Given the need to increase profits through cost reductions, describe the use of globalization strategies to accomplish this initiative, along with a discussion of the pros and cons of this approach.
• Define and discuss globalization and its impact on international trade.
• Discuss the relationship of the different cultures found in the world to international trade.
• Explain why nations trade.
• Explain the benefits of exporting for small businesses.
• Explain the process of foreign exchange and how it relates to trade between nations.
• List and apply mechanisms used by nations for international trade protection (tariffs, quotas, subsidies, etc.).
• Describe the role of multinational corporations in international trade.
• Define, explain and apply comparative and absolute advantage as applied to trade between nations.
• Discuss the effect of trade deficits on an economic system.