European business Essay Example | Topics and Well Written Essays - 3500 words

European business - Essay Example In addition, reforms are being made in the government policies to allow free trade with various foreign countries that would serve beneficial for the economic growth of the EU countries. Nevertheless, these policies have its negative effects as well if concerned with the sovereignty of the individual member states of the EU. In this paper, the discussion has been focused on critical evaluation of such encouraging and disadvantageous factors related with the free trade network followed within the EU. International trade plays a major role in the economic growth and development of a country. Today, almost every country in the world follows an open economy framework, through which they can import and export goods and services with various foreign countries, to which, UK is also not any exception. International trade in the UK allows the country to gain economic strengths as well as help in their progress to the global competitive environment. Even though international trade helps in the development of the UK economy, although, it has resulted in the loss of local jobs due to higher dependency on various foreign markets. However, the introduction of international trade in the country has helped the organizations and industries of the UK to operate effectively and gain competitive advantages (Crown, 2011). This is fundamentally owing to the efficient manpower, technology and machineries those can be imported from other foreign countries as per the requirements. Moreover, the open ma rket has also augmented facilities to outsource commodities to other countries those have helped it to attain cost effectiveness as well as efficiency in the manufacturing process of industries. The UK is one of the top players in producing palm oil, which has become a profitable business in the country. As per the given case scenario, it can be also be asserted that there is a high demand for palm oil in