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March 24, 2017

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Small companies typically have difficulty competing against large multinationals when their governments take part in regional trade blocs. What could governments do to help their small companies compete after the formation of such blocs?

Answer Length: 3-4 paragraphs

Thanks!!

The executive branch of the US government needs to lodge a protest through diplomatic channels (the State department). If the matter is not resolved, threat of tarriffs or ejudication may have to be made, if trade agreements are being violated. Such matters are often resolved by special international trade organizations and tribunals that are created by treaty agreement.

A regional trade bloc entails immediate neighbors that only agrees to eliminate trading barriers and also to facilitate the flows of the capital and labor. In order to permute and protect the small industries the government could establish tariffs that would protect intra-regional trade from a outside forces.

Import quotas can be impose limiting the amount of imports in the country so that domestic consumers buy products made by there countries and in there region. Smaller industries could be offered subsidies in form of the government that could offer financial assistances towards sectors of the home economy so that they have an influx of the capital. The policies of the government can be altered with out imposing to much restriction on smaller industries.

It is necessary to permute overall adjustments of industrial structure through the market mechanisms with the ultimate aims of the promoting of welfare of the industries. The level of success of small industries can be achieved in the terms of the relaxation and the elimination of regulation and ensuring of increase transparency in government administration. The governments need to create an environment in witch companies and individuals can displays their form entering and operating in the markets.

  • International Business - ,

    you should maintain some form of academic honesty and do your own research for the assignment.

  • International Business - ,

    When you posted your essay, did you know this is an assignment for an international business course at AIU online university?

  • International Business - ,

    I would also like to point out that I am in said class, and if you decide not to change anything, I will be sending a message to the Prof. Not doing your own work is unaccptable, and is causes more issues for students, and future students. So you had better doctor it up good!

  • International Business - ,

    Its hard to use the paper any way when there is no references to it.

  • International Business - ,

    You know that I have referenced this page for the same question at AIU. My Prof. didn't have a problem with me useing it. I don't see how you can harp on a someone for getting help for something they needed help with. I needed help and this helped me. You still have to do your own research and put it in your own words so how is this not doing your own work. Its not like he is taking it word for word and not doing anything else. Even with this part there is alot more work that he is going to have to do for this question.

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