Monday, January 17, 2011

“What is difference between international business and international trade?

"Business"  is the whole spectrum of dealings in which people and companies engage - it is generally boiled down to the exchange of goods and services for money or other goods or services.

Business is a term used for all the activities performed by a business enterprise. This includes three basic activities of buying, manufacturing and selling. In addition a business may carry out additional activities such as product design, advertising and financing. Based on this basic meaning, the word business may also be used in several related ways such as a firm or enterprise in business activities, the overall state or performance of such firm (for example, "how is business?"), and group of firms or their activities connected with a common product (for example, automobile business).

“Trade” is technically the exchange of good for money or other good.

Trade is referring only buying and selling activities, which form a part of business activities. The word trader is often used to describe business firms, such as wholesalers that are primarily engaged in buying and selling activities. Also the word trading is used more often to describe buying and selling activities involving large quantities between traders rather than selling to retail customer. Usually imports and exports involve buying and selling of large quantities between traders, and therefore it is more common to use term trading for such activities.

For instance a manufacturer of something is engaged in trade, the lawyers and accountants who supply that manufacturer their services are engaged in business - and it doesn't matter if it all happens within one country or if it is international - nowadays a company's accounts might well be handled by someone in a different country.

Now, for this blog and the domain name we picked “International Business Expert” we will focus mostly on business side of trade. One other way saying it is we will deal with trade issues, solutions with better business perspective. We will often discuss about exchange of goods, money and services based on industry, economy and country with business point of view. We will often talk about how to find a fine answer with right tools that will help us grew our businesses and reach our goals by doing it legally- ethically and effectively.

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