Professional Documents
Culture Documents
“Project on CUBA”
“INTERNATIONAL BUSINESS”
Submitted To:
SIR FRAZ SHAFEEQ
Submitted By:
MUHAMMAD AZHAR (CIIT/SP09-MBA-068/LHR)
REPUBLICA DE CUBA
Conventional long form Name: Republic of Cuba
Local long form Name: Republica de Cuba
Capital: Havana
Official language Spanish
Population 11.2 million; 70% urban, 30% rural
GEOGRAPHY
Cuban Revolution
Officially, Cuba has been an atheist state for most of the Castro era. In 1962,
the government of Fidel Castro seized and shut down more than 400
Catholic schools, charging that they spread dangerous beliefs among the
people. In 1991, however, the Communist Party lifted its prohibition against
religious believers and a year later the constitution was amended to
characterize the state as secular instead of atheist.
All the media are controlled by the government. There are three major
national newspapers: Granma, published by the Communist party, Juventud
Rebelde, published by the Communist Youth, and Trabajadores, published
by the Cuban Federation of Workers. The two national television stations,
several national radio networks, and one international network are all
administered by the Cuban Institute of Radio and Television.
FOREIGN RELATIONS
The United States continues an embargo against the island of Cuba "so long
as it continues to refuse to move toward democratization and greater respect
for human rights". United States President Barack Obama stated on April 17,
2009 in Trinidad and Tobago that "the United States seeks a new beginning
with Cuba", and reversed the Bush Administration's prohibition on travel
and remittances by Cuban-Americans from the United States to Cuba.
More than 30,000 Cuban doctors currently work abroad; in countries such as
Venezuela and Zimbabwe. But on the other hand the membership of Cuba in
the United Nations Human Rights Council has received criticism.
SPAIN is among the most important foreign investors in Cuba. The ruling
Zapatero government continues Spain's longstanding policy of encouraging
further investment and trade with Cuba. Cuba imports more goods from
Spain (almost 13% of total imports) than from any other country. Spanish
economic involvement with Cuba is exclusively centered on joint venture
enterprises that provide financial benefit to the Cuban Government through
state-owned firms.
Cuba has found a new source of aid and support in the People's Republic of
China, and new allies in Hugo Chávez, President of Venezuela and Evo
Morales, President of Bolivia, both major oil and gas exporters.
ECONOMIC CONDITION
The Cuban state adheres to socialist principles in organizing its largely state-
controlled planned economy. Most of the means of production are
owned and run by the government and most of the labor force is
employed by the state. Recent years have seen a trend towards more
private sector employment. By the year 2006, public sector
employment was 78% and private sector 22%, compared to 91.8% to
8.2% in 1981
NATURAL RESOURCES
The most important mineral resource is NICKEL, of which Cuba has the
world's second largest reserves after Russia.[91] A Canadian energy company
operates a large nickel mining facility in Moa. Cuba is also the world's fifth
largest producer of refined COBALT, a byproduct of nickel mining
operations. Recent oil exploration has revealed that the North Cuba Basin
could produce approximately 4.6 billion barrels (730,000,000 m3) to
9.3 billion barrels (1.48×109 m3) of oil. In 2006, Cuba started to test-drill
these locations for possible exploitation.
Of the commodities that Cubans export is nickel which is by far the most
important material that has caused the boom in the economy. The amount for
which nickel is exported is considerably high when you consider the state
wages that are paid to the employees of the industry. It is estimated that
nickel and cobalt exports yielded about $1.3 billion in 2006. The amount of
unrefined nickel that was exported weighed in at 74,000 tons. The second
biggest exports are in the form of pharmaceuticals and medical
equipment. Cuba also exports doctors to Venezuela in return for which it is
given a considerable amount of oil on credit.
Although sugar used to be one of the major exports of Cuba its production
and consequently export has declined over the years. This has been largely
due to the lack of investment in the industry. The tobacco and cigar
industry has always been one of Cuba’s most steady sources of production
and it continues to form a great chunk of the international export products.
Other goods that form the exports of Cuba are shellfish, citrus fruits, coffee
and state sponsored labor.
ECONOMIC INDICATORS
Exports:
$3.78 billion (2008 est.)
country comparison to the world: 119
$3.701 billion (2007 est.)
Exports - partners:
China 27.9%, Canada 25.3%, Spain 5.7%, Netherlands 5%, Iran 4.3% (2008)
Imports - commodities:
petroleum, food, machinery and equipment, chemicals
Imports - partners:
Venezuela 31.5%, China 11.8%, Spain 10.6%, Canada 6.7%, US 6.6% (2008)
Exchange rates:
Cuban pesos (CUP) per US dollar:
$0.9259 (2008 )
$0.9259 (2007)
$0.9231 (2006)
note: Cuba has two currencies in circulation: the Cuban peso (CUP) and the
convertible peso (CUC); in April 2005 the official exchange rate changed from
$1 per CUC to $1.08 per CUC (0.93 CUC per $1) both for individuals and
enterprises; individuals can buy 24 Cuban pesos (CUP) for each CUC sold or
sell 25 Cuban pesos for each CUC bought; enterprises, however, must exchange
CUP and CUC at a 1:1 ratio.
SWOT ANALYSES
Strengths:
People of Cuba are one of the major strength as they are well educated
and the literacy rate touches 99.8% playing an important role in the
country’s progress.
Strong Health care system provides all of its citizens with free health
care. Not only the patients treated well, but the have the best doctor-
patient ratio the in world, which is “one doctor to every two hundred
patients.
Weakness:
OPPORTUNITIES:
Recent oil exploration has revealed that the North Cuba Basin
could produce approximately 4.6 billion barrels oil and there
are more chances of oil exploration which need more test
drilling.
THREATS:
Worse relationship with neighbor and other world doesn’t allow Cuba
to establish its economy.
UN sanctions and travel ban on Cuba is directly affecting the Cuba and its
trade with other countries.
References:
http://en.wikipedia.org/wiki/Cuba
https://www.cia.gov/library/publications/the-world-factbook/geos/cu.html
http://www.history-timelines.org.uk/places-timelines/14-cuban-timeline.htm
http://library.thinkquest.org/20176/crevolution.htm
http://library.thinkquest.org/18355/fulgencio_batista.html
http://www.cuban.pro/articles/5305/Obama-and-Cuba