Melanie owns a juice and soda company. her
country imposes tariffs on imported soft drinks.
melanie and her employees feel secure because
they aren't threatened by heavy competition from
foreign beverages.
chad owns a shoe factory. for 15 years, his
country has blocked virtually all foreign shoes
from entering the domestic market. chad does
not feel the need to innovate and create new
styles of shoes to offer variety to consumers.
ravi has a unique vision for the future of
smartphones. he believes his design can propel
his nation to the top tier of smartphone exporters.
but he holds off on starting a manufacturing
company because he thinks foreign competition
has created an unfavorable climate for new
companies. ravi gets lucky when his country
enacts subsidies and protectionist policies for its
high-tech industry. soon, ravi starts his own
company and registers a patent for his design.
his product is a hit around the world.
sharon had saved enough money to buy a
particular imported car, but her country recently
imposed heavy tariffs on automobile imports.
as a result, the price of her dream car shot up,
and she may have to consider buying a different
car.