International Trade today has become the most important role in today’s economy. Trade is an exchange of good, services, assets or money between two countries or resident. However, what countries usually do is pay for goods and services from another country. (Heakal, 2004). The goods can be things like electronics, food, clothes and other. Services is a job or business that a country does for another for example, and mechanic putting all the pieces to the car together is a service. In the International trades there are Good imports and exports coming in and out the countries, which lead to Risk, Opportunities and challenges. For example, there are countries that imports more good from another county than it export to that same country, which
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International trade also face a major factor under political risks is the change that been going on with policy saying there are going to be new government in each company. (Lee E. S. (2013) Although, most countries already have dominant and competition, so with a new government being elected there are some risks that can accrued like the opposition come in to force and the option party can be change. The changes include the exports and imports policy and business relationships with other countries. (Lee E. S. (2013) I also believe when dealing with a global trade change to national trade it is important to treat worldwide trade very careful because they will be risks that has to be faced. International trade have four major risks, which is country risks, financial risks, commercial risks, and cross cultural risks. (Lee E. S. (2013) Country risk is referred to as when there is a change in the business and the company that is doing business can ruin their operation for payment and for imports developed in a financial loss. Financial Risks is the total loss of an organization, this type of risks shows as imbalance and loss in the financial market created by hanged in the interest rate, stock prices and more. The commercial risks is likely to happen kind of loss that arises from the market or the transaction partners. The last, is the cross cultural risks, for example when there is a situation or development where a cultural miss lack of communication will out and individual value at stake. (Lee E. S.
International trade also face a major factor under political risks is the change that been going on with policy saying there are going to be new government in each company. (Lee E. S. (2013) Although, most countries already have dominant and competition, so with a new government being elected there are some risks that can accrued like the opposition come in to force and the option party can be change. The changes include the exports and imports policy and business relationships with other countries. (Lee E. S. (2013) I also believe when dealing with a global trade change to national trade it is important to treat worldwide trade very careful because they will be risks that has to be faced. International trade have four major risks, which is country risks, financial risks, commercial risks, and cross cultural risks. (Lee E. S. (2013) Country risk is referred to as when there is a change in the business and the company that is doing business can ruin their operation for payment and for imports developed in a financial loss. Financial Risks is the total loss of an organization, this type of risks shows as imbalance and loss in the financial market created by hanged in the interest rate, stock prices and more. The commercial risks is likely to happen kind of loss that arises from the market or the transaction partners. The last, is the cross cultural risks, for example when there is a situation or development where a cultural miss lack of communication will out and individual value at stake. (Lee E. S.