Inter-cultural trading: a brief history
People have been trading goods and services between cultures and over extended distances for over three thousand years. Camels, horses, rowboats, sail boats and, eventually, steam boats, trains, trucks, and aeroplanes are all technologies that have been deployed to extend the network of potential suppliers, customers, and partnerships.
Historically, commercial exchanges between cultures and countries were conducted through bartering and the trading of wares. Egyptians traded spices and aromatics such as incense with the Horn of Africa. Grecians traded spices, knowledge, and beliefs with India. The Chinese traded silks and even religion for goods and services throughout a network of countries including India, Russia, and the Roman Empire.
The modern concept of International trade has existed since the 1500’s due to corresponding advances in distance transportation technologies and the founding of more permanent territorial borders. The trading of furs, gold, and precious metals opened the way for the currency exchange systems that we have today.
Globalization
The term Globalization is today part of our everyday dialect. It includes international trade but extends beyond just that. Globalization is the interdependence of the world economies. Its scope includes cross-border trading of goods and services in addition to the movement of investment, people, principles, and data.
As explored in Lesson 2, technological advancements have established 24/7 real time global communication. This connectivity of communications has greatly increased the ease and scope of International commercial relations and interactions. This globalization, has produced many benefits for global citizens and organizations including:
- Decreased extreme poverty and improved standards of living
- Reduced costs of production
- Decreased consumer prices
- Access to cultural diversity including food, art, music, and philosophies
- Establishment of new markets
- Increased socio, political, and economic standards, transparency and accountability
Culture and communications
The crucial differences which distinguish human societies and human beings are not biological. They are cultural.
Ruth Benedict
Unlock full access by logging in. Registered users can explore the entire lesson and more.