Cubas Economic Fate up in Air

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Cubas Economic Fate up in Air
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Cuba History

• Castro took power in 1959 with help from Che
  Guevara and his Brother, Raul Castro.
• Castro nationalized and the existing companies
  assets became the countrys
• What it means to live in Cuba

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Cuba HistoryEmbargo Act

• The U.S. embargo began shortly after the Cuban
  Missile Crisis in 1961.
• Trade is prohibited between the U.S. and Cuba,
  except currently agriculture and medicine.

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Article Summary

• At best, Raul will try the mini-China model at
  worst, he and the military will continue the
  repressive control they have now.

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Implications of International Marketing

• FIDEL CASTRO IS SICK!!!!!!!!!!!! OR DEAD!!!!!!
• Fidel and Raul Castro have openly stated
  throughout the years that they will not allow
  capitalism to be part of their Country.
• I find capitalism repugnant. It is filthy, it is
  gross, it is alienating... because it causes war,
  hypocrisy and competition.

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Implications

• U.S vs. Venezuela trade
• Cuban Market 11 million potential consumers
• Lifting the embargo has the possibility of
  bringing a better quality of life to Cubans.

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Implications

• Some areas that will be directly impacted if the
  embargo act is lifted
• Agriculture
• Shipping
• Oil/energy
• Tourism
• Retail
• Finance
• Construction

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Implications

• U.S. companies would have to find a way to get
  legitimate information on how to market to the
  Cuban people
• The actual opinions of the general Cuban
  population may be misconstrued or altered by the
  political leaders and such misinformation would
  make marketing difficult in the early years of
  open trade.

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Implications

• Foreign direct Investments would carry a high
  risk factor as Castro may nationalize facilities
  again.
• The threat of Castros unstable government
  captured by gun rather than election deters U.S.
  from conducting business with Cuba.

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Questions?

• Thoughts?
• Comments?