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NYT- Mexico

Total questions: 15

Worksheet time: 16mins

Name
Class
Date
1.

Why are companies setting up in Mexico?

a)

Because companies with factories in US suffered shortages of parts made in Asia

b)

Because chinase companies assume the breach between China and US is not going to endure

c)

Because China is setting up operations outside North America Trading Block

2.

The concept of Nearshoring involves international companies moving production closer to consumers to limit their vulnerability to shipping problems and geopolitical tensions

a)

True

b)

False, it involves building apartments near to factories

c)

False, it involves locking two countries in fierce trade war

3.

State one reason which explains why foreign companies are being set in Mexico...

a)

To reduce the risk

b)

To increase the market share

c)

To improve highways in developing countries

4.

Select why Chinese companies preferred setting up factories in Mexico than Vietnam

a)

Because their market was US and the shipping cost was high

b)

Because voyages that previously cost $2,000 were 2 times as much

c)

Both are correct

5.

Which agreement started the path before?

a)

Japanese and South Korean companies. Chinese firms are establishing factories that allow them to label their goods “Made in Mexico,”

b)

Uruguay and South Korean companies, Mexican firms are establishing factories that allow them to label their goods “Made in Mexico,”

c)

Japanese and South Korean companies, Chinese firms are establishing factories that allow them to label their goods “Made in China,”

6.

Select the propers definition for Mr García (2 are correct)

a)

He's a 35-year old governor from Nuevo León.

He looked for companies in WEF

b)

Since 2021 he is the governor and Nuevo León has obtained $7 billion in foreign investment

c)

He runs a sideline enterprise as a developer in Monterrey

d)

Took advantage from a lucrative opportunity to turn a cattle ranch into an industrial park

7.

Who is Mr. Chan? Select two answers

a)

Owner of Man Wah Furniture Manufacturing

b)

Someone who used the Chinese social media platform WeChat to connect with Mr. Jiang looking for a joint venture

c)

Governor of Nuevo Leon

d)

The person who runs a sideline enterprise as a developer in Monterey

8.

How was in 2021 the foreign investment divided in Nuevo León?

a)

30% chinase companies

47% from USA

b)

47% chinase companies

30% from USA

c)

90% chinase companies

10% from USA

9.

What is Hofusan Real State?

a)

The response to the demand. They created an ecosystem of warehouse, factories and hotels

b)

A company from Sydney based on Mexico

c)

A Chinese company that do not operate with the label Made in Mexico

10.

Write the conclusion of the case "Why Chinese Companies Are Investing Billions in Mexico"

4 lines
11.

What is the primary motivation for Chinese companies like Man Wah Furniture Manufacturing to invest in Mexico?

a)

Access to cheaper labor

b)

Mitigating shipping challenges and geopolitical risks

c)

Exploiting legal loopholes for trade advantages

12.
  1. Which factor significantly contributed to the decision of companies like Man Wah to relocate production closer to consumer markets?

a)
  • Reduction of environmental impact

b)
  • Decrease in manufacturing costs

c)
  • Increase in international trade barriers

13.
  1. What role did tariffs play in influencing the investment decisions of Chinese companies like Man Wah?

a)
  • They encouraged companies to increase imports from China

b)
  • They incentivized companies to relocate production to Mexico

c)
  • They had no impact on investment decisions

14.
  1. What challenge did companies like Man Wah face in complying with trade agreements while operating in Mexico?

a)
  • Difficulty in securing skilled labor

b)
  • Limited access to raw materials

c)
  • Meeting minimum regional content requirements

15.
  1. What is a potential long-term implication of the nearshoring trend observed in the case?

a)
  • Increased outsourcing to Asian countries

b)
  • Strengthening of regional economic integration

c)
  • Expansion of global manufacturing in Europe