International trade
This unit covers the competencies required to demonstrate the understanding of international trade. It involves meeting the global economics, geopolitical factors influencing trade, supply chain management, International finance, Impact of technology on cross boarder transactions, Understanding trade agreements, cultural considerations in business and sustainability in global commerce
ELEMENTS AND PERFORMANCE CRITERIAo
ELEMENTS
PERFORMANCE CRITERIA
1. Meet global economics
1.1 Identify, reduce and eliminate tariffs,quotas and other trade barriers
1.2 Identify ways to encourage foreign direct investments (FDI)
1.3 Identify methods of promoting economic integration
1.4 Identify procedures of developing global value chains
1.5 Identify and apply digital technologies in international trade
2. Understand geopolitical factors influencing trade
2.1 Identify main geopolitical factors like political stability, government policy, trade agreements, military conflicts and geographical locations
2.2 Research and analyze how political stability influences international trade
2.3 Research and analyze how government policy influences international trade
2.4 Research and analyze how trade agreements influence international trade
2.5 Research and analyze how military conflict and geographical location influences international trade
3. Manage supply chain
3.1 Understand the basics of supply chain management
3.2 Identify key components of supply chain
3.3 Recorgnise challenges of a supply chain in international trade
3.4 Develop strategy for the managing supply chain in international trade
3.5 Implements the strategy and monitor it's effectiveness
4. Conduct international finance
4.1 Employ various methods of international finance used in international trade
4.2 Carryout open accounts
4.3 Carryout documentary collection
4.4 Carryout documentary credits
4.5 Carryout adverse payment and consignment
5. Establish impact of technology on cross -border transactions
5.1 State types of technology used in cross- border transactions
5.2 Lists benefits and drawbacks of each technology in the context of cross- border transactions
5.3 Analyze the impact of each technology on the benefits and drawbacks
5.4 Compare and contrast the impact of each technology in cross-border transactions
5.5 Give recommendations on use of technology in cross-border transactions
6. Demonstrate Understanding of trade agreements
6.1 Identify key concepts in trade agreements
6.2 Analyze economic implications of trade agreements
6.3 Consider political and legal implications of the trade agreements
6.4 Evaluate impact of trade agreements on social and environmental factors
7. Determine cultural considerations in business
7.1 Research the concept of cultural intelligence and it's importance in understanding cultural considerations
7.2 Investigate role of cultural norms and values in business interactions
7.3 Explore impact of language and communication styles on business interactions
7.4 Examine influence of cultural context on business practices and strategies
7.5 Consider the importance of cultural sensitivity and adaptability in business
8. Demonstrate sustainability in global commerce
8.1 Define concept of sustainability in global commerce
8.2 Explain key principles in global commerce
8.3 Discuss benefits of incorporating Sustainability in global commerce
8.4 Analyze the challenges and barriers to implementing sustainability in global commerce
1. Definitions of international trade
1.1. Types of international trade
We have three types of international trade
Export trade - When goods manufactured in a specific country are purchased by the residents of another country
Import trade -
Entreport trade