International Business Concepts

Front

Domestic Business

Back

Business activity that occurs within a country’s own borders.

Front

International Business

Back

Business activity needed for creating, shipping, and selling goods and services across national borders.

Front

Absolute Advantage

Back

A country can produce a good or service at a lower cost than another country.

Front

Comparative Advantage

Back

When a country specializes in the production of a good or service at which it is most efficient.

Front

Imports

Back

Items bought from other countries.

Front

Exports

Back

Goods and services sold to other countries.

Front

Trade Surplus

Back

A country exports more than it imports.

Front

Trade Deficit

Back

A country imports more than it exports.

Front

Balance of Payments

Back

The difference between the amount of money that comes into a country and the amount of money that goes out of the country.

Front

Exchange Rate

Back

The value of a currency in one country compared with the value of currency in another country.