The World Trade Organization is a global organization that deals with international trade. It establishes rules and policies that govern how trade should be conducted in the international market (McMichael, 17). He participates in the negotiation of agreements that affect different nations. The main functions of this body are to ensure that the producer has a large market across borders to sell their goods and services and that the buyer (customers) access the international market without many barriers. The body also ensures that service companies that deal with exports and imports carry out their tasks in a professional manner so that there are no delays or the rules that have been set are not violated . The WTO was created on January 1, 1995 to deal with liberalization. global market. This organization replaced an earlier organization created immediately after World War II to address the economic challenges facing the world after the war. These challenges are: unemployment, unfair trade, investment challenges and disputes between different nations. This organization was called the International Trade Organization. It was created alongside other global development agencies, namely the International Monetary Fund and the World Bank. These two countries, namely the World Bank and the IMF, focused on the development agenda and the OIC on trade. However, the ITO did not gain approval from a few countries to become a global organization under the United Nations that dealt solely with trade (McMichael, 22). Lacking global appeal and approval, the ICO went bankrupt and the General Agreement on Tariffs and Trade (GATT) replaced it. Indeed, GATT seems to be an easy way to gain global appeal and it could cope with current events without manipulation from anyone or...... middle of paper ...... unplayable loans. On the other hand, even though the World Trade Organization has been committed and determined to shape the trade NCS for its member countries through policies, it has been extremely difficult as national interests and policies have taken precedence over organizations. This subsequently hampered the organization's quest towards egalitarian development among member states. The concept of FDI has not been fully exploited due to its complexity. It was felt that host countries were the main beneficiaries of FDI at the expense of the investor's country. Profits are reinvested in the host country's economy since investors pay license fees and other fees to host country authorities with little left to reinvest in their home country. This has greatly compromised the concept of FDI (Helpman, 54).