The Basis for International Business

Slides:

Advertisements

Similar presentations

Trading Goods and Services

Advertisements

The Export-Import Sector. The Basis for International Trade The basis for international trade is that a nation can import a particular good or service.

The Global Marketplace International Trade nInInInInternational trade involves the exchange of goods and services between nations. nGnGnGnGoods and services.

POB 1.03 Part 1 Understand business in the global marketplace.

Chapter Two The Global Economy. Copyright © Houghton Mifflin Company. All rights reserved * Source: “Imports and Exports as a Percentage of GDP,

3-1International Business Basics SLI DE 1. TRADING AMONG NATIONS Most business activities occur within a country’s own borders. Domestic business is the.

Intro to Business, 7e © 2009 South-Western, Cengage Learning SLIDE1 International Business Basics Goals Describe importing and exporting activities. Compare.

Principles of Business, Marketing, and Finance Business in a Global Society UNT in partnership with TEA, Copyright ©. All rights reserved.

Principles of Business, Marketing, and Finance

Exploring Global Business

INTERNATIONAL BUSINESS BASICS NOTES. WHAT IS INTERNATIONAL BUSINESS?  Refers to business activities needed to create, ship, and sell goods and services.

Ch. 10 Global Economy 10.1 The Global Marketplace Objectives:

The Global Marketplace Freshman Seminar - Introduction to Business Mr. Hays November 26, 2007 Freshman Seminar - Introduction to Business Mr. Hays November.

Click here to advance to the next slide.. Read to Learn Explain why the world has become a global economy. Explain why people and countries specialize.

International Business Part I BCS-BE-8: The student analyzes how international business impacts business.

Examination of the foreign exchange market, the establishment of exchange rates, and how the balance of payments account is affected. The main reasons.

Before Activity Think-Pair-Share –List imports & exports of the U.S.

Do Now Exercise: Research, Discuss, and Document the challenges of “International Trading.” How would this have effected your “Doyle’s” project?

International Business Basics

LET’S MAKE A DEAL!!! The business of international trade…

International Trade. Trade allows nations to specialize in some products and then trade them for goods and services that are more expensive to produce.

Why Nations Trade Resource Distribution -Factors of prod- duction: land, labor, & capital -Each country has different factors of production, making trade.

International Business Basics 3-1. Trading Among Nations Domestic Business International Business (Foreign or world trade) Making, buying, and selling.

Click here to advance to the next slide.. Chapter 10 Business in a Global Economy Section 10.1 The Global Marketplace.

Copyright © Cengage Learning. All rights reserved.1 | 1 Measuring Economic Performance Productivity –The average level of output per worker per hour Economic.

Trading Goods and Services

Business in the Global Economy

International Trade & Globalization

Unit 5, Lesson 13 Currency Exchange

Exchange Rates.

Flow of Capital: Net Foreign Investment

Chapter 6 International Business

Capital Flows and the Balance of Payments and The Foreign Exchange Market Lesson 39 Sections 41, 42.

Read to Learn Explain why the world has become a global economy. Explain why people and countries specialize in producing goods and services.

Unit 9: Economics World Economy & Trade.

Principles of Business, Marketing, and Finance

3-1 International Business Basics

INTERNATIONAL ECONOMICS

Unit 9: Economics World Economy & Trade.

Business in the Global Economy

Understand business in the global marketplace.

Measuring the Value of Trade

Understand business in the global marketplace.

Principles of Business, Marketing, and Finance

BALANCE OF PAYMENTS.

Balance of Payments Every country keeps an accounting record of international transactions between itself and the rest of the world. The government keeps.

The Income Statement A summary of a firm’s revenues and expenses during a specified accounting period Profit (cash surplus) Loss (cash deficit) Revenues.

Unit 2.01 International Business Basics

International trade.

Business in the Global Economy

International Economics

Opportunity Cost Review

GDP = Expenditure on a Country’s Goods and Services

10.1 The Global Marketplace

International Trade.

Understand business in the global marketplace.

International Trade & Globalization

Balance of Trade / Balance of Payment

Understand business in the global marketplace.

Balance of Trade / Balance of Payment

The Global Marketplace

Balance of Payments & Exchange Rates

Balance of Trade / Balance of Payment

Open-Economy Macroeconomics: Basic Concepts

Understand business in the global marketplace.

Chapter 19 Section 1.

Business in the Global Economy

Balance of Trade / Balance of Payment

Balance of Trade / Balance of Payment

International Trade & Globalization Copyright © 2010 Pearson Education, Inc. publishing as Prentice Hall.

Presentation transcript:

The Basis for International Business All business activities that involve exchanges across national boundaries Some countries are better equipped than others to produce particular goods or services Absolute advantage The ability to produce a specific product more efficiently than any other nation Comparative advantage The ability to produce a specific product more efficiently than any other product Goods and services are produced more efficiently when each country specializes in the products for which is has a comparative advantage Copyright © Cengage Learning. All rights reserved.

The Basis for International Business (cont’d) Countries trade when they each have a surplus of the product they specialize in and want a product the other country specializes in Exporting Selling and shipping raw materials or products to other nations Importing Purchasing raw materials or products in other nations and bringing them into one’s own country Copyright © Cengage Learning. All rights reserved.

Top Ten Merchandise-Exporting States Source: http://www.ita.doc.gov/td/industry/otea/state/2005_year_end_dollar_value_05.html, accessed September 15, 2008. Copyright © Cengage Learning. All rights reserved.

The Basis for International Business (cont’d) Balance of trade The total value of a nation’s exports minus the total value of its imports over some period of time Trade deficit A negative (unfavorable) balance of trade—imports exceed exports in value Balance of payments The total flow of money into a country minus the total flow of money out of that country over a period of time Copyright © Cengage Learning. All rights reserved.