Canada :: essays research papers

Investing In CanadaInvesting In Canada - Factors that be attractive for direct investment inCanada.Canada is the second largest country in the world, occupying close to 10 millionsqu are kilometres of land bounded by the Atlantic, Pacific and Arctic oceans.Canada shares a 6,000 kilometre border and the five largest freshwater lakes inthe world with the United States. Known as the Great Lakes, they provide a routeto the Atlantic via the St.- Lawrence Seaway, permitting direct access tointernational markets.More international companies are investing in Canada. The stock of foreigndirect investment (FDI) in Canada has increased steadily everywhere the past fiveyears to reach over $130 billion last year. Investor confidence is high.International companies are discovering what firms in the United States haveknown for decades it pays to invest in Canada. There is a judicature commitment to attract foreign direct investment. Canadas government provides a competitive, welcoming climate f or international billet. It is committed to fiscal responsibility, deficit reduction and job creation.The by-line are some essential points all of which prove Canada is a favorablechoice Domestic market wage competitiveness work force lumber International business skills raw materials energy costs infrastructure business services and legal environment.Domestic MarketCanadas per capita purchasing power is second alone to that of the United States,among the G-7 countries, and the OECD expects Canada to lead the industrializedcountries in near-term economic ripening. Inflation is below two per cent andforecast to remain low. Cost of money is lower than it has been for decades.Exports are at record high, having increased by 14 per cent in 1993 over 1992.Under free trade, Canadian-based companies have increased their market share ofthe Canada-U.S. market. Further, the Canada-U.S. idle Trade Agreement (FTA),together with the North American Free Trade Agreement (NAFTA) which came int oforce on January 1, 1994, gives Canadian-based companies an unparalleled accessto 365 million people, forming an economy larger than that of the EuropeanCommunity. The combined 1993 GDP value of the Canada-Mexico-U.S. market was inexcess of $8.5 trillion.Competitive Wages and Benefit RatesMany international corporations find the Canadian work force to be highly cost-effective. On average, wages in Canadas business centers are lower than thosein nearly all major business centers around the world. Hourly wages of Canadianproduction workers have risen only 5.4 percent since 1990. Canadianmanufacturing wage rates showed the second slowest growth among G-7 countries in1992, averaging 2.6 percent. In contrast, hourly increases in Britain andGermany have been 12.4 and 14.3 percent, respectively.Educated and Skilled Work Force