cfry@watdcsu.waterloo.edu (C.Fry - Inst. Computer Research) (11/02/88)
Information Technology and Free Trade
by
Mr. Graeme Hughes, President
of
Information Technology Association of Canada
Abstract
Information technology is perhaps the most internationalized of
all Canada's industries. It has been led by large multinational
firms, many of them headquartered in Canada. The scale of indus-
try activity demands a multinational approach, plus international
access to new technology. The marketing to support this effort
must therefore also extend beyond Canada's population.
Many leading information technology firms have specialized
``niches'', in which the rationalized Canadian firm is given
responsibility for a given product segment. These `rationalized'
firms are able to scale their operations to serve the interna-
tional marketplace. Companies in this category typically export
more than 80 per cent of their manufactured output. The sup-
pliers to these companies must also be world-class; they often
receive help from information technology companies to become
internationally competitive themselves, and they thereby gain ac-
cess to world markets.
Simply put, information technology firms believe they are already
geared-up for global success. Smaller firms realize that they
must expand their marketing efforts in the United States and some
of them are concerned about the amount of up-front financing re-
quired to do so. The leading firms in the industry are very
technology-oriented and are already internationally competitive.
With this background, the industry does not anticipate any major
adjustment problems due to the free trade agreement.
DATE: Wednesday, November 9, 1988
TIME: 3:30 p.m.
PLACE: University of Waterloo, Davis Centre, Room 1302
Everyone is welcome. Refreshments served.