Preferential Treatment: The New Face of Protectionism?

The postrecession era will be a heady time for countries in the developing world as they find themselves wooed not just for their materials and labor but—increasingly—for their consumers. All that attention will most likely lead to more free trade agreements (FTAs), in which countries arrange to lower or eliminate tariffs on selected goods for each other. That scenario has implications for global corporations’ strategy and operations.