What is the difference between bilateral trade and multilateral trade?

What is the difference between bilateral trade and multilateral trade Introduction: The Global Trade Landscape Hello everyone, and welcome to our video on bilateral and multilateral trade. In today's interconnected world, trade is the lifeblood of economies. It's crucial to grasp the various trade frameworks that nations employ. Two such frameworks are bilateral and multilateral trade. While both involve international commerce, they differ significantly in their scope and dynamics. Bilateral Trade: A Two-Way Street Bilateral trade, as the name suggests, involves two parties - typically, two nations. It's a direct exchange of goods and services between these two entities. Bilateral agreements are often tailored to address the specific needs and concerns of the involved nations. They can be comprehensive, covering a wide range of sectors, or focused on specific industries. One of the key advantages of bilateral trade is the flexibility it offers, as negotiations can be more targeted and expedited. Multilateral Trade: A Web of Connections