1.Mobility in Factor Of Production

• Domestic Trade: Free to move around factors of production like land, labor, capital and labor capital and entrepreneurship from one state to another within the same country

• International Trade: Quite restricted

2.Movement Of Goods

• Domestic trade: easier to move goods without much restrictions. Maybe need to pay sales tax,etc

• International Trade: Restricted due to complicated custom procedures and trade barriers like tariff, quotas or embargo

3.Usage of different currencies

• Domestic trade: same type of currency used

• International trade: different countries used different currencies

4.Broader markets

• Domestic trade: limited market due to limits in population, etc

• International trade: Broader markets

5.Language And Cultural Barriers

• Domestic trade: speak same language and practice same culture

• International trade: Communication challenges due to language and cultural barriers