business owner

Sep

2018

How Trump Affects NAFTA — The Pros and Cons to Consider | Opinion

The Current State of Trumpfairs

“Mr. Gorbachev…..I mean AMLO (Mexico’s newly elected president Obrador)…pay for my wall!”

Does it sometimes feel like you are in the midst of a psychedelic haze?…

Chaos! Chaos….and a thunder rambling through the head.

I was asked to do a couple of articles on trade agreements that Trump finds abhorrent; namely NAFTA and the impact of random tariffs creating economic chaos (there’s that word again) that come from some Imperial whim, rather than sound business logic. I hopped on the chance to really break down the PROS and CONS of NAFTA and offer a little insight and education on how Trump may or may not influence the agreement.

Having learned that Trump refuses to read, one wonders where his ideas come from. We know he is a genius. He has told us often enough. But just where do these ideas explode from? Oral briefings? Can’t be.

We have learned from the national security that Trump refuses to read in any depth, any length; preferring oral briefings. Honestly, when I heard that I had a split screen image of the briefers competing with cartoons for Trump’s attention.

Not to mention, what’s the count on Trump’s lies NOW? I don’t even want to guess as the average is 7.6 false or misleading claims per day, and those are just the one’s recording by fact checkers. I have to ask, why are we listening to this man?

He can’t read…

He can’t stick to his word…

He won’t stop tweeting with inane commentary…

In April 2017, he threatened to pull out of NAFTA. Canada and Mexico insisted it be renegotiated. I’m sure with the greatest reluctance, he agreed. Not quite, “You’re Fired”, but it did make for a lot of headline-grabbing.

NAFTA

A nifty idea that started under Ronald Reagan. He was thinking of a North American Common Market. Thirteen years later, President Clinton signed NAFTA. Passed by a majority of Republicans and a Republican-leaning Democratic president.

Meant to integrate and ease trade with the North American countries Canada, USA, and Mexico.

Our future president Trump called it a bad deal in 1993. A moment of consistency, yes, and his core thought on the issue was that only Mexico would benefit from the agreement.

Besides the suppressed wages and Maquiladoras standard of labor, there were the 1.3 Million Mexican farmers put out of business by NAFTA. Yes, Trump was prescient and just as offended by working folk then as now. Genius, no doubt. Did he envision a wall then too? What did those poor farmers do? Well, of course, they crossed the border. Illegally.

Low wage workers. Union threatening! What’s not to like if you are Trump? Was his stand principled? Or was it the fear of the unwashed trampling golf courses across the U.S. Example: 1995 there were 2.9 Million undocumented Mexican immigrants in the U.S. By 2000, 4.5 Million had come across the borders “sin papeles” so they could put food on the table and a roof over their family’s heads.

The North American Free Trade Agreement created the world’s largest free trade area. It links 450 million people. Its member economies generate $20.8 trillion in gross domestic product.

NAFTA is also controversial. Politicians don’t agree on whether the free trade agreement’s advantages outweigh its disadvantages. Here they are so you can decide for yourself.

What are the PROS of NAFTA? Sourced from The Balance.

[su_quote]

NAFTA has six advantages. First, it quadrupled trade between Canada, Mexico, and the United States.
The agreement eliminated tariffs. Trade between the three countries increased to $1.14 trillion in 2015.
Second, greater trade increased economic output. NAFTA boosted U.S. growth by as much as 0.5 percent a year. Three industries benefited the most from increased exports. They were agriculture, automotive, and services such as healthcare and financial services.
Third, stronger growth created jobs. U.S. exports to the other two countries led to almost 5 million new American jobs. In NAFTA’s first four years, manufacturers created 800,000 jobs.
Fourth, foreign direct investment more than tripled. U.S. businesses invested $452 billion in Mexico and Canada. Companies in those two countries invested $240.2 billion in the United States. That helped U.S. manufacturing, insurance, and banking companies.
Fifth, NAFTA lowered prices. U.S. oil imports from Mexico cost less because NAFTA got rid of tariffs.
That reduces America’s reliance on oil from the Middle East. Low-cost oil reduces gas prices, which reduces transportation cost. As a result, food prices are lower
Sixth, the agreement helped with government spending. Each nation’s government contracts became available to suppliers in all three member countries.
That increased competition and lowered costs.

Source: Why NAFTA’s Six Advantages Outweigh Its Six Disadvantages

[/su_quote]

What are the CONS OF NAFTA?

[su_quote]

NAFTA has six disadvantages. First, it led to the loss of 500,000-750,000 U.S. jobs. Most were in the manufacturing industries in California, New York, Michigan, and Texas. Many manufacturing companies moved to Mexico because labor was cheap. The automotive, textile, computer, and electrical appliance industries were impacted the most.
Second, job migration suppressed wages. Companies threatened to move to Mexico to keep workers from joining unions. Without the unions, workers could not bargain for better wages. This strategy was so successful that it became standard operating procedure. Between 1993 and 1995, half of all companies used it. By 1999, that rate had grown to 65 percent.
Third, NAFTA put Mexican farmers out of business. It allowed U.S. government-subsidized farm products into Mexico. Local farmers could not compete with the subsidized prices. As a result, 1.3 million farmers were put out of business, according to the Economic Policy Institute. It forced unemployed farmers to cross the border illegally to find work. In 1995, there were 2.9 million Mexicans living in the United States illegally. It increased to 4.5 million in 2000, probably due to NAFTA.
The recession drove that figure to 6.9 million in 2007. In 2014, it fell to 5.8 million, roughly double where it was before NAFTA.
Fourth, unemployed Mexican farmers went to work in substandard conditions in the maquiladora program. Maquiladora is where United States-owned companies employ Mexican workers near the border. They cheaply assemble products for export back into the United States. The program grew to employ 30 percent of Mexico’s labor force.
Fifth, U.S. companies degraded the Mexican environment to keep costs low. Agribusiness in Mexico used more fertilizers and other chemicals. The result was $36 billion more per year in pollution. Rural farmers were forced into marginal land to stay in business. They cut down 630,000 hectares of forests per year. That deforestation contributes to global warming.
Sixth, NAFTA allowed Mexican trucks access into the United States. Mexican trucks are not held to the same safety standards as American trucks. Congress never allowed this provision to go into effect.

Source: Why NAFTA’s Six Advantages Outweigh Its Six Disadvantages

[/su_quote]

NAFTA’s Pros Outweigh Its Cons

[su_quote]

NAFTA’s disadvantages are significant. Can anything justify the loss of entire industries in New York or Michigan? Worker mistreatment in the United States or in the maquiladora program is significant. NAFTA may also be responsible for environmental damage along the border.

But from an economic perspective, NAFTA is a success. Without it, the United States would not be as strong a competitor with the European Union or China. That’s critical now that both of these trade areas rank above the United States as the world’s largest economies.

The increased trade was sorely needed after the 2008 financial crisis. Even more people would be unemployed without NAFTA.

Perhaps NAFTA should have been designed with better protections. At the same time, free trade agreements are a necessity for the United States when competing in an ever more globalized world.

[/su_quote]

Let me share with you the start of an article by Nomi Prins. I’d recommend having a look at her website.

Donald Trump’s Trade Wars Could Lead to the Next Great Depression

EDITOR’S NOTE: This article originally appeared at TomDispatch.com.

[su_quote]

Readers are routinely confronted with philosophical dilemmas. Here’s a classic one for our Trumptopian times: If you make enemies out of your friends and friends out of your enemies, where does that leave you?

What does winning (or losing) really look like? Is a world in which walls of every sort encircle America’s borders a goal worth seeking? And what would be left in a future fragmented international economic system marked by tit-for-tat tariffs, travel restrictions, and hyper-nationalism? Ultimately, how will such a world affect regular people?

Let’s cut through all of this for the moment and ask one crucial question about our present cult-of-personality era in American politics: Other than accumulating more wealth and influence for himself, his children, and the Trump family empire, what’s Donald J. Trump’s endgame as president? If his goal is to keep this country from being, as he likes to complain, “the world’s piggy bank,” then his words, threats, and actions are concerning. However bombastic and disdainful of a history he appears to know little about, he is already making the world a less stable, less affordable, and more fear-driven place. In the end, it’s even possible that, despite the upbeat economic news of the moment, he could almost single-handedly smash that piggy bank himself, as he has many of his own business ventures.

[/su_quote]

The Breakdown & Trump’s Effect on NAFTA

It is my understanding that the Trump Administration will hold off renegotiating NAFTA. This is a good thing. NAFTA is a child of a neo-liberal fantasy that has kept our economy trailing behind standards that were kept from 1950 thru the early 70’s. The working people and poor that keep our economy functioning and growing have lost so much in these last 30+ years since Reagan and his troops sold us their bill of goods.

Does anyone believe that Trump, Wilbur Ross, or anyone else in this bizarre administration look like they will give us a better deal? Without participating in the act of reading anything in detail and the constant pastime of running his mouth, Trump has walked us into a possible trade war with our closest neighbors.

Doug Anderson is a member of the A.R. Marketing House research and writing team. His focuses span domestic and international politics, environmental sustainability, and holistic health.

Mar

2017

5 Ways to Leverage your Company’s Philanthropy RIGHT NOW!

Philanthropy: Get involved, get noticed, ASAP

While some companies focus on giving back once or twice a year, many are able to incorporate their philanthropy into their year-round business model. While the work of actually getting started can seem daunting, there are so many simple ways to incorporate your philanthropy into your business model in order to make a big difference in your community and get noticed.

If you are already doing philanthropic work, awesome! Share it with your customers, followers, fans, and friends! If you are not fully incorporating your philanthropy into your business model, here is how you can go about it.

By now, you may or may not have seen our post about how having a philanthropy and sticking to it can improve engagement. If you have not read it, you can do so right HERE.

There are actually so many ways to get involved and do work that suits your company’s philanthropy. Yes, donations help, but have you ever thought of donating your time?

1. Community Service Projects

Stepping out of your office for a few hours is really all it takes! Nonprofits put on events to help support areas of need and seek volunteers just like YOU! Let’s say your philanthropy is to support environmental growth efforts. You can participate in local events that involve planting trees and cleaning up beaches and gardens. Many cities offer local community service projects, and I have found volunteermatch to be a great source for finding local organizations that are seeking volunteers for their events.

2. Pro-Bono Work

Pro-Bono work refers to free services that professionals in a field provide to nonprofit groups, poverty-stricken clients or generally just people in need. For instance, let’s say you are a graphic designer. You could provide your services to a local homeless shelter looking to design a brochure to give to potential donors. You would volunteer your time to creating this for an organization that may not have the funds or the background to be able to successfully do this task on their own. Maybe you are a technology wiz! There are plenty of organizations that are seeking out computer-literate volunteers to help seniors learn basic computer skills. Your skills can go to use in helping others that may not have your unique skillset.

3. Scholarships

There are so many students that lack the funds to pursue higher education. If your company has the funds to support a student in need, why not offer them an opportunity to apply for a scholarship? You can limit it to just students in a certain demographic, students pursuing a specific degree or track of study, or even students that demonstrate a passion for the philanthropy that your organization is also passionate about! The great part about offering a scholarship is that there is no limit to how much funds you offer this student or to how MANY students you provide with scholarships. It is important to tie this opportunity back into the mission of your company and also your marketing plan.

4. Fundraising

Whether you are planning on creating your own fundraiser or participating in one, this can aid the process of fulfilling your philanthropy. Can your company raise funds for a cause? Participate in a charity 5k? One fundraising method that comes to mind is donating a percentage of what you make from selling your products or services to a cause that matters to you. You can even ask your customers if they would like to round their total to the next dollar to support the cause. These small contributions can make a large difference and leave lots of room for you to promote your company and efforts.

5. Product Donations

Product donations are essential to the growth and stability of many organizations. It could be as simple as donating canned goods to a local food pantry or even donating extra supplies you may have around your office to local non-profit/poverty stricken organizations. Your contributions definitely matter to someone.

Now whether you’ve decided to participate in service events, or offer scholarships to deserving students, any of these efforts make for a fantastic philanthropy and marketing opportunity.

“Nothing teaches character better than generosity” – Jim Rohn

Feb

2017

Philanthropy: 6 Winning Reasons to Boost Positive Engagement

Your Philanthropy Legacy is your Marketing Plan

The hustle of running a business is sometimes so time-consuming that we put aside the bigger picture that we started out with in order to perform the day-to-day tasks that must get done. But since you are the person that dreamed up your business and created it to fruition in the first place, you know how important it is to take a step back and reassess your place in the world, your growth, your philanthropy, and ultimately your LEGACY.

Philanthropy offers us a WIN-WIN situation when considering a mode of marketing and where we can leave our stamp of grace on our employees, vendors, communities, and the world.

What is a Company Philanthropy exactly? A philanthropy is defined as a company giving to a cause, whether it be through charitable donations or giving their time and resources. Although many corporations get the credit for doing philanthropic work (Yay to their $$$ P.R. Team), many small businesses don’t have the time or resources to express all that they actually give and are involved in with their community. Fortunately for the businesses that have put time into marketing and fulfilling their philanthropy, the rewards have been fruitful.

So, what is your company already giving to its community? Is a philanthropy program something your company already has in place? Yes? then GREAT!!! You need to create a marketing program to share all the amazing things you do in the world! If not, I’m going to make this clear and simple: you need one.

Here are 6 reasons to start creating and living by that philanthropic legacy you’ve always dreamed of that will actually help boost your earnings.

1. Establishing an Identity and Purpose

For many people, a business that lives within their purpose gives people a reason to choose that company’s brand over another brand. Companies like Lyft, Burt’s Bees, Dove, and Whole Foods have all focused a lot of time and money into fulfilling their purpose and standing by their philanthropy in order to make a valuable contribution to society. In order to establish where you fit in, think to yourself: What are you passionate about? Education? Homelessness? Environmental Conservation? Health? How do you want to help your neighbors? What do you want your legacy to be? There are so many different charities all focused on different causes. Find something that feels right for you and your business, or acknowledge what you’re already doing, and focus on using this to market the identity of your business. By establishing a purpose, people feel a need to help your cause knowing that some of their investment into your company invests in a good cause.

2. Networking Opportunities

Many organizations run events with large numbers of volunteers. I attended an event for an organization called L.A. Works that was focused on building up a local community while working at homeless shelters and schools in need. We painted murals, planted flowers, built benches and put together care packages for the shelter residents and local students. Target was one of the companies that decided to donate to the cause with their time. They sent over a group of volunteers in matching red Target shirts all eager to work on these projects. Not only did this show the 1000+ volunteers how even outside of their store, they were still trying to make a difference in the lives of their neighbors, but they were a united team of givers. Not only was this team talking amongst each other but they were cheering, working, and spending time with other volunteers that were there for the cause. It allowed their team an opportunity to speak to locals outside of the transactional world. Customers are the core of your business, so this is a great way to engage with the people who keep your business running in the first place.

3. Public Relations

My previous example demonstrated how Target made a positive PR move by actively participating in this event with over a thousand people in attendance. Although it was a chance for them to network, it also boosted Target’s visibility within the community as a company that lived by its philanthropy.

4. Employee morale

A recent study of more than 2,000 individuals found that “nearly two-thirds of people between the ages of 18 and 34 were at least somewhat more likely to want to work for a company that gave to charity than one did that not”. Not only do employees feel better about working for a company that is active in making a difference, but especially in this generation, employees are likely to stick around if there are common values and a strong foundation that the company is based on.

5. Respected leadership

Leaders that make a point to improve the lives of their employees and the people around them are likely going to be respected to a higher degree than those leaders who are only focused solely on the profit they are reigning in on.

6. Trust and value of mission statement

Having and sticking to your mission statement establishes trust. It gives your brand a purpose and a REASON for people to trust you. You stand for something other than yourself, and that alone is a respectable trait.

So, decide on your legacy, whether it be through corporate funding, volunteer work, product donations, partnerships, or pro-bono work–every company should reassess their role in the world to make philanthropy a part of their mission and thus grow their business in a sustainable fashion that helps not only themselves but also the world around them.