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Legal Base Us Embargo Case Study
Legal Base US-Cuba Business

History
The well-known Unites States (US) embargo against Cuba is generally related to the 1960 when the Cuban government under Fidel’s Castro wake, seized private land, privates companies and taxed the US products in excess. But this harsh relation dates back from 1898 when, after the Spanish-American war, Spain cede the Puerto Rico, Guam and Cuba territories to the US. The US granted Cuba its independence with the condition that it could intervene in the country affairs, an agreement which was later nullified, and the perpetual lease of the Guantanamo Bay base. Cooperation between the two countries was observed until the revolution in 1959. In that revolution a band of guerillas led by Fidel Castro overthrew President General Fulgencio Batista. Castro was supported by the US which immediately recognized him as the new country leader.
By 1960, the well-known story began when Castro’s government seized private land, nationalized private companies and taxed American products excessively resulting in a decline of American products exports. The US government responded by eliminating diplomatic ties, placing an embargo on exports to Cuba (except for food and medicine) and
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However wholesalers and distributors in Canada, Europe, Asia and Latin America sell many of the most recognizable American brands to Cuba. (Associated Press, 2007) The US Assistant Secretary of Exportation informed that Cuban representatives go on purchasing missions to third world countries to “hunt” for specific American products. Since Cuba highly depends on the tourism industry, it is important for them to have brands that visitors are comfortable purchasing. "It 's important for the foreigners who visit Cuba to see products that they know and trust.” (Erikson,

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