COMMERCIAL LAW, 10. State Z’s automobile manufacturing industry is one of the largest and, Business Management

COMMERCIAL LAW, Business Management

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10. State Z’s automobile manufacturing industry is one of the largest and most highly regarded in the world. The industry is concerned that it may lose some of its domestic market share to inexpensive, low-quality cars manufactured in newly industrialized countries. To avoid this, the industry lobbies the State Z government until it enacts new standards for the sale of cars in the country. The standards are set in such a way that only cars manufactured in State Z can meet them. Assuming that State Z is a member of the WTO, can the governments of those newly industrialized countries (also members of the WTO) do anything to get State Z to rescind its new standards? Explain.

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COMMERCIAL LAW, Business Management

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