ECONOMICS (CBSE/UGC NET)

Detailed explanation-1: -The benefits of international trade for a business are a larger potential customer base, meaning more profits and revenues, possibly less competition in a foreign market that hasn’t been accessed as yet, diversification, and possible benefits through foreign exchange rates.

Detailed explanation-2: -One of the significant advantages of international trade is market diversification. Focusing only on the domestic market may expose you to increased risk from downturns in the economy, political factors, environmental events and other risk factors.

Detailed explanation-3: -Additionally, trade usually benefits lower-income households by increasing competition in the market and helping to keep prices lower. Trade also provides widespread social benefits, ranging from increased social opportunity due to the economic benefits of trade, to increased product variety in the market.

Detailed explanation-4: -(1)Employment(2)growth of economy(3)optimum utilization of resources. The advantages of international business are discussed below: i. Employment: International business helps in increasing employment opportunities in the export-oriented industries.

Detailed explanation-5: -Export Trade. Export trade is when goods manufactured in a specific country are purchased by the residents of another country. Import Trade. Entrepot Trade.