Posted on 04/07/2003 4:45:32 AM PDT by MadIvan
Small companies suffer
Two-thirds of Canadian corporate leaders say their business is already being hurt by strains in Canada-U.S. relations, a new poll has found.
"The strength of opinion is that it's beginning to hurt Canadian business," said Conrad Winn, chief executive of COMPAS Inc., which conducted the poll for the National Post. "An overwhelming majority are saying that if we didn't pay a price for this today, we certainly will tomorrow."
Up to 87% of business leaders believe Americans are especially resentful of anti-U.S. comments made by senior Canadian politicians. About 65% say that strain is beginning to affect or has already hurt Canadian access to the giant U.S. market.
The poll is based on a survey of 168 chief executives of small- to medium-sized Canadian companies, as well as executives of local and national chambers of commerce from April 1 to April 3.
"I am terribly worried. There is definitely some damage that has been done," Thomas D'Aquino, head of the Canadian Council of Chief Executives, which represents more than 100 of the country's most influential companies, said yesterday.
"The hard evidence that can translate into millions of lost or deferred contracts has yet to be seen."
Mr. D'Aquino is in Washington today to preside over a two-day meeting with senior U.S. business and government officials.
Also today, John Manley, the Deputy Prime Minister and the Chrétien government's most pro-American minister, is in Washington for meetings on security and the Canada-U.S. border with Tom Ridge, the U.S. Secretary of Homeland Security.
Mr. D'Aquino said many of the chief executives who run the largest companies in Canada are "frankly enraged" by the federal government's "mishandling" of its position on the U.S.-led war in Iraq, but "no one has called to say contracts have been cancelled or are in danger of being cancelled."
However, he conceded organizations across Canada that cater primarily to small business are citing specific examples of a U.S. backlash.
"A lot of people have said they are worried and are concerned about what may lay down the road," he said. "There are hundreds of millions of micro transactions that go across the border each day. I have no radar that can quantify how much damage was done or is being done."
The head of one small Canadian manufacturing company that employs 18 people said he feared that, if his company were to lose some of its U.S. customers, it would translate into a loss of about 15% in sales and force him to lay off two employees.
The unidentified businessman is quoted as saying, "It makes me wonder, what the impact on some of the larger Canadian companies will be?"
In the COMPAS Inc. poll, respondents were asked to describe the current climate of relations between Canada and the United States based on their own experiences or those from colleagues and acquaintances. According to the study, 21% of businessmen surveyed believed the strained relations have already affected business to the U.S. market; 44% said they believed they are beginning to affect business relations; 20% said that, although they agree Americans are feeling resentful towards Canada, that schism is not affecting business relations; 10% said Americans are not feeling antagonistic towards Canadians and 4% declined to answer.
The majority of those who believed business relations are being damaged said they do not necessarily expect existing contracts will be cancelled. Instead, they fear potential deals to be signed have been jeopardized.
According to Mr. Winn, many of the respondents said they were not only concerned about repairing the relationship with Canada's major trading partner, but that not enough was being done to prevent damaging it further.
One of the respondents said, "Our Prime Minister needs to put a muzzle on his colleagues and the sooner the better!" Added another businessman: "The Canadian government must come out in support of our American neighbours now! To not do so will have long lasting negative repercussions for Canadian business."
Mr. Winn said respondents were also worried about the number of outstanding trade disputes between the two countries.
Yesterday, Mr. Manley told The Canadian Press the United States probably isn't the best candidate to lead the reconstruction of postwar Iraq. He suggested it is important for global stability that the rogue state be rebuilt as a sustainable democracy.
Regards, Ivan
The flag of Canada...before the trouble started.
Now here we have a quarter billion people, with money, who like to spend it frivolously, and the world has been treating us like dirt.
Well, it's payback time. I've been taking names, and checking labels.
Making a list, and checking it twice, gonna find out who's naughty or nice. Santa Claus ain't coming to town.
Some Canadians are at pains to point out that it is not the "official flag" of Canada and never was, yet it went before Canadians in battle, and has a sentimental aspect. The Maple Leaf flag was a Liberal proposal, and as such, I disregard it.
And I agree, there is nothing wrong with Canada that removing the Liberals from office can't solve.
Regards, Ivan
When pigs fly and french men fight and canadains apologize. Note, AND, not and/or or or.
I haven't spent a DIME on products from Germany, France, Mexica or Canada in months, and don't plan to change my ways any time in the forseeable future. If they don't like it, Chiraq can come over here and plant big juicy French one on my red-white-and-blue star-spangled a$$.
Well, it cost them four or five hundred dollars this weekend when this small guy cancelled his trip to the Windsor casino and went to the Detroit (Uggg) MGM Grand. Little drops of rain . . .
British products? Cheese, beer, wool, beautiful scenery in the Lake District, great fishing in the Highlands...and unlike the snots across the channel, the average Brit welcomes US tourists (or at least the men were more than friendly to me...)
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