Importing to the us from mexico Brittney wooten

Fasm 420 Spring 2012

Electrik unicorn

q Electrik Unicorn’s head office is located in Portland, Oregon in the hip up and coming Hawthorne District neighborhood.

q Electrik Unicorn caters to women 18-35 years old; that are seeking eclectic good quality denim.

q Our customer comes from a diverse cultural background. She is carefree, young, quirky, rebellious and socially responsible. She is a student or working professional in a creative field; and enjoys music, fashion, art festivals, Tumblr, and Pinterest.

q Our customers enjoy quality moderately priced denim; she spends $1,000+ on clothing and her yearly income is $45,000+.

q We pride ourselves in providing merchandise that fits the needs and wants of our customers. Our main focus at Electrik Unicorn is customer service; making sure we are meeting customer demands is very important. We provide our customers with quality customer service, maintain our stock and inventory, and offer an assortment of sizes and fits based on our target customer.

q  I wanted to import from Mexico in order to retain a mark up of 65%. The goods will be paid for via a letter of credit, from our bank in Portland, Oregon.

Product classification

q  The product classification is women’s denim jeans. Sub-classifications q  Skinny Jeans q  Cuffed Short

q  Ankle Grazer Jean q  Wide Leg Jean q  The jeans produced will be available in sizes 2, 4, 6, 8, and 9 with a size scale of 2, 3, 3, 2, 2.

q  All denim produced for Electrik Unicorn will cost of 98% cotton and 2% spandex. The skinny jean will be bought at $16.14 and with a mark up of 65% will retail for $60.

q  Electrik Unicorn will be importing goods from Compania Industrial de Parras. Parras is the biggest denim manufacturer in Mexico.

q  They produce about 2 million pairs of jeans per month. In the early 1990’s Parras merged with Cone Mills Corporation, which happened to be the largest denim producer in the world.

q  Parras produces goods with the latest state-of-the-art equipment, Parras utilizes sustainable practices.

q  I chose to use this factory because their focus is on making the customers happy by producing new and creative ideas.

traits of mexico

q  Mexico  is  a  tropical  Spanish  speaking  country  boarding  the  United  States  with  a  popula9on  of  113  million  with  a  1.1%  growth  rates  since  2011.    

q  Mexico  has  a  Gross  Domes9c  Product  (GDP)  of  $1.04  trillion.    

q  Trade  represents  a  large  amount  of  Mexico’s  economy.  Exports  to  the  United  States  represent  $230  billion  over  80%  of  the  countries  total  and  imports  represent  $160  billion  50%  of  the  country’s  total  trade.    

q  Mexico  largest  markets  include  the  United  States,  European  Union  (5%),  and  South  America  (5%).    

q  Mexico  is  considered  to  be  an  upper  middle-­‐income  country.  Since  the  global  recession  in  2009,  Mexico’s  economy  has  grown  5%.    

q  Tourism  has  contributed  largely  to  Mexico’s  economic  growth.    

Business etiquette in mexico q  Women  doing  business  in  this  country  should  always  dress  professionally.  Women  should  wear  a  dress,  blouse,  or  skirt;  suits  

should  be  class  cuts  in  basic  business  colors  such  as  gray,  navy,  white,  and  ivory.    

q  Jeans,  9ght,  short,  or  low  cut  aWre  is  not  acceptable.    

q  In  Mexico  gestures  such  as  puWng  your  hands  on  your  hips  or  in  pockets  is  looked  at  as  aggressive  and  inappropriate.    

q  The  lack  of  eye  contact  is  seen  as  a  sign  or  respect.    

q  In  Mexico  women  are  allowed  to  shake  hands  with  both  men  and  women.    

q  It  is  best  to  have  dinners  and  breakfast  at  your  hotel;  women  shouldn’t  have  private  dinners  with  a  male  unless  other  business  partners  and  or  spouses  are  invited.    

q  GiYs  are  not  required  when  doing  business  here,  but  are  greatly  appreciated.  Silver  giYs  are  not  acceptable  because  they  are  seen  as  touristy.    

q  Mexican  business  persons  prefer  to  build  a  rela9onship  first,  causing  nego9a9ons  to  move  at  a  slower  rate.    

q  When  making  decisions  rela9ng  to  business  it  is  important  to  take  9me  to  think  before  agreeing.  Persistence  is  the  key  to  successful  business  in  Mexico,  giving  up  too  soon  will  seem  as  if  you  aren’t  serious.    

q  Women  doing  business  in  Mexico  should  expect  some  difficul9es.  Women  should  make  it  aware  that  they  have  skills  and  authorita9ve  abili9es.    

 

Business card

Trade agreements

q  Mexico has a trade regime that is structured around 13 agreements with 44 other countries. Mexico provides the United States market and aids in diversifying its locations.

q  In 2010 roughly 80% of Mexico’s exports went to the United States, significantly lower than the 90% of exports in 2001.

q  Mexico is the United States’ 2nd largest import market after Canada.

q  Trade matters between Mexico and the United States are negotiated and brought forward by the World Trade Organization (WTO) and North American Free Trade Agreement (NAFTA).

q  WTO is defined as “An organization with over 147 countries as members; deals with the global rules of trade among nations.”

q  NAFTA is “Eliminated tariffs and quotas among Canada, Mexico, and United States.”

q  Mexico and the United States have a strengthening and growing relationship. Their close relationship aids in making sure to help improve competiveness in North America.

 

Codes of conduct q  Compliances with laws/prohibiting laws

q  Corporate Opportunities

q  Confidentiality

q  Gifts

q  Health & Safety

q  Violations

q  Reporting Complaints