The Benefits and Problems of International Trade in Context of Global Crisis

Abstract

The undertaking of this study is to analyze the different benefits and problems of international trade and how this industry is affected by the global crisis. The advancement of information technology in terms of communication has changed the business environment and trade industry. Numerous benefits can be obtained by participating in the international trade industry and the WTO extends their policies and implementation of the agreement to fairly accommodate all participating countries. This article intends to investigate the three major factors affecting the trend in the marketing and trade industry over the years due to the changes in business environment. These changes are mainly caused by the development of information technology, globalization and the power of concentration among countries. The problem, however, arises when the top players in the trade industry control these policies and misunderstandings from critics give in to the argument of fairness in trade transactions. This article also discusses the prediction of global exchange rate in the following years and the cause of the global financial crisis. The different losses and bailouts for US and European countries is analyzed and its effect on the international trade industry and the author suggests possible solutions for the betterment of the trade industry in general.