ABSTRACT
This chapter examines changes that have taken place in Mexico over the past thirty years that have positioned Mexico as a more important worldwide industrial player. These changes have stemmed from government policy shifts, from economic changes, from business decisions by private sector companies, and from trade agreements such as North American Free Trade Agreement. The chapter examines Mexico's largest manufacturing industry that of autos and auto parts. It shows that a major shift has taken place in Mexico to more open and often globally based manufacturing. It points out how some of the problems and issues can be better understood from the perspective of world systems theory. The chapter concludes by examining two case studies of strong companies, Cemex and Vitro, from the northern city of Monterrey. Cemex has been truly remarkable in moving into second place worldwide in the cement industry. It also examines the comparative productivity of different sectors and, based on studies of Banamex.
