Even though, international trade is doing very well these days, there lies a challenge at every step. With increase in competition, international trade is subjected to many challenges. Challenge of international trade may be psychological, infrastructural, physical. The challenge of international trade and other associated information and guidelines are usually made known in the trade policies.
However, every possible step can be taken to overcome the challenge of international trade. The three types of challenges mentioned affect the economy at the enterprise and micro levels. When we use the term competitive, it means, competing by following a set of rules laid down for international trade and the capacity to rise up to the increasing demands of the market.
No matter, what hindrances are faced by international trade, trade liberalization has to a great extent nullified the negative impacts of the challenge of international trade.
In addition to the trade associated challenges in international trade, a new challenge, which is lurking large, and had practically devastated the United States of America, is the fight against terrorism.
After the terrorist attacks on the World Trade Center, there was global economic slowdown. International trade suffered massively. There were tremendous fluctuations in the exchange rates. Starting from anthrax attacks to the terrorist attacks on Sept 11th, the trade scenario worldwide has changed dramatically since then.
In order to overcome the challenges faced by the international trade market, several measures can be adopted. With regard to shipments, export and import of commodities, if the shipment can be traced in real time, loss worth several million dollars can be prevented.
International trade involves many countries. Every country is expected to abide by certain norms, which govern the logistics in international trade. The economic condition, political make up of a particular nation is never constant. In the event of an unforeseen event, taking place in any country, the trading partners are also effected to a great extent.
Last Updated on : 18th July 2013