Uncertainty continues to plague multinationals operating in Mexico, driven by both contentious North American Free Trade Agreement (NAFTA) negotiations and, increasingly, the potential outcome of the July 1 general elections. While most companies have seen limited direct impact on their businesses beyond currency volatility and hesitation over further investment, most expect to need to develop contingency plans to mitigate market risk.
Frontier Strategy Group’s flagship Ahead of the Curve report on Mexico Elections Scenarios offers multinationals political and economic scenarios arising from the outcome of the elections in Mexico and provides advice on how to best prepare for profound change and persistent uncertainty in the country’s business landscape. Suggested actions discussed in the report include:
- Pressure test how resilient your Mexico strategy is to massive policy shifts and ongoing market uncertainty.
- Ensure that you have properly hedged against currency volatility, demand volatility, and delayed payments.
“The results of the elections will likely reshuffle long-held assumptions about the stability of Mexico’s business environment and the future trajectory of policies for the broader economic environment,” said Antonio Martinez, director for global economics at FSG, and author of this report. “Multinational executives should closely track both external and internal market disruptors in their strategic plans and develop contingency plans for disruptive events.”
This report, and many others like it, is available in the Frontier Strategy Group Online store. Click here for sample pages to help you evaluate whether the report is right for you.