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Case study Please read the following paragraphs and answer the questions (one page limit). An Italian sunglasses manufacturing company manufactures women's sunglasses in Italy and
Case study Please read the following paragraphs and answer the questions (one page limit). An Italian sunglasses manufacturing company manufactures women's sunglasses in Italy and sell them to a wholesaler in Italy for a price equivalent to C$18.00. This price is sufficient for the manufacturer to cover all costs and recover his usual percentage of profit. The same Italian manufacturer sells the sunglasses to a wholesaler in Canada. The extra cost of export to Canada (covering packing, shipping, insurance, customs duties, and handling) is C$1.00 per pair. A Canadian manufacturing company manufactures an equivalent pair of sunglasses in Canada and sells to the Canadian wholesaler with the usual allowance for prof it to the manufacturer is C$25.00 and appears in retail sunglass outlets priced from C$30.00 to C$35.00. Question: Please provide detail analysis whether dumping has occurred in the following examples: Example 1 The Italian manufacturer sells the sunglasses to the Canadian wholesaler for C$17.00 per pair. Example 2) The Italian manufacturer sells the sunglasses to the Canadian wholesaler for C$20.00 per pair
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