Renegotiation of NAFTA and its effect on the Mexican auto-parts industry
Journal Title: RAN - Revista Academia & Negocios - Year 2019, Vol 5, Issue 1
Abstract
Since 1994, the Mexican auto parts industry has strongly developed due to an increase in motor vehicle production, local sales, exports volume and tariff benefits related to the North American Free Trade Agreement (NAFTA). Nowadays, Mexico is the seventh largest automotive manufacturer and the third largest light-vehicle exporter. This study objective was to analyze the effects of recent NAFTA renegotiation on the Mexican automotive sector, specifically regarding auto parts industry Regional Value Content (RVC). Data collection was carried out by literature review and application of a semi-structured interview to experts in governmental, industrial, academic and business sector. The impact on the regional supply chain of Mexican auto parts industry was evaluated from 4 different perspectives: business, industry, government and academic. Results predict a possible restructuration of the supply chain to comply with the new RVC percentage, identifying three strategies for the Mexican industry: direct foreign investment increase, development of auto parts local suppliers and internationalization of these companies.
Authors and Affiliations
Karla María Nava Aguirre, Jacqueline Colín Vázquez, Carolina Cañamar Villaseñor, Ruth Falomir de la Peña, Juan Manuel Garza Garza
Keywords
Related Articles
- EP ID EP614449
- DOI -
- Views 147
- Downloads 0
Rational and impulsive purchasing behavior of young students in shopping centers
Shopping centers are dynamic and changing systems that gather diverse offers of brands, products and services, becoming attractive environments for buyers, who are faced with the "buy or not buy" dilemma or, " buy now or...
Brand personality traits: the Chilean Pension Fund Administrators case
Chilean pension fund industry is largely questioned by public; therefore it becomes essential to work on a strategy to enhance brand’s credibility and positioning. This study objective is to analyze and build a brand per...
Virgin Mobile case: An approach to the theory of experiential marketing
Experiential marketing makes us live gratifying and non-gratifying situations thanks to a focus on brand and customer that allows to generate links with the consumer through positive and negative emotions. The degree of...
Leadership styles and job satisfaction among workers of establishments of primary health care in the commune of Chillán
Health organizations have faced in recent years the task of modernization. That is reflected in the health care model has changed, overriding a biopsychosocial approach. For this model to be successful health requires, a...
Characteristics of commuters in Chile: an insight into the future creation of a new region
The study analyzes information found in the New National Employment Survey (NENE) about the main dimensions and characteristics of inter-regional residence-work mobility in Ñuble, Chile, for the 2014 period. Using an aut...