Business structures and competitiveness of Canada Analysis using Essay

Business structures and competitiveness of Canada Analysis using Michael porters Diamond Model of Inter state of matteral Competitiveness - Essay ExampleFactor conditions 7 4.2 study conditions 8 4.3 Supplier industries in Canada 8 4.4 Business establishment, management and rivalry in the domestic market 9 5. Conclusions - Recommendations 10 6. References 12 7. Appendix 13 Executive Summary A series of criteria tends to be used for evaluating the performance of economies in the global market. Usually, the ability of countries to cover their debts and to respond to the needs of local tribe is considered as indication of economic strength. In practice, it has been proved that the competitiveness of countries refers to a variety of requirements these requirements need to be met in order for a country to be characterized as highly competitive. The particular issue has been explored in the literature, due to its critical importance. The most common framework for evaluating the competit iveness of countries is the Diamond mannikin of national competitiveness. This model promotes the view that national competitiveness can be related mostly to four elements (Figure 1, Appendix). The Porters Diamond model has been used in this topic in order to evaluate the competitiveness of Canada. Using the model for developing the above task a contradiction has been revealed Canada seems to perform high in two of the models elements while its performance in the rest two elements is low (Figure 5, Appendix). This contradiction could be explained as follows Canadian economy is quite wholesome and the development of business activity is highly promoted by the government. However, the measures taken are not adequate and gaps are unavoidable. Therefore, the competitiveness of the country seems to be high or low depending on the elements of the economy on which each part of the Diamond model is based. 1.0 Introduction The competitiveness of countries in the context of the internatio nal market is awkward to be measured, especially due to the instability in economies and the strong social conflicts worldwide. Porter has introduced a model that can be used as the alkali for measuring and evaluating the national competitiveness this is the Diamond model. The value of this model is high since no similar theoretical frameworks are available in the literature. At the aforementioned(prenominal) time, the effectiveness of the specific model has been already tested in practice leading to credible findings in regard to national competitiveness. A key emolument of Porters Diamond model is the following one the model can be used for evaluating the competitiveness of countries with various cultural and social characteristics. Porters Diamond model has been used in this paper for measuring the national competitiveness of Canada, a country with a quite strong economy, at least as compared with other western countries. Porters Diamond model has verified the strength and th e prospects of the Canadian economy however, there are certain(prenominal) practices of the countrys government that should be alternated, a need that has been revealed through Porters Diamond model. 2.0 National competitiveness characteristics When referring to the competitiveness of a nation it is difficult to choose the criteria that would be most appropriate for taking a relevant decision (Porter 1990). Most commonly, national competitiveness is related to issues such as exchange rates, interest rates and government deficits (Porter 1990, p.76), being related to macro-economy. The view that national competitiveness can be related mostly to the natural resources of a country has not been widely accepted (Porter 1990) as it could not respond to the following question how countries such as Germany and Italy that