Why Is it Important to Find the Right Business Partner?
STORY INLINE POST
Q: What are the main challenges foreign companies face when first approaching Mexico?
A: Most of the companies that come to us are looking to capitalize on opportunities to establish themselves in Mexico. There are challenges, such as deciding where they are going to put their operations and what their implementation plan is going to be. We help them with what we call the Mexican journey, which goes from the design of the business case to helping them start their operation. We have different levels of involvement and expertise to suit our clients’ needs. Our discussions are mainly based on how to supply the US market directly or indirectly.
Q: How does your service for large companies differ from what you offer to smaller firms?
A: The service we offer depends on what companies do, their infrastructure or whether they already have a presence in Mexico. There are many companies that are already established in the country and do not want us to be responsible for everything but there are other companies that are not yet in Mexico. In general, these latter companies give us more responsibility and for a longer period of time. Our offer does vary but it depends more on the experience the client has in Mexico than the size of the company.
Q: How has demand for soft landing consultancy services changed over the past five years?
A: There is no doubt that, today, we see much more activity. I have been in the sector for 28 years and I can tell you that, over the past three years, we have seen a much higher level of activity than in the previous 25 years. Growth is mainly driven by nearshoring, as well as other factors. Talent availability in Mexico is also much better than in the US and the transformation of some industries, particularly the electric car industry, is growing the influx of manufacturing plants in Mexico.
The challenge in taking advantage of these opportunities is that, although there are many people available, they do not always have the necessary skills. We have to quickly find creative ways to equip people with those skills. Infrastructure is another challenge that, if addressed correctly, can turn into an opportunity. We must grow our infrastructure to be able to receive as much investment as possible. Likewise, we must provide legal certainty to investments.
Q: How can technology, like artificial intelligence (AI), help Prodensa in delivering better solutions to companies?
A: We use AI with data management and prediction so we can make better and faster decisions. I think the opportunities for AI are not just to manage data better in the present but to use it to see what is going to happen. Currently, there are a lot of companies that want to know if something bad is going to happen. AI can help you forecast and better address the issues that arise.
Q: What help does the company offer regarding ESG?
A: Our specialty is regulatory compliance so the environmental footprint has as little impact as possible. We believe that if all companies were not only fully compliant with the law but also with best practices, the world would be in a better position. We help companies obtain the best technology and infrastructure to reduce the impact of their operations. For example, we help them with filtration systems, water reuse and waste management, among other solutions.
Q: What are the company's plans and what still needs to be done in Mexico to boost its logistics position?
A: It is important to understand that the current context is not only driven by nearshoring. There are more influences to be considered regarding logistics and inventories. In addition, we are now supporting companies to produce their products directly. As we mentioned, we are seeing much more activity than before and it is our responsibility to take advantage of it to have more growth. We still have to work — especially the associations, sectoral organizations and the private sector — to create proposals for what we need to do as a country to take advantage of the moment.
Prodensa is a professional services firm with 38 years of experience supporting foreign investors in the manufacturing industry. With more than 700 professionals as part of its team, Prodensa acts as an integral facilitator and assists companies with market analysis, expansions, site selection, industrial real estate, start-ups, shelter and consulting for ongoing operations, consolidating North American supply chains. Prodensa has assisted with the start-up or expansion of 1000+ operations all over Mexico and has hired 300+ k people through its specialized Human Resources division.








By Fernando Mares | Journalist & Industry Analyst -
Fri, 07/14/2023 - 09:01









