1: What is the basis of Ecuador’s comparative advantage in the production of roses?
Answers
1: Most of Ecuador's rose farms are located in Cayambe and Cotopaxi regions and are within an hours drive from Quito, the capital of Ecuador. The altitude is around 10,000 and the rose farms are at the foot of volcanoes that rise more than 20,000 feet. The rose fields benefit from fertile soil, high altitude, and the intense sunlight that lasts up to 12 hours each day. The location close to the equator makes an ideal growing condition and the roses thrive. They have vibrant color and large heads. They are prime roses and fetch a premium price. Because of the location and conditions, the roses flower year round.

Because of these advantages, Columbia and Ecuador roses account for 90% of the roses sold in the United States last year. The revenues gained by taxes paid by rose growers have allowed the country to improve its infrastructure. Huge plastic covered structures have been built to protect the roses. Roads have been paved, schools built, and huge sophisticated irrigation systems have been developed and constructed. Airports and transportation has been developed so that a rose that is picked today in Ecuador can be in the United States tomorrow ready for delivery.

The advantages that allow Ecuador to produce great and abundant roses are mainly made up of the agricultural/climate condition, along with location and workforce. Since the town of Cayambe is located 10,000 feet up near the mountain the high-altitude makes for ideal growing conditions. \along with the combination of sun-light, fertile volcanic soil, equatorial location allows for the roses to be grown all year round. This allows for a great advantage over a lot of competition, because production can say consistent all year long keeping steady amount of export. \where on the other hand if production was slowed down by weather conditions for a few months this would negatively affect the exports. Another comparative advantage that is obtained is the fairly low monthly income that Ecuador has, this allows for companies to pay employees relatively low wages. Although some companies may pay employees well over the countries average income, in comparison to many more developed countries/., the dollar amount is significantly less.

2) Most Ecuadorians roses are sold in the United States or in Europe. Who in these countries benefits from the importation of Ecuadorian roses, and how do they benefit? Who loses? Do you think the benefits outweigh the cost? The main parties that would benefit from the sales of Ecuadorian roses in these countries are the retail stores that sell the roses (flower shops, grocery stores, speciality stores etc.) and the consumers themselves. The retail stores have the benefit to an all year round supply of great roses that are in very-high demand. The quality of the actual rose is much better that what local producers can provide and there is constant access to them. The consumers have the pleasure to purchase amazing roses that were not being offered before, and access to them all year round as well. The main losers in these countries are the local producers that once supplied all of the retail stores. They are now presented with...
1. The Ecuadorean competitive advantages are the variety of kinds of roses that are planted in huge flat fields at the foot of snowcapped volcanoes that rise to more than 20,000 feet which give the roses the best soil full of minerals to give high quality roses. Besides that the cost of labor , material ,chemicals are low which give a low cost production and low selling price for a perfect quality and they give a huge support for women by employing women and give them control over their family spending and make them independent and support their families and their children's education . These Advantages give the Ecuadorian roses expand rapidly and have a high exportation rate.

2. United states and Europe both benefit from importing roses from Ecuador since they import roses in low prices and the cost of planting roses in US or Europe in higher than the cost of importing these roses in addition of the cost of the quality of the roses. While in Ecuador the salaries are very low and the soil is perfect for the roses which make the importation cost lower than the local production of roses. The one who loses in this case are the local producers of roses in US and Europe since they will not sell their roses and they will lose and cannot compete with the high quality lower cost Ecuadorian roses. The benefits of importing roses from Ecuador is a good and profitable business for US and Europe as well as Ecuador since Ecuador is expanding and exporting roses, US and Europe and importing high quality roses that are cost less than if they want to plant roses .
1) Ecuador has a comparative advantage when it comes to the production of roses. Ecuador not only has plenty of workers to help cut the rose stems at the farm, but also the landscape and climate in Ecuador is beneficial to the growth The bushes are protected by 20-foot-high canopies of plastic sheeting. The combination of intense sunlight, fertile volcanic soil, an equatorial location, and high altitude makes for ideal growing conditions, allowing roses to flower almost year-round. This farmland produces prime roses. They have huge heads and unusually vibrant colors, including 10 different reds, from bleeding heart crimson to a rosy lover’s blush. This helps Ecuador because since they have such a great production of roses they are able to sell them for premium prices in stores from New York to London.

2) Most Ecuadorian roses are sold in the United States or Europe. The people who benefit in these countries are the flower shops and premier places selling the roses. Because of the wonderful production of roses that they are importing to their shops, they are guaranteed sales because of the quality of the roses. The customer might lose out a little bit because of the price of the roses, since it seems the company is paying good money for the roses. The rose farms generate $240 million in sales. Therefore the United States and Europe are importing lots of roses to sell. Ecuador also strongly benefits because with this large income coming in for their exports, they can support tens of thousands of jobs, which will help their rose production increase due to the numbers of people that they are able to employ. Not only can Ecuador support more jobs but also the revenues and taxes from rose growers have helped to pave roads, build schools, and construct sophisticated irrigation systems. The employees earn average wage and is substantially above the country’s $120 a month minimum wage. The farm also provides the workers with health care.