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It is said that the world is becoming increasingly smaller due to improved communications and ease of travel amongst other factors. Companies that are unprepared for global business will be left behind in the coming years. With the global trade, the company could be more aggressive, open-minded and gain more benefit with the higher productivity (larger marketplace) and the exchange rate. Moreover, the competition and the economic are the most companies fight for survival. On the other hand, global trade could help a country be wealthier based on the foreign investors and the benefit of import and export, such as automobile (government gain 60-70% duty taxes from each import automobile). Thus, global trade is the key for the companies and countries to grow with the world.
In global trade, both imports and exports contribute in different ways to the development of a certain economy. For example, Malaysia has an open economy that allows importing and exporting. When a country imports any product it can be because it does not produce it or because it wants to give greater variety to certain areas of the market. …
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