Guess who jumped in on the Mexico bandwagon?
Taiwanese businesses have set out exploring backup destinations for their global expansion. And they have discovered Mexico as a viable option. Read the story here.
Yes, that’s right. The word about Mexico’s potential in business development is spreading like wildfire. It’s awesome – and it’s bound to happen. It means the rest of the world is beginning to discover this hidden gem south of the U.S. border. It’s now becoming a race of who gets first dibs on everything Mexico has to offer. The pressure is on.
Hold on a second. Before you jump on the next flight to Mexico, remember that spur-of-the-moment decisions don’t pan out so well in business. Migrating your entire supply chain operations from China to Mexico in a snap may not be the wisest thing to do. Even Taiwan-based multinationals agree: “it would be impractical to abandon the market entirely,” they say.
That said – how do we expand our supply chain to Mexico whilst maintaining our existing supply chain operations in China? Lucky for you we’ve broken ground last June 2022 when we held the first-ever Mexico Trip and EvoLatam trade show. Here are some ideas we’ve picked up from that first groundbreaking event:
1 – Ship raw materials from China for production in Mexico
China is still the leader in raw material supply. There is a good chance that not all your raw materials are available in Mexico – and in fact, only available in China. That doesn’t mean you can’t take advantage of Mexico’s more affordable operational costs. Why not keep sourcing all the materials from China – but have everything assembled in Mexico? Get the best of both worlds.
2 – Take advantage of storage and logistics in Mexico
Storing your finished products are way more affordable in Mexico than in China or the USA. And it’s also 100x easier to ship from Mexico to your local warehouse than shipping from China to the USA. Mexico to USA shipping can be done by land and can arrive in as fast as 2 days.
3 – Set up shop and build your own facility in Mexico
Big automotive brands have been doing it for years. 50% of Mexico’s land area are manufacturing zones where factories operate on a larger scale. Maintaining your own factory in Mexico is cheaper than maintaining a factory in the USA, or even in China. Not to mention Mexico’s lower labor costs for their diverse range of skilled workers – from engineeers, to R&D, etc.
So what are we saying exactly? Avoid spur-of-the-moment decisions. Lower your risks. Diversify. Most of all – don’t let opportunities to scale your business pass you by. The Taiwanese are doing it. Now the ball’s in your court. When are you finally taking the chance to explore the possibilities in Mexico?
Now’s the time.
The Mexico Trip is happening again on 11-17th February 2023. And this time we are going to another major manufacturing zone – Monterrey, Mexico!
What’s happening at The Mexico Trip? Factory visits? Check. Workshops and demonstrations? Check. Trade Show? Check. Networking? Tours and leisure trips? All-inclusive food, drinks, and lodging? Check, check, and check!
Reserve your slot right away – we only have room for 100 attendees. Sign up here.