1. Doing Business in Latin America
Mexico
Doing Business in Latin America
Petra Volk
Anja Dezman
Radu Ciocoiu
Andrea Vornberger

2. Petra, Anja, Radu and Andrea
Introduction
General information about Mexico
Economic Situation
Political Situation
Cultural Situation
Petra, Anja, Radu and Andrea

3. Petra, Anja, Radu and Andrea
United Mexican States
Capital
Language
Government
President Vicente Fox Quesada
Independence From Spain   
- Declared September 16, 1810   
-Recognized September 27, 1821
Petra, Anja, Radu and Andrea

4. Petra, Anja, Radu and Andrea
Area  
- Total 1,972,550 km²
Population  
2006 estimate
-107,784,179  
GDP (PPP)
2005 estimate
- Total $1.073 trillion 
- Per capita $10,186 
Currency
Picture: Mexico City, Angel of Independence
Petra, Anja, Radu and Andrea

5. Economic Situation of Mexico 1
In 2005:
Growth: ca. 3%
GDP: 10,186 US Dollar
Rate of inflation: 3.3 %
Upper middle income country
10th biggest country of the world (in GDP)
12th biggest trading nation
13 free trade agreements with 43 countries (NAFTA, EU,...)
Most business done in the center and capital (40 % of GDP)
Industrial centers: Nuevo Leon (Monterrey) 7,2 %, Jalisco 6,4 % (Guadalajara) and Veracruz 4% of total GDP
Productive power/ activity:
- Services 69 %, industriel production 27 %, agricultutre 4%
FDI: 17 mrd. US Dollar
Petra, Anja, Radu and Andrea

6. Economic Situation of Mexico 2
High inequality (rural population very poor: 10% less than 1$ per day, 26% less than 2 $ per day, indigenous 80%)
Poorest 40% have 11% of GDP
Low real wages
Corruption Perceptions Index of Transparency International: Mexico on place 65 of 159 – high corruption
High HDI (Human Development Index): 0.814 (from 0 to 1)
Open system of competition, but:
Few very big state-led companies:
- Pemex (Petróleos Mexicanos)
- CFE (Comisión Federal de Electricidad)
MNE`s like Telmex, Cemex, Readymix, Banamex,...
Petra, Anja, Radu and Andrea

7. Political Environment in Mexico (1)
Mexico is a federal presidential representative, democratic republic
President is both head of state and head of government
Current President : Felipe Calderon (won elections in July
2006) – serving a 6-year term
Re-elections are banned by the Revolutionary Constitution of 1917
Mexican Executive Cabinet: 18 Secretaries of State + Head of federal legal office + Attorney General
Political Constitution of Mexico (1917)
Petra, Anja, Radu and Andrea

8. Political Environment in Mexico (2)
National Political Parties
National Action Party (PAN)
Institutional Revolutionary Party (PRI)
Party of the Democratic Revolution (PRD)
Labour Party (PT – 1990)
Green Ecological Party of Mexico (PVEM)
Convergence (1997)
Social Democratic & Farmer Alternative (July 2005)
New Alliance (July 2005)
Petra, Anja, Radu and Andrea

9. Petra, Anja, Radu and Andrea
CULTURE
Standard of living
Leisure
Broadcast media
Picture: A woman dancing folklórico in the traditional dress of Jalisco
Petra, Anja, Radu and Andrea

10. Petra, Anja, Radu and Andrea
Sport
Religion
Food
Picture: Guadalajara Cathedral by night
Petra, Anja, Radu and Andrea

11. Petra, Anja, Radu and Andrea
Thank you for your attention!
Sources:  
Petra, Anja, Radu and Andrea