As part of the requirements for International trade, individual assignments were given to research on a country and to set-up a company that would be based on the country of choosing. Assumptions for the research paper is that as theoretical corporations, we have unlimited sources of capital. This paper is submitted in fulfillment of course requirements.
This paper is about Cuba and the setting up of a 5-star medical resort. A medical resort is a hybrid state of the art medical institution with the amenities of a 5 star vacation resort.
By discussing Cuba, its economy and strengths, we would be able to understand the countries unique competitive advantage as a country and tap this advantage to make a profitable business venture. This paper will discuss how a medical resort can make this a possibility.
Cuba is located in the Caribbean. It is an archipelago of around 4,000 islands at the north of the Caribbean Sea and is bordered by the United States and the Bahamas to the North, Mexico the West, Haiti to the East and Jamaica and Cayman Islands to the South.
The total land area is 110,860 km2 with the island Cuba covering almost 90% of the country’s total land area. It has a tropical climate with two seasons: the dry season running from November to April and the rainy season from May to October.
It is the largest island nation in the Caribbean, with a population of 11,241,161. It has a very diverse populace, with intermarriages fairly common such that ethnic diversity statistics are difficult to determine. Altogether, the estimates of Cubans with African descent range from 34% if the population to as high as 62%.
Cuba has also one of the lowest birth rates in the Western Hemisphere, and in fact since 2006 the population has been declining.
HISTORY and GOVERNMENT
Cuba was one of the most important colonies of the Spanish Empire. It was a key trading post for its South American territories. In fact in the 1820's, when all other territories in Latin America were revolting during the period of Gen. Bolivar, it was only Cuba who remained with the Crown, therefore attaining the name La Siempre Fidelísima Isla ("The Always Most Faithful Island").
But after the Spanish-American War, a defeated Spain and the United States signed the Treaty of Paris were Spain relinquished all claims to Cuba, paving the way for Cuba to declare “independence” in 1902. But it was a unique independence for Cuba since the United States retained the right to intervene in Cuba's domestic, international and financial affairs when it sees fit.
The following decades saw numerous coups in Cuba. But in all of these changes of government what remained constant was the United States role in the affairs and economy of the country. By 1940, Fulgencio Batista was elected president. Through elections and military maneuvering and support of the U.S, he was able to remain president for more than 15 years. Throughout this period, rapid growth due to investment resulted in Cuba being one of the most developed countries in Latin America. But it was riddled with corruption and most businesses were foreign owned. In fact by 1959, “the United States owned 40% of sugar lands, almost all the cattle ranches, 90% of minerals and mining concessions, 80% of utilities, practically all the oil industry and supplied two-thirds of Cuba's imports.”
This widespread corruption and foreign ownership inspired a band of revolutionaries led by Fidel Castro to start a military uprising. On December 2, 1956 a group of 82 people on a yacht landed in Cuba to start what will be known as the Cuban revolution. It was Marxist inspired revolution, trying to capture ideals popular in Eastern Europe at that time. In 1959, the armies of Fidel Castro entered Havana, the capital of Cuba, marking the beginning of the revolutionary government in Cuba.
In the first year in power, the...