1 STRATEGIC ANALYSIS Discussion: The lobsters being an important protein source, have been the top exported products in America. Like the Americans, Chinese people have also been benefitted from these products, and hence it has reduced poverty and hunger of the middle-class family, which Maine was happily providing (Josheski, & Fotov 2013). However the china’s favorite lobster sales have been decreased by 70 %, and American president Mr. DonaldTrump had imposed tariffs by 25% which had reduced the cost of suppliers (Piraianu et al., 2016). Since the lobsters were exported mostly from Canada and the same has increased the exports to double which had thrown down Maine from their place. However, Trump had levied 20% export duty over Chinese goods and cut tariffs for thousands of Sherman's, farmers, and firms (de Sá Porto, Canuto & Morini, 2015).). Hence it had been seen that because of this tariff imposed, USA had been greatly benefited in two ways which are as follows- Firstly Trump is looking to slap tariff over everything. The export chain had been imposed from china to Beijing and elsewhere (Banik & Stevens 2015). Since Brazil and Argentina had way out to provide some alternative source, but the Americans do not have other choices. Hence they have to bank on it. On the other hand, China could have easily force to buy Boeing to airbus, but those companies could get into trouble while assessing the service they need to keep the process running and Beijing had mostly spread air fleets from retaliation thus fared (de Sá Porto & Morini, 2017). Secondly, Trump had no such real mitigations strategy while forcing strategy to implement policies. Hence he had given thousands of dollars to the agricultural firms. He had also secured 50 billion dollars to the steel and aluminum imports than china (Ahsan, Ghosh & Mitra,2014). These transactional costs were very less than that of China. Hence American industries and agricultural areas had faced high cost of incurring a loss and had to toil hard to
2 STRATEGIC ANALYSIS survive. Thus, in turn, it had made undergo long term losses (Matzenberger et al.,2015). The steel and aluminum tariffs had mostly targeted the big brands of Canada, Japan, and else. On the other hand, as per 2015north American free trade agreement had threatened tariffs on 10 billion dollars over the current period. Hence the European car industry had suffered heavily. China had cut the products price to capture the world market. Thus it is easy to purchase Chinese products. Hence, in a nutshell, president, trumps policy have loosened the hands of china, where they grabbed the opportunities (Black et al., 2016). Conclusion From this discussion, it can be concluded that the tariff policy implemented by president trump and giving all the chances to china to flourish in the global market had let all the Chinese franchisees to capture the global market. Hence the major markets in America, Europe, and Canada had suffered much, and the commercial exporters had wen to make on new relationships, and once the stage is set and new ties are being formed, the Chinese exporters may not bother to switch off to new business.
3 STRATEGIC ANALYSIS References: Matzenberger, J., Kranzl, L., Tromborg, E., Junginger, M., Daioglou, V., Goh, C. S., & Keramidas, K. (2015). Future perspectives of international bioenergy trade.Renewable and Sustainable Energy Reviews,43, 926-941. Black, J., & MacBean, A. I. (Eds.). (2016).Causes of Changes in the Structure of International Trade, 1960-85. Springer. De Sá Porto, P. C., Canuto, O., & Morini, C. (2015).The impacts of trade facilitation measures on international trade flows. The World Bank. Josheski, D., & Fotov, R. (2013). Gravity modeling: International trade and R&D.International Journal of Business Management and Administration,2(5), 073-080. Ahsan, R. N., Ghosh, A., & Mitra, D. (2014). International Trade and Unionization: Theory and Evidence.Department of Economics, Syracuse University. C de Sá Porto, P., & Morini, C. (2017). Trade Facilitation, the Authorized Economic Operator, and the Single Window: A Gravity Model Approach. Banik, N., & Stevens, P. (2015). Pharmaceutical tariffs, trade flow, and emerging economies.Geneva Network, United Kingdom. Piraianu, V., Dumitran, G. E., Vuta, L. I., & Dragoi, C. (2016). IMPROVING EFFICIENCY OF A WATER SUPPLY SYSTEM BASED ON ENERGY TARIFFS.International Multidisciplinary Scientific GeoConference: SGEM: Surveying Geology & mining Ecology Management,1, 459-464.