Triangular trade means trading through a third party. There is no direct exchange between two trading partners. Instead, dealers buy the goods from an overseas market and sell them in the home market to the consumer. They are, therefore, an intermediary between the manufacturer and the consumer and make a living form the profit made by selling the goods. The term triangular trade is often associated with the trading of slaves in the 18th century: Europeans travelled to Africa with goods like weapons, cloth, salt, bought slaves in return, and sold them in America in exchange for cane sugar products such as rum.
Friday, 20 September 2013
What is triangular trade?
Triangular trade means trading through a third party. There is no direct exchange between two trading partners. Instead, dealers buy the goods from an overseas market and sell them in the home market to the consumer. They are, therefore, an intermediary between the manufacturer and the consumer and make a living form the profit made by selling the goods. The term triangular trade is often associated with the trading of slaves in the 18th century: Europeans travelled to Africa with goods like weapons, cloth, salt, bought slaves in return, and sold them in America in exchange for cane sugar products such as rum.
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