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international trade is when companies from one country sell their products or services in other
countries. for example the uk produces cars, machinery, oil, and chemicals which it exports tooverseas markets. others british exports include services like banking and travel. These earn
foreign currency for the uk. imports to the uk include cars, food, and electrical goods.
many companies setup subsidaries overseas, either for manufacturing or for distribution or both.
these companies are called multinationals- shell, fords, and sony are examples. most
multinational companies " thinkglobal and act local". this means that they try to understand and
cater for the needs of every market they sell in.
international trade means there are more companies competing with each other tosell their
products. this means lower prices, wich is goods for customers because they pay less and have
more choice. producers, however, make less profit. multinational companies often look for waysto reduce their costs, foe example, by manufacturing their products in countries where labours
costs are cheap.
changes in the exchange rate can make a company more or less competitive. theexchange is the
amount of one currency needed to buy anoyher currency. for example in 2002. one british pound
bought about 200 japonese yen. so the exchange rate was 1200 if the exchange rate rises.exports
become , more expensive, so companies become less competitive.

comercio internacional es que las empresas de un país venden sus productos o servicios en otros
países . por ejemplo, el ReinoUnido produce automóviles , maquinaria , petróleo y productos
químicos que se exporta a los mercados de ultramar . otras exportaciones británicas de servicios
como la banca y los viajes. Estosganan divisas para el Reino Unido. importaciones en el Reino
Unido incluyen automóviles , alimentos, y productos eléctricos .
muchas empresas establecieron Filiales en el extranjero, ya sea para la...