Includes all of the business activities necessary for creating, shipping, and selling goods and services across national borders
The selling and shipping of products to another country
The commercial activity of buying and bringing in goods from a foreign country
The movement of goods and services among nations without political or economic barriers.
The ability to produce a product most efficiently given all the other products that could be produced
The advantage that exists when a country has a monopoly on producing a specific product or is able to produce it more efficiently than all other countries.
Also known as outsourcing, where a foreign country produces a private-labeled good to which a domestic company then attaches its brand name or trademark
Occurs when a firm (the licensor) grants a foreign entity (the licensee) the right to produce its product, use its production processes, or use its brand name or trademark in return for a royalty fee on every unit sold
An organization gives another organization the right to use its name and operating methods.
A partnership between a domestic firm and a foreign firm or government to undertake a major project
Foreign Direct Investment
Practice of buying permanent property and businesses in foreign nations.
A company owned in a foreign country by another company, called the parent company.
Balance of Trade
The difference between a country's total exports and total imports
When a country imports more than it exports
Selling products in a foreign country at lower prices than those charged in the producing country