distinguish between foreign trade and foreign investment
Answers
Answer:
Foreign Trade :- Foreign trade is the trade between different countries of the world. It consists of imports, exports . ... It helps in connecting the markets of different countries across the world. Foreign Investment :- Foreign Investment provides an inflow of foreign capital and funds and not goods.
Difference Between Foreign Trade and Foreign investment -
foreign trade vs foreign investmentWith the effect of globalization, the form of the markets has been changed all around the world, as well as it has also changed the way in which business is carried out in the past years. One of the major revolutions, as a part of globalization, is the foreign trade that implies the buying and selling of goods and services, in different countries of the world.
Next, there is one more drastic change as a result of globalization, i.e. foreign investment, wherein the individuals and companies invest their capital in the companies headquartered in another nation.
Both foreign trade and foreign investment brings external capital to the country which triggers the growth of the nation. Let’s take a look at the given article, to understand the difference between foreign trade and foreign investment.