Semester in Review

Carlos Perez-Verdia from the Central Bank in Mexico City talks about Mexican monetary policy

By: Grady Christopherson

My semester here in Mexico was very insightful as far as the way I see the world. I look at and analyze things differently after this semester—it forces me to think about everyday things that I see as a result of globalization. For example, I don’t go past Wal-Mart without thinking what went into getting that store there on many different levels, as well as how it operates now as a business. It was interesting to learn so many things about international trade, marketing, and business but at the same time it was even more interesting to learn about them through the cultural lens that we did. Learning about what NAFTA was and what it did to Mexico was great, but even better was walking down the street and seeing what NAFTA had done.

Also, I thoroughly enjoyed visits to people affected by NAFTA, the corn farmer we visited in Amátlan sticks in mind because of how she told us and showed first hand how NAFTA had changed her life. Learning about Mexican cultural values in a business context was also a very valuable part of my time here. And I think the order in which we learned the material in our business class was very helpful, particularly the fact that we learned about Mexican history first and then business. This allowed us understand a little bit of why things work they work and not just how they work in Mexico. My favorite part of my stay here was going to Mexico City, particularly when we visited the Central Bank. Our talk there was very informational and afterwards it was really cool to see the three people in the back that enforce the entire monetary policy of Mexico with a big calculator and a couple of computers. My stay here was great, and again it has made me look at things differently, and perhaps that is why I’m staying here another semester.

Our Trip to Mexico City

By: Mara Pederson

Boing co-op representatives meet with CGE´s business students

Last week the CGE’s International Business students were able to visit and observe several different companies in Mexico City. Students spent their days by visiting such places as Hospira Pharmaceuticals, the Historical Center, and the United States Embassy. Throughout these places we visited we were able to compare and contrast how different businesses operated and functioned on a daily basis.

One example of a company that demonstrates a different business approach is the Boing Cooperative. We learned that before Boing became a cooperative it was a successful company. Boing expressed that in 1982 there was a wage increase due to economic conditions, which was not respected and led to difficult times for the business. CGE students learned about the support Boing provided to strikes that occurred between 1982 and 1985 and the effect on the company as a result. The aspects of profit returns and reinvesting were also mentioned. Boing discussed that its first profit returns were given to transportation and eventually to assembly lines.

After the Boing production increased the company started to grow. After 25 years Boing is a cooperative that focuses on the welfare of their workers. Even today, with competition from national companies like Coca Cola, they still focus on the importance of their business morals. Boing refuses to lower the price of their products because they want to maintain their quality, continue to pay fair prices to their suppliers, and maintain a social agreement with co-op workers. Currently there are about 5,000 workers linked directly to the Boing co-op and continue to stand out as a business that only resorts to firing workers as a last resort. Boing is now currently marketing to middle class individuals in the United States and are hopeful for an increase in profitable returns as their production grows.

Compared to other companies, the Boing cooperative stood out as an exceptional company that focused on the well-being and generosity of their workers. The Boing cooperative allows us to view the moral side of business beyond the focus on profits. The trip to the cooperative has taught me different business procedures that are beneficial in the survival of a company and the focus of workers rights, teaching me the importance of a business community in the heart of Mexico.