Multinational enterprise strategy and the NAFTA trade and environment regime

Alan Rugman and John Kirton

Journal of World Business, 1998, vol. 33, issue 4, 438-454

Abstract: The North American Free Trade Agreement (NAFTA) is the first international trade treaty to explicitly incorporate a process to accommodate political aspects of the natural environment. It does this primarely through the creation of the NAFTA Commission on Environmental Cooperation (CEC), but also through associated committees and regulations. In this paper we use "regime" analysis from political science to assess these institutional aspects of NAFTA as they affect the strategies of multinational enterprises (MNEs). We draw out implications for public policy and corporate strategy based on extensive interviews of relevant government and business leaders; as well as senior bureaucrats involved in the administration of NAFTA trade and environment policy.

Date: 1998
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