Global trade can significantly reshape domestic economies by altering competition, employment, and prices. While it provides access to a broader market and can lead to lower costs for consumers, it may also result in job displacement and the decline of local industries. This interaction can lead to shifts in the labor market, creating both winners and losers. Additionally, reliance on global supply chains raises concerns over economic vulnerability in times of international crises. Domestic policies may have to adapt, focusing on balancing the benefits of trade with protections for local economies.