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Government regulations have impacted the site planning and capacity planning at Smitheford Pharmaceuticals. NAFTA has had an impact on the advantages of the ownership of manufacturing facilities in Canada.
In preparation for a meeting with leadership, review and discuss the following:
Problem 1: What advantages did Smitheford Pharmaceuticals have by owning manufacturing facilities in Canada prior to NAFTA?
Problem 2: With the passage of NAFTA, what advantages remain by having manufacturing facilities still in Canada according to your research and your own judgment?
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Determine free cash flows for Dell in each of the three years reported. Compare that amount with net income each year. What pattern do you detect?
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