Outward Looking Trade Policy in Globalization

Increased Market Access
- Outward looking trade policy allows countries to expand their market access by promoting exports and attracting foreign investments.
- This helps in boosting economic growth and creating job opportunities, leading to overall development of the country.

Promotes Competition
- By encouraging competition in the global market, outward looking trade policy helps in improving efficiency and innovation among domestic industries.
- This leads to better quality products and services, benefiting both consumers and businesses.

Enhances Economic Integration
- Outward looking trade policy fosters economic integration with other countries through trade agreements and partnerships.
- This opens up opportunities for collaboration, technology transfer, and knowledge sharing, leading to mutual benefits for all parties involved.

Reduces Dependency
- By diversifying trade partners and markets, outward looking trade policy helps in reducing dependency on a single market or source.
- This mitigates risks associated with economic downturns or disruptions in supply chains, making the country more resilient to external shocks.

Encourages Specialization
- Outward looking trade policy encourages countries to specialize in the production of goods and services in which they have a comparative advantage.
- This leads to higher productivity and competitiveness, contributing to sustainable economic growth in the long run.
In conclusion, an outward looking trade policy plays a crucial role in promoting globalization by facilitating economic interactions and fostering cooperation among countries. It helps in harnessing the benefits of international trade, leading to shared prosperity and sustainable development on a global scale.