International Business Plan Example

International Business Plan Example-65
They include labor, financial, banking, and taxations laws.These rules are gradually overriding the traditional Mexican laws.

They include labor, financial, banking, and taxations laws.These rules are gradually overriding the traditional Mexican laws.

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The country has a well organized and evolved legal system in contrast to the perception that most foreign people have that the country’s legal system is not adequate.

The Mexican laws are similar to the most of the laws in the world as opposed to the US legal system.

The Mexican laws require that international companies running businesses in Mexico are affected by the Mexican law either directly or indirectly even if the business is not located there.

The country’s administrative laws are formulated by agencies.

The crime rate is very high causing a lot of uncertainties and instabilities.

In Mexico, the market is controlled by cartels which are hard to break up.The company management must therefore carefully evaluate the target market so as to project the expected profits and understand the challenges in order to develop effective entry strategies.Before the company can expand to Mexico, it is necessary for the company to evaluate various factors that are imperative for the overall success of the expansion strategy. The country trades with the USA as the most important import and export partner.Globalization and improvement in communication have opened up the international market.Most of the companies venturing into these markets seek to increase their sales volume, diversify their operations, increase the profit margin, avoid excessive competition in the domestic market and also increase their market share.The country is an emerging power and has become one of the industrialized nations.The country supports several trade agreements such as the North American Free Trade Agreement (NAFTA) according to which it trades with the USA.The US common law is derived from the case laws, statutory laws of England and American civilizations while that of Mexico is derived from the Roman laws that were later refined by the French.In the US, case laws are commonly used to solve judicial cases while in Mexico, case laws are rarely used.First, the target market is very important as it forms the consumer base for the company. The nation has an elaborate transport and communication network which is ideal for doing business.Most of the residents are in the upper middle class level.

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