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By Edgar P. Hibbert (auth.)

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Conclusions Both conceptual and empirical aspects of international trade have been explained in this chapter as a foundation to build an understanding of how trade policies of governments influence business opportunities. Key economic regions of the world have been profiled to show opportunities for trade, and the chapter has included a statistical analysis of trade patterns by region, industry sector and commodity. It is clear that market access and stimulation of demand are the keys to sustained international expansion for the company.

Inflation and foreign trade flows, which were previously fixed by bureaucrats in annual plans, are now heavily influenced by fiscal, monetary and exchange in most East European and CIS countries. This is a consequence of comprehensive deregulation of prices and trade which was implemented in many of these countries as early as 1989/91. In inter-country trade, the Czech and Slovak Republics, Poland and Hungary, South Eastern Europe and the Baltic States have seen their trade with Western market economies more than double in dollar terms since 1989, facilitated in most cases by competitive exchange rates and Association agreements with the European Union.

6 National government's effort to stimulate exports N N International trade • Inter-country trading and market access • Recent developments 23 Developments in inter-country trade in recent years have brought about both opportunities and problems for the international trading company. Opportunities have occurred in terms of increased demand for traded goods as exports, but problems have arisen in terms of increased competition (particularly price competition) from newly-industrialising countries (NICs) such as South Korea, Taiwan, Hong Kong and Singapore.

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