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Mexico's Global business - Essay Example

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The main aim of the paper is to discuss about the idea of setting up a new global business. The target country is Mexico. With reference to this aspect, various kinds of information about Mexico ranging from the country in general, its economic health and political conditions to the cultural and ethical issues have been discussed…
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Download file to see previous pages The topography is very diverse, and the climate reflects this fact. At any time of the year you can find an area of Mexico with a perfect climate. Many parts of the central highlands and some coastal locations, have "perfect" weather all year round (Blog, 1996).
The country can be split into four geographical areas namely, The Baja Peninsula, The Pacific Coast, The Caribbean coast and The Central Highlands. The Baja has a climate that varies considerably from its west coast to its east coast and north to south. The coastal areas get hot and humid weather in the summer and ideal weather in the winter. The central highlands get ideal weather year-round. The northern desert areas have very hot weather in the summer and cool nights in the winter with some snow on occasions. Details on climate can be obtained from the more specific pages in Virtual Mexico (Blog, 1996).
The economic health of Mexico is basically more focused on travel and tourism. The other areas in which the country has a good reputation are industrial production, oil and gas production, textiles and clothing and agriculture. Mexico is highly dependent on exports to the U.S., which represent more than a quarter of the country's GDP. The result is that the Mexican economy is strongly linked to the U.S. business cycle. Real GDP grew by 4.8% in 2006 and by 3.3% in 2007 (Bureau of Western Hemisphere Affairs, 2008). Hundreds of North American factories have been built to take advantage of the lower labor costs. Mexico has 1/5 of the world's oil reserves. Mexico produces and exports a wide selection of agricultural goods. Just about every kind of fruit and vegetable is grown on giant modern irrigated farms and small family plots.
Political Conditions of Mexico
Mexico is bogged down in a grim economic crisis, and the people are tired of inflation, of poverty, and of the appalling poverty-linked crime wave. The government of Mexico is a federal republic (Lake, 1998). The 1917 constitution provides for a federal republic with powers separated into independent executive, legislative, and judicial branches. Historically, the executive has been the dominant branch, with power vested in the president, who promulgates and executes the laws of the Congress. The Congress has played an increasingly important role since 1997, when opposition parties first made major gains. The president also legislates by executive decree in certain economic and financial fields, using powers delegated from the Congress. The president is elected by universal adult suffrage for a 6-year term and may not hold office a second time. There is no vice president; in the event of the removal or death of the president, a provisional president is elected by the Congress (Bureau of Western Hemisphere Affairs, 2008). In the 2006 elections, the PAN emerged as the largest party in both the Senate and the Chamber of Deputies, with just over 40% of the seats in each house of Congress. It does not enjoy a legislative majority. Although the PRI no longer controls the presidency and has fewer ...Download file to see next pagesRead More
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