Finally, California maintains a firm-retention strategy. The core use of this program otherwise known as the “Red Team” or “Team California” is to provide targeted assistance or intervention that encourages intra-state relocation for California firms that are looking at expansion or shifting out of the state. (Shatz 26)
Conclusion and Recommendations
Issues arising from foreign trade relate widely with issues of the broader economic-development for the state. For example, how to help workers if their work move overseas, how to train labor force, and how to keep a portion of production due to expansion of existing firms. These needs can be addressed from a base of existing programs which are provided by the state. Major priority of setting these programs should be different implications used for expanding global linkage.
There have not been an evaluation of effectiveness in foreign trade and related programs even with state documentation of their services, our evaluation through these programs; California is developing a set of tools to use in context of change related to trade change and economic development goals. The state policy makers should come up with a vision that is strong on how to cope with needs of growing globalization and challenges of state economy noted earlier.
For such a vision, policy makers will be required to implement multidimensional view of issues related to trade
To strengthen impact of present programs, the following guidelines are recommended;
1. Identify needs and set priorities.
The demands facing California are as a result of needs from globalization. The developing of Programs to promote exports, increase competition of firms, preserve California firms, and keep displaced workers should be the state needs for broader development of economy.
2. Recognize the complex effects of global linkages.
In California exporters may become producers abroad and foreign investors may become competitors in the markets served by California firms as result of economy transformation due to global pressure. Companies and workers should be trained and have adequate resources to help them in changing economy.
3. Anticipate the effects of change and the needs of industries.
Expansion of foreign trade by the state and broadening the economic development is the most effective if proactive. Long term concerns i.e. constraints in Silicon Valley, growing sites search for agricultural sector expansion such as wine should involve monitoring and analysis of industries success by state agencies.
4. Identify and nurture new locations for expanding California industrial clusters.