MGT 321 Saudi Electronic University NAFTA Tomato Wars Case Study

oInstructions – PLEASE READ THEM CAREFULLY

• The Assignment must be submitted on Blackboard (WORD format only) via allocated folder.
• Assignments submitted through email will not be accepted.
• Students are advised to make their work clear and well presented, marks may be reduced for poor presentation. This includes filling your information on the cover page.
• Students must mention question number clearly in their answer.
• Late submission will NOT be accepted.
• Avoid plagiarism, the work should be in your own words, copying from students or other resources without proper referencing will result in ZERO marks. No exceptions. 
• All answered must be typed using Times New Roman (size 12, double-spaced) font. No pictures containing text will be accepted and will be considered plagiarism).
• Submissions without this cover page will NOT be accepted. 

Assignment Regulation: 

• All students are encouraged to use their      own word. 
• Assignment -2 should be submitted on or before the end of Week-11 in      Black Board only. 
• This assignment is an individual assignment.
• Citing of references is also necessary.

Assignment Structure:

  

A.No

Type

Marks

 

Assignment-2

Critical Thinking

5

 

Total 

5

Learning Outcomes: 

• Identify the major components of international business management (Lo 1.2)
• Discuss the reasons for and methods of governments’ intervention in trade (Lo 1.7)
• Identify and evaluate the significant trade agreements affecting global commerce (Lo 1.8)
• Carry out effective self-evaluation through discussing economic systems in the international business context (Lo. 3.6)

Critical Thinking

Read the Management Focus on, “NAFTA’s Tomato Wars,” available in your e-book (page no. 620), and answer the following questions: 

Assignment Question(s):(Marks: 5)

• Was the establishment of a minimum floor price for tomatoes consistent with the free trade principles enshrined in the NAFTA agreement?
• Why, despite the establishment of a minimum floor price, have imports from Mexico grown over the years? 
• Who benefits from the importation of tomatoes grown in Mexico? Who suffers?
• Do you think that Mexican producers were dumping tomatoes in the United States?
• Was the Commerce Department right to establish a new minimum floor price rather than scrap the agreement and file an antidumping suit? Who would have benefited from an antidumping suit against Mexican tomato producers? Who would have suffered?
• What do you think will be the impact of the new higher floor price? Who benefits from the higher floor price? Who suffers? 
• What do you think is the optimal government policy response here? Explain your answer.