Final answer:
Exporting is the act of selling domestically produced goods in a foreign country. This business activity contributes to international trade and globalization, allowing countries and companies to access wider markets and enjoy the benefits of economies of scale and competition.
Step-by-step explanation:
The selling of a product that has been produced or grown domestically in a foreign nation is known as exporting. This is a crucial part of international trade and a key aspect of globalization, allowing countries to expand markets for their goods and services beyond their borders. For instance, Table 1.2, from The World Bank, illustrates how exports are a significant share of total economic production for various countries, indicating their engagement in international trade.
When a company in one country sells its domestically produced goods to a buyer in another country, it is engaging in exporting. This can lead to economies of scale even for smaller economies because they have access to larger, global markets which can increase production efficiency. Additionally, the competition and variety introduced through international trade can benefit consumers and producers alike.