Addressing international and Ethical Issues Simulation Summary
Legal obligations differ from country to country. When legal issues occur between countries, the obligations may not be compatible. CadMex was faced with the task of taking its products, and sublicensing them in international markets. It is important to research the situation thoroughly before agreeing on an international contract. Whenever possible, the best way to solve issues is by doing mediation, arbitrations, and litigation. When taking legal actions against a foreign business partner, one must take a few things into consideration. In the case of CadMex, a legal team with experience in a foreign country will be needed. The likelihood of a foreign entity winning a civil suit is most likely going to be low against a domestic entity. Suing a partner can lead to the brand having a negative reaction which can affect their reputation. This can affect other international partners doing business with the company. It is beneficial to resolve disputes through means of mediation or arbitration instead of a formal court system. In the simulation, the Canadian market had generic versions of CadMex’s product. Because of a vested interest in seeing domestic industry thrive, the Canadian government may be a little hesitant to give foreign corporations market share. Steps can be taken with the intent to stop any deals if it is believed that sub licensing would hurt domestic firms. In the event that this was to take place, there would be a limited number of sublicensing agreements to profit from that Cadmex could remedy. This shows as to why due
