An analysis of the commitment of MNEs to decent working conditions in Mexico drawing on the case of Mexico.
Written in 2004; 2,217 words; 17 sources; MLA; $ 68.95
Paper Summary:
This paper examines how Mexico, like many of the world's developing nations, has attempted to stimulate its economy by enticing investment from external sources, most notably from that of multi-national enterprises (MNEs). It looks at how such corporations are enticed to Mexico and other such countries by low wages, low tax rates and other formal incentives and how in their quest to attract investment, the Mexican government has allowed standards on wages, labour conditions and working hours to fall in a race for competitivity. It aims to assess how varying MNEs across many industries have reacted to these low working standards.
From the Paper:
"In the 1960s, the Mexican government looked east to find ways to promote economic growth and prosperity for its citizens. The rapid growth of countries such as South Korea, Hong Kong and Taiwan offered examples of how export-orientated production could rapidly aid development. Mexico took initiative and offered foreign firms beneficial rates to set up factories in certain areas of Mexico, most notably along the northern border with the United States (see Cravey, 1998). Such areas, known as export-processing zones (EPZs) emerged in Southeast Asia as a way of concentrating growth as well as limiting external influence and foreign ownership "
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