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Suroza Tastes

Student’s Name
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Company Overview

Suroza Tastes is a Canadian company that started in 2017 that offers mobile

food services in Ontario, Manitoba, and recently expanded to New Brunswick. Suroza

Tastes offers fresh foods and drinks from mobile kitchens with the best international

chefs. The Company caters to festivals, sporting events, breweries, parks, and regional

offices. We cater to millennial food lovers with a taste for ethnic food experiences,

Caribbean food lovers, and anyone craving savory homemade meals. Suroza Tastes is

seeking to expand its operations in Atlanta, USA. According to IBIS World (2020), the

projections for the growth of the US mobile food industry will grow by 20% in two years

from $800 to $985 million pointing towards a world of business possibilities.

Laws

Provincial Regulations

In Canada, provincial governments control employment and labor laws, whereas,

in the USA, the regulations applied are remarkably similar between states (Chan et al,

2019). However, there is a similarity between the two nations in that if Suroza Tastes

are in different states, the employees will follow the laws of their home state.

Restrictive Covenants

Restrictive covenants in employment contracts are governed by common law in

Canada. Contrary to the USA, employment contracts seldom enforce broad competition

clauses (Bonaccio et al., 2020).

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Amalgamation and Mergers

A statutory method of combining two or more corporations into one entity that

owns all of the assets, liabilities, and property of each member corporation is known as

amalgamation. A Canadian merger does not involve the concept of surviving a

corporation, and none of the founding corporations cease to exist following

amalgamation, in contrast to a merger in the United States. Instead, all of the rights and

duties of the firms that were combined are transferred to the new entity.

Employment Law

The labor laws of several US states, such as California, and Canada are

comparable. However, under Canadian law, a contract between the employer and the

employee is implied by law whether or not a formal agreement is present (Horn, 2017).

The USA labor laws however are based on the idea of "employment at will."

Tax Policies

The tax code for enterprises and private individuals in Canada is governed by the

federal Income Tax Act. The organization charges income tax to people who reside in

Canada for a specific tax year. In contrast, taxation in the US is based on citizenship. In

general, non-resident Canadians only pay taxes on their income that is derived from

sources within Canada, such as businesses and real estate (Horn, 2017).

Culture

Time and Communication

The average American worker puts in 47 hours a week at work, proving that

Americans are workaholics. In contrast, the average workweek for Canadian full-time

employees is 38 hours (Brook et al., 2020). Additionally, there are differences in the
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communication styles used in business meetings in Canada and the United States. The

Americans frequently speak out and dispute with superiors, but business meetings in

Canada are conducted in a more restrained manner. Meetings aim for consensus, and

disruptions are seen as impolite.

Paid Vacation

In Canada, employees with less than five years of service are entitled to two

weeks of paid vacation annually; after five years, the number grows to three weeks.

However, there is no legal requirement in the USA for employers to give their

employees paid time off (Jazzia-Becky, 2022).

Parental Leave

Parents in the USA are not guaranteed paid leave; instead, it is up to each

employer to provide it. As a sign of dedication to their jobs, it is common to see new

parents return to work earlier than they would prefer (Gould, 2019). However, in

Canada, parental leave is a requirement of the federal government. Mothers are eligible

for 15 weeks of paid leave, or 35 weeks total for both parents.

Political Environment and Economic Climate

Canadian Trade Agreements

Companies like Suroza Tastes profit from the extensive global trade network.

The North American Free Trade Agreement is indispensable when gaining access to

numerous markets (Smith & Beaumont-Smith, 2019). Moreover, many believe Canada

has a more balanced political spectrum than the USA, where political differences are

more pronounced.
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Economic studies indicate that marginal increases in productivity growth have

raised worker compensation on average, including for typical workers, in both the USA

and Canada. However, the relationship between productivity and pay has been stronger

in the United States than in Canada. This can be attributed to the fact that the Canadian

economy is smaller than the US economy and to the level of capital accumulation and

technological innovation (Hayward, 2019).


SWOT Analysis
Strengths
The staff is skilled in providing top-notch food
services. Suroza Tastes' strength lies in our
ability to satisfy the daily needs of our more
than 2,000 customers. Brand experts have
also contributed to the brand's development.
Mobile track business offers an extended
customers service that will lead to improved
gross margins.
Limited competion of food truck businesses in
Atlanta, and our favorable prices.
SWOT
analysis
Threats
The city of Atlanta frequently experience
heavy traffic, which could delay the timely
delivery of food services unlike in Brunswick
where it is easy for the mobile trucks to move
around with the help of on-time traffic
updates.
Change in policies and regulations may have
immense impact on the business.
Increases in prices of global food products
may lead to upward pricing.
Cost of Living
While the USA's federal income tax ranges from 10% to 37%, Canada's income
tax ranges from 15% to 35%. Overall, the USA has a higher cost of living (Bhatia, 2021)
but has more business opportunities that will offer more revenue to the company.
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Weaknesses
Diverting our energy towards the
underperforing ice cream and beverages
portfolio. The company purposes to focus on
edibles in the Atlanta market.
A risk that the competitors in Atlnta may be
offering similar food products, which may
leead to a reduced demand for the company's
products.
Adapting into a new country with different
laws and cultures
Opportunities
Suroza Tastes thrive on expanding into new
areas because the foundation of our
company is in mobility. This is a key success
factor because it enables the business to
offer its services in various locations.
The existing leasing companies in USA offer
an opportunity of reducing the initial operating
costs.
Offering different cuisines from many parts of
the world will increase consumer purchases
and offering innovative flavours will help
Suroza offer better-for-you options to the
consumers.
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References

Bhatia, M. J. (2021, December 28). USA vs. Canada: Salary and cost of living

comparison. Landmark.

Bonaccio, S., Connelly, C. E., Gellatly, I. R., Jetha, A., & Martin Ginis, K. A. (2020). The

participation of people with disabilities in the workplace across the employment

cycle: Employer concerns and research evidence. Journal of Business and

Psychology, 35(2), 135-158.

Brook, O., O’Brien, D., & Taylor, M. (2020). Culture is bad for you. In Culture is bad for

you. Manchester University Press.

Chan, J., Nair, M., & Rhomberg, C. (2019). Precarization and labor resistance: Canada,

the USA, India and China. Critical Sociology, 45(4-5), 469-483.

Gould IV, W. B. (2019). A primer on American labor law. Cambridge University Press.

Hayward, D. J. (2019). International trade and regional economies: The impacts of

European integration on the United States. Routledge.

Horn S. (2017). U.S. and Canadian Law: Six Key Differences for Investors

IBISWorld. (2020, September 23). Food trucks - Industry market research report.

MarketResearch.com: Market Research Reports and Industry Analysis.

Jazzia-Becky, A. (2022, September 5). Working in Canada vs the US: 5 differences in

work culture and employment. Idoma Voice

Newspaper. https://idomavoice.com/working-in-canada-vs-the-us-5-differences-

in-work-culture-and-employment-practices/
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Smith, T. K., & Beaumont-Smith, G. (2019). An Analysis of the United States–Mexico–

Canada Agreement. Heritage Foundation Backgrounder, (3379).