Tag Archives: Outsourcing to Mexico

Near-Shoring Popular in Mexico
America is outsourcing many services overseas these days.  However, it is difficult, complicated, and expensive to outsource to Asia in many cases.  When you have to send executives to Asia from America, it is expensive!  If you need to call Asia from America, there is a time difference of 9-12 hours. There are strong cultural differences too which lead to communication discordances. In short, there are many complications. 
However, outsourcing to Mexico, and various other Latin American countries is much easier in many ways.  Communication is easier due to the cultural similarities between Anglo and Hispanic culture.  Americans who don’t reside in Texas, New Mexico, or California typically think of Latin culture as something exotic and distant.  However, if you travel to Africa or Asia, you will quickly realize that the Spanish language is very similar to English, the Catholic religion dominant in Latin America is very similar to the Protestant religion dominant (or previously dominant) in the United States.  The culture is much closer to American culture than Chinese, Thai, or Indian culture.
Additionally, business trips to Latin America are much easier than to Asia. There is no jet-lag.  Air-time might be anywhere from 8-16 hours as opposed to 16 to 36 hours for a trip to Asia. If you are in an industry where you need to send your executives back and forth constantly, it will be a drain on a person’s health to be going back and forth to Asia.  However, going back and forth to San Jose, CR, or to Buenos Aires, or Mexico City will be much easier to tolerate in the long run.  There might not be the exotic pleasures of Penang Beef, or Kung Pao Chicken, but the lack of jet lag or long flight times really makes a difference in the long run. Outsourcing to Latin America is easier in many ways.
My friend keeps telling me that in the future, there will be airplanes that will be able to fly from Los Angeles to Mumbai in five hours.  That is a wonderful concept, and I hope it is true.  But, in the mean time, it easier to fly from Dallas to Guadalajara!