Final answer:
The correct option is 1 , 2, 3). Technological advancements are the most significant factor affecting the international market for industrial goods and services. They drive production efficiency, product quality, distribution pace, and cost, and contribute to globalization through improved communication and transportation infrastructures. Other factors like standardization, industrialization, and foreign exchange policies also influence global trade, but technology leads the way.
Step-by-step explanation:
Among the various factors affecting the international market for industrial goods and services, technological advancements stand out as being probably the most significant. Technological progress affects the efficiency of production, the quality of goods and services, and the speed and cost of distribution, which collectively impact global trade dynamics. Furthermore, advances in technology contribute to globalization by enhancing communication and transportation infrastructure, which further interlinks economic and cultural activities worldwide.
While the degree of standardization and industrialization of a country, as well as its foreign exchange policy, significantly influence international business, technology dictates the pace and scope of these influences. The International Monetary Fund (IMF) has identified the dissemination of knowledge, which is closely linked to technological progress, as a fundamental aspect of globalization, highlighting technology's central role. With each technological breakthrough, the landscape of the international market is reshaped, either by creating new industries or by revolutionizing existing ones.
Technological advancements are therefore pivotal in driving material gains, which is one of the key variables that shapes preferences toward globalization and market liberalization. Educational levels are another critical factor because they determine a nation's ability to engage with and benefit from technological advancements. In conclusion, while several factors play a role in international trade, technological innovation remains the driving force behind changes in the global market.