Strategy for Siam Canadian Food Co Case Study Example | Topics and Well Written Essays - 1250 words

Strategy for Siam Canadian Food Co - Case Study Example At present, Siam Canadian Co., Ltd. has inter-linked offices strategically located throughout Asia-including Thailand, Vietnam, Myanmar (Burma), China and India. In 1997/98 the Thai economy was in a deep recession as a result of the severe financial problems facing many Thai firms, particularly banks and financial institutions.Siam Canadian, in an effort to expand its bases, had to determine if opening a branch in Burma would be feasible at that time. It was important for the company to explore the possible risks of such a move, and a study of the country of Burma was necessary. One risk that needed to be addressed was the United States decision in April 1997, to clamp sanctions on Burma. It quickly became evident, however, that the United States had less economic leverage in Burma than in many countries around the world. And it failed to persuade Burma's neighbors in the region-- its primary trading partners -- to join in any form of sanctions.   Effects of US economic sanctions also were offset by Burma’s admission into the Association of South-East Asian Nations in 1997. One Burmese official had already shrugged off the sanctions. "We have been surviving without any assistance from the US government for years, so I don't think these sanctions will have any effect on the Myanmar (Burmese) economy," he said. Another possible risk was the existence of a powerful military group, which is 1997 was renamed the Union Solidarity Development Association and was recognized as the military junta’s political wing. Nevertheless, Siam Canadian was not affected by these risks. Thailand has never expressed openly what sectors might be at risk from market access, but it has had experience in the agriculture and food sectors and the strategy has always been to conform to importing countries’ expectations.