International Trade: Challenges and Benefits - Essay Sample

Introduction

In today's business world, the business environment is highly competitive, and international trade plays a significant role like never before (McLean, 2017). These days, the increased number of sanctioned countries has made it challenging for international trade in some developed and developing countries. It is essential for different countries to trade since trading ensures the provision of employment, improving standards of living, and it enables consumers to have benefits of obtaining a variety of goods; due to these, sanctions have created a massive threat for countries in terms of both socioeconomic and economic issues (McLean, 2017). Countries which attempt to gain trade recognition internationally need to be aware of sanctioned countries and must have functional associations with the United Nations and the United States since it imposes a lot of sanctions. Countries like Turkey could incur a lot of problems if they disregard established sanctions since many of the countries neighbor like Iraq, Syria, and Russia and China that it has long-lasting trading relations with have been sanctioned (Lektzian and Biglaiser, 2013). To have good relationships with major countries, Turkey will need to be aware of sanctioned countries and what their trade limitations are.

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This paper focuses on analyzing and identifying how Turkey can keep and improve its current international trading with sanctioned countries, without having problems with the United States and the United Nations, since the country keeps importing and exporting with these countries, by looking at the limitations caused by sanctions when the current economic and political situation of Turkey is considered. Also, the paper will look into how Turkey can manage its associations with sanctioned and sanctioner countries without conflicts, primarily due to its recent sanction and removal by the United States.

Limitations Caused by Sanctions

Many economic sanctions fail because they can hardly accomplish most of the different objectives, and also due to the frequent intractable impediments which prevent success (Miyagawa, 2016). Policymakers, as it was the case with Turkey, tend to employ sanctions too fast or remain too committed to diplomatic strategies that are sanctioned based, making some of their bad situations worse, and forgoing opportunities that could make their adverse conditions better. The United States employs most of the economic sanctions to encourage democratization, to eliminate unfair trade practices, to disrupt conflicts, and to stop most abuses of human rights.

Economic sanctions can be utilized efficiently as targets to organizations, individuals, government agencies, or entire countries. For the United States, for instance, economic sanctions could hurt their goals, hence, their targets are required to possess some economic dependence upon some constituents it can influence upon America (Miyagawa, 2016). Sanctions are imposed to alter some policies that could adversely lead to economic sanctions to countries that do not have the power to influence the policies. Another limitation of sanctions is that political leaders can use economic sanctions to crack down on dissidents and gain more control within their regime (Miyagawa, 2016).

Most economic sanctions have been imposed for their symbolic values, due to them having weak records of success, while others might create unintentional consequences which could clash with the goals which the sanction was designed for. The most felt challenge about economic sanctions is that they hurt the economies of the countries and states that have imposed them and also their targets (Davarzani, Zanjirani, Farahani, and Rahmandad, 2015). Sanctions that have been aimed to restrict trade and financial associations tend to disrupt profitable commercial chances for companies in sender states (Miyagawa, 2016).

The current collapse of Turkey's currency has indicated its vulnerability to economic crises. Turkey experienced significant loses in its Turkish Lira almost a third of its value relative to the United States dollar in less than a month; this affected Turkey primarily mainly since the country depends mostly on foreign goods, that includes clothing, gasoline, furniture and food ("Turkey's currency collapse shows just how vulnerable its economy is to a crisis," n.d.). The current crisis in Turkey was a sanction by the United States, which the administration by Trump imposed after refusal by the country to hand over a detained America pastor. Turkey reacted to the sanction by doubling tariffs on most goods, including alcohol and American cars.

In past years, Turkey had experienced political instability. Still, today's most significant problem has been investing in too much authority on a single politician, that cannot see the countries crisis for what it is. The administration in Turkey has doubled down on blaming the United States for its predicaments and of an economic coup, rather than addressing any weaknesses in its economy ("Turkey's currency collapse shows just how vulnerable its economy is to a crisis," n.d.).

Managing Associations With Sanctioned and Sanctioner Countries Without Conflicts

The country of Turkey can make use of economic sanctions to maintain relationships with other countries without conflicts (Avramenko, Vlasov, Lukyanov, and Temkina, 2018). Since the end of the cold war, the world has experienced interstate and civil violence, which has reduced hopes for a peaceful post-cold war world. Conflicts between states and countries usually threaten the interests of the most industrialized nations and developing societies. The economic situation that Turkey is currently in could compromise a humanitarian disaster which the international organizations and advanced industrial countries have been morally obligated to address (Avramenko et al., 2018). The conflicts between Turkey and the United States could widen in such a way that it will engulf others, and ensnare states far from the initial conflict. Through the use of force measures, Turkey can hardly succeed in preventing disputes and managing sanctions; since, the United States being the world's most significant superpower, its support is essential for the success of the military operations of Turkey.

From the time of the Vietnam War, citizens in the United States became reluctant to offer their military support overseas, a feeling that could be utilized in future to widen the existing regional conflicts; based on these, economic sanctions are the most reliable alternative since they are the most influential instruments of policymaking. Many studies have argued that economic sanctions are ineffective and that their rates are declining (Rasoulinezhad, 2016). However, the price of the success of economic sanctions is only measured by the ever standards of the most expected performance.

Effectiveness of sanctions has been underestimated through its narrow definitions and its purposes in foreign policy including; That sanctions are imposed to encourage the target to change their behavior, imposing sanctions weaken the target and makes it less vulnerable to trouble and by punishing the target, sanctions prevent others from making the same trouble; and since sanctions have been seen based on these policies, their power to achieve results can hardly be identified (Portela, 2016).

Turkey can reduce or terminate bilateral foreign assistance because it costs nothing, and it provides domestic political gain and a net economy. Some financial sanctions, including halting and slowing of support and freezing of assets, hardly impose any significant costs on senders (Barazandeh, Rafieisakhaei, Moosavi, and Bastani, 2016). Trade sanctions aid some internal businesses through the provision of protection from foreign competition. By imposing its sanctions with extensive international cooperation, Turkey will avoid costs paid by its businesses that include a considerable loss in market share to its foreign competitors. The costs of a sanction are absolute when it has widespread international support. The values are quite relative when the country only imposes unilateral sanctions, and only a few states participate, making the businesses of the nation to lose market share to foreign competitors (Yang, Askari, Forrer and Zhu, 2009). The cost of imposing sanctions on senders is smaller as compared to the cost of using threats and force. Moreover, sanctions have always had the most apparent advantage of imposing fewer risks to soldiers in the United States.

At all stages f incorporation, economic sanctions are affordable and less costly. The economic sanctions require stockpiling of goods and preparation to utilize forces, including; training, recruiting, maintenance, and arming of the military. Turkey needs to identify that there most recent conflicts with the United States are internal; the disputes can result in serious risks and costs to the world peace. The threat of economic sanctions can aid in averting the scenarios of other countries intervening in a civil war, and that of a war widening to include other states (Ustun, 2010). When Turkey applies an international coalition, the case of intervening in a civil war by other countries is prevented, since the nation will threaten tough sanctions against any outside powers that intervene, and by ensuring that no other states experience attacks. Application of a sanctioning coalition could succeed if its assistance or its trade is vital to an aggressive war effort or its efforts of rebuilding after a war.

It will be easier for Turkey to identify when and where war could arise if its leaders keep in mind that interstate conflicts hardly arise without an alarm. Predicting the states that will be most likely to be involved in the sanctions war is easy since the most obvious candidates are former colonial powers, neighboring countries, apparent candidates, and superpowers (Ustun, 2010). To maximize the effectiveness of sanctions, Turkey rulers will need to follow four rules, including; imposing total and complete sanctions, immediately, through gaining of the necessary cooperation of critical states and by demonstrating resolve in their memberships. Total sanctions have been seen to achieve results in some countries like Yugoslavia, Iran, Haiti, and Iraq; hence policymakers in Turkey could utilize the available full range of economic instruments that includes a combination of financial sanctions and aids (Portela, 2016).

The practice of economic sanctions is not new in international trade relations, but the 20th century has been particularly abundant in the sanction episodes (Caruso, 2003). Based on the global trading associations involved by Turkey, it is clear that a sanctions effort requires as many states as possible. It is critical that the country secures the assistance of most significant trading partners that are targeted by the United States, and secure substantial donors since the United States contains substantial economic interactions with the trading associates (Caruso, 2003). Since the gaining of cooperation will be difficult because they might also lose their economic sanctions in the process, Turkey will need to offer compensation to the United States and the United Nations for the loss of revenue. The country needs to ensure the sanctioned countries that it will keep future sanctions in place until peace is obtained, an essential aspect since sanctions take a lot of years to attain results (Portela, 2016).

Freezing assets and federal aid can prevent deadly conflicts from conditionally. The country can raise the possibility that frozen assets could be lost forever, making court decisions to avoid future dictators from taking further steps that would make their assets t...