If Canada finds it difficult to compete on wages or scale of production, as suggested above, it may be able to attract FDI in the production of specialty products and high-end services that require a highly skilled workforce using high-tech equipment. Canada's advantage may lie in moving up the value chain to concentrate in niche areas where it can be globally competitive. However, substantial improvements in its productivity and a larger pool of highly qualified people will be required. Furthermore, Canada's skilled workers will need the competencies required to produce higher-value specialty products and high-end services.
This is an initial assessment of Canada's comparative advantages and disadvantages in attracting FDI from efficiency-seeking global companies. The Conference Board proposes to pursue this topic further in a future study on the changing nature of global companies.