A major factor in globalization is interdependence. Interdependence occurs when a community with another community for resources or goods. Sometimes, two countries will decide to share resources. For example, one country may have a steady supply of raw but they don't have the industry to make finished products. They have the option of trading their raw materials with another country to get the finished products they need. These relationships are commonly referred to as free trade agreements. Free trade agreements are the exchange of goods without trade barriers, such as taxes, between nations. Because of free trade, are able to buy higher-quality goods for lower prices. This results in businesses having to compete with other international companies to make the most money.