world Trade define

In the evolving world of global trade, businessmen, investors and those interested in trading must understand the terminology used in this field accurately and clearly. The Dzena Platform addresses this challenge by gathering everything you need to know about international trade terms in one place.

In this special and exclusive article, we will discover together the world of global trade and highlight the key terms that you should be familiar with. We will discuss concepts such as exports, imports, competitive advantage, trade agreements, trade barriers and many more.

We will provide you with a comprehensive and simplified explanation of each term in an easy-to-understand manner. In addition, we will provide you with practical examples and applications that will help you relate the terms to reality and understand how to apply them.

If you would like to have a comprehensive view of the concepts of global trade and its modern developments, then look no further, as we here at “The Dzena” are ready to take you on this exciting journey and provide you with all the information you need to achieve success in the world of global trade.

Basic definitions of international trade terms

• Global Trade: Global trade is the exchange of goods and services between different countries and economic regions. This is done through imports and exports, and these exchanges include trade exchanges between developing and developed countries and also the exchange of goods and services between international companies.
• Trade: refers to the process of buying and selling goods and services between countries. Countries typically include their imports (goods and services they buy) and their exports (goods and services they sell).
• International commercial contracts: Contracts that include agreements between companies or individuals in different countries to regulate and detail the terms and details of a commercial transaction. These contracts aim to regulate the rights and duties of the parties and determine the foundations of commercial cooperation between them.
• Trade protection: These are measures that countries may take to protect local industries and products from competition with foreign goods and services. These measures include the imposition of tariffs, non-tariff barriers, export controls and trade embargoes.
• Trade Balance: It is the value difference between exports and imports of a particular country during a specific period of time. If the value of exports is greater than imports, the country has a trade surplus, and if imports are greater than exports, the country has a trade deficit.
• Trade Protectionism: It is an economic policy aimed at protecting a country's domestic industry from external competition by imposing customs duties and other trade restrictions on imports.
• International Trade Standards: It is a set of rules, standards and agreements that specify the technical, health and environmental conditions and standards to which goods and services traded across international borders must adhere.
• Free Trade Agreement: It is an agreement concluded between two or more countries that stipulates the removal or reduction of customs duties and trade barriers between them. The aim of these agreements is to encourage trade and stimulate economic growth among the contracting countries.
• Exports: Refer to goods or services that are sold from one country to another. Exports are considered an important part of global trade and contribute to strengthening the national economy of producing countries.
• Imports: Refers to goods or services that are purchased from another country and imported into the importing country. Imports are an essential part of global trade and meet the needs of the internal market.
• World Trade Organization (WTO): It is an international organization that aims to promote economic growth and global trade and resolve trade disputes. The WTO is the body responsible for preparing international laws and regulations related to global trade and dealing with trade disputes between countries.

Importance of Incoterms

Incoterms are one of the most important factors affecting the success of international business. It helps traders understand international trade laws and procedures and provides them with a legal and grammatical framework to deal with their trading partners around the world. Using international trade terms correctly contributes to improving the efficiency of operations and reducing potential risks, so that traders can achieve sustainable success in the global trading market.

The economic impact of Incoterms

Incoterms have a significant economic impact on national businesses and economies. It helps in promoting trade and increasing the volume of foreign direct investments, leading to economic growth and job creation. In addition, international trade terms contribute to improving the balance of payments and promoting fair competition between countries. Therefore, it is important for traders to have a good understanding of these terms and use them correctly to promote business success and promote global trade.

Emphasis on studying international trade terms

To enhance understanding of international trade terms, traders should make sure to study these terms extensively and thoroughly. You should devote time and effort to becoming familiar with the meanings and uses of these terms, as well as to understand the different contexts in which each term is used. This will help in avoiding possible confusion and hassles while dealing with global trade on the Dzena Platform.

Understand international trade terms on the Dzena Platform 

Understanding international trade terms on the Dzena Platform plays a crucial role in achieving success in the world of international trade. Traders should familiarize themselves with the conventions used on the platform and how to use them correctly. Provides a Daze Powerful resources and tools for understanding these terms, such as educational materials and technical guidance. By understanding these terms, traders can improve their ability to make informed decisions and increase their chances of success in global trading.