Reporte Profesional

Nombre: Raúl Wong Flores Matrícula: 2945645

Michelle García Arrañaga 2800879

Nombre del curso: International Nombre del profesor:

environments and business Rodrigo Jesús Ramirez Martagón
Módulo:1 Actividad:
Act 2
Fecha: 26/02/2021
Bibliografía

Answer these questions:

1. Mexico has always portrayed itself as one of the most pro-trade countries in
the world. For instance, we have a free trade agreement with the United States
and Canada, and another one with the European Union. We are active
members of the WTO, the OECD, the APEC, the Pacific Alliance, and have
also signed multiple bilateral agreements with many nations, most of them
deemed “strategic”. Answer the next two questions in your own words:
a. What are the potential costs and benefits of adopting such
a free trade strategy?
Having free trade agreements has many advantages, which are that it is
cheapear to export and import things, it is easier, you have Access to a large
market and also the economy of the countries involved grows

b. What can it be done to reduce these costs and maximize

those benefits?
It is necessary to implement efficient logistics, production, and quality systems in
order to reduce all costs and take adventage of existing treaties

2- Drawing upon the new trade theory and Porter's theory of national competitive advantage,
outline the Mexican case for one of these national industries: (1) oil and petrochemicals, (2)
agriculture and foods, (3) mining, (4) manufacturing, (5) automotive, (6) entertainment and
sports. Choose only one out of the six, and answer:
a. What kind of trade and economic policies would you recommend that the
federal government adopt in order to build national competitive
advantage in that specific industry?
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México must reach an agreement in order to completely eliminate tariffs in
agricultura and food, since mexico has a lot of potencial in this area, and if it is
eliminate it would be great help to the countries involved

b. Do your policies support the basic free trade philosophy? Why, or why
not?
Yes because implementing this Will reduce costs, which Will lead to growth in
both economies

1. Read Objective 5.3 of Mexico’s current Plan Nacional de

Desarrollo (attached).
a. What’s in there? How does the Mexican government frame
the issue of international trade according to the theories we
reviewed? Write a quick analysis covering all of these
elements (if applicable): what’s Mexico’s best economic
interest; absolute or comparative advantages; specialization in
production of goods; efficiency and supply chains; unrestricted
and unregulated trade; National gains from trade and economic
growth; Mexico’s factor endowments and domestic demand;
economies of scale; the role of firms and private companies;
what is next in the foreseeable future.

This objective seeks to develop and implement strategies to promote

international trade and increase international relations in order for Mexico to
participate more fully in the world economy.
These strategies collaborate with national traders and producers to also improve
the national economy and that they themselves are interested in seeking their
own growth and seek to have a presence in other countries and in this way they
can grow and have greater participation in trade.

2. Case. The governor of the Mexican state you currently live in wants to know
what this Trans-Pacific Partnership is all about, and why is it relevant to the
state’s economy. Then, let’s just suppose that the governor just hired you to
answer that question, very concisely, in a one-page document that covers
these three sections:
a. What is the TPP, and why is it important for Mexico to
partake in it?
1. For guidance, please check out the attached
documents and hyperlinks.
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b. To what extent is the TPP relevant to that specific state’s
economy?
c. Which local industries and big firms within the state should
be concerned with the economic impact of the TPP? Frame
your analysis in terms of local comparative advantage, the
specialized production of goods across the state, and some
examples of local economies of scale (if applicable).

Mexico's participation in the TPP is very important to create and reinforce

Mexico's inclusion and participation in the major economies, as well as to initiate
strategies with countries such as Japan and Canada to gradually increase the
world's GDP and also to increase the participation of all countries in terms of
imports and exports. This strengthens the Mexican economy because it positions
the country in a very close line of trade and foreign relations grow in its favor. Our
state in particular turns out to be one of the biggest beneficiaries because of its
trade crossroads and its participation in the industrial and agricultural sector will
grow gradually to the rest of the states that participate in this line of business as
well. These values and the participation of Mexico will grow being within the TPP
and will benefit in many ways the economies of many states and countries alike.