Business Plan

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As a Venezuelan business owner (you may select the specific business of your choice), you are very interested in the fact that Venezuela has recently been accepted as an associate member of MERCOSUR (July, 2004). You need to prepare your operations in view of this new reality.

Develop a plan for your business that will be implemented as Venezuela becomes part of MERCOSUR. Your business plan should include the following:

Benefits and drawbacks for the country of Venezuela as a result of their membership in MERCOSUR
Benefits and drawbacks for your business as a result of their membership in MERCOSUR
What adjustments will need to be made to your business as a result of this?

Mercosur is a trading zone between Brazil, Argentina, Uruguay, and Paraguay, founded in 1991 by the Treaty of Asunción, which was later amended and updated by the 1995 Treaty of Ouro Preto. Its purpose is to promote free trade and the fluid movement of goods, peoples, and currency. Bolivia, Chile, Colombia, Ecuador and Peru have associate member status. On 9 December 2005, Venezuela was accepted as a new member, but it will be officialized in late 2006. After changes in Venezuelan policy to adhere to existing Mercosur rules, Venezuela will become a voting member. On 30 December 2005 it was announced that Bolivia would be invited to join as a full member. The organization has a south and Central America integration vocation.

Some South Americans see Mercosur as giving the capability to combine resources to balance the activities of other global economic powers, perhaps especially the United States and the European Union. The organization could also potentially pre-empt the Free Trade Area of the ...