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International Business
In Mexico!
M.G. Quintana
Introduction
International Trade
Steps to Conduct International Business
Quotas and Tariffs
Foreign Exchange Rate
Determination of Exchange Rates
Effects of International Trade on GDP
Strategies for Success
International Trade Between Mexico
and the US
• Within 10 years the amount of
trading has increased by 32.89
Billion.
• In 2012 the amount was at an all
time high
Steps to Conduct International
Business
From a Business Perspective
• Meticulously research the
economic conditions and
opportunities.
• Market Entry Strategy, this is the
analysis and evaluation of how
your business will look if you
expand.
Legality Perspective
• Hire a good lawyer who will
explain all your responsibilities
and liabilities moving forward.
• Register your business and name
your corporation.
Quotas and Tariffs
• Quotas and Tariffs do exist on
several items in Mexico.
• In order to advise you accurately
we will need a list of what you are
planning to export.
• Wide variety of quotas and tariffs
in Mexico on several items.
Foreign Exchange Rate
• 1.00 MXN = .0773 USD
• 1.00 USD = 12.935 MXN
*Exchange rates current as of
September 16, 2013 9:28PM UTC
How Are Exchange Rates Determined?
• Supply and Demand.
• If demand rises or supply falls the
rate goes up.
• If demand falls or supply rises the
rate goes down.
Effects of International Trade
on GDP
• NAFTA
• Outsourcing
• Illicit Trade
• Current Quagmire
• NAFTA
• Insourcing
• Illicit Trade
• Accountable GDP
Strategies For Success
• Hire a Bilingual Team Member
– With Professional
Communication Skills
– With Vast Understanding of
the Business Culture in
Mexico
Strategies For Success
• Have Written Plans
– Sales Goals
– Evaluate and Make
Recommendations
• Budget
• Secure Credit Line
Strategies For Success
• Designate Strategic Planning
Work Team
– Only 41% of Small Business
do this
– Taxes
– Labor Laws / Legalities
Conclusion
• International Trade
• Steps to take in order to conduct business
• Quotas and Tariffs
• Foreign Exchange Rate and How it is Determined
• Strategies for Success
• Questions?
References
Malkin, Elisabeth (2012, December 25). Mexico Finds Unlikely Allies in Trade Fight.
The New York Times. Retrieved from http://www.nytimes.com

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Conducting International Businessin Mexico

  • 2. Introduction International Trade Steps to Conduct International Business Quotas and Tariffs Foreign Exchange Rate Determination of Exchange Rates Effects of International Trade on GDP Strategies for Success
  • 3. International Trade Between Mexico and the US • Within 10 years the amount of trading has increased by 32.89 Billion. • In 2012 the amount was at an all time high
  • 4. Steps to Conduct International Business From a Business Perspective • Meticulously research the economic conditions and opportunities. • Market Entry Strategy, this is the analysis and evaluation of how your business will look if you expand. Legality Perspective • Hire a good lawyer who will explain all your responsibilities and liabilities moving forward. • Register your business and name your corporation.
  • 5. Quotas and Tariffs • Quotas and Tariffs do exist on several items in Mexico. • In order to advise you accurately we will need a list of what you are planning to export. • Wide variety of quotas and tariffs in Mexico on several items.
  • 6. Foreign Exchange Rate • 1.00 MXN = .0773 USD • 1.00 USD = 12.935 MXN *Exchange rates current as of September 16, 2013 9:28PM UTC
  • 7. How Are Exchange Rates Determined? • Supply and Demand. • If demand rises or supply falls the rate goes up. • If demand falls or supply rises the rate goes down.
  • 8. Effects of International Trade on GDP • NAFTA • Outsourcing • Illicit Trade • Current Quagmire • NAFTA • Insourcing • Illicit Trade • Accountable GDP
  • 9. Strategies For Success • Hire a Bilingual Team Member – With Professional Communication Skills – With Vast Understanding of the Business Culture in Mexico
  • 10. Strategies For Success • Have Written Plans – Sales Goals – Evaluate and Make Recommendations • Budget • Secure Credit Line
  • 11. Strategies For Success • Designate Strategic Planning Work Team – Only 41% of Small Business do this – Taxes – Labor Laws / Legalities
  • 12. Conclusion • International Trade • Steps to take in order to conduct business • Quotas and Tariffs • Foreign Exchange Rate and How it is Determined • Strategies for Success • Questions?
  • 13. References Malkin, Elisabeth (2012, December 25). Mexico Finds Unlikely Allies in Trade Fight. The New York Times. Retrieved from http://www.nytimes.com