International Business And Accounting Essay Example | Topics and Well Written Essays - 2500 words

International Business And Accounting - Essay Example The consumers across the globe have expanded choices in terms of services and commodities available in the market. The international trade volumes have spurred economic growth and development in third world countries and this is reflected in terms of expanded business opportunities, increased employment and improved wages. The diversity in market structures, financial environment, cultural practices, consumer behavior, and industry trends present risks and challenges to international companies. Trading in goods and services in such conditions assume new complexities that can restrict the potential of growth and development (Evenett & Hoekman, 2006). Based on these observations, the paper provides an in-depth assessment of the implications and impacts of free-trade agreements from the differing perspectives of business, consumer, worker and society. The subsequent sections highlight the pros and cons of free trade agreements and how it impacts each section of the society and economic framework. Problem Identification and Analysis International trade and economic cooperation has been driven by government initiatives and international communities that frame their decisions on the inputs from private sector. Regional trade communities and bilateral trade agreements facilitate trade and investment through improved transparency, removal of non-tariff barriers, market liberalization policies, establishment of trading norms and standards, and improved bilateral understanding to support trading in services (ASEAN-China report, 2001). While globalization of economies and market liberalization practices have defined new opportunities for unrestricted trade and commerce between countries, regional trade... This essay stresses that global trade is beneficial for kinds of economies, whether developed or developing. Producers’ benefit from selling their goods in international markets generating higher revenues and consumers benefit from expanded choices of products available in the market. The international trade can help reduce poverty levels and erase income inequalities in developing economies promising improved standards of living. The international trade is regulated through a set of rules that the governments of the countries have created over the years. The poorer countries have restricted access to markets in developed countries due to the imposition of various trade barriers and agricultural subsidies. This paper makes a conclusion that markets have become more volatile as a result of global impacts and this has created the need for changing strategies in business operations and tactful government intervention to insulate the country’s economy from harmful economic effects. Monetary and fiscal policies are highly instrumental in regulating the country’s economy and creating market stability. The key strategic focus of governments while formulating trade agreements should be on eliminating trade disparities and establishment of norms that define quality of products and services delivered to the end consumers. The developed economy must focus on ensuring a fair trade practice that helps in reducing trade barriers and any form of economic exploitation.