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What type of standard is typically used to enhance trade?

  1. National Standards

  2. Company Standards

  3. International Standards

  4. Consensus Standards

The correct answer is: International Standards

International Standards are designed to facilitate global trade by providing universally accepted guidelines and criteria. These standards help ensure that products and services meet consistent quality and safety requirements across different countries, making it easier for businesses to enter new markets and for consumers to have confidence in the products they purchase, irrespective of their origin. When companies adhere to International Standards, they also benefit from improved interoperability and compatibility of their products on the global stage, thus fostering trade relationships and enhancing the efficiency of international commerce. While National Standards are specific to a country and may not be recognized elsewhere, and Company Standards are internal guidelines that do not have external applicability, they do not provide the same level of global trade facilitation as International Standards. Consensus Standards, which are developed by agreement among various stakeholders, can also aid in trade but typically do not carry the same widespread recognition as International Standards. Therefore, the role of International Standards in enhancing trade is paramount, as they streamline processes and reduce barriers to entry in the global market.