Mexico: Surprising Land of Opportunity Essay

Submitted By kalsheibani
Words: 656
Pages: 3

Chris Sutherland
MGT 350
Dr. Moore
September 20, 2012
Mexico: Surprising Land Of Opportunity Mexico is one of the countries that their economies have been transformed rapidly in a matter of 20 years. From a small economy to a huge underestimated one. Most people don’t realize that the Mexican economy has grown more than expected; 86 percent of Mexican exports and 50 percent of its imports are the results of trading with U.S and Canada only. As a result, Mexico has become one of the top exporters in the world, and could make a big threat to China in exporting to the U.S due to the rise of the Labor cost in China. Plus, investors are more interested investing in Mexico than investing in China or India, because Mexico has democracy unlike China or India. In this article, Mark Koba, the author of the article, explains how big the economic power is in the underrated country. He stated there are many prospective aspects that Mexico can attract investors and businesses to start ahead in a growing economy. Also, there are many keys that led Mexico to have a strong economy, but the major key was the creation of The North American Free Trade Agreement (NAFTA). Nowadays, Mexico is the largest North American auto-producing country. It surpassed the U.S and Canada in automobile manufacturing. According to the author, General Motors is going to invest $120 million in a plant in the central state of San Luis Potosi to produce the SUV crossover. In addition, Coca Cola is planning to invest more than $1 billion in the Mexican market this year as part of a $5 billion, 5-year investment plan. Other keys the author emphasized on are the improvement in the social life and the education system of Mexico. Koba has cited from the World Trade Organization the ranking of Mexican workers. He stated that Mexican workers are among the hardest workers in the world, in terms of the amount of hours worked each year. Moreover, we all know that any strong economy must have a large middle class. Mexico’s middle class has expanded since the formation of NAFTA. Just like the author mentions the strengths of Mexico, he also mentions the weaknesses. He talked about the struggles Mexicans face until now. Even though the middle class has expanded, still the gap between the rich class and the poor class is big. In addition, corruption is a negative factor in the country. The writer quoted Josh Miller, a general manager in Mexico for Control Risks, a global risk consultancy firm, "Corruption is still a huge problem for businesses in…