International Commerce

DEFINITION of 'International Commerce'

The buying and selling of goods between sovereign nations. International commerce allows countries to take advantage of competitive advantages in certain areas, while diminishing disadvantages in other areas. To help facilitate international buying and selling among countries, a variety of national and local government agencies have been set up, including the International Chamber of Commerce (ICC).

BREAKING DOWN 'International Commerce'

It is technically different from international trade, only in that commerce generally refers to buying and selling goods and services, as opposed to exchanging them. With businesses becoming increasingly more global, international trade and commerce has grown more and more popular, and has allowed companies in smaller geographical areas to compete against those based in more densely populated regions.

RELATED TERMS
  1. Commerce

    The conduct of trade amongst economic agents. Generally, commerce ...
  2. International Chamber Of Commerce ...

    The largest, and arguably most diverse, business organization ...
  3. Chamber Of Commerce

    An association of businessmen and businesswomen designed to promote ...
  4. Mobile Commerce

    The use of wireless handheld devices such as cellular phones ...
  5. Uniform Rules For Demand Guarantees ...

    A set of rules developed by the International Chamber of Commerce ...
  6. Interstate Commerce Commission ...

    A body within the U.S. Department of Congress, charged with regulating ...
Related Articles
  1. Personal Finance

    Understanding Electronic Commerce

    Electronic commerce is the buying and selling of goods and services over an electronic network.
  2. Personal Finance

    Top Ten US Economic Indicators

    We explain the most important economic indicators for the US economy.
  3. ETFs & Mutual Funds

    4 Ways to Get International Exposure in Your Portfolio

    International investing provides diversification, which is needed these days. When it comes to investing in foreign stocks, there are lots of options.
  4. Markets

    Macroeconomics: International Trade

    By Stephen Simpson International trade is the exchange of goods, services and capital across national borders. It is a multi-trillion dollar activity, central to the GDP of many countries, and ...
  5. Investing

    Commerce Bancshares Rises Ahead of Q2 Earnings (CBSH)

    Wall Street expects the community bank to deliver a year-over-year increase in revenue and a decline in profits.
  6. Investing

    Commerce Bancshares Q2 Earnings Beat, Rev Miss (CBSH)

    The community bank reported mixed second quarter results, resulting in a beat on the bottom line, but a miss on the top line.
  7. ETFs & Mutual Funds

    Getting Into International Investing

    Diversifying can mean not only investing in various asset classes but also venturing beyond domestic exchanges.
  8. Markets

    What Is International Trade?

    Everyone's talking about globalization, so we explain what is it and why some oppose it.
  9. Markets

    How Globalization Affects Developed Countries

    The increase in communications technology has companies competing in a global market.
  10. Financial Advisor

    Tax-Efficient Strategies For International Clients

    In a globalized world, international clients seek to diversify holdings by accessing U.S. markets. Creative strategies will help optimize tax positioning.
RELATED FAQS
  1. Is it possible for a country to have a comparative advantage in everything?

    Learn whether one country can have a comparative advantage in everything and what the difference between comparative advantage ... Read Answer >>
  2. How does the International Chamber of Commerce define the term 'Free on Board' (FOB)?

    Find out more about the International Chamber of Commerce, Incoterms rules and how the International Chamber of Commerce ... Read Answer >>
  3. What effect has globalization had on international investments?

    Learn how globalization impacts international investment and transforms economies around the world. Understand the implications ... Read Answer >>
  4. What is the difference between CIF and an incoterm?

    Learn the difference between CIF and an Incoterm. CIF is one of the 12 Incoterm established in 1936 by the International ... Read Answer >>
  5. Can entities other than banks issue letters of credit?

    Obtaining a letter of credit from a non-bank is legally acceptable according to the ICC, but companies tend to prefer to ... Read Answer >>
  6. What happens when a country focuses exclusively on its competitive advantage?

    Find out what happens when a country intentionally focuses solely on its most competitive factors of production or industries ... Read Answer >>
Hot Definitions
  1. Duration

    A measure of the sensitivity of the price (the value of principal) of a fixed-income investment to a change in interest rates. ...
  2. Dove

    An economic policy advisor who promotes monetary policies that involve the maintenance of low interest rates, believing that ...
  3. Cyclical Stock

    An equity security whose price is affected by ups and downs in the overall economy. Cyclical stocks typically relate to companies ...
  4. Front Running

    The unethical practice of a broker trading an equity based on information from the analyst department before his or her clients ...
  5. After-Hours Trading - AHT

    Trading after regular trading hours on the major exchanges. The increasing popularity of electronic communication networks ...
  6. Omnibus Account

    An account between two futures merchants (brokers). It involves the transaction of individual accounts which are combined ...
Trading Center