Final answer:
The 'TRIAD' refers to dominant regional trading blocks composed of the EU, USMCA, and East Asia's ASEAN with APEC. Countries join these blocks to access larger markets, reduce trade barriers, and gain collective bargaining power. These blocks facilitate more integrated regional economies beyond global agreements like GATT and WTO.
Step-by-step explanation:
In light of the rapid changes in the global business environment, countries are forming regional trading blocks in order to improve their economic cooperation. The 'TRIAD' of regional trading blocks refers to major groupings in Europe, North America, and East Asia that dominate trade. Specifically, these are the European Union (EU), the United States-Mexico-Canada Agreement (USMCA), and the Association of Southeast Asian Nations (ASEAN) along with the Asia-Pacific Economic Cooperation (APEC).
Countries are interested in joining these trading blocks for several reasons. Participation in trading blocks allows countries to access larger markets, enjoy reduced tariffs and trade barriers, and attract foreign investment. Importantly, these agreements provide countries with a stronger collective bargaining power on the global stage and protection from regional economic fluctuations.
Trade agreements like the General Agreement on Tariffs and Trade (GATT), and later the World Trade Organization (WTO), have encouraged the reduction of trade barriers globally. Yet, regional trading blocks provide additional economic integration that can lead to greater economic growth and stability within their respective regions.