During the past decade, events of paramount importance have taken place in the United States' major foreign market, Canada. Many American businessmen and scholars have by and large, not properly understood these events, which have been altering Canada's economic fibre and social structure. The prolonged Parliamentary debates on obtaining a distinctly Canadian flag, the antagonisms between French Canadians and English Canadians, and Canadian fears of American economic domination and cultural absorption are expressions of the economic and cultural flux in Canada. The Canadian market has often been incorrectly viewed as internally homogeneous, and as a mere extension of the American market. In this article authors examine, the character of Canada's population and some of the marketing implications of their disbursement over a land area greater than the United States, the composition of Canada's GNP, the nature of American influence on Canadian marketing, and Canadian legislation and other conditions peculiar to marketing in Canada.