Administracion

International trade theory

Trade is a key country for the development of this, growing a business is related to international trade, this allows citizens and organizations that purchase from onecountry to another giving better satisfaction deference of quality products and many benefits for the organization.
One of the advantages of trade is that each country can specialize in themanufacture and export of products that can be produced more efficiently in that country, this makes each country to increase national wealth by the commercialism that trade provides one of the main tools tounderstand the trade and know how to use the surplus is
The surplus is the abundance of something that is considered useful or necessary, but many parents have taught us managing different concepts orstrategies that can manipulate their own benefit or company
For example Adam Smith argued that "a country should produce only bins where it is more efficient, and trade in those products in which itis not efficient, this can be applied in business and more about the famous SMEs, production an organization which is actually increases immeasurably efficient customer response and competitiveadvantage, and the sale of peripheral products related to our production may increase our capital.
Thus international trade is beneficial which also must have an absolute balance, for this balance in thetrade and economy of a country must be knowledgeable in the following factors:
Theory of absolute advantage:
Providing that the ability of a country to produce more of a product with the same amountof input to another country can vary
Comparative advantage:
The efficiency of resource utilization leads to a higher productivity, Ricardian modeled resources can be divided into:
Immobileresources:
The resources do not always move easily from one economic activity to another.
Diminishing returns:
These suggest that after a certain point, and that the more units of a good that produces a...