|
home | economic watch | economique watch- Mexico
 |
Economic Watch - Mexico
by Eric Champoux , Eng.
___________________________________
1.
Economic Fact Sheet
Population : 100 million (
2000 census
)
Currency : peso
Value- November 2004 : 11 pesos /
US$ 1
GDP :
US$ 556 billion
Average Income :
$ US 6000 / year
World Ranking :
8th ranked world economic power
Petrol :
4th ranked producer
Inflation :
6.4 % in 2001, 27.5 % in 1996
Commercial Run-down :
Historically, Canada and Quebec have always sold less to Mexico, than Mexico has to them. According to official figures on hand, Mexican exports are seven times greater. In 2003, out of over $ 2.5 billion worth of goods sold between the two entities, Quebec imported more than $2.1 billion worth. Contrary to popular opinion, imports are not simply junk and fruit produce but rather 90 % of them are average to high-quality technological products.
Business Culture : It goes without saying that providing a good service or producing a good product is simply not enough to gain business success. Canadian entrepreneurs need to develop solid relationships with business people on a personal level in order to establish a sense of trust and mutual understanding to aid in business development. This may involve several trips to Mexico and consequently, require a certain financial and time investment.
An important aspect to consider for companies wishing to do business in Mexico, is that most businesses would greatly enhance their chances of success by hiring a local, permanent representative. It is also of great interest to establish alliances with Mexican partners, either in the aim of market-sharing or production of goods. As a final point, when making decisions to produce or export, it is essential to understand the culture surrounding export methods in order to avoid costly errors and disappointments, specifically related to all elements of shipping, customs, etc.
Large-Scale Investments :
road conditions, suburban train to Mexico City, airports
|
