To read this content please select one of the options below:


Globalism/Localism at Work

ISBN: 978-0-76231-045-6, eISBN: 978-1-84950-229-0

Publication date: 30 December 2004


The manufacturing transnational corporations (TNC) subsidiaries established in Mexico are playing a priority role within the labor markets in the Mexican economy, not only because of their participation in exports, generation of foreign exchange and employment in Mexico, but also because they are in command of a process of deep economic change.

Although the impact TNC subsidiaries have on the local configuration of productive networks, business capacities and links with different sectors has not been studied well enough in Mexico, it is nevertheless widely criticized. In other words, TNC subsidiaries undoubtedly have a positive impact on different areas, such as employment, generating foreign exchange, technological and organizational capacities and labor skills, but it is based on a learning that takes place within the affiliated plants themselves and in intra-firm relations. In spite of government and private efforts, their local spill over effects on Mexican companies is still very weak.

The purpose of this study is to identify the impact foreign TNC subsidiaries located in Mexico have on the development of local suppliers. The methodology is based on the application of three different types of questionnaires: one addressed to television TNC assembly plant workers in Tijuana, another to local suppliers, both foreign and national, and a third questionnaire geared to decision-makers and local business associations. We also considered results from other studies and analyzed different sources of information. The questionnaires were applied in Tijuana throughout January 2001.

The results of the study shows that there is an important industrial agglomeration in Tijuana and several institutions support this environment of clustering. Nevertheless, there are major disadvantages for increased local productive capabilities, but still room for Mexican suppliers and for public and private policy.


Carrillo, J. (2004), "FOREIGN DIRECT INVESTMENT AND LOCAL LINKAGES: THE CASE OF THE MEXICAN TELEVISION INDUSTRY IN TIJUANA", Beukema, L. and Hector Carrillo, J. (Ed.) Globalism/Localism at Work (Research in the Sociology of Work, Vol. 13), Emerald Group Publishing Limited, Leeds, pp. 99-124.



Emerald Group Publishing Limited

Copyright © 2004, Emerald Group Publishing Limited