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Supply chains are a massive part of retailing, and they are are not fungible across countries: All goods sold in Canada have to comply with Canadian laws. That
by jt2190 4y ago
Supply chains are a massive part of retailing, and they are are not fungible across countries: All goods sold in Canada have to comply with Canadian laws. That typically means repackaging to comply with product labeling and language laws, but there are other things. Canadian consumers do not have the same expendable income as do U.S. consumers. The net effect is higher operating costs and lower margins at baseline. When the economy gets tougher that margin matters.
Edit: Note that I’m not saying whether this approach is good or bad for Canada as policy, but the idea that there are no policies that shape the retail landscape is simply not true.
- 908B64B197 4y ago> All goods sold in Canada have to comply with Canadian laws. That typically means repackaging to comply with product labeling and language laws, but there are other things. From my experience, most items I purchase already have French labelling on them. > Canadian consumers do not have the same expendable income as do U.S. consumers. The net effect is higher operating costs and lower margins at baseline. When the economy gets tougher that margin matters. Why is that? 20% drop is huge.