Marketing Project
Brief Description
They got independent in 1325 and became a Spanish Colony. According to before Spanish, Mexico was resided by the Indian group who had different social as well as economic systems. Generally, the communities found in the northern part were groups of hunters as well as gatherers who traveled large regions of lightly vegetated deserts as well as drylands. The Spanish Mexicans are also known as Chichimec though they are a mixture of various cultural groups that speak different languages.
Social institutions
The social institutions in Mexico play significant roles. The social institutions create as well as sustain a society whereby people coexist peacefully as well as resolve conflict peacefully. These social institutions include colleges, social organizations, political systems, and religion. Social status is the significant structures that establish social interaction. Hence people are divided through their level of income and education.
Living conditions
There are challenging living conditions for most of the Mexican residents. About 33% of the population in Mexico live in moderate poverty, while around 9% live in extreme poverty. Therefore, about 40% of the Mexican population survives in poverty, and the number of poor keeps on increasing. Thus, the country tracks more in the developing economy than developed nations.
Language
The major language spoken by Mexican is Spanish and no Spanish. The vast majority of Mexican speak Spanish, and this has made it the major Spanish speaking populace worldwide. According to, there is no single official language spoken in Mexico. About 6% of the populace in Mexico is non-Spanish speaking, and a few indigenous Mexican words are common in other languages, which include English. For instance, chocolate, tomato as well as avocado which have originated in Nahunta.
Brief Description of Negotiation Styles and Differences From US
For any successful business, there is a need to know the negotiation styles. Mexico has a different history from the United States and thus different negation styles. The negotiators from Mexico begin and end meetings at flexible times, they do take breaks if it seems appropriate, are comfortable with a high flow of data, are expected to read each other’ thoughts as well as minds, occasionally overlap talk, and view start periods as flexible as well as don’t take lateness personally. On the other hand negotiators from the U.S. prefer quick beginnings as well as endings, they schedule breaks, work with one agenda per time, rely on certain, detailed as well as explicit communication, prefer talking in sequence, they view lateness as devaluing and as an indication of lack of respect.
Population and Growth Rate
There is a rapid population growth rate in Mexico. According to there is a high population growth rate in Mexico because of the increasing high fertility as well as a simultaneous decrease in the mortality rate. The increasing population rate in Mexico has positive and negative impacts on the economy. The large population is great for economic development, such as there is an expansion for taxes bases, increased innovation as well as increased consumer expenditure at local industries. However, increasing population puts pressure on the existing limited resources.
Economic Statistics and Activity
Mexico is among the largest growing g economies in Latin America. Mexico has a strong economy due to its manufacturing as well as petroleum products. According to as per the Trading Economics global macro models and analysts’ expectations, the GDP per capita in Mexico is expected to reach 10500 USD by the end of the year 2020.
Communication and Transportation System
Efficient communication and transportation are significant for economic growth. In Mexico, buses are the main system of long-distance public transportation. There is a widespread network of buses that range from luxury coaches to old buses. However, there are problems that beset the transport and communication in Mexico. These problems include insensitive planning, inadequate investment, inefficient management, inadequate capital, poor maintenance, as well as deterioration services.
Working Conditions
Working conditions contribute to health disparities. According to, millions of Mexican workers employed in maquiladoras work tirelessly with constant pressure trying to support their families. The working conditions are dangerous, and the implications of having maquiladoras in Mexico don’t benefit people in the long run. The working conditions of these maquiladoras are hazardous, harmful to safety, joy, well-being, as well as the development of these workers. Overall, these maquiladoras ignore the well-being of people and endanger workers.
Principle Industries
Mexico is among the largest economies in the world. According to, the main industries in Mexico include food as well as beverages, tobacco, chemicals, iron, clothing, vehicles, and tourism. In addition, Mexico is a major exporter of silver, fruits, coffee, cotton, and oil products. The reason where most industries are in Mexico, especially auto companies, is the Mexico strategic position.
Foreign Investment Levels
Mexico is among the top trading nation in Latin America as well as worldwide. For this reason, it has more foreign investment levels. Most of the foreign investment t levels are attracted to Mexico due to its economic growth and its strategic location that has positioned Mexico as a springboard to America as well as Canada. Other reasons for attractions of high foreign investment levels are competitive production costs as well as a young skilled workforce, open economy, and political stability.
International Trade Statistics
The largest Mexico’s trading partner is the U.S. According to Mexico, trade exports have decreased of late due to various factors such as global epidemics. However, the U.S trading deficit with Mexico in the year 2018 was an increase to $ 80.7 billion. Overall, Mexico’s major imports are pieces of machinery, vehicles, plastics, and fuels, while major exports are petrol products, gold, and fruits.
Balance of Trade
Mexico has `shown a surplus deficit. Mexico’s balance of trade is expected to be around 1500 USD according to the Trading economics global macro models and analysts expected. There is a widening trade surplus in the corresponding month of the prior year, which beats the market expectations.
Mexico Currency and Currency Exchange Rate To The US Dollar
The Mexican currency (MXN) is the official currency, which is known as the silver dollar. It the first currency to use the distinct border as well as the precise weight that guard against counterfeits that makes it exceptionally known. 100 Mexican peso is equal to 4.12 U.S dollars.
Trade Restrictions
There are trade barriers in Mexico. The trade barriers include tariff and non-tariffs that the Americans face while exporting commodities into Mexico. Mainly, there are no tariff walls for America exports to Mexico. Overall, there are also things that are not allowed in Mexico, such as knives.
Labor Force
Mexico has a growing labor force in occupation services and agriculture. The labor force participation rate entails the number of people employed as well as unemployed though they are looking for a career divided by the total working population. According to the labor force, the participation rate in Mexico from 2005 has averages about sixty percent until 2020.
Channels of distribution
There is a direct and indirect distribution channel in Mexico. The direct distribution channel incorporates direct contact between the manufacturer and the consumer. For instance, it is the factory outlet store. In this kind, the intermediary is excluded. However, in the indirect channel, goods and services go a detailed channel to reach the consumer. Currently, the internet is the major distribution channel in Mexico.
Media
Media plays a significant role in Mexico. The media is used to pass information to people. The internet uses are spending much of their time on social media and networking. The number of internet users in Mexico is increasing. The media in Mexico is associated with low levels of political rights, corruption, and regulation. The media has a lot of influence on the people and the government in Mexico.
Pricing
The price of commodities in Mexico varies. The cost of living in Mexico is favorable as the country is developing. For instance, the average cost of a meal in Mexico is M $125 daily. Overall, the breakfast prices in Mexico are lower than the lunch and dinners.
Typical terms of sale in Mexico in recognition of payment risk and credit ratings
In Mexico, there are typical terms of sale in credit ratings. For instance, the BBB rating represents a comparatively low-risk bond. Mexico banks are allowed to invest in BBB rated bonds. In addition, there is the Moody’s credit rating system that produces statistics manuals related to stocks as well as bonds.
Works Cited