Question
Your business provides CDs for free to customers who pay for the English courses that you offer in Mexico. You are considering mass-producing the CDs
Your business provides CDs for free to customers who pay for the English courses that you offer in Mexico. You are considering mass-producing the CDs in the United States so that you can sell (export) them to distributors or to retail stores throughout Mexico. You would price the CDs in dollars when exporting them. The CDs are less effective without the teaching, but still can be useful to individuals who want to learn the basics of the English language. a.If you pursue this idea, explain how the factors that affect international trade flows (identified in Chapter 2) could affect the Mexican demand for your CDs. Which of these factors would likely have the largest impact on the Mexican demand for your CDs? What other factors would affect the Mexican demand for the CDs?
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