BUS 332: Reply to 2 Classmates

Background Info:On an individual basis, you will submit four blog posts over the course of the semester to share knowledge relevant to doing business in your chosen country. Each of the four blog posts will correspond to one of the four components of CAGE analysis: (1) culture (informal institutions), (2) administrative, legal, and regulatory systems (formal institutions), (3) geography (including physical geography with linkages to culture and economic geography), and (4) economic structure and socio-economic systems.

1. Prompt: Read/view blogs posted by other students to learn about the countries they are studying. Respond to at least two other students. Your responses should build on their content by linking it to other countries, helping identify interesting and valuable contributions, and/or expanding on your classmates' insights. Thus, providing them valuable feedback while helping you learn from their hard work.

• Student 1:"I want to start this analysis of the "A" portion the CAGE framework by beginning with Finland's legal system. Finland follows the republic system of government. They vote in elections for people who they believe will act in their self-interest. The highest power holding entity in Finland is their parliament. They pass laws, budget and supervise the government who oversee Finland's foreign policy. The president of Finland works together with the government regarding Finland's foreign policy. Finland is a member of the European Union, which subjects them to the their trade policy, customs and monetary policy. Instead of individual nations dealing with non-European Union members regarding trade, it is delegated to certain institutions of the EU. Their currency is the euro, whose value is decided by the EU as well as inflation rates. They have entered into different arrangements such as trade blocs and environmental agreements which both affect how other countries do business with them. Finland is a centralized country with a healthy relationship between the people and their government. They look out for their land, their people and the future of both. These types of democratic characteristics have influenced their government into entering such arrangements that businesses from other countries should be aware of. They have multiple air pollution/climate change/animal preservation agreements that businesses should evaluate before doing business in Finland. For example, the United Nations Framework Convention on Climate Change agreement states that Finland should do their best to stabilize greenhouse gases in order to protect the environment and reduce climate change. Businesses should take note of such agreements before entering Finland for business in order to keep the peace between both parties. The biggest industry in Finland is electronics. As a result of prosperity in the electronics industry, Finland has certain industry related regulations that affect how businesses stationed in Finland run their operations. Nokia, for example, is an electronics and telecommunication company in Finland that has to abide by the WEEE (Waste Electrical and Electronic Equipment) regulation. This puts the responsibility on Nokia to label and separate certain electronic components in an attempt to reduce waste and promote recycling. Continuing on theme of preservation of life and wellness, there a couple restrictions of exports in Finland. Weapons, weapon supplies and ozone-threatening materials are all prohibited for exporting by Finland. For example, a company that wants to station in Finland and build the chamber portion of a rifle to sell to other countries would not be able to. An important thing to note about exports of Finland is they are not strictly under Finnish jurisdiction. The EU has a customs code that Finland has to abide by as well. Imports into Finland are stricter and require a more formal type of licensing that is needed before the goods arrive in Finland. This is especially true for imports from other countries in the EU. Medicine, endangered animals, and ammunition are all imports that are either prohibited or subject to strict evaluation from Finnish customs and the EU."
• Student 2:"The formal institutions of Canada are oriented towards the public good, carrying forth a myriad of administrative, legislative, and educational duties. The Canadian government's official website is extremely pragmatic and resourceful, providing information on tax benefits, immigration, justice, emergency services, science and culture, and much more. Canada operates as a parliamentary democracy, a form of government in which the party with the greatest representation forms the government, similar in this way to the democracy of the United States (Encyclopaedia Britannica, 2023). Parliament is led by a representative of the leading party who takes the title of prime minister. Naturally, businesses are effected by the nature of the leading party's agenda at any given time, which will liberate or impose restrictions in the form of legislature. The Canadian parliamentary system is comprised of three branches: The Crown which is the head of state, the Executive Branch comprised of the prime minister and their cabinet, and the Legislative Branch containing the Senate and House of Commons (Canada House of Commons, 2023). These three branches serve as checks and balances to one another, working towards the common goal of upholding the Canadian Constitution and thus setting forth the "system of fundamental laws and principles that outline the nature, functions, and limits of Canada's system of government, both federal and provincial" (Canada House of Commons, 2023). Similar to democracies across the world, all three branches must come to a consensus before laws are enacted and the judiciary are responsible for interpreting and applying laws in an impartial manner (Canada House of Commons, 2023). It is the leading party's prerogative and the Canadian government's intention to give businesses support as a cornerstone of their economy. In reaction to COVID, the Canadian government took considerable measure in fortifying economic safety nets for businesses, mainly through interest-free emergency loans (CEBA) and wage and rent subsidies (CEWS) (Government of Canada, 2023). CEBA was a loan of $60,000 exclusive to small businesses and not for profits which closed in June of 2021, the window for application made brief due to the volume of submissions. Overall this program proved effective, distributing $49.2 billion to over 898,000 Canadian businesses. Even more notable, the Canadian government's CEWS program was part of a larger initiative to spread adequate funding across the nation. CEWS provided wage and rent subsidies from March 2020 to May 2022 for business owners (Government of Canada, 2023). Alongside this, there were subsidies for businesses in the tourist and hospitality sectors, a hiring recovery program, and a program specifically for businesses that were hit hardest by COVID-19. For me, Canada would be an appealing country to do business in simply looking at the dates that these stimuli were released. The U.S. had a considerably delayed response to the pandemic in comparison to Canada, which was releasing relief as soon as that very month of impact to keep businesses afloat. The Canadian government's ability to minimize damage to businesses during economic crisis has surely resulted in the support of wage growth and consumer spending, thus stabilizing buyer behaviors."