Trade Documents

6. Types of International Trade Documents

Looking to import or export goods from one country to another? This lesson will explain the basic types of international trade documents and how they detail information about the shipment and the buyer/seller.

The World Trade Organization: Definition, History, Purpose & Members

7. The World Trade Organization: Definition, History, Purpose & Members

Find out what the World Trade Organization is and what it hopes to accomplish. Learn about the history of this organization and who some of the current members are.

Chapter Practice Exam
Test your knowledge of this chapter with a 30 question practice chapter exam.
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Practice Final Exam
Test your knowledge of the entire course with a 50 question practice final exam.
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