Doing Business in Nuevo León Monterrey (Mexico)

Course summary Doing Business in Nuevo León Monterrey (Mexico):

The Gross Domestic Product (GDP) of Nuevo Leon exceeded 938 billion pesos in 2010 (almost 79.8 Billion USD in 2010), and contributed 7.5% to Mexico´s national GDP. Nuevo Leon produce the 10.2% of all of Mexico’s manufactured goods. The Automotive Industry of Nuevo Leon represents $2.1 Billion USD

Nuevo Leon is the most important State in attracting FDI. Nuevo Leon received 5,097 million dollars in Foreign Direct Investment (FDI) in 2010, which was 28.8% of the total FDI received in Mexico. Of all the FDI received by the state almost all was directed toward the manufacturing industry, followed by financial services. The majority of foreign investment is of US origin (52%). Some important investments also come from Japan (10%), Germany (8%) and the UK (7%).

Nuevo León is a frontier state that has the ideal logistics location for doing business in the North American market.

Example of the course Doing Business in Nuevo León Monterrey:

Monterrey is a major industrial center among cities in Mexico, producing a GDP of $102 billion US dollars (2008). The city's GDP per capita in 2010 was $607,042 Mexican pesos or $46,634 US dollars. Monterrey was named by Fortune magazine as the best city in Latin America in which to do business. Most of the major companies in Mexico, which are also large companies in the world, are headquartered in Monterrey. Monterrey has prominent positions in sectors such as steel, cement, glass, auto parts, and brewing.

CEMEX is a global building materials company that provides high quality products and reliable service to customers and communities throughout the Americas, Europe, Africa, the Middle East, and Asia. CEMEX produce, distribute, and sell cement, ready-mix concrete, aggregates, and related building materials in more than 50 countries, and they maintain trade relationships in close to 100 nations.

FEMSA is a leading company in Latin America integrated by: the world's largest Coca-Cola bottler, OXXO convenience stores and an important investment in Heineken. In 2010 the company reported revenues of US $13,705 million ($169,702 million MXN), total assets of US $ 18,056 million ($223,578 million MXN) and today we provide direct jobs to more than 150,000 people. On april 30, 2010, FEMSA announced the closing of the transaction pursuant to which FEMSA agreed to exchange 100% of its beer operations for a 20% economic interest in the Heineken Group.

FEMSA operates in nine Latin-American countries (Mexico, Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela, Brazil and Argentina). Out of the more than 100 brands and line extensions of beverages sold and distributed by Coca-Cola FEMSA, their most important brand, Coca-Cola, together with its line extensions, Coca-Cola Light and Coca-Cola Zero, accounted for 61.7% of total sales volume in 2010. Coca-Cola FEMSA’s next largest brands, Ciel (a water brand from Mexico), Fanta (and its line extensions), Sprite (and its line extensions) and ValleFrut (and its line extensions), accounted for 9.9%, 5.8%, 2.6%, and 2.2%, respectively, of total sales volume in 2010. Coca-Cola FEMSA uses the term line extensions to refer to the different flavors in which it offers its brands.

ALFA is a Mexican company comprising four business groups: Alpek (petrochemicals), Nemak (high-tech aluminum auto components), Sigma (refrigerated food) and Alestra (telecommunications). ALFA is the world's leading manufacturer of aluminum engine heads and blocks. It is one of the world's largest producers of PTA and PET, and has a leading market share in other petrochemicals in Mexico. Currently, ALFA has manufacturing operations in 16 countries and employs more than 56,300 people. In 2010 ALFA continued leveraging on the strengths of their business to report favorable operating and financial results, including record revenue and EBITDA figures. Also made two important acquisitions which, were the culmination of several years of efforts and laid the foundations for ALFA's profitable growth in the future, as Bar-S, a leading company in the production of processed meats in the United States as well as three PTA and PET plants in this country.

GRUMA, S.A.B. de C.V., is one of the world's leading tortilla and corn flour producers. GRUMA was founded in 1949 and is engaged primarily in the production, marketing, distribution, and sale of tortillas, corn flour, and wheat flour. With leading brands in most of its markets, GRUMA has operations in the United States, Europe, Mexico, Central America, Venezuela, Asia, and Australia and is present in approximately 105 countries worldwide.