North America Free Trade Agreements

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dra Rico 4321-002 IP #1 North America Free Trade Agreement- the goal is to eliminate tariffs on bilateral trade between Canada and the United States by 1988. This was followed in 1991 by talks among the United Stated, Canada, and Mexico (271). The North American Free Trade Agreement is extremely important for the U.S. since trade with NAFTA has unlocked many opportunities for millions of Americans who support jobs and exports that are made in America. The prices for exporting and importing qualifying products were significantly higher and NAFTA made it possible to reduce tariffs that caused purchases between the Mexican and Canadian goods to become easier. The low tariffs make trading easier among the three countries. Along with increases of trade between these countries, NAFTA also made it possible for more employment opportunities to arise, whether in Mexico or in the U.S., which lowered unemployment rates as well as poverty in those countries. Most importantly, it created jobs for the American worker. This concept will be useful in a top manager’s organization since there are many opportunities to open a smaller business in a Latin-speaking nation. If my organization consists of computer software then I know NAFTA will ensure that I have the protection of intellectual property rights. Along with that I will have better access to materials, technology, investment capital, and cheaper goods available across North America. The market access also makes it possible to encourage the business to become more competitive and more efficient. International business can greatly relate to NAFTA, a business can choose to focus on trading where businesses can protect their own free markets within their own borders that help make countries... ... middle of paper ... ...s opportunities that caused it to become the leading producer of quality beer. Modelo, Corona has ranked first among the imported beers. As a result of NAFTA, Modelo companies are able to import barley duty-free from the United States and Canada. In fact, when NAFTA was enacted barley increased significally that caused growing beer exports. With the NAFTA partnership the supply chain to and from Modelo’s brewing plants in Mexico, have pushed growers and producers across North America. Thanks to open borders and the easy movement of goods, NAFTA allowed an agreement with a Canadian brewery to improve distribution to that country. Modelo has been very successful and will continue to increase its exports to the United Sates. Budweiser is trying to sign NAFTA, but even if they do, it will cost more than Modelo Corona in Mexico. Corona will continue to outsell Budweiser.

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