Due to cultural affinity, proximity and time-zone similarity, Mexican service centers are now viewed as the most appealing location in Latin America to maintain a relationship with U.S. clients, making Mexico the perfect outsourcing destination.
Asia V.S. Mexico
Labor costs in Asia are growing rapidly, up to 22% (percent) a year for some regions serving competitive industries. in contrast, wages in Mexico have remained stable and, in many cases, are in parity with wages in Asia.
The large distance between Asia and the America puts companies at a disadvantage. It's much easier for companies to manage operations in Mexico, due to similar time zones and shorter travel distance in comparison to China, flights are shorter, and they can realistically do a plant visit in a day or two.
Outsourcing IT in Mexico
Outsourcing IT in Mexico is more efficient, cost effective, and faster than all alternatives beyond borders. English proficiency, especially in the IT Industry, is no longer a barrier between companies in the U.S and the growing pool of talent emerging from Mexico's universities. So if you're looking to outsource IT, the destination is Mexico..
Why Baja California?
Why Baja California?
The region has a number of industry parks, and plenty of spaces focused on startups and innovation development. Additionally, Baja’s state government provides assistance and incentive packages to reduce installation costs for new companies. Baja California’s potential in the industry positions the state above many others in Mexico, its proximity to California and its bilingual and bicultural workforce are major advantages for companies established here.
Companies already operating in Baja vary in size, but include web site developers, software designers, and outsourcing specialist service suppliers, among others. Companies like Sony, Gameloft, Softtek, Hitss, IBM, Asitec, Tress, Aprovi, Grupo Red, and Samsung SDI, already operate successfully in the state.
Tijuana has been recommended by the New York Times as the eighth best site to visit in 2017. It has its own charm and it is a melting pot of the regional diversities of Mexico and other cultures beyond its borders because it has been favored by its proximity to the United States.
The city’s proximity to Southern California makes it an attractive city for foreign companies looking to outsource, in addition, there are also some high-tech firms and telemarketing companies making their way into the city, drawing people with technical trade and college degrees to Tijuana.
Nearshoring in Tijuana
Tijuana is within a compatible time zone for most US businesses (Pacific Standard Time – GTM-8). No more 2:00 a.m. phone calls to conduct business! Nearshoring also benefits the bottom line with reduced “hidden costs” of outsourcing such as travel costs and no days lost on planes or datelines to cross. Communication errors, cultural issues, or production shortfalls, are also reduced in favor of face-to-face meetings, enhanced efficiencies both on-site and with your home office, and the ease in which communication occurs with customers and management.