Phase 1 - individual project operations management

Phase one - individual project operations management

Introduction

The Importance of Trade

The importance of trade and its true meaning for an organization goes far beyond the words of imports and exporting of goods and services. Exporting enables Canadians to sell of their goods and services in monitory return or in trade of goods and services of other country (Caliendo & Parro, 2012). However, most of the jobs created are being supported by the trading of goods and services in Canada, that is related to those associated with the production of goods and services, and in some way to individual that are known for providing supporting activities to manufacturing companies.

In addition to this, exports provides various other benefits to the country which are intangible in nature, for example, exports in general term mean additional construction ahead of the actual requirement of domestic market that permit economies of scale in construction and reduction in production cost for managers, and ultimately providing benefits to customers by reducing prices of commodities.

Moreover, firms in these situation tends to shift their focus from producing diversified range of product towards producing a single product that could provide them the competitive edge over competitors in market and would result in enhancing market share, enhancing productivity, payment of liabilities, and economic development of the country(FAS, 2013). It has been noted that most firms that are able to overcome the complex circumstances of exporting profession are able to grow by stature and accomplish phenomenal success that allows them to gain competitive advantage over their competitors.

Discussion

The benefit of having another manufacturing facility in the country of choice is that it would provide the Canadians with the opportunity of avoiding the tariffs that would have been imposed on the importation of a foreign product into that country (Fernández & Massey, 2007). Manufacturing the product in Canada allowed company to sell their product in national market but would not be associated with Canadian importation tariff. According to analyst, this might not be the best of solutions during that period but proved to be effective in increasing the volume of sales. It also gave the Canadians a new approach through which they can beat the traditional system and play a positive part in restructuring country economy (WTO, 2008). In current circumstances, this tool would deprived smith ford company from paying of the tariff and taking opportunity of country open market or with other foreign country with whom Canada is bided in legal document. Another benefit of keeping the facility would provide company the opportunity of protecting the rights of investors to trade in free and save environment. The NAFTA agreement is what allowed trade investors to investment without room for error and provide procedure for a resolution of disagreement among the investors and the NAFTA country. However, as soon as company become part of NAFTA agreement it is provided with certain benefits like, anticompetitive practices, financial services, intellectual property, temporary entry for businessperson or partners, and dispute ...