International trade is defined as the exchange of goods, services and capital between countries and regions. It has been a major driver in the growth of civilization over the past 100 years, helping nations to become more powerful forces in the global economy. America has a long history of trade agreements with nations all over the world and continues to be a key component of ADVERTISEMENTS: Let us make an in-depth study of the need, benefits and disadvantages of international trade. Need for International Trade: In today’s global economy, international trade is at the heart of development. Nations—developed or underdeveloped—trade with each other because trade is mutually beneficial. In other words, the basic motivation of trade is the gain or … As the name suggests, International trade is simply a trade between two or more nations. It is the exchange of good and services across international borders. According to Investopedia, “This type of trade gives rise to a world economy in which prices, or supply and demand, affect and are affected by global events.”