Given the fact that NAFTA is now effective in the U.S., Mexico, and Canada, an American company that has its production plant in Sri Lanka will be willing to relocate its production plant to Mexico mostly because

Question

Quizplus · Accepted Answer

The primary reason for relocating the production plant to Mexico, given the context of NAFTA (North American Free Trade Agreement), would be the logistical and cost benefits associated with moving finished goods from Mexico to the United States. NAFTA facilitates easier and more cost-effective trade between the U.S., Mexico, and Canada, making Mexico an attractive location for American companies looking to reduce shipping times and costs.

Given the Fact That NAFTA Is Now Effective in the U.S