Rising Risks for Global Social Media Firms

Global Business
Environment- CW2

Table of Contents
INTRODUCTION...........................................................................................................................4
MAIN BODY..................................................................................................................................4
Impact on UK..............................................................................................................................4
Impact of China...........................................................................................................................4
CONCLUSION................................................................................................................................5
REFERENCES..............................................................................................................................12

Describe and explain how President Trump’s approach to economic policy impacts upon
foreign economies such as the UK or EU or China.
INTRODUCTION
Donald Trump, president of USA and being president of one of the most powerful
country in the world Trump can impact various economies by his action. This has been proven
correct and President Trump’s economic policies made a significant impact on the foreign
economies such as UK and China. In context of economic policy Trump followed the approach
in which he reduced corporate and individual tax. Trade protectionism was also one of the parts
of his economic policy. The impact his policy made on China is considered as China-US Trade
war. UK also get affected as Donald Trump increased tariff on the products of UK.
MAIN BODY
Impact on UK
UK has been significantly affected by economic policy of Trump. President Trump
decided to rework on trade agreements with EU and this directly affected UK (Noland, 2018).
This is because that time UK was part of EU. President Trump increased 25% steel tariff and
10% aluminium tariff and this affected UK worth £389 million per year. This was definitely not
good for the economy of UK and along with economy and trade of UK also get affected by trade
war of China and USA. UK automotive industry was negatively affected by the trade war.
Decision taken by Trump after Brexit can have positive impact on the economy as earlier export
of food products from US to UK was limited due to high food safety standards of EU. Later US
can increase their export and this will also improve trade relationship of US and UK.
Impact of China
China and US are two largest economies of the world and Trump’s economic policies has
raised a conflict in these two economies of the world. US increased its tariffs and other trade
barriers on the China and goal behind doing this is that US forces China to change its unfair trade
practices. Imposing trade and improving national economy was the motive of Trump and his
policies. This will promote domestic manufacturing in US. This has not just affected China and
US but has also affected other economies of the world.

Policies of Donald Trump are significantly focused on reducing trade deficit of US and this is
why increasing tariffs is also a part of that objective (Ferguson and et.al., 2018). President Trump
mainly focused on improving domestic economy and this is why their economic approach has to
been to increase tariffs, cut down individual and corporate tax and also protect domestic trade.
This is why approach of Trump has been considered non-interventionist and American
nationalist.
This significantly affected China as China is one of the powerful economy and also powerful in
trade and manufacturing capacity.
CONCLUSION
On the basis of above discussion it can be concluded that Trump economic policies which
has been considered aggressive has the main objective of dealing with Trade deficit of US. This
leaded him to take decisions which are for his domestic economic improvement but this also
affected international economy as US had many trade partners. Enhancement in domestic
economy required affecting interest of those economies.