One of the important things with outsourcing is figuring out which countries best meet your outsourcing needs. Outsourcing to Mexico has grown over the past years due to a number of factors.
The Mexico government has actively promoted out sourcing to Mexico. They have reduced tax rate on out sourcing payments, which have led to many people going for online projects. They have also made it easier to do outsourced projects by improving access to electronic payments.
Labor Force in Mexico
Due to high rate of unemployment and high level of education, labor in the Mexican market is plentiful and affordable. This is because many people especially the young people are unemployed despite having necessary skills making them accept cheap wages on contract. Another factor that helps reduce costs in Mexico is weak local currency. Payments in U.S. dollars go much further when converted to the local currency. Word of these types of working scenarios has spread and that’s why outsourcing to Mexico is on rise.
Outsourcing to Mexico is also largely influenced by infrastructure. Many outsourcing projects can be done online and to enable outsourcing where must be good Internet connectivity. The Mexico government has been actively installing fiber optic connection technology, which helps to provide high speed and reliable Internet connectivity. This has worked well to enable Mexicans to do their business transactions online.
Outsourcing to Mexico has also been promoted by political stability in addition to its favorable economic factors. Unlike many Central American economies, Mexico is a politically stable country with no civil wars or other kind of political instability. This promotes outsourcing to Mexico because there is no disruption of the outsourcing project progress. On the other hand Mexico have some favorable economic environment for outsourcing being the world 11th biggest economy which makes it one of the best outsourcing country in America. Mexico proximity to USA is also a factor to consider .due to its proximity to United States of America it is simple to transport outsourced manufactured products to the various parts of the USA
Education in Mexico
Mexico has one of the best education systems in the world. This helps Mexico to produce highly skilled and competent workers who produce high quality products. Thus outsourcing to Mexico is highly recommended due to high levels of educations and skills.
The legal system in Mexico is mature and generally free of corruption which favors’ outsourcing to Mexico. Also the cultural diversity and fluency in English also help in outsourcing especially for article and academic writings. Also the laws provides data and intellectual property and security which favors’ outsourcing to Mexico.
As the world progress to embrace the Internet technology and globalization outsourcing of projects to outside countries is expected to grow to even a higher level. Investors and manufacturing companies should consider outsourcing to Mexico to achieve quality projects at a reasonable price.
