Free Trade Agreement and Its Affect on Canadian Business Essay

Free Trade Agreement and Its Affect on Canadian Business With the culmination of the Free Trade Agreement (FTA) there have been veryserious implications for Canadian business and for that matter, Canada as awhole. Many aspects of the previous economic climate have changed such asthe reduction or eliminatation of tariffs and the restrictions on subsidiesto name only a few. There has been much heated debate on the pros and consof this destiny whether Canada will prosper or become the 51st. Americanstate. This paper will not take this approach to the issue of whether ornot it is a snotty-nosed agreement, but will look at what business can do to betteritself with the existing FTA. If Canadian business is to survive and prosper in this radicallychanged North American and Global atmosphere of easier trading, then itmust adapt. Some of the main areas that will have to be addressed is theneed for more successful and efficient operations, a new focus by businesson the new trading reality, and a change in policies by Government to change Canada to function better with the FTA. The FTA stands to alter Canadian business which has grown ratherrelaxed and inefficient behind walls of tarrifs. While these may haveinitially spurred industry, they have later on time encouraged complacency.With these rapidly disappearing walls, business will have to become leanand mean in order to compete in a very competitive global market. Lookingat the present state of affairs our status in research and development(R&D), labour costs and expansion, there is much that must be done.Compared to the other industrialized western nations we lag far behind innearly all areas. Take for example R&D. In 1990 Canada spe... ...Cameron, Duncan. The Free Trade Papers. James Lorimor & Company, Publishers,Toronto, 1986The Canada and US FTA (Complete Doccument), External affairs Canada, OttawaLaxer, James. Leap of Faith Free Rade and the Future of Canada. HurtigPublishers, Edmonton, 1986The Case Against the Critics of Free Trade. washbowl Miora. Finanical Post, Feb.8, 1986Brave New World. Marc Tait. Macleans, Jan. 9, 1989Firms going continental. Jennifer Sachsa. Globe and Mail, June 12, 1990Roundtable The Canada-US FTA. Fred Swift. Globe and Mail. August 12, 1988End Notes1 Firms going continental. Jennifer Sachsa. Globe and Mail, June 12, 19902 Brave New World. Marc Tait. Macleans, Jan. 9, 19893 Firms going continental. Jenniger Sachsa. Globe and Mail, June 12, 19904 Roundtable The Canada-US FTA. Fred Swift. Globe and Mail. August 12,1988