Is trade value free? argue your case with pro's and con's
No, the trade value is not free. There is cost of time, communication, geopolitical risks, taxes and money is involved in exchange of goods and services. The risk of daily changes in exchange rates of currency affect the accounting entries for sales and purchases of firms involved in international markets. These fluctuations may create either gains or losses for particular companies. Furthermore, there is a cost of cultural (civil unrest, strikes, etc.), environmental (natural disasters), and mechanical (poor maintenance, obsolete equipment, etc.). However it yields the maximum strategic benefit for the business with the combination of the best talent, cost structure, infrastructure, etc with the minimum risk.