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1. You are a Vice President for International Sales at FoodTrade, a large trading company that exports processed foods to Africa. You are frustrated that

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1. You are a Vice President for International Sales at FoodTrade, a large trading company that exports processed foods to Africa. You are frustrated that African countries impose high tariffs (75%) on processed f00d imports. These barriers raise FoodTrade's cost of doing business and make your prices less competitive in African markets. But Africa suffers from widespread poverty and African governments use tariffs to raise needed revenues to achieve policy objectives. A) Use the 5 steps in the Ethical Framework to analyze (1N DEI'AIL) the arguments for and against high agricultural tariffs. 1The problem for FoodTrade is that due to the high tariffs we lose money and may become weaker as a company to our competitors if we choose to lower our cost of business but since we raise the cost to do business we have higher priced products that still make us less competitive. Africa being a poor country they need to do what they can in order to get some increase in their capital so they impose high tariffs as a means to develop the country's financial status. Both the company and Africa are doing something to try and get a profit. 2-When we examine the facts FoodTrade does not want to lose money when it comes to business which is why we raise the cost as a company to do our business when though we become less competitive so that in the processed foods we are able to sell we are making something. When we look at Africa they are in need and have the right to impose these tariffs in order to develop as a country and develop economically. 3-When we try to think of alternatives to this situation as vice president of my company I need to understand that in business I am not the only person seeking to make profit and that I need to understand that Africa is not as economically lucky as me as a head of a company or other company's in the USA. With the increased tariffs from Africa they can use that capital gain and inject it back into the country for what is truly needed. As a company I can try to negotiate a deal where as a company I would agree to more increased business on my processed foods to them wanting to help them develop and getting the foods they need their for my people since the people try rely on these types of foods to feed the people once the ball starts rolling and Africa gets better investment and develop more the country and economy tariffs would be dropped while our company would still do business worth them to continue that flow to help us a company to make out profit while having our company as the primary source for them to get the processed foods. 40nce these terms are accepted as a company we would first accept the high tariffs knowing in the beginning there may or may not be a profit but we will continue to send out products and once they get more economically sound tariffs would drop where we could lower cost of business making are products more competitive and still doing business to were both the rnllnl'rv and mu rnmnnnv an:- mnkino mnnpv

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