Mexico Business Center

Mexico Business Center
A Business Resource of the San Diego Regional Chamber of Commerce

“Dedicated to the Growth and Enhancement of Business Opportunities between San Diego and Mexico”

THE GOALS: To improve our competitive advantages by providing innovative solutions to the bilateral promotion, marketing and sales of products and services between San Diego County and Mexico. To help make California Mexico’s most important trading partner. To shape the image of modern Mexico in California by providing cultural, educational and business programs designed to reflect the Mexico of the 21st Century. To increase the demand for San Diego products in Mexico. To be an advocacy center with access to the highest levels of the federal governments of both the United States and Mexico. To help assure the competitiveness of the Baja California industries in the international marketplace.

THE MISSION: The Mexico Business Center of the San Diego Regional Chamber of Commerce reaches out to all the citizens of San Diego County—the African American, Asian American and Euro American, Native American communities—as well as Hispanic Americans. The Center assures that all San Diegans have the knowledge, expertise, cultural enhancement and contacts to conduct profitable business with Mexico, and can enjoy the cultural experience of our closest neighbor.

THE NEED: California is the largest and most important state in the United States. The Port of San Diego and the San Diego and Tijuana International Airports are important links between Mexico and California and between California and the world. San Diego and Tijuana, the greatest international region in the world, are the natural link between Asia and Latin America.

San Diego is also the national trendsetter in entertainment, communications, sportswear and design. San Diego County has a growing Latino population that is nearing a quarter of the population. More people of Mexican descent live in San Diego and Southern California than in any other region outside of Mexico City. The Mexico Business Center will serve as a place of pride for our citizens of Mexican descent. Pride in heritage will be one of the main cultural themes of the Center. Citizens of Mexican descent will find that the Center aids them in both cultural and business links with the various regions of Mexico.

California’s neighbor, Mexico--where transportation distances to the United States are short—is set to become the world’s new economic powerhouse. Mexico’s abundance of rich natural resources and lower-cost labor combined with a ready and eager market of skilled workers help Mexico capitalize on its fortunate location.

San Diego County is uniquely positioned as the southern anchor of Southern California, the second largest population center in the United States and the largest on the Pacific Coast of the Western Hemisphere. We offer the most important connections between California and the world.

In the heart of the great bi-national San Diego/Tijuana region, the Mexico Business Center embraces the entire region and celebrates San Diego’s geographic advantage. We have the international airports of San Diego and Tijuana as well as the international Port of San Diego with easy connections to the Ports of Los Angeles and Long Beach as well as Los Angeles International Airport. We offer foreign investors the opportunity to locate with easy access to a market of more than 16 million people within two hours of the San Diego.

San Diego can become an even more important location for business with Mexico. San Diego needs a one-stop location for companies seeking to do business with Mexico, including sales of products and services as well as investment.

BENEFITS TO SAN DIEGO

THE ORGANIZATION: The Mexico Business Center, a business resource of the San Diego Regional Chamber of Commerce, is a non-profit, non-political association, which focuses on trade between California and Mexico, and pro-actively assists San Diego County companies to compete in the Mexican marketplace. The Center is a resource to increase San Diego County exports to Mexico. The Center operates in cooperation with the programs of the San Diego World Trade Center, San Diego County Hispanic Chamber of Commmerce, the United States-Mexico Chamber of Commerce and other business associations.

Activities include counseling San Diego County companies on the opportunities of the Mexican marketplace, hosting meetings, and a gamut of business services such as active trade lead operations, industry specific market research and group trade missions.

THE OPERATIONS: There are four major aspects to the work of the Mexico Business Center. These are:

A Business Center for San Diego County. A one-stop center for small- and medium-sized California companies wishing to do business with Mexico, and a Marketing, Merchandising and Promotions Center for Mexican and Californian companies.
A Business Center to assist Mexican companies sell their products and services to California and to attract Mexican companies to locate their United States or California headquarters in San Diego County.
A Business Center that provides access and advocacy for San Diego County companies at the highest levels of the federal and state governments in both the United States and Mexico.
A Business Center to help assure that the industries of Baja California are competitive in the international marketplace.

BUSINESS CENTER FOR SAN DIEGO COUNTY
The Mexico Business Center of the San Diego Regional Chamber of Commerce works with such partner agencies as:

San Diego World Trade Center
San Diego County Hispanic Chamber of Commerce
Trade Commission of Mexico (Bancomext)
Border Trade Alliance
San Diego Dialogue
San Diego County Economic Development Council
Tijuana Economic Development Council
South San Diego County Economic Development Council
United States Department of Commerce
United States-Mexico Chamber of Commerce
California Technology, Trade and Commerce Agency
Governments of the Cities and County of San Diego
Port of San Diego
San Diego Convention Center
Maquiladora Associations
International Business Departments of San Diego County and Baja California colleges and universities
Ethnic chambers of commerce of San Diego County

Many San Diego County small and medium-sized businesses have done business only in the United States. With globalization, they are not going to last long if they do not expand. The Mexico Business Center will educate these businesses on how to conduct international trade with our closest neighbor and largest trading partner—Mexico. The Center also solicits Mexican companies to open operations in San Diego County. These efforts are throughout Mexico with particular efforts in helping those companies currently located in Baja California.

The goal of the Mexico Business Center is to enlist every company in the County of San Diego that is conducting, or could conduct, international trade and commerce.

The Mexico Business Center provides innovative solutions to the promotion, marketing and sales of San Diego County products and services to Mexico, and a One-Stop Center for Mexican and Californian companies doing business together.

Helping San Diego County Businesses Compete in the Mexico Marketplace. The Mexico Business Center enables businesses learn to take advantage of—and sell their products and services into—the 100 million people Mexican marketplace. Mexico is the largest international buyer of California products and services and growing each year. San Diego County businesses learn to sell into the Mexican market and to source into the cross border maquiladora industry.

San Diego County already has hundreds of businesses and manufacturing facilities that could compete and sell into the Mexican marketplace. They just need to be guided through the process. Sessions on culture, education and trade guidance with legal, accounting, customs and financial experts will be provided through the Mexico Business Center.

Maintain and enhance the quality of life in San Diego County.
The Mexico Business Center assists San Diego County businesses to meet the needs of the 100 million people Mexican market. The Center also encourages Mexican companies to set up their United States headquarters in San Diego County.

Outreach Center for All San Diegans.
The Mexico Business Center is cooperation with the San Diego World Trade Center trains businesses to compete in the Mexico marketplace. The Center educates growing businesses on how to sell their products and services to Mexico. The Mexico Business Center is an outreach to business populations that are not now taking advantage of the NAFTA agreement with Mexico to compete successfully in the Mexican marketplace.
No other organization in San Diego exclusively specializes in assisting San Diego County businesses to learn how to enter the nearby Mexican market, and grow the demand for their products and services. This is the role of the Mexico Business Center.

The Mexico Business Center can help Mexican businesses to establish their United States headquarters in San Diego County. San Diego County businesses can increase their output by selling to Mexico. The design industry in San Diego County can grow as Mexican apparel manufacturing companies locate their design facilities in the region to be on the design cutting edge of the fashion industry.

Sample of Business Classifications Targeted for Business Growth with Mexico

Advertising/Marketing
The Mexico Business Center attracts Mexican companies to locate their United States headquarters in San Diego. This offers opportunities for San Diego advertising and marketing companies to provide services to sell Mexican products to the United States market.

Agribusiness
The Mexico Business Center assists San Diego ranchers and farm equipment distributors to sell their products to Mexican markets.

Airlines
The Mexico Business center helps San Diego become the top visitor attraction for the Mexican market. Mexico should be the largest source of foreign visitors to San Diego. Tourism trade missions to major Mexican cities are a part of this program.

Automotive Products
The Mexico Business Center provides a sourcing reference for automotive parts and components to be sold to Mexico’s growing auto plants of DaimlerChrysler, Ford, General Motors, Honda, Nissan, Toyota and Volkswagen. San Diego companies can provide auto parts to Mexico-based automotive companies duty free.

Banks/Financial Services
The Mexico Business Center assists San Diego banks in finding opportunities for financing sales of San Diego products to Mexico and offering financial services to Mexicans, and to Mexican companies with United States headquarters in San Diego.

Biotechnology/Biomedical Research/ /Pharmaceutical R&D
The Mexico Business Center assists in the development and testing of advanced products. Mexico’s Baja California offers an ideal location for San Diego biotechnology and medical technology companies to perform advanced research on products that have not yet been approved by the United States FDA. Mexico also offers a nearby, controlled location for San Diego scientists to meet conduct research with their international counterparts from Europe, China, Cuba and elsewhere.

Education/Universities
The Mexico Business Center assists in preparing San Diego high school and college students for careers in international trade. It will also assist local universities in attracting superior Mexican students to take postgraduate work at local institutions.

Gaming Facilities
The Mexico Business Center helps attract Mexican customers to San Diego County’s gaming venues as part its assistance in promoting San Diego visitor attractions in Mexico.

Health Care/Hospitals
The Mexico Business Center helps San Diego’s outstanding health care facilities compete with Houston, Miami, Baltimore, New York, Los Angeles and Rochester for advanced treatment of Mexican patients. Mexicans also bring their families, which boosts the local hospitality, tourism and retail industries.

Manufacturers
The Mexico Business Center aids San Diego companies in finding markets for their products in Mexico and to source into Mexican manufacturing facilities.

Technology/Computers/Software Development
The Mexico Business Center provides the catalyst for assisting Mexican local governments in acquiring the 21st Century communications products that they require to administer their municipalities. The municipalities, in turn, will assist San Diego technology companies in offering equipment and software to the private sector.

Telecommunications
The Mexico Business Center helps San Diego County telecommunications companies to compete effectively in Mexico by promoting their products in both the private and public sectors.

Trade Shows
The Mexico Business Center will stage up to four major trade shows in San Diego during the year at the San Diego Convention Center and other venues. These shows include foods and beverages, furniture and antiques, tourism and arts and crafts.

Venture Capital
The Mexico Business Center can offer advanced opportunities for San Diego County venture capitalists to invest in outstanding Mexican companies developing products and services for the domestic and international market.

Warehousing
The Mexico Business Center encourages Mexican companies to set up their United States headquarters in San Diego. Just-in-time deliveries will require warehousing in San Diego to service the United States market in California and the West.

MEXICAN INVESTMENT IN SAN DIEGO COUNTY

Helping Mexican Companies Enter the California Marketplace.
California is the world’s sixth largest economy. Helping Mexican companies compete and win in California and the United States is one of the goals of the Mexico Business Center. Helping Mexican companies market their goods and companies to California and the United States and facilitating U.S.-Mexico joint ventures is also the mission of the Center. Mexican companies will be encouraged to incorporate and locate their United States headquarters in San Diego County.

Incubator for Mexican Investment in San Diego County.
The Mexico Business Center can serve as in incubator for Mexican companies considering entering the California and/or United States marketplace. Among the services of the Center:

The Center can encourage these Mexican companies to establish facilities in San Diego County. For example: Gigante USA Inc. (Mexican supermarkets) has established its United States headquarters in Southern California. The company expects to employ 1,500 people by the end of 2003. Likewise, FAMSA (furniture stores), Bimbo (bakeries), Coppel (soft goods, furniture and appliances) and Grupo Marino (coffee processors) are opening facilities in Southern California. The Center works to attract Mexican companies locate and expand their facilities in San Diego County.

SAN DIEGO BUSINESS AND THE MEXICAN MARKETPLACE

Help for Businesses To Take Advantage of the Mexican Market. Mexico is the Number One purchaser of California products and services. However, many California businesses have not been able to take advantage of the opportunities offered by NAFTA and Southern California’s proximity to Mexico. The Mexico Business Center will assist San Diego County businesses sell their products and services to Mexico. Services will include experts from the fields of law, accounting, banking and finance, customs brokerage, shipping and and partner organizations such as the San Diego World Trade Center, Bancomext-the Trade Commission of Mexico, the United States-Mexico Chamber of Commerce and the region’s Consulates General of Mexico and the United States.

The San Diego-Mexico Free Trade Advantage. The Mexico Business Center can serve as the one-stop location for California companies seeking to do business through Mexico’s free trade agreements. Investment in Mexico allows United States companies to take advantage of and to access Mexico’s free trade agreements with the European Union, Chile, Venezuela, Bolivia, Colombia, most Central American nations and Israel. The European Union/Mexico free trade agreement allows San Diego businesses with Mexico operations low- or no-tariff access to the European market.

SAN DIEGO INVESTMENT IN MEXICO

Successful trade is a two-way street. The Mexico Business Center offers San Diego companies and investors the ability to locate, evaluate, invest in and/or purchase Mexican businesses. It also offers Mexican companies the same incentives to purchase, invest in or establish joint ventures and businesses in San Diego County. Many times these partnership investments may not be in cash, but in information, technology and access to markets. Investments may include joint venture partnerships or total ownership.

The Mexico Business Center guides San Diego County businesses and investors to the services offered by such organizations as Nacional Financiera (the agency charged with middle- and small-sized business development), the Mexican Investment Board, and the Secretariat of the Economy. Information and assistance is also available for financing opportunities of the Mexican Foreign Trade Bank (Bancomext) and the U.S. Overseas Private Investment Corporation (OPIC) among others.

The Mexico Business Center provides research facilities in conjunction with the industrial development boards of the 31 Mexican states, the Federal District (Mexico City) and interested municipios and delegaciones (counties) within those entities as well as the research facilities of the Cities and County of San Diego.

The Mexico Business Center locates Mexican client companies, arrange for completely transparent offerings, assist in the preparation for sale, locate potential investors/purchasers and provide access to counseling on legal and accounting matters.

The Mexico Business Center also helps secure the necessary permits, tax incentives, land concessions, legal and accounting assistance and other necessary services in order to complete the transactions. This is also true for Mexican companies that locate businesses in San Diego County.

The Mexico Business Center assists Mexican companies in establishing subsidiary corporations in the United States, and to find joint venture partners for their operations in Mexico. This work includes establishing marketing plans, distribution channels, sales organizations and financing.

The Mexico Business Center works with the international business departments of San Diego County universities to assure that San Diego County students have “fast-track” access to Mexican business. The Center also helps international business students understand the cultural aspects of doing business with Mexico.

Important Note: To serve all businesses in a county the size of San Diego and the municipios of Baja California, programs of the Mexico Business Center will be held throughout San Diego County and Baja California utilizing the facilities of college campuses in San Diego, Oceanside, Escondido, San Marcos, El Cajon, Chula Vista, Tijuana, Mexicali, Ensenada and elsewhere.

MARKETING, MERCHANDISING AND PROMOTIONS CENTER
To Enhance the Image of Modern Mexico and Its Business Opportunties.

Utilizing the facilities of the San Diego Convention Center and other exhibition venues in San Diego County, the Mexico Business Center will present the finest Mexican products. The products will be displayed at on an alternating basis by means of trade fairs.

Promotions Center.
Throughout the year the Mexico Business Center will organize continuous monthly promotions for Mexican products at the San Diego Convention Center and alternate venues. Some of these include:

Food and Beverage Fair. Promotion of Mexican food products available in the United States, and Mexican products that can be exported but are not currently available.
Fashion Fair. Mexican designers from Mexico City and elsewhere will display their latest collections.
Cerveza, Vino and Tequila Fair. Special nights to promote Mexican beers, Mexican wines and well as tequila and other spirits.
Book and Authors Fair. Book signings and interview with Mexican authors. Promotion of both Spanish and English language versions of Mexican books.
Arts and Crafts Fair. The finest regional arts and crafts of Mexico will be on display all during the year with their respective states. The Arts and Crafts Fair will bring together the best arts and crafts from the entire republic.
Travel Fair. A San Diego version of Tianguis Turistica that takes place every spring in Acapulco. Continuous travel promotions would take place at the Mexico Business Center featuring the various Mexican states and well as key interests—colonial cities, archeology, golf and tennis, shopping. Tourism Trade and Culture Missions may be conducted out of the Center. Once a year, the Center could sponsor a Travel Fair for San Diego County attractions and visitors bureaus that promote this area in key locations in Mexico such as Mexico City, Guadalajara, Leon, Monterrey, Hermosillo, Puebla and Queretaro.
Furniture, Design and Antiques Fair. Mexico manufactures many kinds of furniture and decorator items. It is also an excellent source of antiques from Spain, France and elsewhere in Europe. The annual Fair will present the finest in Mexican products for the home and office.
Film Fair (Mexican films and films with Mexico as a location). The Mexico Business Center could also be the California home of the Mexican Film Board actively promoting Mexico as a location for filming and film production.
Music Fair. The Mexico Business Center would promote Mexican recording artists with appearances by the artists.
Dining Fair. The Mexico Business Center should develop a relationship with an authentic alta cocina Mexican restaurant near the Center. During the year the dishes of the various Mexican states will be featured: Veracruz, Yucatan, Sonora, Oaxaca, Puebla, etc. In the evening, the music of Mexican artists will make the San Diego Mexico Trade Center an important entertainment venue.

Support for the San Diego Convention Centers.
The Mexico Business Center will bring up to four major exhibits to the San Diego Convention Center and other venues during the year. These are Foods and Beverages, Furniture and Antiques, Arts and Crafts and Travel.

San Diego Fairs: Most of the above Trade Fairs can be reproduced in Mexico showcasing San Diego County products. The Mexico Business Center will assist the City of San Diego in taking greater advantage of its Sister City relationship with both Tijuana, B.C., and Leon, Gto. by taking industry specific trade missions to those cities on a regular basis.

Note: San Diego’s adjacency to Tijuana can also encourage other United States and foreign companies to locate facilities in San Diego in order to serve the Tijuana marketplace and to manufacture goods in Tijuana factories.