Alliance Magazine #25

Page 1

United States - Mexico Chamber of Commerce

Year / Año 15 // Nº 25 // USA $4.00 // MEX $ 45.00

Binational Business Magazine

The Hispanic Technology Partner Supporting Business Transformation in America THE INTERVIEW



University of Miami Hires Dr. Julio Frenk as Its First Hispanic President

Cybersecurity Risk And Resilience: Changing The Mindset

2nd North American Sustainable Economic Development Summit

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President & CEO, Binational Headquarters;


Francisco López Espinoza,

CEO, Grupo Gráfico Multicolor; Alejandro Ramos, VicePresident Eastern Region; Joseph R. Chapa, VicePresident Western Region; Gabriela Kenny, Director of Communications; Cecilia López, Publishing Manager; and Jill Martínez, Editor.

PUBLISHING COORDINATORS Executive Director PROMEXE Rafael López Rivera Director of Communications Gabriela Kenny Publishing Manager Cecilia López

CONCEPT & MAGAZINE DESIGN Editorial Coordinator Cecilia López PRGNRS branding / advertising / interactive Graphic Designers Israel de la Fuente Christopher Jareño Alejandra Rodríguez

EDITORIAL CONTRIBUTORS Joseph Chapa Blanca Berthier Marlen Marroquin Claudia Vidal Nick Ortiz Luis Morris Ruth Martinez Josie Orosco Pete Garcia Sergio Ponce Marianna Russell Itzel Vega


For advertising inquiries, contact: Rafael López Executive Director PROMEXE Gabriela Kenny Director of Communications Cecilia López Publishing Manager

ALLIANCE, revista cuatrimestral. Diciembre 2015 / marzo 2016.- Publicación de la Camara de Comercio México Estados Unidos y Promotora Mexicana de Ediciones, S.A. DE C.V. (PROMEXE). Editor Responsable: Francisco Javier López Espinoza. Número de Certificado de Reserva otorgado por el Instituto Nacional del Derecho de Autor: 04-2013-071518324800102. Número de Certificado de Licitud de Título y Contenido: 16157. Domicilio de la Publicación: José María Chávez #3408-A. Cd. Industrial. C.P. 20290. Aguascalientes., Ags. Imprenta: Multicolor Gran Formato S.A. de C.V. José María Chávez #3408. Cd. Industrial. C.P. 20290. Aguascalientes., Ags. Distribuidor, PROMEXE José María Chávez # 3408-A. Cd. Industrial. C.P. 20290. Aguascalientes., Ags. Camara de Comercio Mexico Estados Unidos, 5510 Cherokee Ave. Ste. 120, Alexandria, VA 22313-2320. Mailing address: P.O. Box 14414, Washington, D.C. 20044. ALLIANCE is a quarterly publication of the United States-Mexico Chamber of Commerce and Promotora Mexicana de Ediciones S.A. de C.V. (PROMEXE), for the binational enterprise sector. Mexico office: Av. Jose Maria Chavez No. 3408, Ciudad Industrial; Aguascalientes, Ags., Mexico (www. United States office: United States-Mexico Chamber of Commerce, 5510 Cherokee Ave. Ste. 120, Alexandria, VA 22313-2320. Mailing address: P.O. Box 14414, Washington, D.C. 20044. The views expressed in this magazine are the responsibility of the authors and do not necessarily reflect official positions of the U.S.-Mexico Chamber of Commerce, its members or supporters. Our goal is to present a broad range of perspectives on shared bilateral issues.

Dear Friends, “Embrace technology” is the message that stays in my mind after reading the contributions to this edition of Alliance Magazine. We all know the importance of technology and its numerous benefits in modern society, but with the increased usage of technology there are great challenges and opportunities that are no longer a case only for IT experts, but for all of us who want to contribute to the economic development of the North American region. Cybersecurity is a good example, Eduardo Cabrera, former chief information security officer of the United States Secret Service, states that the Internet has brought the world closer, but our enemies are closer too. In his article, he sends an invitation to businesses to change their mindsets and to develop a comprehensive plan to protect their companies from cyberattacks. David Aguilar, former commissioner of U.S. Customs and Border Protection and founding principal at Global Security Innovative Strategies, also affirms that a number of solutions for the trade industry will be provided by technology. This applies to the private sector, but also for the public sector, that must keep up with the fast pace of the insurgence of new products and services offered in non-traditional ways, such as cryptocurrencies. Philip Farah, managing director of Blue Orange Innovations presents us with his reflections of what block

chains mean to Mexico, now the second largest e-commerce market in Latin America. Amazon recently started operations in this country for this reason, and Juan Carlos García, country manager, provides an overview of Amazon’s expansion process in Mexico. Technology has multiple facets, and one of them of great importance is software development, a tool that should not be considered a finish product, but rather an evolving component of an organization that can be used as an engine for growth, and that must allow for quick modifications and improvements. Alex Camino, chief marketing officer of Softtek in his collaboration explains the last in an excellent way. In this edition you will find much more, and I hope you will enjoy each section and the new image of our magazine. Please do not forget to take a look at our calendar of activities and events for 2016. As always, special thanks to our collaborators, sponsors, members and friends for your contribution to this publication, and to our readers for your support. Since this is the last edition of 2015, I would like to take the opportunity to wish you Happy Holidays and a successful 2016!

Un abrazo.

Albert Zapanta President & CEO



































En MABE International Advisors, hacemos algo más que consultar...



Registro Contable (Bookkeeping)

Registro y Asesoría Contable (Accounting and Business Consulting)

Creación de compañias en todo USA (Bussines Creation)

Asesoría Fiscal y Financiera (Tax and Financial Consulting)

Certificado de exención Texas para Efecto de Exportación (Texas Sales Tax Export Exemption)

Defensa Fiscal (Fiscal Lawyer) Auditorías para Fines Fiscales - SHCP, IMSS, INFONAVIT (Tax Audits)

Solicitud y Trámites de EIN (Filing for an EIN) Nómina (Payroll)

Terceración y Administración de Nómina (Outsourcing and Payroll Administration)

Impuestos Personales (Personal Tax)

Capacitación Empresarial (Bussiness Training)

Impuestos Corporativos (Corporate Tax)

Precios de Transferencia (Transfer Pricing)

Tratado para evitar la Doble Tributación entre México y USA (Double Tax Agreement) Precios de Transferencia (Transfer Pricing)





281 741 3691

011 52 833 217 85 00 al 20

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Albert Zapanta

Joseph R. Chapa

Alejandro Ramos

Gabriela Kenny

California Regional Chapter Los Angeles, CA JUDITH A. WILSON President MARLEN MARROQUIN Executive Director 1800 Century Park East Suite 300 Los Angeles, CA 90067 (310) 598-4188

Mid-America Chapter Chicago, IL GERY CHICO President BLANCA BERTHIER Executive Director Blue Cross Blue Shield Building 300 E. Randolph Dr. 49th floor Chicago, Il 60601 (312) 729-1355 / (312) 729-1356 F: (312) 729 1354

Aguascalientes Chapter Aguascalientes, Ags. JAIME DEL CONDE UGARTE President RODOLFO RODRÍGUEZ CASILLAS Executive Director Av. Independencia 1602 Col. Fátima Aguascalientes, Ags. (449) 914-6863 y (449) 153-3553

Noreste Chapter Monterrey, N.L. DR. ERIC W. GUSTAFSON President ROBERTO FUERTE Executive Director Av. Fundidora No. 501. Edificio Cintermex P.B. Local 114 Col. Obrera Monterrey, N.L. 64010 (81) 8191-7800

PRESIDENT & CEO Binational Office 6800 Versar Center Dr. Suite 450 Springfield VA 2215 (469) 567-0921 F: (703) 642-1088

Inter-American Chapter Miami, FL DAVID B. ROSEMBERG President RUTH MARTINEZ Executive Director 2 S. Biscayne Blvd 21st Floor, Suite 2100, Miami, FL 33131 (786) 631-4179 Inter-Mountain Chapter, Salt Lake City, Utah KEITH ATKINSON Executive Director DANIEL LEIFSON Assistant Executive Director 1123 Sandtrap Circle North Salt Lake City Utah, 84054 (801) 200 4714 International Trade Development and Assistance Center JOSEPH R. CHAPA Executive Director 207 Mandalay Canal Irving, TX 75039 (469) 567-0922 Washington, D.C. Office Mid-Atlantic Chapter PRISCILLA ZOZAYA Coordinator 6800 Vesar Center Dr., Suite 450 Springfield, VA 22151 (202)714-6564 (703) 752-4751

Vice President Western Region Executive Director Trade Development and Assistant Center (469) 567-0922 F: (703) 642-1088

Northeast Chapter New York, NY EDUARDO RAMOS-GÓMEZ President ALEJANDRO RAMOS Executive Director 1540 Broadway, Suite 1400 New York, NY. 10036-4086 (212) 471-4703 F: (212) 471-4701 Pacific Northwest Chapter Seattle, WA LUIS MORRIS VELARDE President 15100 S.E. 38th Street # 728 Bellevue, WA 98006-1765 (425) 320-3844 Southwest Chapter Dallas, TX VINCENT CHAPA President JOSIE OROSCO Executive Director 901 Main Street, 44th. Floor Dallas, TX 75202 (214) 651-4300 / (817) 881 0264 F: (214) 747 1994 Houston-The Woodlands-Gulf Coast Chapter, Houston, TX JULIE CHARROS-BETANCOR President PETE GARCIA Executive Director 2211 Norfolk St. Suite 520 Houston, TX 77098 (713) 854-1577

Vice President Eastern Region Executive Director of Northeast Chapter (212) 471-4703 F: (212) 471-4701

Golfo Chapter Veracruz, Ver. ANDRES QUIALA President Simon Bolivar no. 705. casi esquina con España. Despacho 3 Colonia Zaragoza C.P. 91910 Veracruz, Ver. México (229) 937-0598 F: (229) 100-3857 Guanajuato Chapter León, Gto. ANTONIO VARGAS NAVARRO President SERGIO PONCE LÓPEZ Executive Director Blvd. Campestre No. 1215, Int. 12 Col. Panorama León, Gto. 37160 (477) 779-5670 Michoacán Chapter Morelia, Mich. NICK ORTIZ President LUCY CHÁVEZ Executive Director Melo 166-B Morelia Michoacan C.P. 58000 (443) 353-2927

Director of Communications North American Headquarters 207 Mandalay Canal Irving, TX 75039 (469) 567-0923 F: (703) 642-1088

Pacífico Chapter Guadalajara, Jal. FRANCISCO CASTELLANOS President CHRISTOPHER BRICIO VP Startegic Sectors Av. Prolongación Americas 1600, Piso 2 Col. Country Club Guadalajara 44610 Jalisco, Mexico (33) 1813-1400 Puebla Chapter Puebla, Pue. FERNANDO A. TREVIÑO President VIDAUR MORA Executive Director 31 Poniente No. 4128 9º Piso Letra A Col. Ampliación Reforma Puebla, Pue. 72160 (222) 249-8828 F: 222) 249-2361 Querétaro Chapter Querétaro, Qro. MÓNICA LÓPEZ Trade Representative Valle de México Chapter Mexico City JOSE GARCIA TORRES President CLAUDIA VIDAL Executive Director Av. Insurgentes Sur 1605 Torre Mural, Piso 25, Mod. 3 Col. San José Insurgentes Benito Juárez, 03900. México, D.F. (55) 5662-6103 F: (55) 5683-2700



Goodrich Riquelme y Asociados Partners Aeroméxico

Begins Daily Service between Cozumel and Mexico City


eroméxico (Airways of Mexico, SA de CV) recently added daily flights between Cozumel and Mexico City. The new route, which began service October 1, 2015, has a capacity of 700 seats per week aboard a 50-seat Embraer 145 airplane. Aeroméxico operates more than 600 flights daily with hubs in Mexico City and Monterrey. The route network spans over

80 cities on four continents, including 46 destinations in Mexico, 16 in the United States, 16 in Latin America, three in Europe, three in Canada, and two in Asia. The fleet of more than 120 aircraft is comprised of the Boeing 787 (Dreamliner), 777 and 737 jet airliners and next generation Embraer 145, 170, 175 and 190 models.


Introduces New Plan for North America


-Mobile recently introduced a new North America Plan with expanded coverage for customers in the U.S., Canada and Mexico. The plan, Mobile Without Borders, allows users to call, text and use data when traveling in Mexico and

Canada at no additional charge and without additional roaming costs. Talk and text is unlimited in all countries, and LTE data will be available to customers feefree—charges come out of

with USMCOC to Create Guide for MX Companies Expanding in U.S.


oodrich Riquelme y Asociados, A.C. (Goodrich), one of the most prestigious, respected and innovative law firms in Mexico City, launched an alliance with the U.S.-Mexico Chamber Of Commerce, Mexico City Chapter, to create the International Trade Hub, an export guide designed to provide information for Mexican companies doing business in the United States. The publication is an exhaustive guide to assist in the promotion and expansion of sales of products for small- and medium-sized Mexican businesses (SMBs). On the threshold of the international trade field, Goodrich is prepared to continue to engage a responsible leadership and commitment to Mexico. Founded in 1934, Goodrich is one of the most innovative and widely-respected law firms in Mexico with 79 attorneys. The firm specializes in representing multinational companies conducting business in Mexico as well as a strong presence in the European Union with an office in Paris.

the customer’s T-Mobile plan’s high-speed data allowance. Customers can also access other Simple Choice features while in Canada and Mexico. Those features include Music Freedom and Wi-Fi Calling. Music streaming does not count

against a plan’s data allotment and Wi-Fi Calling lets the user make and receive calls over a Wi-Fi network. In addition, Data Stash allows them to carry over unused data from month-to-month.


The Binational Business Magazine


The New Mexican Insurance and Surety Institutions Law By the Insurance and Surety National Commission of Mexico

quantitative elements PILLAR 1 Technical provisions based on BIEL methods and risk margin concept. Standard model and internal models for the capital requirements calculation. Risk aggregation and mitigation. Own funds to cover solvency capital requirement. Economic balance sheet.

revision and control PILLAR 2 Strengthening of corporate governance practices. Own Risk and Solvency Assessment (ORSA). Supervisory review process: strengthening of CNSF’s risk-based supervision.

market discipline PILLAR 3 Regulatory reporting. Transparency and public disclosure as a mechanism to enhance market discipline.


nder the reform and modernization of the Mexican financial system, driven by the administration of President Enrique Peña Nieto, the new Insurance and Surety Institutions Law (LISF) was enacted on April 4, 2013, and became effective on April 4, 2015. The implementation of the new law is part of the Mexican federal government’s effort to promote dynamic growth of the economy as a prerequisite for improving the living conditions of the country’s population.

The underlying quantitative and qualitative elements of the solvency model established in the LISF are aimed at preserving the financial position of the insurance and surety institutions through the balanced operation of regulatory discipline imposed by the new law and its secondary regulatory framework, the self-discipline generated by the strengthening of the corporate governance system, and the market discipline which is stimulated from greater transparency and disclosure.

The overall design of the LISF considers a Solvency II-type model comprised of three pillars in which the solvency system is based.

In order to achieve an appropriate implementation process of the law, the Insurance and Surety National Commission of Mexico (CNSF) issued the secondary regulation of the LISF prior to the new law coming into effect under a broad consultation process that was based on the active participation of the insurance and surety companies, as well as their representative organizations and other entities and supervised persons.

The first pillar considers quantitative elements for the valuation of technical provisions, calculation of capital requirements, risk aggregation and mitigation models, as well as criteria for the determination of the economic balance sheet. The second pillar considers qualitative elements regarding the corporate governance of institutions, while the third pillar includes elements relating to transparency and disclosure of information.

The secondary regulation (Circular Única de Seguros y Fianzas – CUSF) comprises a single legal instrument all the general provisions in accordance with the LISF, and was published in the Federal Official Gazette on December 19, 2014.

On June 5th, 2015 the European Commission issued a decision on the equivalence of supervisory regimes for insurance and reinsurance under Solvency II criteria, for countries that are not members of the European Union. Specifically, Mexico was granted the equivalence based on the principles of regulation and supervision established in the new Law, as well as in the secondary regulation (CUSF). The equivalence is temporary for a period of ten years, beginning in January 2016, and it must be ratified by the European Council and Parliament. This resolution confirms the international recognition to the efforts of the Mexican authorities to establish a new regulatory framework based on best practices and international standards, allowing to encourage the development of the insurance and reinsurance market at international level.



Mexico’s Natural Gas Market — Infrastructure and Development Opportunities By Victor L. Cárdenas Jr., shareholder at Jackson Gilmour & Dobbs, P.C.


exico has vast shalegas resources that are primed for exploration and production. The U.S. Energy Information Administration (EIA) has assessed Mexico’s shale gas resources as the sixth highest globally; however, Mexico has only developed a few shale wells, leaving the vast majority of reserves untouched.

ternal bottlenecks as Mexico becomes increasingly reliant on natural gas. In addition to infrastructure development, other environmental services such as water management will be needed. This presents a unique opportunity for companies with fracking and infrastructure expertise, particularly in the Texas Eagle Ford basin region.

Approximately half of Mexico’s shale-gas resources are located in the north of Mexico with many positioned along the Mexico-U.S. border. Presently, Mexico lacks the transportation infrastructure and natural-gas storage facilities—particularly in the north of Mexico—to meet the anticipated rise in natural gas production and demand.

However, Mexico’s new environmental and regulatory framework could prove challenging in future shale development and infrastructure opportunities. The 2013 Energy Reform created the National Agency for Industrial Safety and Environmental Protection in the Hydrocarbon Sector (ANSIPA, Agencia Nacional de Seguridad Industrial y de Protección al Medio Ambiente del Sector Hidrocarburos), a decentralized organ of the Ministry of the Environment and Natural Resources (SEMARNAT, Secretaría del Medio Ambiente y Recursos

While predictions vary, some analysts have predicted that at least $34 billion in pipeline infrastructure is needed over the next six years just to avoid cross-border and in-

Naturales) with technical and management autonomy. ANSIPA is responsible for regulating industrial, operational safety, and environmental matters in the hydrocarbon sector and is empowered to investigate incidents and accidents and impose penalties and mandatory security measures. Understanding how to successfully navigate the new regulatory framework will be essential in future shale plays. At Jackson Gilmour & Dobbs, P.C., we work with industry leaders and agency advisors that are counseling the agencies regarding the implementation of the environmental and operational safety protection measures. We are at the forefront of Mexico’s unchartered energy regulatory landscape. How do you plan to navigate Mexico’s new regulatory and legal environment? Let us share our unique experience and insight with you.

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Using Regulation to Better Protect the Population’s Health and Transform the Market By Mikel Arriola, Federal Commissioner of the Federal Commission for Protection against Sanitary Risks

The Federal Commission for the Protection against Health Risks (COFEPRIS) is responsible for ensuring the health and safety of Mexico’s citizens. COFEPRIS has gone through significant transformation and modernization, eliminating in the past few years a backlog of around 8,000 market authorizations. The actions implemented included a risk-based re-


he Federal Commission for the Protection against Health Risks (COFEPRIS) is responsible for ensuring the health and safety of Mexico’s citizens through regulation and surveillance of food, healthcare products and services. COFEPRIS regulates nearly 10 percent of the Mexican Gross Domestic Product; therefore, its policies and procedures have the potential to affect not only the public health of our citizens, but also a sizeable segment of our national economy.

organization of procedures, implementation of specialized lanes, on-line registration preview, adoption of authorized third parties and vaccines’ risk-based lot release. As a result of those actions, COFEPRIS has become a reference of Good Regulatory Practices in Mexico and the Latin America region.

Mexican pharmaceutical policy is based on four pillars: a regulatory agency that guarantees the safety, quality and efficacy of medicines; a reliable and predictable market authorization procedure; the removal of barriers to market entry for safe, efficacious and high quality products; and the harmonization with best international regulatory practices. These pillars are aligned with the governments health priority of increasing population access to quality health products and services.



A regulatory reporting agency that guarantees the safety, quality and efficacy of all drugs. A reliable program to authorize sanitary registrations.

Removal of barriers to market entry for products that are safe and of high quality. Harmonization of the sanitary agency with best international practices.

1. Effective Access 2. Service Quality 3. Prevention


The Binational Business Magazine


Since its beginning in March 2011, COFEPRIS has gone through a significant transformation and modernization, eliminating the past few years’ backlog of around 8,000 market authorizations, issuing pending regulatory updates and implementing a comprehensive administrative simplification program, international harmonization and reinforced sanitary surveillance.

In terms of removing barriers, COFEPRIS has promoted the market entry of new generic medicines and a policy facilitating the access to innovative molecules. As a consequence, in the past four years, 32 active substances have been released, corresponding to 357 market authorizations of new generic medications which resulted in an average reduction of 61 percent in drugs prices.

The actions implemented included a risk-based reorganization of procedures, implementation of specialized lanes, on-line registration preview, authorization of third parties, and vaccines riskbased lot release.

COFEPRIS has also negotiated equivalence agreements for new drugs with the medicine agencies of U.S., Canada, Australia, Switzerland and the European Union. These agreements allow a fast-track authorization process, avoiding duplication of efforts and facilitating access. During the past four years, 150 new innovative drugs entered into Mexico, and four molecules utilized Mexico as a platform for global launch.1 In 2010, only two innovative medicines entered the Mexican market.

The specialized lanes for medicines and medical devices filings led to a significant reduction in time of response. Processing time of simple administrative changes went from one year to a maximum of 15 days. Previously, all procedures had to be reviewed on a first-come, first-served basis, independent of their complexity.

Two are used for the treatment of Diabetes Type 2; one is used for combating Chronic Obstructive Pulmonary Disease (COPD) and one is used for the treatment of pulmonary hypertension. 1.

The authorized third parties, approach has also significantly reduced processing time. For example, processing time for market authorizations of new drugs was reduced by approximately two years on average.

To stimulate clinical trials, a collaborative partnership was negotiated between the U.S. National Institutes of Health and the Mexican Institute of Social Security for their pre-statement of protocols,

reducing authorization time from three months to one month, a 66 percent reduction in time. On the international front, COFEPRIS was recognized by the Panamerican Health Organization in 2012 and by the World Health Organization in 2014, becoming part of select group of certified agencies.The pharmaceutical policy implemented by COFEPRIS has reduced out-of-pocket spending in Mexico. Between 2009 and 2013, it has decreased from 49.6 percent to 44.1 percent of total health expenditures, a decrease of 5.5 percentage points in five years. COFEPRIS has become a standard of good regulatory practices in Mexico and Latin America. In November 2015, COFEPRIS hosted the International Conference of Medicines Regulatory Agencies, a result of COFEPRIS’s presence in the international regulatory agenda.



BMV Group Launches New Internet Site By Corporate Communications Department, BMV Group

The BMV Group launched its new Internet site which places it at the forefront of stock markets through its innovative tools and search engines that comply with international standards.


echnology in stock markets has become an essential element both in everyday transactions and in harmonization with investors and the general public. For that reason, and due to the need to have an Internet site equal to the relevance of the stock markets, the Mexican Stock Exchange (BMV, Bolsa Mexicana de Valores) successfully launched its new site. The redesign required participation from all BMV Group’s business areas. The new site meets the Mexican Stock Exchange Group’s plans to be in the technological forefront in addition to new graphic functionality to improve the user’s browsing experience, Its search engines comply with international standards, context indexers for positioning in Internet browsers, and is a cornerstone of the group’s digital

promotion strategy with links to social networks. In this regard, BMV Group’s success is very impressive: 11,000 Facebook page fans, 95,000+ Twitter followers, and more than 2,500 followers on LinkedIn. This online presence has engaged a greater number of users and effectively promoted the products and services offered by the BMV Group. Among the functionalities of the new website site are: recommendation by profile with access to information; contents customization through widgets; search engines with predictive text; tools for quick access to contents; links to social networks; and contacts by section. It also allows mobile users on Android and iOS platforms to download an app for use on smart phones. Throughout the site the user can get acquainted with the courses and diploma courses

taught by the Mexican Stock Exchange School, and get to know the SiBolsa service as well as related topics in each section. One of the major functions of the new site is the job opportunities section with links to the various BMV Group’s companies so professionals interested in becoming a part of the stock market can access the information. The user can also access up-to-date news and events through the site’s press room module with information from issuers and the market itself as well as BMV Group’s companies’ sites. There is also a high-availability fail-safe structure, allowing the visualization of interactive components without the need toinstall plugins. The BMV Group site has an open-standard graphic handling able to be viewed by

current versions of the various browsers, all of it under an updated HW/SW code sign plataform. This major change represents Mexican companies listed in the Mexican stock exchange and supports prompt attention to the concerns and suggestions posted by the users through the company’s various communications channels. Each section of the new site is focused on helping users find useful contents by accessing the Mexican stock exchange’s site. Thus, the Mexican Stock Exchange Group is at the forefront of the global markets.

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A Mexican’s Rise to Success as a U.S. Entrepreneur

Life as a wealthy restaurateur and tenor performing opera in the grandest of Mexico’s music venues seemed like a lifetime away from standing in the streets of Dallas seeking a day’s pay on a cold March morning.


n Thursday, March 7, 2002, after an unsuccessful attempt to find work as a jornalero (daily-wage laborer), Juan Miguel López spent the evening exploring Dallas downtown. He was fascinated by the people in formal attire walking in the streets. Curious, he followed them and found himself at the door of the Dallas Museum of Art (DMA), but did not have enough money ($15) for the entrance fee. López started mowing lawns the following Monday, lived

in an acquaintance’s storage room for three months and began waiting tables seven days a week to bring his family to Dallas, raking in extra tips by singing for his customers. In November of that year, he entered the DMA through the front doors dressed in his best suit as one of the performing artists of the night. “It was overwhelming; eight months later, there I was on stage and received a standing ovation,” López said, smiling as he recalled the moment. “Life gives you many opportunities, and it’s up to you to take them.”

Later on, the DMA director heard about Juan Miguel’s story and from that day forward, there has been no fee for the main exhibits in the museum. Fast forward seven years, Juan Miguel López launched his business MITO Financial, and began to live the American Dream. “The U.S. is a blessed country and it’s been very good to me,” López says, sitting across the table from me at a French restaurant while I practically inhale Saturday’s brunch. He takes a sip of coffee and continues telling his humble story and struggles in life, describing a roller coaster of life-changing events.


The Binational Business Magazine


The early years in Mexico At the age of 17, in 1982 shortly after his parents got divorced, López took his first shot as an entrepreneur: a taco stand that put him and two siblings through college. He studied music and voice at the University of Guadalajara School of Music which led to a solid career as an opera tenor. In 1994, he founded opera workshops in his hometown Leon, Guanajuato, Mexico, and hired theater and music teachers. Two years later he became a member of the Cultural Board of Guanajuato. He also produced several TV shows focused on preserving Mexican traditions and arts.

his business skills. He owned four highly profitable businesses: a bar, a nightclub, and two restaurants which were gathering places for celebrities from the cities of Leon and San Miguel de Allende, Guanajuato

In addition to his successful career as a singer and patron of the arts, he continued to hone

After a few years, the heightened trade restrictions in Mexico took a toll on his wealthy

customers who were his primary clientele. He closed his restaurant, then six months later, left his hometown and headed to Dallas with $200 in his pocket, no place to stay and no ability to speak English.

Business “People think everything has to be perfect to start a business,” López said. “That’s never going to happen. You have to begin when you have a gut feeling.” His perseverance and enterprising character fed his entrepreneur spirit and, on March 10, 2007, MITO Financial was born. A few years later, he launched MITO Investments, a small-business loan company. Since then, he’s created jobs for eight employees and helped 1,550 people to start or grow their own businesses. Almost a quarter of those clients have attended MITO’s business seminars in the cities of Dallas, Irving and San Antonio.

Over a three-year period, the results of his hard work became tangible when in 2010 he was recognized with Emerging New Business of the Year award by the Irving, Texas, Hispanic Chamber of Commerce. He established MITO Group as the holding company for MITO Financial, HABITUAL Magazine, MITO Capital, MITO Sport, IMEXPORT USA, MITO Franchise, IMEXPORT Mexico and RAM.

López attributes his success to his strong work ethic, commenting, “The day has 24 hours and we need to take advantage of them to strengthen our families, community, city, [and ultimately our] nation.” MITO Financial was recognized by U.S. Chamber of Commerce as one of the top 100 outstanding businesses and received its Blue Ribbon Award in 2013.



L贸pez also attended the 2012 Immigrant Journey Awards luncheon as one of 11 immigrants nominated for their exemplary leadership in business, a profession, or the civic arena.

After coming to the U.S., Juan Miguel L贸pez continued his philanthropic efforts and volunteerism. In the beginning, he was a member of several community organizations where he discussed social-economic issues on radio and television. Throughout his professional ups and downs, he retained his passion for music and founded International Festival Sounds of Mexico, a venue to encourage Mexican arts and talents in the United States. He joined multiple communities and business organizations and, through his business connections and frequent networking, he soon assumed leadership roles in many of

those groups, including president of Casa Ciudad de Mexico and treasurer of Pueblo sin Frontera, a DFW International Community Alliance. He was also a member of the board of directors for the Mexican Businessmen Association. In 2014, L贸pez was elected president of the Addison Hispanic Chamber of Commerce for a three-year period. He is also on the board of the U.S.-Mexico Chamber of Commerce, and a member of the Latino Leadership Committee for the Greater Irving-Las Colinas Chamber of Commerce, as well as a member of the Texas Business Association (TBA).

Comments and observations by Juan Miguel L贸pez Tell us about Mito Investments. After observing how difficult it is for members of the Hispanic community to obtain small-business loans, I presented this concern to some friends and the idea of creating a loan company for that purpose was born. The first

requirement for an individual to qualify for a loan is to have a business or a clear idea of what they want to undertake. [This prevents giving] a loan to someone without a clear business purpose.

How is Mito Financial different? It helps our community in everything related to credit, either by establishing or improving it, and how to prepare

a business plan and register a business. We also offer free seminars in Spanish on these matters.

What motivated you to launch financerelated businesses in the United States? My family has for generations engaged in business; my dad opened his first grocery store at age 15, so I grew up watching the buy and sell. When I had to start working in the U.S., I realized that most of my co-workers did not know how

to set up a business or about the paperwork involved. Once I understood the system and opened my own business, I wanted to help others establish their businesses.


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What are the most common reasons people don’t become business owners? Most people want to stay in their comfort zone. There’s a saying: “business is good for everyone, but not everyone is good for business.” Of 100 people who attend a Mito seminar, only 12 to 20 follow up with a call for more information and help in achieving their goals. When people re-

alize the long hours required in the first years, discouragement sets in and they return to their comfort zone. Most Hispanics come to the U.S. because of lack of money. The immediate needs for food, and support for our families prevents us from starting a business and we fall back on

doing “whatever.” The years go by and it’s easy to get stuck in this system the rest of your life. Only a handful of risk-takers breaks this pattern. The truth is, real obstacles don’t exist; we put them in our heads and that’s what limits us.

What’s your advice for young Latinos in college and aspiring entrepreneurs? This country offers opportunities to those who ask for it—regardless of their language or origin. Forget the 40/40 (40 hours for 40 years) and put forth extra effort. Start working in a field related to your major, no matter the pay

whether if you have to volunteer, and spend time with people from whom you can learn the business. If you hang out with entrepreneurs, you’ll become an entrepreneur!

In addition to entrepreneurship, you’ve made a living as a tenor and founded and directed several programs to nurture and preserve the arts. Why are the arts so important to you? The only thing that a man has it is his story good or bad, it’s his. For this reason, it’s important to know why we stand here today. It’s no accident; it’s an accumulation of experiences. Art and social movement

What performance are you most proud of? Two have really marked my tenor career: initiating “Conciertos de Primavera” (Spring Concerts) 10 years ago in Leon, that tradition continues today, and interpreting the Mexican National Anthem at the Organizations of Amer-

ican States(OAS) building in Washington, D.C., for Mexico’s bicentennial celebration. Representing your native country abroad in an historic, once-ina-lifetime event is priceless.

For more on Mito, visit and

go hand in hand. For example, the playwright and novelist [Denis] Diderot started important social movements like the encyclopedia, which revolutionized ways of thinking and influenced the French

Revolution, and U.S. and Latin American independence. Art and traditions are what give us an identity.



2nd North American Sustainable Economic Development Summit Binational Event The 2nd North American Sustainable Economic Development Summit was held in Las Colinas-Irving, Texas, on August 24, 2015. The approximate 100 attendees discussed the economic and political impacts of current trade systems in the Americas as well as the potential effect of trade agreements now in negotiations, especially those in the NAFTA region.

Officials and business leaders from various sectors, including the economy, transport, energy and infrastructure participated in discussions, reviewing economic and supply chain strengths, and weaknesses in infrastructure and accountability.


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S NAFTA brings benefits and challenges to both the U.S. and Mexico


he North American Free Trade Agreement (NAFTA) in the 1990s brought together the economies of the United States, Mexico and Canada. NAFTA established a framework that created the world’s largest free trade area, connecting 450 million people and producing $17 trillion worth of goods and services annually. This has been primarily responsible for regional integration in the Western Hemisphere. The increasing economic integration of Mexico and the United States during the last three decades has benefited both countries significantly. NAFTA has provided North American businesses with better access to materials, technologies, transportation and infrastructure.

Moving forward 21 years, both countries are facing additional challenges to free trade. Overcoming these challenges will be key to the continued and sustainable economic development of North America and, given increasing global connections, also important for the development of the hemisphere. The U.S.-Mexico Chamber of Commerce (USMCOC) recognizes the importance of trade policies for the continent and how they help create solutions for strong, sustainable economic development and integration. Thus, the Chamber continues to develop and implement new means of collaboration to bring public and private enterprise together to address issues of binational concern such as infrastructure, security, energy independence, and IT innovations, among others.

enator Javier Lozano presented the keynote address. He greeted the audience by reminding all present that “…NAFTA is a symbol of understanding, friendship and cooperation [and] has provided the opportunity to move forward.” He also emphasized the importance of “…build[ing] bridges between [ourselves].”

PHOTO 1 Senator Javier Lozano Alarcón, LXII Legislature of Mexican Congress, delivered the opening remarks of the Summit.


Francisco Gonzalez, general director of ProMexico, supported Lozano’s comments, citing the importance of understanding the dynamic of the U.S.-Mexico relationship. “No matter how interconnected we are and live, we must continue to work together,” the general director stated. In order to emphasize the importance of competitiveness and fair trade practices, Roger Noriega, former assistant secretary of state for Western Hemisphere affairs, noted that “Mexico is aware that trade and trade agreements mean that we should think globally and act locally.” He also pointed out that markets must be sensitive to the needs of the population in order to have economic growth, and that government programs should provide the

foundation for stable economic growth; however, a key factor for the success of fair trade is accountability. According to Juan Sosa, former Panamanian ambassador to the U.S., NAFTA increased the world’s positive perception of Mexico, as seen in Panama. A free trade agreement that makes the government accountable brings a competitive edge and a brand new game which translates to opportunities.



PHOTO 2 Guest speaker, Congressman Agustín Barrios, LXII Legislature of Mexican Congress during his remarks.

Mexico’s international image was also addressed by Congressman Agustín Barrios, representative from the LXII Mexican Legislature, who observed, “Mexico’s image must correspond to the benefits and potential of the country and its people. It is the responsibility of its people to strive every day to represent Mexico well in order to have the ability to influence the direction of the country.”


PHOTO 3 Members of the Energy panel respond to question of conference attendees. From left to right: Jaime Buitrago, Director of Exploration, ExxonMobil Exploration and Production Mexico, Steve Molina, Texas Member, Interstate Oil and Gas Compact Commission Dr. Rafael Alexandri Rionda, Director General of Planning and Information, Ministry of Energy of Mexico- SENER.

PHOTO 4 Congressman Pete Sessions (32nd District-TX), keynote speaker during his remarks acknowledged the contribution of the private sector in building a stronger U.S.-Mexico relationship.

One example of Mexico’s potential is in the energy sector following the Energy Constitutional Reform of December 2013 which now permits private investment in Mexico’s oil and gas industry. This change offers significant opportunities for private oil and gas companies to invest in Mexico but the law is not something new. According to Rafael Alexandri, director general of Planning and Information, Ministry of Energy of Mexico-SENER, “NAFTA opened the opportunity to integrate the energy sector. Without the NAFTA initiative, the region would not be looking ahead and expanding [which is] leading to economic development gains and greater development and growth worldwide.”


This integration is not just a function of Mexico’s natural resources, investment policies and free trade. Jaime Buitrago director of exploration for ExxonMobil Exploration and Production Mexico, said that it is collaboration that has helped increase growth and productivity, and international investment and markets. Steve Molina, a member of the Interstate Oil and Gas Compact Commission, indicated that the energy reform is creating an extraordinary opportunity for Mexico, making possible the creation of joint programs to form the basis for a regional community. NAFTA is a key instrument in the unavoidable process of regional integration where infrastructure, transportation and technology do not recognize borders. Marcos Jimenez, CEO of Softtek North America, said, “Technology is taking integration into a true global scale without boundaries,” adding, “This

regional integration creates opportunities for everyone.” Luc Ringuette from UMEXX– ConnectMexico, noted that ConnectMexico, a joint effort of the USMCOC and ProMexico, was designed to promote investment, trade, commerce, economic development and stronger bilateral relations. It also seeks to broaden the potential revenues of small and medium -sized companies in Mexico.

“The Mexican government’s role in this integration process has been fundamental to its success,” commented Ismael Berumen, partner in the U.S.–Mexico Corrido of KPMG. He further acknowledged that the government has made improvements


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Infrastructure a key to regional economic growth

I in infrastructure, and has opened competition in airports and seaports, generation of electricity, telecommunications, natural gas distribution and railroads. He also agreed that there is still more to do and that integration has been an important factor in achieving progress. Also addressing the summit’s participants was U.S. Congressman Pete Sessions (TX32) who lauded the collabora-

nfrastructure is key to regional economic growth and one of the most critical sectors in a country’s economy. Solid infrastructure reduces costs and helps the integration process. In this context, railroads play a major role. As the president of Kansas City Southern of Mexico José Zozaya remarked, “Mexico’s foreign trade accounted for 46 percent of the total cargo handled by the Mexican rail system, the most productive freight railway in all of Latin America.” He affirmed that transportation plays a crucial role in economic growth at local, national, regional and global levels.

between officials and companies and actions designed to increase trade-based revenues. Ana Hinojosa, deputy assistant commissioner of the Office of International Affairs, Customs and Border Protection, U.S. Department of Homeland Security and director-elect of the World Customs Organization, Compliance and Facilitation Directorate, emphasized that this integration is critical in order to deal with the issues that customs services faces today. Among those issues are supply chain security, data harmonization, coordinated border management, and enforcement. Ricardo Treviño Chapa, México customs administrator, Servicio de Administración Tributaria, also addressed key concerns impacting trade, but commended how the U.S. and Mexico have come a long way in building bridges between the countries in order to facilitate and strengthen integration.


tive efforts and contributions that are building a stronger U.S.-Mexico relationship that has been strengthened by the participation of the private sector in the discussions.

David Aguilar, partner of Global Security and Intelligence Strategies, commented that Mexico is one of the most active trade ports of entry for the U.S. Its geographic location contributes to regulating economic, political and security integration, and is the result of cooperation

During the luncheon, William H. Duncan, U.S. Embassy Mexico City chargé d’affaires, highlighted the strong ties between the U.S. and Mexico and outlined his vision for the bilateral relationship which requires “working together [so] we can grow together.” He called on the audience to be part of the dialogue and tell our governments how we can remove bottlenecks and facilitate exchanges.

PHOTO 5 Albert Zapanta, president and CEO, USMCOC.



Yael Smadja, president of Smadja & Smadja USA, Inc., expressed her belief that by working together, “we can cover not only Mexico’s future but the key strategic issues common to or impacting on the whole region.”

The economic, political, and social integration that has taken place in North America since NAFTA went into effect has made the region one of the most competitive on the planet. With rapidly growing economies in Asia and South America challenging North America’s competitiveness, NAFTA remains fundamental to sustained growth and prosperity in the region. The panel session ended with Woody Buckner, CEO of Buckner & Company, Inc., who invited all speakers and guests to reflect about how innovation helps integration and such integrations builds and strengthens NAFTA.

Good Neighbor Award on Richard W. Fisher, former president and CEO of the Federal Reserve Bank of Dallas. The presentation of the Good Neighbor Award was the closing ceremony of a successful 2nd North American Sustainable Economic Development Summit. We are grateful for


PHOTO 6 Guest speaker, Woody Buckner, CEO of Bucker & Company, Inc., during the closing remarks of the Summit.

PHOTO 7 Albert Zapanta (far right), Beth Bowman, president and CEO of the Greater Irving-Las Colinas Chamber of Commerce (left) and Senator Javier Lozano (second from left), present the Good Neighbor Award to Richard Fisher, former president and CEO of the Federal Reserve Bank of Dallas.

José Antonio Vidales Flores, president of the Confederation of Associations of Custom Agencies in Mexico (CAAAREM), reinforced the importance of infrastructure and transportation as two essential elements to facilitating the commercial exchange between Mexico and the United States. He challenged attendees to reexamine the cornerstones that have created this reality. He also asked them to reevaluate the main actors in the supply chains that enable favorable numbers for the future: “Communication, interaction and openness are the key elements where we will build more trust, more integration and more security.”


The process of regional integration has been possible through the commitment of individuals with vision and determination to mutually benefit Mexico and the United States. To honor one of the leaders in that effort, the U.S.-Mexico Chamber of Commerce bestowed its

our speakers, sponsors and conference attendees for being part of this effort and look forward to continue the conversation.




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The Hispanic Technology Partner Supporting Business Transformation in America By Marcos Jiménez, CEO Softtek North America

During the past five years we have witnessed spectacular changes in which new companies—most often start-ups with little experience in any industry—develop from small ventures with hopes of dethroning iconic and well-established industry leaders. We’ve also seen how a new breed of entrepreneurs is taking over large, old American companies to transform them through the application of technology and agile methodologies. Softtek is one of the few Hispanic companies partnering with these new entrepreneurs to transform traditional operations into modern and flexible organizations. By focusing on the customer experience, accelerating time-to-market, and leveraging automation to eliminate redundant and repetitive tasks, these companies exemplify how to compete in the new environment. These capabilities have allowed Softtek to become a technology partner with several important brands including one of the world’s leading brewing companies and one of the largest fast-food chains. These companies have been radically transformed by this new generation of entrepreneurs. So how is Softtek supporting this transformation?




ack in 1996, Softtek was selected by General Electric (GE) to become part of their Global Development Centers initiative. The program selected highly promising IT services suppliers in emerging markets to develop the global IT functionality needed to support GE’s growing demand for IT skills at competitive costs. As part of this program, Softtek trained all of its employees from business executives to programmers and engineers in Lean Six Sigma best practices. During the past 20 years, Softtek has evolved and refined the Lean Six Sigma process and incorporated those changes into their services,

solutions and practices to ensure high quality and a cost-competitive mindset. The new breed of entrepreneurs is applying the same principles to modernize business processes and eliminate waste, reducing cycle-times

and ensuring total customer satisfaction. Softtek’s solutions can automate processes like supply chain to optimize the value added from raw materials to the product delivered to

the customer. Any business process can be improved by implementing these practices, and the technology infrastructure supporting these business processes also benefits from utilizing these principles and best practices.


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THE AGILITY MANDATE: SPEED OF EXECUTION DETERMINES WINNERS AND LOSERS The agile mindset means that products are launched faster, get to the market sooner and many can be upgraded after launch.

he automotive industry is an example of this. Traditionally, once a new car was out in the market, it retained the same capabilities and features throughout its life that it had when it left the dealership. Tesla has challenged this paradigm by designing its cars with the flexibility to make software changes remotely after

purchase. Virtually all of Tesla’s Model S operating features can be updated remotely including supercharging, and driving-assistance features like voice commands, driver profile settings and even autopilot. Among Tesla’s frequent software updates are functions like creep mode, which emulates the slight forward motion experienced when gas-fueled cars are idling. This creep mode doesn’t occur with electric cars but some early Tesla customers missed that aspect so it was added. Softtek’s agility is a result of its combination of advanced software engineering proficiency, closeness and proximity, and growing capacity in Mexico, Argentina, Brazil, Costa Rica and the U.S., in ad-

dition to delivery from India, China and Spain. With 10,000 professionals, the company’s agile approach has been key in the transformation efforts of iconic American corporations.

the scenes is a complicated process ensuring that systems can ramp up from zero to millions of online users in just minutesf after each new game launch.

The leading gaming company in the U.S. sells billions per quarter on video games and has hundreds of millions of gamers as consumers. It partnered with Softtek to develop key components for their business model, including their equivalent of Apple Inc.’s app store. Players anywhere in world can buy new games, purchase upgrades and meet through the games to satisfy their craving for online gaming.

Softtek has increasingly seen its focus on solid software engineering, agile services, managed offerings and proximity pay off as more companies seek to replace their vendors with more flexible partners that can help them realize opportunities faster.

Softtek is building parts of their platform while also helping with the launch of new online blockbuster franchise games such as FIFA. Behind

Today, industry analysts have recognized Softtek as representing Latin America’s potential for the digital age. With over 60 clients in the Forbes Global 2000 and a growing list of iconic American corporations, Softtek is an example of the new kind of partner that organizations are seeking.



DIGITIZATION TO SIMPLIFY AND ACCELERATE Marco Annunziata, chief economist at GE, said, “We’re no longer selling customers just a jet engine, a locomotive, or a wind turbine; we’re bringing data and actionable solutions along with the hardware to reduce costs and improve performance.” As of 2014 year-end, GE was generating roughly $1 billion in new revenue annually from its software and data offerings from their Software CoE. By 2020, GE expects that figure to climb to $15 billion. In a fast-moving business environment, GE has shown it has the dexterity to remain relevant throughout the years. When an industrial giant declares itself as a software and

technology company, it is safe to assume that their competition must rapidly realize that their days are numbered—unless they make radical changes. Transformation is also taking place in innovative governments like the Mexican Customs Agency. A few years ago, the import-export process was a roadblock to the growing trade between Mexico and its trading partners. With more than 73 million foreign trade transactions per year, companies had to navigate a complicated process involving 12 separate Mexican government agencies. Softtek’s transformational approach turned this complex system into a simple, single window

of foreign trade services that reduced the cycle time per transaction from weeks to minutes, saving Mexican taxpayers billions. Innovative technology and solid integration practices are at the core of this was software. Softtek is helping customers apply technology to reshape the way their businesses work, how they engage with their customers, and how they work with partners to seize new opportunities but reshaping may be an understatement: technology has now become the business. There is enormous opportunity and wealth to be claimed by those astute enough to venture into the new.


ot many people know that General Electric is the only company still listed in the Dow Jones that was on the original list more than a century ago. The company has diversified into multiple industries including finance, media and transportation in addition to its manufacturing core. The company recently announced its plans to not only remain on the list, but to migrate to a new and ambitious adventure. GE is now positioning itself as a digital software company entering an era that they have labeled the “Industrial Internet.”


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THE GLOBAL NEARSHORE APPROACH TO SOFTWARE INNOVATION n 1996, most large global organizations were concerned about the first wave of Internet innovations gaining a market foothold—companies with iconic names like Amazon. A mere three years later, corporate giants began to worry about the Y2K Doomsday predictions by analysts and tech experts. This period was the golden era of offshore delivery which offered very low rates for expert programmers and engineers who were able to take advantage of the recent advances in telecommunications of the time. The explosion in demand for offshore services was highly successful, yet the lower rates and cost savings also came with a price: offshore teams had to work while their American counterparts were sleeping. Interactions were greatly limited. Travel was (and still is) expensive and time consum-

ing and the time differences become problematic for immediate needs. Furthermore, during the previous few years, the U.S. government reduced the number of new work visas available to immigrants every year. Aware of the limits, Softtek crafted and then launched a new brand: Nearshore services. Softtek began offering these new services from locations in Mexico, catering to American corporations desiring more interactivity, proximity and collaboration. This new approach was also leveraging the NAFTA provisions such us special visas for temporary workers for nationals of the member countries. NAFTA also provided stronger regulations for intellectual property protection and ease of trade. The convenience for U.S. businesses to interact with Softtek engineers in Mexico during regular working hours allowed them to significantly increase productivity and therefore

further improve the total cost advantages of the new solution. Realizing that most company’s employees prefer to work close to home, Softtek expanded its concept into its Global Nearshore™ model, in which clients with global operations will always have a nearshore delivery center to serve their needs. Today, Softtek has 12 delivery centers in eight countries: the United States, Mexico, Brazil, Argentina, Costa Rica, Spain, India and China.

THE FUTURE Given the pervasive growth of technology in every industry, the increased integration of NAFTA countries, and the need to transform business operations, Softtek is poised to become the most sought-out partner to accelerate these processes. Softtek is uniquely positioned to support American companies in this transformation journey by leveraging its digital capabilities, regional understanding, latest technologies, and a growing capability across its global nearshore network.



Northeast Chapter New York, NY


he U.S.-Mexico Chamber of Commerce (USMCOC) Northeast Chapter is dedicated to promoting and facilitating business, trade and investments between the two countries. It began in 1921 in New York City and is one of the most important forums in New York for discussing the economic, business and financial relations between Mexico and the United States. Attending our events are USMCOC-NE members and non-members and a wide range of professionals: investors, investment bankers, rating agencies, fund and asset managers, consultants, legal and tax advisors, and energy and infrastructure companies. Here are highlights from a few of the chapter’s recent events.

June 16

Mexico: Mid-term Election & Results


June 17

July 27

Members of the chapter attended the exhibit “Frida Kahlo: Art, Garden, Life” which was held at the New York Bota- nical Gardens in the Bronx. Kahlo is one of the most recognized and iconic Mexi- can artists. Her artwork truly came to life at this event. The exhibit was sponsored by the Consulate General of Mexico in New York, Mexican Tourism Board and the Mexican Cultural Institute.

Chamber members joined with R. Evolucion Latina for a true Latin American Broadway experience in New York City. This unique networking event provided the perfect platform for attendees to meet and mingle with other business professionals as well as some of the most successful Latin performers on Broadway.

Frida Kahlo: Art, Garden, Life PHOTO 1 (Left to right): Daniel Bases, senior correspondent, Thomson Reuters, moderator Sean Silva, Prosek Partners; Maria Hinojosa, Host, Latino USA, National Public Radio (NPR); and Rafael de la Fuente chief Latin American Economist, UBS.

Opposition parties and civil society made their voices heard more strongly than ever before, and there was plenty of buzz about the status of Mexico as it moves forward. Political and economic analysts have shared their opinions since the election but an important set of voices have, in recent years, gained more influence within this discussion: the financial and political media.

Broadway Meets Wall Street


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August 24

August 11

Members Only Roundtable As a new initiative, USNCOCNE began hosting a bimonthly roundtable to discuss the economic and business environments of the U.S. and Mexico. The August roundtable focused on Mexico’s oil and gas sector, and the global and domestic economic challenges facing Mexico.

North American Sustainable Economic Development The initiatives of NAFTA continue to bring together the economies of the U.S., Mexico and Canada—the largest free trade agreement in the world, connecting 450 million people and producing $17 trillion worth of goods and services annually. This event focused on the trade structures in the Americas: how trade is currently conducted in the Western Hemisphere and how it continues to evolve.


September 9

September 15

This informative conversation covered legal and tax issues related to foreign professionals in the artistic and entertainment industries in New York. It was hosted by Epstein Becker & Green, P.C. Discussion topics included recommended types of sponsorships foreigners should seek out, various visa classifications, immigrant visa Green Card options, tax compliance issues for foreign nationals, tax implications when relocating to the U.S., strategies to minimize U.S. income taxes, specific issues for artists and entertainers, digital space, compliance, privacy laws and regulations.

We celebrated Mexico’s Independence day in New York City with our Young Professionals Network. The consul general of Mexico was our guest of honor. She conducted the official Grito ceremony as 400+ members of the community joined in the festivities with live mariachis.

Foreign Artistic Community in New York


September 2

Current Global Economic Uncertainty and Its Effects on Mexico’s Performance Natixis, a regional chamber member, hosted a presentation and conversation with Patrick Artus, chief economist of Natixis Global Asset Management, S.A. in their midtown offices. Artus is recognized as one of the most influential and respected economists in France.

PHOTO 2 Patrick Artus, chief economist for Natixis Global Asset Management.

PHOTO 3 Speakers: Pierre Bonnefil, partner, Epstein Becker Green; James Cassidy, senior tax director, BDO; Maia Spilman, partner, Maia Spilman LLC; and Jennifer Taler, associate, Epstein Becker & Green.

El Grito: Mexico’s Independence Day Celebration


PHOTO 4 Ambassador Sandra FuentesBerain, consul general of Mexico in New York.



Southwest Chapter Dallas, TX

International Partnering Expo


n September 30, the U.S.-Mexico Chamber of Commerce Southwest Chapter organized an International Partnering Expo where networking, partnering and opportunities for new businesses were made available to all in attendance.


The Expo was held at Sambuca, a great venue for an event that brought together people from United States, Mexico and Asia. The Chapter is grateful to Johnalee Romans of Sambuca for hosting the event.


It was a great opportunity to learn about different local business, nonprofit organizations, and other chambers. In attendance were the consul general of Mexico, Octavio Tripp, and two members of the Asian Chamber, Gal Jumaoas and David Gu.

Octavio Tripp, consul general of Mexico; Josie Orosco, executive director of USMCOC SW Chapter; and David Gu, U.S. China Chamber of Commerce, Dallas.

PHOTO 2 David Gu, U.S.-China Chamber of Commerce, Dallas giving a speech.

3 PHOTO 3 Group picture at the International Expo.


The Southwest Chapter as a whole and its director, Josie Orosco, continue to promote networking events were people can find that key opportunity for their business.



California Regional Chapter Los Angeles, CA


PHOTO 1 Consul general Alberto Limas, Consulate of Mexico in Guangzhou.

PHOTO 2 Hong Kong Trade Development Council.

PHOTO 3 Meeting with the small and medium companies (PYMES) from China in Guangdgog Province.


he United States Mexico-Chamber of Commerce California Regional Chapter organized its fourth trade mission to Asia. Past missions have been so successful that the board of directors authorized a trip to India to explore opportunities. The trade mission began in Hong Kong where the business delegates attended meetings at various locations such as Hutchinson Port Holdings, operator of one of the busiest ports in Asia, where we met Monica Charvet, the company’s marketing manager for Latin America. After that meeting we visited Cathay Pacific Cargo’s facilities to understand how merchandise travels from the U.S. or Mexico to Asia where we had the opportunity to meet with Sarah Chau, corporate communication officer at CPSL.

Later that day we visited Jimmy Chiang, director of promotions at InvestHK, a company that assists organizations wanting to set up a presence in Hong Kong.

merce and attended a presentation focused on market entry strategies delivered by Altios International and the Association of Southeast Asian Nations (ASEAN).

We also had the pleasure of meeting Alicia Buenrostro Massieu, consul general of Mexico in Hong Kong who assisted in setting up a meeting with companies that have invested in Hong Kong, and learned about the challenges for entering the Asian market.

We travelled to Mumbai and met with Anirudha Dutta, an author and analyst with Capital Group, who provided an overview of the status of the Indian market—its challenges, current economic forecast and planned initiatives, the ideas of India’s new president, Shri Pranab Mukherjee. Our experiences in India were magnificent and we learned many ways Mexico and the United States can create partnerships.

Next, we travelled to Shenzhen where we met with professionals at CWCC, a business advisory firm, and attended a presentation on exploring business opportunities in China, taxation and challenges. In Guangzhou we visited the Interceramic plant. Interceramic is a top manufacturer and distributor of ceramic tile and natural stone. One of the goals of members of delegation was to learn more about doing business in Singapore. In response, Eduardo Ramos Gomez, a partner at the law firm Duane Morris LLP, organized a seminar titled “Doing Business in Singapore: A Gateway to Asia” led by Rachel Rui Qi Choo, Akshay Kothari, and Roshini Mohan Krishnan, re- presenting Duane Morris and Selvam LLP. We also visited the Latin American Chamber of Com-


In Delhi, we visited Cinepolis, a Mexican movie company, and met with the director general Javier Sotomayor who presented an overview of the challenges the company had to overcome in the initial phases of establishing their business in Dehli and how they became a very important part of the company’s worldwide success.


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Mid-Atlantic Chapter Chicago, IL

Mexico as a Global Business Partner


ike the United States, Mexico is experiencing a major manufacturing renaissance. This resurgence may represent a significant opportunity for Illinois manufacturers. The Illinois Manufacturer’s Association (IMA) and the U.S.-Mexico Chamber of Commerce joined efforts to present a half-day conference focused on topics that IMA and chamber members indicated were important to them.

with Littler Mendelson P.C. , and Hugo Dubovoy, partner, Baker & McKenzie. Among the expansive list of topics discussed were: Mexico’s legal framework for doing business; legal aspects of transacting business with Mexican entities; how to set up operations; key issues, challenges and mistakes of doing business; the fiscal framework; new tax developments in 2015; latest news regarding electronic invoicing; VAT Certification renovation for IMMEX companies; labor law differences; and key considerations.

ing, and supplier development programs. Panelists were Diego de la Garza, senior product manager, Source One; Jeff Jorge, principle at Baker Tilly Virchow Krause, LLP; Haydn Powell, ‎global supply chain manager at Caterpillar Inc.; and Carlos Estrella, supply chain director at Navistar Inc. The panel was moderated by Richard Roche of Supply Chain Blueprint. Following the panels, participants engaged in a lively and beneficial Q&A session with knowledgeable and experienced presenters.


Amalia Rioja of Baker & McKenzie, moderated a panel on legal issues. Included on the panel were several legal and accounting experts: Scott Sneckenberger, CPA and partner with Plante Moran PLLC; Margarita Escalante, an associate with the lawfirm Miller, Canfield, Paddock and Stone, PLC; Martin Caro, Promexico; Tania Terrazas, an associate

Another panel discussed supply chain challenges, opportunities and developments in logistics and the supply chain, manufacturing advantages, infrastructure and competitiveness, sourc-

PHOTO 1-2 Mexico as a Global Business partner event. Naperville College USMCOC and IMA.



Northwest Chapter Seattle, WA

T PHOTO 1 Signing of Memorandun of Understanding: Tyler McKinzie president of The Seattle King County REALTORS and Luis Morris, president of the U.S.Mexico Chamber of Commerce NW.

he Chapter implemented a business outreach program early this year intended to inform regional business owners and federal and state government agencies about the chapter’s mission, plans and objectives. This initiative has produced positive results and has positioned the chapter as the leading ambassador of good business relations between Mexico and the U.S., helping increase the current membership. The chapter continues to grow and attract more members in the education, aerospace and industry in general.

2015 events

It has been a busy year full of events. As the year comes to an end, here is a look at some of those events and achievements.

April 30

Signing of MOU with Seattle King County Realtors


PHOTO 2 Members at the signing ceremony of the Memorandum of Understanding: L-R Arif G House, Gary Sears, Eduardo Alarcon, Claudia Bain Crowell, Jenny Hill, Luis Morris, Fernando Paz, Patti Hill, Tyler Mckinzie, Armando Medina, and Duane Dunk.

The chapter signed a Memorandum of Understanding (MOU) with the Seattle King County Realtors (SKCR), the largest real estate firm in the state of Washington, to facilitate and exchange information and to attract potential groups and individuals to the chamber. The signing of the memorandum took place during the board members’ monthly breakfast meeting in the Harberstone Dining Room on the 76th floor of the Columbia Tower in downtown Seattle. The event was attended by the Mexican consul general in Seattle, Hon. Eduardo Baca

Cuenca; director of ProMexico’s Regional Trade and Investment Commission, Fernando Paz; 2015 president of SKCR, Tyler McKinzie; SKCR president-elect, Patti Hill; Claudia Crowell, director of Business Practices; and Association International partner Jenny Hill.


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October 6

Board members meet with delegates from Jalisco Board members John Diaz and Luis Morris met with delegates of from the state of Jalisco on October 6. Patricia Talavera, coordinator for international projects, and Maria Teresa Godoy, international promotion director for Jalisco.

PHOTO 3 Recognizing CityU President Richard Carter as new Member of Our Chapter- Steven Olswang CityU Provost and Luis Morris USMCOCNW President.


June 10

Chamber welcomes new member, City University of Seattle Board members recognized the Chapter’s newest member, City University of Seattle, and its president, Richard Carter, at an event on June 10. City University of Seattle is a private nonprofit university accredited through the doctoral level. CityU has campuses all over the world including four teaching locations in Mexico.


The meeting, held at the ProMexico’s Seattle office, was hosted by regional trade commissioner Fernando Paz. The meeting included plans for the upcoming event, Cumbre de Negocios, the Chamber is jointly promoting with the commissioner which will focus on the ways Jalisco is promoting itself in this region.

The event was attended by board members Gabriela Michan, communications director; Mexican consul general in Seattle, Hon. Eduardo Baca Cuenca; ProMexico’s director of Regional Trade and Investment, Steven Olswang; CityU provost, Richard Carter; CityU president, Luis Morris; Chapter president, John Diaz; Chapter vice president Jorge Madrazo C.

PHOTO 4 Patricial Talavera Trejo, project coordinator, SEDECO; John Diaz, chapter vice president; Maria Teresa Godoy Villanueva, director of international promotion SEDECO; Luis Morris, chapter president; and Fernando Paz, PROMEXICO Regional Trade and Investment office director.


October 23

Chamber updated on Port of Seattle


The Chapter was honored with a visit from the Office of Tourism and Convention Center of Mexicali. The guest speaker was Luis Navarro, director of social responsibility for the Port of Seattle. Navarro presented information about the port and received copies of the latest report highlighting the port’s advances to ensure opportunities for all and environment protection programs.

Luis Navarro; Steven Olswang, Provost, City University; Cristian Ibarra Sicairos, general director of tourism and conventions of Mexicali (COTUCO); Martin Medina Arellano, marketing director,(COTUCO); Pablo Mendicuti, responsible for media relations for the Consulate of Mexico in Seattle; Eduardo Alarcon, USMCOCNW; Antonio Esqueda, assistant to City University Provost; John Diaz and Luis Morris of the U.S.Mexico Chamber of Commerce, NW Chapter.



Guanajuato Chapter León, Gto.


or many years, the center of Mexico, in particular the state of Guanajuato, has attracted an increasing amount of foreign investment. Among the áreas of investment are growth sectors such as automotive, agribusiness, chemicals and information technology. As a result, developing strategies and models to generate sustainable and balanced economic growth while preserving natural resources are a high priority. The Guanajuato Chapter is actively involved in the development of cleaner production strategies and efficiencies, and pollution prevention.

July 22

Second International Forum on Sustainability and Social Responsibility

PHOTO 1 Sergio Ponce, director BCPC; Tom Grávalos, CEO of Pirelli México; Octavio Villasana, mayor of León; José Zozaya, president KCS México; and Antonio Vargas, president USMCOC Guanajuato.

The Bajio Cleaner Production Center (BCPC) organized the Second International Forum on Sustainability and Social Responsibility held in Leon. The forum was attended by representatives from numerous companies including Aeroméxico, Kansas City Southern de Mexico, Coca-Cola Femsa, Global Network Resource Efficiency and Cleaner Production, Environment and Land Management Office,

and the accounting firm of Riquelme & Associates. Attendees were able to network and participate in sessions on sustainability that were a mixture of lectures, case studies and panel discussions on the trends and best practices that individuals can implement in the business world and in daily life. They learned that sustainability creates a better quality of life, more competitive and profitable companies, social development, and environmental protection.

October 12-16

World Resources Forum 2015 and Global Network Conference on Resource Efficient and Cleaner Production “It is time for global action for people and the planet.” With this sentence, the general assembly of the United Nations unveiled 17 Sustainable

Development Goals (SDGs) and 169 associated targets designed as a roadmap for sustainability to be met by 2030. The announcement was made during the Global Network Conference on Resource Efficient and Cleaner Production (RECP) October 12-16 in Davos, Switzerland. United Nations Industrial Development Organization (UNIDO), in cooperation with the United Nations Environment Programme (UNEP), hosted the RECP. It was held in conjunction with the World Resources Forum 2015. The conference brought together senior government officials, international RECP practitioners, representatives of development financial institutions, and cleaner production experts from research institutions and academia. The joint program on RECP was designed to improve resource efficiency and the environmental performance of businesses and other organizations through scaling up and mainstreaming the application of RECP methods, techniques and policies. The Bajio Cleaner Production Center (BCPC) participated in this forum to learn about the SDGs in order to generate and identify projects and activities through USMCOC Chapters.


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Pacific Chapter

Guadalajara, Jal. 1st Binational Networking USMCOC, Jalisco 2015


n October 28, the Pacific Chapter organized its first binational networking event. “USMCOC Jalisco 2015,” was held at the National Chamber of Commerce, Services and Tourism of Guadalajara. A delegation of U.S. businessmen attended Mexico Cumbre de Negocios in Guadajalara, and after the conference, the Pacific Chapter hosted an event that provided additional networking opportunities. Presenters at the event were Albert Zapanta, CEO and president of the USMCOC; Amb. Juan Sosa, general consul of Panama in Houston, TX, and president & CEO of the U.S.-Panama Business Council; Linda Caruso, U.S. commercial consul in Guadalajara; Eduardo Delgadillo, director general of Investment Projects

of the State of Jalisco; and Luis Ibarra, chapter vice president. The speakers provided an insight into business investment opportunities and alliances for different sectors. During the event, Aristóteles Sandoval, governor of the State of Jalisco was awarded a special recognition for his support and commitment to the development of binational business. Eduardo Delgadillo accepted the award on his behalf and Zapanta received an award from the Pacific Chapter for his relentless support of foreign trade development and growth.

PHOTO 1 Attendees to the 1st binational networking USMCOC, Jalisco 2015.

PHOTO 2 Albert Zapanta, CEO U.S.-Mexico Chamber of Commerce (center) receiving an award from Francisco Castellanos, president USMCOC Chapter Pacifico (left) and Christopher Bricio, VP Strategic Development USMCOC Chapter Pacifico.



Michoacán Chapter Morelia, Mich.

M PHOTO 1 Nick Ortiz, president of the USMCOC Michoacan Chapter; Minerva Mares and Enrique Corona, SEDECO Michoacán.

PHOTO 2 Mauricio Acosta, mayor of Tacambaro, Michoacan; Arq. Horacio Guerrero, director Implaneg; Nick Ortiz, president USMCOC Michoacan Chapter; Erik Guijosa, member of the USMCOC Michoacan Chapter.

ichoacán has a new governor as well as new mayors in several of the state’s cities. Members of the USMCOC Michoacán Chapter were invited to several inauguration ceremonies around the state. Morelia’s new mayor, Alfonso Martinez, was elected as an independent that fighting for position has made political history same as his peer; the Governor of Nuevo Leon, Jaime Heliodoro Rodríguez Calderón who attended his ceremony. Continuing the effort to improve the economic and safety environment in the state, Michoacán governor Silvano Aureoles Conejo, Party of the Democratic Revolution (PRD), held his first meeting with the security and justice council where members and authorities confirmed their commitment to continue the work of this civilian organization to reduce violence in the state. The new governor remarked, “I am positively impressed with the involvement of the citizens. If we work together, we will deliver good results.”

Chapter vice president elected to head State Economic Council USMCOC Michoacán Chapter vice president, Roberto Ramirez, was elected president of Michoacán’s State Economic Council after the resignation of Rafael Lopez, its previous leader. The event took place at the Association of Industrials building. State and county administrators must consult with the council on issues of economics to draft initiatives, rules and agreements. The Chamber was invited to meet with Miguel Ángel Osorio Chong, Secretary of the Interior and former governor of Hidalgo, where Ramirez’s achievements were recognized. Finally… The Chapter was a sponsor of Tercer Punto de Encuentro, an international commerce event for networking and discussions between vendors and customers.




as its first Hispanic president and a renowned global citizen brings international vision and focus to UM


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elebrating the arrival of a distinguished academic of Mexican descent to Miami is certainly a unique opportunity, but it’s even more so when this passionate advocate of knowledge accepts a new challenge in South Florida with a single idea in mind: to transform one of the main centers of study into the “The Hemispheric University” for the region. Dr. Julio José Frenk Mora took the helm as the sixth president of the University of Miami on August 16, 2015, becoming the university’s first Hispanic and native Spanish-speaking president. Frenk brings more than three decades of experience as an administrator, practitioner, policy analyst, advocate, educator, and researcher in medicine and public health care to the position. His arrival to Miami elevates the expectations of UM‘s future role in this fast-paced, growing community. “The appointment of Dr. Frenk to head the University of Miami is a clear testament that Mexico has cultivated generations of professionals that are among the most distinguished in the world in the areas of science, arts and humanities,” said José Antonio Zabalgoitia, consul general of Mexico in Miami. “We have great pride that Dr. Frenk, a Mexican with world-class recognition, was selected to lead the University of Miami into its second century.”

Interview with Dr. Julio Frenk The pride and excitement described by Ambassador Zabalgoitia is also expressed throughout the Mexican business community in south Florida. Recently, David Rosemberg, president of the Inter-American Chapter of the U.S.-Mexico Chamber of Commerce and a partner at the law firm of Broad and Cassel in Miami, and Teresa Villareal, vice president of the chapter and of Newlink Communications, had the opportunity to sit down with Frenk to discuss his recent appointment and his vision for the University of Miami. The following is an excerpt from that interview:


Q: What does it mean to you to assume the leadership of the University of Miami? A: Let me begin by stating that it is a true honor to have this opportunity to be the president of a great university such as the University of Miami. Although in my career I have held a variety of positions, there has always been a consistent thread running through all of them: my firm conviction that knowledge is the most valuable instrument that we have as humans, true knowledge that is derived from solid research and artistic creativity. It is the most powerful tool we have to make positive social change. Granted, there are other forces of social change—ignorance, exclusion and discrimination, to name a few—but if we want positive social transformation, it is solid knowledge that will put us on the path to change. As an educator, I became very aware of the unique role universities play in society as they

are the primary source of tested scientific knowledge. If we want to successfully navigate the challenges of the twenty-first century, we must arm ourselves with the knowledge that our universities generate and share through research, teaching, and artistic creation. Universities can help mold an individual’ s positive and purposeful character which is fundamental to making true social change. In a world where we see increasing intolerance, exclusion, and the exploitation of people, I think universities can provide a different and better model.

PHOTO 1 Town Hall Meeting: Sept. 10, 2015



Q: What are your principal goals for the University of Miami? A: It was evident to me since my first interview here that this university has a spirit of growth and a palpable desire for improvement. My predecessor, Dr. Donna Shalala, did an incredible job of elevating this educational institution to a level of excellence. This university is among the top two percent of 3,000 universities in the United States but it’ s a university that doesn’ t rest on its laurels; rather, the administration, faculty, and students still strive for improvement. As part of their search for a new president, the university recognized the strategic value of Miami’s geographic location as the connecting point between the U.S., Caribbean, Central America and South America. I believe that the

university was attracted to the fact that, although I completed a major portion of my career in Mexico, my professional work was always guided by an international vision and focus. I have roots in many countries and pride myself on being a global citizen. As we move further into the twenty-first century, we need global citizens who can retain connections to their national roots as well as understand the lives of citizens in other countries in this inter-connected world. One of my principal aspirations is for the University of Miami to become a hemispheric international university, located in a cosmopolitan city that holds a great university in its heart as its inspiration.


Q: How do you plan to extend the university’s footprint in Latin America? A: One of the dimensions of becoming “the hemispheric university” is that it becomes the logical university of choice for those who want to come to the United States to study. I want the reputation of this academic institution to be of

such high quality and relevance for Latin American students that UM will be the first option for students from Latin America who want to study abroad. My vision doesn’t end there. We are on the brink of a technological revolution in education and I foresee that we will


be able to use communication and information technology to create more opportunities to connect with the universities in Latin America. The model that I envision doesn’t involve the University of Miami building campuses in other countries; rather, I want us to create strategic alliances with other universities to achieve an integrated educational environment that will open doors for UM students in Latin American schools as well as attracting more Latin American students to Miami. We already have a very good proportion of students from Latin America and the Caribbean attending UM because Miami is a strategic geographic center, but we can take this to a new level. We can implement new technologies to build a great learning community that will cover the hemisphere. From there, we can connect with the rest of the world, but we must first build a strong connection between the Americas.

You arrived in Miami at a time when the U.S.-Mexico relationship has suffered moments of tension. How do you think education can contribute to alleviating some of these tensions? A: I am convinced that education and knowledge are the bridge to understanding and can serve as unifying elements. For example, the medical discoveries we make here help the entire world, not just those in the U.S., and education, as a way of creating an experience of understanding and inclusion, is an important bridge for communication. We are in an era of technological innovation and I would like this university to fill a niche for the many innovative and entrepreneurial Latin American students who need a place where they can express themselves and have access to capital and markets, as well as a regulatory climate open to the development of talent. Miami is, de facto, the hub niche where the innovative and entrepreneurial spirit of the entire region can come together. Obviously, Presi-


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dents Barack Obama and Enrique Peña Nieto understand this because, in one of their meetings, they expressed their recognition that education is a primary connector between the two countries. The relationship between the U.S. and Mexico has always been complex—being good neighbors is never easy—but I know that education creates a bridge of understanding so that will be something I will emphasize during my tenure here.

PHOTO 2 Coral Gables campus PHOTO 3 Town Hall meeting: Sept. 10, 2015 PHOTO 4 President Frenk’s first day

What suggestions do you have for increasing the participation of the corporate world in higher education? And why is it important, particularly here in Miami? A: I think the corporate sector’s link to higher education is absolutely crucial. First of all, we are members of the same community and it is in the best interest of the community to have a great university. In fact, this university was founded in 1925 at the same time the city of Coral Gables was founded. The founders of the city knew that a university was an important key element in building a modern, forward-looking city. The University of Miami was always tied to the vision of what an urban center ought to be. Given that, if I’ m a corporate leader and I’ m looking for a


place to put my headquarters, I want them to be in a place that has a great university where I can send my own children, and more importantly, a place where the community is guaranteed that the intellectual, artistic, and scientific reputation is of the highest caliber. That, itself, would be a magnet. Also, as investors in innovation—particularly when it comes to research—there is a lot that private sector companies and universities can do together. I believe there is enormous power in the partnerships between corporations and universities, and corporate sponsorship of research is a growing trend. Business and education have a symbiotic relationship. Corporations identify problems, consumer needs, challenges to innovation and provide funding to address those issues and universities are a source for solutions to those challenges. On the other hand, university-sponsored research and innovation need a way to roll out new technology. Corporations have the ability to make sure solutions reach the people who need them. I’ m a strong believer in those alliances because there are common objectives. Finally, education has always been

viewed as something that occurred during a specific period of life. You graduated and then you moved out of the academic world into the work world. That is no longer the case. Lifelong learning is not just a concept, it’ s a reality as the labor market undergoes unprecedented changes. Corporations require their workforce to add skills and learn the new cutting-edge technologies. Interactive online education is an important solution for corporations that need innovative ways to educate and retrain their own workforces. We live in a knowledge-based economy and corporations cannot succeed if they don’ t make education a high priority in their business. I’ m looking forward to exploring those connections in a very vigorous manner. And those connections, by the way, are increasingly transnational. Although we are here in Miami, our common community is the whole of the Americas so I think a lot of those partnerships can have a truly broad geographic reach.



Q: How can the U.S.-Mexico Chamber of Commerce help the University of Miami? A: The U.S.-Mexico Chamber of Commerce can help us identify opportunities to inform individuals and companies about the value and the orientation of this university. We seek partnerships with other academic and research institutions, as well as other private sector companies and community organiza-

tions throughout the Americas. The Chamber can help us spread the message that we want to build bridges between the university and business. I am grateful for this interview to help spread the word. Our membership in the Inter-American Chapter of the U.S.-Mexico Chamber of Commerce will help us develop some of those partnerships and that is something enormously valuable to this university.


About Dr. Julio Frenk

D 6

PHOTO 5 Frenk-Knaul family

PHOTO 6 Dr. Julio Frenk

r. Frenk’s father and grandfather, both physicians, fled to Mexico from Germany to escape Nazi persecution of Jews in the 1930s. Julio Frenk was born in Mexico City in 1953 and was awarded an M.D. from the National Autonomous University of Mexico (UNAM) in 1979. Over the next four years, he went on to earn three other advanced degrees from the University of Michigan: master’s in public health (M.P.H., 1981), master of arts in sociology (M.A., 1982), and joint doctorates in medical care organization and sociology (Ph.D., 1983). Additionally, the doctor has been awarded honorary doctorates from several institutions of higher learning. In 1984, Frenk became the founding director of the Centre of Public Health Research for the Mexico Ministry of Health. In 1987, he became the founding director general of Mexico’s National Institute of Public Health, a position he held until 1992. From 1995 to 1998 he served as executive vice president of the Mexican Health Foundation, a private nonprofit agency, and

director of its Centre for Health and the Economy. He was appointed executive director of Evidence and Information for Policy at the World Health Organization (WHO) in Geneva in 1998, the organization’s first unit explicitly charged with developing a scientific foundation for health policy to achieve better outcomes. Following Mexico’s 2000 election of President Vicente Fox, Frenk was appointed Minister of Health of Mexico. In that capacity he is perhaps best known for introducing Seguro Popular, a program of comprehensive national health insurance that expanded access to health care for tens of millions of previously uninsured Mexicans. After that, he was a senior fellow in the Global Health Program of the Bill & Melinda Gates Foundation where he counseled the foundation on global health issues and strategies. From 2009 to 2015, Frenk was dean of Harvard’s T.H. Chan School of Public Health and the T & G Angelopoulos Professor of Public Health and Interna-

tional Development, a joint appointment with the Harvard Kennedy School of Government. In addition to his executive and administrative roles, Frenk held several academic positions including senior researcher at the National Institute of Public Health, adjunct professor on the medical faculty of UNAM, and visiting professor at the Harvard Center for Population and Development Studies. In September 2008, Frenk received the Clinton Global Citizen Award for changing “the way practitioners and policy makers across the world think about health.”


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Secure Speed to Market By David. V. Aguilar, former commissioner of U.S. Customs and Border Protection and founding principal at Global Security Innovative Strategies


urging international trade will continue to stress customs agencies’ ability to process imports and exports, particularly at the U.S.-Mexico border. Speed to market is critical to the trade industry and our nation’s economic competitiveness. By boldly embracing technology, private industry and our government agencies will increase supply chain security, reduce paperwork, get goods to market quicker, and reduce shippers’ costs.


he recent announcement of an agreement on the Trans-Pacific Partnership assures significant changes in global trading patterns. NAFTA (North American Free Trade Agreement) has resulted in the tripling of U.S. trade with Canada and Mexico over the past 20 years. This new free-trade agreement reduces commercial barriers among 12 nations— including the United States and Mexico—that collectively account for 36 percent of the world’s gross domestic product. This agreement will likely generate another enormous surge in trade and promote additional economic growth and competitiveness. Increasing trade inevitably means more congestion at our maritime ports and commercial crossings along the U.S.-Mexico border as trade requirements outpace physical infrastructure. Case in point: there has been no new rail line built between our two nations in over a century. This

means we must find other ways to safeguard secure speed to market, moving commerce quickly and efficiently while ensuring the security of global supply chains. Technology is the answer. We know how it has transformed and continues to transform business processes. We need to embrace technology and harness it to ensure the security of international trade, enable customs agencies to manage the supply chain, and reduce the costs of doing business for exporters and importers. Both the U.S. and the Mexican customs agencies, U.S. Customs and Border Protection (CBP) and the Mexico tax authority (SAT), have made a good head start. Programs such as the Container Security Initiative, Customs-Trade Partnership against Terrorism (C-TPAT), and NEEC (Nuevo Esquema de Empresas Certificadas, the New [Plan] for Certified Companies) are well

established and have proven that they offer a good return on investments in security. This is critical: if a new program does not positively affect the bottom line, there is little incentive for industry to embrace it. Customs agencies everywhere must develop security programs that simultaneously reduce the cost of doing business. CBP and SAT have the dual missions of protecting both national security and economic security. These two agencies must ensure the integrity and security of our two countries’ borders and the global supply chain through effective enforcement. Their challenge is to transform trade processes by adopting innovative technologies and processes that lead to increased transparency and predictability. By expanding partnerships with the trade industry, they can enhance security and efficiency within the global supply chain.


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Securing the Supply Chain

Automating Admissibility



ust over 50 years ago the world was introduced to the “ box that changed the world”— the shipping container. The container transformed the shipping industry from inefficient break bulk cargo to shipping by standardized containers. The chaotic process of stuffing, staging, loading, tracking, unloading, and securing cargo throughout the supply chain was tremendously streamlined. Efficiency gains were exponential, trade volume dramatically increased, costs were reduced, and markets expanded. In today’s world, for reasons well known to all, we must ensure our international supply chains are secure. CBP does an extremely good job of protecting our supply chain through sophisticated assessment and targeting programs based on data analytics. Containers are approved for shipment to the U.S. before shipment from foreign ports and door seals are the industry standard for securing containers within the supply

chain. Despite these efforts, containers are still vulnerable to hard-to-detect breaching. Through the use of technology we can once again change the“ box that changed the world.” Our firm, Global Security - Innovative Strategies (GSIS), has supported AT&T in developing a container security device that detects breaches of containers anywhere within the supply chain through the use of exterior and internal sensors. Together with CBP’s assessment and targeting capabilities, this technology exponentially increases container security and confidence in the integrity of the supply chain. We can create a virtual sterile corridor, thereby increasing speed to market.

lobal commerce involves hundreds of different types of forms and numerous agencies in multiple countries. The system is time-consuming and costly for government agencies and private stakeholders. Within the United States, more than 45 federal agencies are involved in international trade. CBP must ensure all their requirements are fully complied with by importers and exporters.

will be one common set of integrated data elements used by the entire U.S. government for any import or export transaction which will reduce redundancy, lower costs, and increase predictability for importers, exporters, and the government. SAT and customs agencies from other key U.S. trading partners are simultaneously developing electronic filing systems with processes that will be able to interface with each other.

For these reasons, CBP has been developing the Automated Commercial Environment (ACE) as the foundation for the U.S. Single Window. Its purpose is to allow traders to submit all import, export, and transit information required by regulatory agencies via a single electronic gateway. This eliminates the need to submit and process the same information numerous times by different government entities—some of which are automated while others still rely heavily on paper based processes.

When machine-to-machine analytical systems and greater in-transit visibility of container integrity are combined, there is enormous potential for cargo to move more quickly and more securely from point of origin to point of destination. Embracing the opportunity to work with the world’s customs agencies to develop global practices and standards will ultimately benefit the trade industry’s bottom line. The world’s customs agencies and the trade industry must affirmatively embrace technology as a solution to the challenges of world trade in the 21st century.

When the system is fully implemented in late 2016, there



The Rise of the Internet of Value (IoV) What blockchains1 mean to Mexico’s innovation


exico—like Singapore and Dubai—is actively investing in innovation acceleration programs and incentives, including public-private partnerships (PPP), as a way to set the foundation for the next wave of economic growth and job creation. While most people are familiar with the wave of innovation and startups leveraging mobile commerce (e.g., ApplePay, Starbucks), social networking (e.g., Instagram, Twitter, Facebook), cloud computing (e.g., Amazon Web services, and the sharing economy (e.g., AirBnB, Uber), few are aware of the disruptive power of a new wave of digital

capabilities enabled by cryptocurrencies (e.g., Bitcoin) and its underlying distributed ledger technology, blockchain. The potential for transformation in both private and public arenas is so important that since the blockchain emerged in 2009, we’ve witnessed the creation of over 800 cryptocurrency/ledger startups and the investment of over $1 billion in the form of venture capital funding. Marc Andreesen, the famous Silicon Valley venture capitalist, is one of the earliest and most supportive investors. Simply put, the blockchain is a distributed ledger system across millions of nodes; imag-

Mexico is actively investing in innovation acceleration programs and incentives to set the foundation for the next wave of economic growth and job creation. The success of such programs depends to a large extent on where the focus (capital, human and policy) is placed. Mexico has a unique opportunity to capitalize on blockchain capabilities to streamline government services, create new private sector jobs and empower its citizens. By Philip Farah, managing director, Blue Orange Innovations

ine a list of transactions copied onto millions of computers around the globe. Every time someone buys a new car or transfers money to another, a new transaction is added to the ledger and added to all copies of this ledger worldwide making it nearly impossible for anyone to add false entries to the system. Most importantly, the system is self-policed without the need for a third party like a bank, custodian or escrow agency to monitor it.


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The applications enabled by the blockchain are numerous and include several that should be of interest to corporations and the government in Mexico: Cheap and reliable remittances (cross-border payments) Low fees payment system for e-commerce and m-commerce (mobile commerce) Reliable and transparent way for the government to distribute social payments Provision of financial services to the unbanked Efficient registry for all forms of assets from homes and cars to designer bags

These are only a few examples intended to provide a sense of the breadth of potential applications2. The success of any innovation program depends to a large extent on where the focus (capital, human and policy) is placed. Mexico has a unique opportunity to capitalize on blockchain capabilities and in doing so, can streamline government services, create new private sector jobs, and empower its citizens

Reliable asset-tracking mechanism for transportation, energy and manufacturing companies Peer-to-peer crowdfunding for startups and small - and medium - businesses (SMBs)

In October 2014, Mercado Libre Mexico, a Mexican eBay subsidiary and Mexico’s largest e-commerce platform with over 100 million users and seven million unique sellers, began to accept bitcoin payments. Other companies such as Volabit and Pademobile are accepting bitcoin for utility and phone bill payments although the Bank of Mexico has issued a restriction on financial institutions in dealing directly in Bitcoin.

Intellectual property monetization and content sharing mechanism for private sector and universities Mechanism for the creation of straightforward, self-enforcing contracts

1. The blockchain is a public ledger of all transactions in the Bitcoin network. allows you to navigate the bitcoin blockchain. We also operate Bitcoin’s largest and most secure wallet service. 2. Visit for a comprehensive list and descriptions of potential applications.

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CYBERSECURITY RISK AND RESILIENCE: CHANGING THE MINDSET By Eduardo Cabrera, Vice President of Cybersecurity Strategy, Trend Micro


uccessful cyberattacks have been all over the headlines in recent years and the problem is only gaining momentum. Even with the high-profile nature of today’s cybersecurity risks, a fundamental problem organizations must remedy is the lack of an effective and comprehensive enterprise risk-management strategy to combat those risks. In fact, according to the 2014 Global Information Security Survey, 56 percent

of organizations are unlikely to detect a sophisticated cyberattack. Additionally, 74 percent say their cybersecurity programs only partially meet their needs,with 37 percent having no real-time insight whatsoever. For far too long, cybersecurity has been considered as simply an IT problem. Security experts have measured success on the volume of malware detected and


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blocked, not how an organization responds to the threats that matter. Many organizations have taken a one-sizefits-all approach to security incidents regardless of who is attacking, how they work, or what they are after. Even in the face of weekly, if not daily, reports of cyber attacks and data breaches across all sectors, there is a pervasive institutional failure to grasp the threats faced and the attackers behind them. Only by truly understanding what allows the criminals to succeed can an organization begin to develop and deploy resilient risk-management strategies.

Today, advanced threat actors share common methods to achieve their goals regardless of their motivation whether it is hacktivism, cyber espionage, or cybercrime. Data breach analysis shows that all targetedattacks develop in stages. The pre-attack planning and intelligence gathering stage can take weeks or months; however, the initial compromise takes only minutes or seconds through social engineering or user exploitation. The latter and most lethal stages can take months if not years to develop and worse yet, detect.

The famous Prussian general, Carl Philipp Gottfried von Clausewitz, wrote in the early 19th century: “ All war presupposes human weakness and seeks to exploit it.” As in war, the human factor is the weak link that all threat actors, regardless of their category, seek to take advantage of.



Combatting threats

Cybersecurity Best Practices

Known as cyber resilience, business executives are beginning to acknowledge their strategies for handling cybersecurity issues must evolve. A cyber resilience program (CRP) encompasses the ideas of defense and prevention, but goes well beyond to emphasize response and resilience in moments of crisis. Key aspects of any successful CRP include:

While the majority of cyberattacks require little skill to execute, they do require an advanced, persistent response—a coordinated and well-resourced strategy that combines advanced threat protection and detection tools and techniques, with improved staff training. With the average cost of a targeted attack now $5.9 million, according to the Trend Micro Ponemon Report, businesses’ advanced planning and investment will be worth it.

Define Business Risks: Focus attention on strategic and operational business outcomes. In the event of a cyberattack, what consequences can the business survive? What will collapse the company? This will tell leaders what they cannot lose and where they need to invest time and resources. Develop a Cyber Risk Management Plan: A proactive plan must be put into place to mitigate and remediate targeted threats and vulnerabilities as they appear. Critical to speeding up protection and detection against advanced threats is integrating actionable threat intelligence pre- and post-breach throughout all security layers. Outline a Cyber Recovery Plan: What will the business do to ensure prioritization, agility and adaptability when a successful cyberattack occurs? The plan needs to be specific, comprehensive and rigorous. Additionally, no good plan can be perfect until it is practiced. Be sure to put the recovery plan in action on a regular basis to ensure that it’s the right approach. Gone are the days of expecting businesses to remain secure without putting in place additional cybersecurity and preventative measures. Business leaders need to expect and anticipate cyber breaches, and a plan to minimize reputational, financial and operational impact.

In addition to a comprehensive CRP, a few best practices that can guide every executive in protecting their business more effectively include: Deploying anti-malware security tools with Web reputation to protect against malware attacks. Deploying file and system integrity monitoring across the enterprise. Using network, cloud, and host based IDS/IPS tools to shield unpatched vulnerabilities. Using stateful firewalls to provide a customizable perimeter around servers. Logging inspections to identify and report important security events. Implementing an employee cybersecurity training program, and requiring staff to use strong passwords.

Evolving Cybersecurity is, and will remain, an evolution. Every business is on their own journey along the maturity curve. Decision makers must evaluate their place along that curve based on their perceptions of risks and the controls they need to put in place. At the same time, organizations must rethink and analyze their current strategies to better discover and respond to incidents. By implementing comprehensive security plans, organizations can effectively combat cyber risks and safeguard their business from today’s sophisticated attacks.

Eduardo Cabrera, vicepresident of Cybersecurity Strategy, Trend Micro, is responsible for analyzing emerging cyber threats to develop innovative and resilient enterprise risk management strategies for Fortune 500 clients and strategic partners. Before joining Trend Micro, he was a 20-year veteran and former CISO of the United States Secret Service with experience leading information security, cyber investigative, and protective programs in support of the Secret Service integrated mission.



WHY AREN’T OUR CURRENT CYBER DEFENSES ENOUGH? “There are numerous, quality firms providing cyber defenses and firewalls to global corporations. However, we need to add a critical addition to our current defenses – people! The following Op-Ed was written by three of our nation’s best subject matter experts. I have the privilege of being the Chairman and CEO of their parent company”. Joseph J. Grano, Jr. Chairman & CEO of root9B Technologies, Inc.


hat do J.P. Morgan Chase, Target, Home Depot and Sony have in common? The answer is despite spending hundreds of millions of dollars to secure their networks, each of them were victims of nefarious hackers. They are examples of the omi-nous, new threat facing our country and our private sector institutions.

Nation-State cyber adversaries are executing strategic targe-ting of networks and systems critical to the security and economy of the United States. Our Nation and its regulatory leadership must recognize that both current and new cyber policy will not protect companies, shareholders, depositories or critical infrastructure. We must change our approach.


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Recent events suggest that corporate America is responding to legally driven cyber security adherence, e.g. PCI Compliance. While any defense process to stem the wave of attacks is favorable, our nation must come to grips with the fact that our adversary is utilizing military grade offensive measures against a civilian defense posture. Can we really expect an academically trained citizen to engage a Nation State actor in what has now been officially deemed a domain of warfare? Our Nation’s Cyber-defenders are currently equipped with automated and passive technologies and are being asked to defend against a sophisticated and dynamic human adversary. Traditional passive cybersecurity strategies will continue to fall short against these advanced adversaries. There must be a defense-in-depth strategy and a paradigm shift to train and equip defenders to execute active cyber defense and adversarial pursuit (HUNT). This new strategy places a human defender against a human adversary, supported by both au-

tomated and active capabilities to hunt advanced adversaries within proprietary networks.

ABOUT THE AUTHORS: Eric Hipkins is the founder and Chief Executive Officer of root9B. Mr. Hipkins is an accomplished cyber and intelligence professional with over 25 years of specialty experience in advanced cyber and technical intelligence operations. Mr. Hipkins is a military veteran with extensive experience across the Department of Defense and commercial community.

25 years of diverse experience within the cryptologic and intelligence community as both a member of the U.S. Military, and as a senior executive for NSA.

John Harbaugh is the Chief Operating Officer of root9B. Mr. Harbaugh has more than

Cybersecurity, specifically network defense, requires multiple layers of complex, integrated, and simultaneous functions responsible for ensuring infrastructure security against exploitation, denial of service attacks, and intelligence operations. As evidenced by the recent breaches within the financial and retail markets, traditional network defense efforts are unable to keep pace with the exponential increase in malicious cyber activity. Realizing this, the cybersecurity community must make a significant move to meet the challenges of today’s sophisticated and targeted network attacks. Traditionally, cyber defense teams react to intrusions with passive mechanisms and antiquated processes focused on containment, cleanup, and recovery. For example, after a network compromise is uncovered, a series of standard operating procedures are executed

Mike Morris is the Chief Technology Officer of root9B. Mr. Morris has over 13 years of experience in intelligence operations. Mike is the chief architect behind the design and integration of root9B’s Active Adversarial Pursuit platform, and has been an integral member for shifting the nation’s prospective on cybersecurity.

post-incident to secure the host and avoid network degradation or data loss. However, often unintended consequences occur when these actions alert attackers to their discovery and result in more complex techniques being employed by the adversary. While this approach may thwart the specific detected network breach, the reactive nature of this strategy ignores overarching vulnerabilities and the likelihood of a larger network compromise. Network security through passive mechanisms is no longer a guarantee and there must be a paradigm shift in cyber defense strategies to include proprietary network active pursuit and adversary engagement. This starts with training defenders to understand an attacker’s mindset, tactics, tendencies, and exploitation strategies. In addition to our traditional KYC or know your customer mantra, we must add a KYA mantra, know your attacker! Equipped with this knowledge, cyber defenders must then be provided the tools to conduct real-time

ABOUT THE COMPANY: Root9B is a leading provider of advanced cybersecurity services and training for commercial and government clients. The company is based in Colorado Springs, CO, and has built the most advanced team of certified cyber network operators and security specialists, focused on advanced adversary pursuit.

defensive operations to mitigate vulnerabilities, counter threats, and detect unknown intrusions. The solution will not be found in an intrusion detection system (IDS), a sturdier firewall, or anti-virus products. The game changer in the next phase of cyber defense is executing interactive cyber operations and proactively searching for an adversary. Network defenders need to be equipped with a unique toolset, based on advanced capabilities, and trained to execute operations within proprietary networks. Equipped with technical capabilities and real world expertise, network defenders can function as an enterprise-wide interactive unit to deter threats as part of a more comprehensive defensive network posture. The bottom-line is that deterrence, which should be the ultimate goal of a defensive strategy, will not be achieved through reactionary response. The community must answer the adversary’s sophisticated and agile ability to target and compromise critical networks with equally sophisticated and agile defensive capabilities.



E-COMMERCE TRENDS AND THE OUTLOOK FOR MEXICO By Juan Carlos García, Country Manager, Amazon Mexico

The e-commerce sector has grown by 34 percent since 2014, the fastest growth of any industry in all Latin America. The growth has been driven by the dramatic increase in the use of smart phones and a strong consumer appetite for online and mobile shopping. This article looks at some of the opportunities available to Mexican businesses and consumers and how Amazon is contributing to that expansion.


n the past few years, Mexico has seen tremendous growth in e-commerce, expanding from $ 9.2 billion in 2013 to $12.2 billion in 2014, a 34 percent increase, according to the Mexican Internet Association (AMIPCI). eMarketer, an independent market research company, noted that Mexico is the second largest e-commerce market in Latin America—and the fastest growing due to increased Internet access through broadband connections and smart phones, a stable economy, and the close proximity to the United States. The fast growth in e-commerce prompted Amazon to launch a physical goods store on the website,, as part of their international expansion. The site has more products and product categories than any other launch in the history of the company, including the millions of products that are sold by Amazon from other international locations.

The latest AMIPCI e-commerce study, “E-commerce in Mexico 2015,” states that three out of four Internet users made an online purchase in the first quarter of 2015. When considering the growth of mobile Internet usage, local businesses must have strategies to build an online presence and maximize the opportunities this technology can provide. This approach must understand the hi-tech infrastructure in order to list their products online, provide payment options over a secured network, process orders, and prepare items for shipment in a timely fashion. Having great products to sell is not enough. Considering this, Amazon also opened its Selling on Amazon platform during its launch in Mexico. This option allows businesses of all sizes to sell goods on Amazon. and offer Mexican consumers millions of additional products, giving customers more of what they want.


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Amazon delivers to 99 percent of the Mexican territory and offers shipping options according to customer needs and budget.

In order to make the whole process of selling on Amazon more convenient for Mexican sellers, the company also provides the Fulfillment by Amazon solution. This handles all the logistics of picking, storing, packing and delivering products 24 hours a day, seven days a week, and includes Amazon’s award-winning customer service on behalf of the seller. Mexico is a large country so ensuring customers can shop from anywhere can be viewed as a challenge but being able to purchase products online that are not usually available locally is without a doubt another big advantage of e-commerce. Amazon delivers to 99 percent of the Mexican territory and offers shipping options according to customer needs and budget, from next day delivery to locations in major cities to free shipping on selected purchases.

When venturing into a new market whether it’s a continent, a country, a city or even a single location, it is important to understand the purchasing patterns of customers in that particular locale and make sure to provide the right functionality to match their shopping preferences. A clear example of this for e-commerce in Mexico is adjusting to the much lower use of credit cards in that country, much lower than other countries. When Amazon expanded its presence in the country, it was necessary to work with financial institutions to make sure debit cards were processed properly as they are used much more in Mexico than credit cards are, and that the shopping experience continued to be seamless and secure for consumers. It was a big accomplishment and an example of how you need to consider the particular business environment when opening or growing a business.

For those who do shop with credit cards, Amazon has enabled interest-free monthly installments with the vast majority of credit cards in the market. This preferred form of payment in Mexico accounts for a large percentage of big ticket transactions in the country. In addition, considering that many Mexican customers in urban areas are away from home during parts of the day, lets customers pick up their purchases at hundreds of pickup locations across Mexico. Further growth of e-commerce in Mexico depends on availability of the infrastructure necessary to support it including access to broadband Internet, capabilities for online payment, and guaranteeing security of personal information. Amazon’s 20-plus years of experience in e-commerce has allowed the company to perfect the data security infrastructure to keep customers’ personal information safe.

In conclusion, e-commerce in Mexico will continue to grow. Euromonitor International, a provider of independent market research, reported that Mexico’s e-commerce growth will be the highest of the entire Latin America region. Amazon and other e-commerce businesses are expanding their presence in the country and will continue to serve a growing number of the country’s online customers, providing the best possible prices on a vast selection of products, convenient delivery and a secure platform. Companies wanting to take advantage of these opportunities must recognize the challenges and establishing an online presence requires a lot of work from a qualified team of professionals, proprietary technology, and a logistics network to make sure customers have great shopping experiences—the key driver for additional growth in e-commerce.



All prosperity is local By Ambassador Roger F. Noriega, Visiting Fellow, American Enterprise Institute for Public Policy Research


he economic benefits of free trade among nations is very clear. Within the Western Hemisphere, freer trade and free market policies have helped pull 70 million people out of poverty and expanded the middle-class by 50 percent. However, it is clearer than ever that there is no substitute for national policies that promote free market growth and extend economic opportunity to people from all walks of life. Those of us who are close to the free trade success story in North America are convinced by the data. Intra-NAFTA trade has more than tripled in 20 years, exceeding $1 trillion today. U.S.-Mexico twoway trade accounts for half of that, $530 billion—up from just $80 billion before NAFTA— which makes Mexico our third largest trade partner. Like most trade agreements, NAFTA also tilled the ground for direct investment. U.S. investment accounts for about half of all of Mexico’s foreign direct investment (FDI) in the

last 15 years, and Mexico’s multinationals have interests in 40 of our 50 states. The hope is that the new Trans Pacific Partnership (TPP) which is made up of countries that comprise 40 percent of the world’s economic output, will be the engine for continued global growth. In spite of the global financial crisis, we remain believers in a rulesbased trading system; however, recent news from this hemisphere suggests that economies are losing momentum. According to the Economic Commission for Latin America and the Caribbean (ECLAC) in 2015, the South American economy will contract by 0.4 per cent. Setting aside the impending collapse in Venezuela, economic growth has slowed in the giant economies of Brazil which will shrink by nearly 3 percent, and Mexico whose 2.4 percent growth is half what it was just five years ago. All of the Andean states, plus Chile, have slowed down appre-

ciably in the last 18 months, with Ecuador slipping into a recession this year. In Central America, the economies of El Salvador, Guatemala and Honduras are foundering. Of course, much of this bad economic news can be attributed to the steep decline in the demand by China for commodities and the accompanying precipitous drop in oil prices, but the over-dependence by Latin America on commodities prices underscores the other explanation for the economic downturn: the failure of regional policy makers to modernize their economies to make them more competitive and less dependent on China demand. Trade policy makers in Washington are already saying that the Trans Pacific Partnership (TPP) will be the last such initiative for years to come. Instead, they urge national leaders to focus their energy on retooling their economies to make them more competitive and efficient.

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Roger F. Noriega is a former senior U.S. Department of State official, a visiting fellow at the American Enterprise Institute, and managing director of Vision Americas LLC, which represents U.S. and foreign clients.

Nine short years ago, we adopted the Central American Free Trade Agreement (CAFTA) to secure market access and fuel long-term economic growth. Unfortunately for our CAFTA partners, transnational organized crime has ruined these plans by corrupting their institutions and destabilizing their economies. Honduras and El Salvador are less competitive than they were before CAFTA. Most local businesses there are struggling to survive, so few have the luxury of tapping the potential benefits of international trade. Mexico’s President Enrique Peña Nieto has been credited by foreign observers for emphasizing economic modernization of his country including in the energy sector but he let down his guard to organized crime that continues to overwhelm institutions and sow corruption in many parts of the country. As a result, his central reform— allowing private involvement in the energy sector—has lost

some momentum, as doing business in Mexico is as complicated as ever. Brazil slipped into recession nearly two years ago and it is not expected to recover for several years. The kickback scandal involving the stateowned oil company, Petrobras, is widely perceived as the proximate cause of the political crisis there; however, President Dilma Rousseff’s failing economic program is a contributing factor. Rousseff relied on lavish social spending—even though it meant milking Petrobras of capital that it needed to sustain exploration, production and profitability. Even worse, Rousseff failed to adopt badly needed reforms, including improving government efficiency and accountability; taming costly public pensions; simplifying the labyrinthine federal and state tax systems; liberalizing the labor code; removing regulatory obstacles to doing business; and attracting foreign capital and technology into the promising energy sector.

These examples show that trade agreements and even trade itself are no substitute for internal reforms that protect and promote economic freedom; incentivize entrepreneurship; reduce taxes and regulation on the productive sectors of the economy; and empower job creators as well as workers. These domestic policies will help countries build more mature economies, create better jobs, increase productivity, and cultivate healthier internal markets. So, as we ponder an economic agenda for this new century, there is simply no substitute for local leaders making the hard choices to modernize their economies and strengthen their institutions. Intelligent decisions by national leaders will make their people more capable of taking advantage of global trade but less vulnerable to external crises.



KPMG ADDING VALUE Through its audit, tax, and advisory services, KPMG member firms help organizations manage risk, improve performance, and comply with domestic and international regulatory frameworks.

KPMG in the U.S. and in Mexico are member firms of KPMG International, a global network of independent firms located in 155 countries that jointly employ more than 162,000 people working in member firms around the world. Membership in this network provides access to resources and perspectives that can help organizations meet the challenges of operating in today’s complex and global business environment.


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Global mindset, local experience. KPMG in Mexico has been offering advice to domestic and multinational clients for more than six decades through 18 offices strategically located in cities with the highest impact on the country’s economy. More than 2,800 professionals provide high-value services while contributing to their clients’ growth. KPMG in Mexico has a close working relationship with KPMG in the U.S., which operates in 82

U.S. cities with nearly 23,000 partners and staff. KPMG’s industry focus helps its professionals develop a rich understanding of clients’ businesses and the insight, skills, and resources required.

Forward thinking, opening new windows of opportunity. As a global network of member firms, KPMG builds on its long-standing success tra-


dition thanks to a clear vision, strictly observed values and its people—high performing and passionate professionals that help deliver informed perspectives and clear insights that clients value. In fact, 74 percent of the world’s leading companies receive some type of advice from KPMG firms.

advantage of the opportunities in their sectors, as well as strengthen their enterprises by using expertise and insight to help attain their business objectives.

In today’s increasingly complex world, markets and systems are more interconnected than ever and organizations must learn to face uncertainty, be innovative and adapt to changing realities, all the while encountering and pursing new market opportunities. KPMG member firms help companies take full

KPMG seeks to turn knowledge into value for the benefit of clients, its professionals, and the capital markets, by delivering informed perspectives and clear methodologies. Its service offerings are divided into three major functions.

Our Data & Analytics (D&A) capabilities are transforming how KPMG performs an audit. Using D&A enhances audit quality offering potential for a more robust understanding of an organization and its financial performance, control environment and operational concerns. Coupling this with the resources of other KPMG professionals in areas such as forensics, tax, and information risk management, KPMG’s D&A-powered audit is setting a new benchmark for audit quality and effectiveness.


Tax and Legal Services.

KPMG’s approach is to deliver a quality audit that is risk-based, industry-specific, and tailored to an organization’s particular operational structure and size. A KPMG quality audit is supported by the application of proprietary technology and led by experienced professionals who combine technical acumen and a proactive working style. To each engagement, KPMG brings a consistent global service methodology designed to meet the high quality expectations of KPMG and the capital markets they serve.

KPMG member firms help organizations remain compliant with their tax, state, federal, and international obligations through advisory, planning, legal advice, and compliance services strictly within the legal framework.

Advisory. Organizations face risk mainly in the following areas: technology and performance, and risk and regulatory compliance, as well as transactions and restructuring. KPMG works to help companies in the process of transforming their organizations and/or balancing cash flow-cost, investment and profits, as well as control and transparency strategies.

© 2015 KPMG International Cooperative (“KPMG International”), a Swiss entity. Member firms of the KPMG network of independent firms are affiliated with KPMG International. KPMG International provides no client services. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. All rights reserved. (Printed in the United States) NDPPS 509699 The KPMG name, logo and “cutting through complexity” are registered trademarks or trademarks of KPMG International.







Inter-American Chapter. Miami, FL.

Encuentro Entre Mexicanos


Mexican Consulate in Miami

Inter-American Chapter. Miami, FL.

Posadas - A Cultural Tradition / Cultural Event and Reception


Mexican Cultural Institute

Inter-American Chapter. Miami, FL.

Reception for Consul Juan Sabines Guerrero


Broad & Cassel, Orlando, FL

Member´s Mixer


Chapter Office

Member Apreciation


Strassburger, CTR

Members Holliday Dinner



Gabriela Michan (206)240-7309



Chapter Office




For Further Information

Michoacan Chapter, Morelia, Michoacan.

Southwest Chapter. Dallas, TX. Northwest Chapter - Seattle, WA

Michoacan Chapter, Morelia, Michoacan.

For Further Information

JANUARY Chapter Michoacan Chapter, Morelia, Michoacan.

Member´s Mixer


Chapter Office

Michoacan Chapter, Morelia, Michoacan.

Rosca de Reyes


Chapter Office

Members Networking Breakfast


1800 Century Park East Suite 400, Los Angeles, CA 90067

Board Members Meeting / Board Elections


DLA Piper Columbia Tower

Gabriela Michan (206)240-7309

The Econmic Outlook for Mexico in 2016/ Panel discussion.



California Regional Chapter

Press and Media Presentation plans for 2015 and agenda


1800 Century Park East Suite 400, Los Angeles, CA 90067

California Regional Chapter

Mezcal and Social Nights at the Chamber


Frida’s Mexican Restaurant

Automotive Logistics 2016


Mexico City

California Regional Chapter. Los Angeles, CA. Northwest Chapter - Seattle, WA Inter-American Chapter. Miami, FL.

Binational Office





For Further Information

Eight Celebration of the International Trade Community in Los Angeles”. Consulate of Mexico in Los Angeles


Consulate of Mexico in Los Angeles. 2401 West 6th Street, Los Angeles, CA.

Member´s Mixer


Chapter Office

Inter-American Chapter. Miami, FL.

New Rules in Banking Trade and Investment



California Regional Chapter. Los Angeles, CA.

Mezcal and Social Nights at the Chamber


Frida’s Mexican Restaurant

California Regional Chapter. Los Angeles, CA.

17 Annual Mexico Economic Review and Political Outlook 2016


Luxe Hotel.11461 Sunset Blvd, Los Angeles, CA 90049




For Further Information

Member´s Mixer


Chapter Office

California Regional Chapter. Los Angeles, CA.

Board Member’s Meeting Port of Los Angeles and Tour


Port of Los Angeles

California Regional Chapter. Los Angeles, CA.

US-Mexico Real Estate Investment Summit 2015



California Regional Chapter. Los Angeles, CA.

Mezcal and Social Nights at the Chamber


Frida’s Mexican Restaurant

California Regional Chapter. Los Angeles, CA. Michoacan Chapter, Morelia, Michoacan.

MARCH Chapter Michoacan Chapter, Morelia, Michoacan.



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Advertorial / Publirreportaje

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BINATIONAL MEMBERS Andrews International Company Sector: Security Solutions. Specialized Services, Consulting and Investigation. Baker Tilly Sector: Accounting and advisory firm Bi-Link Sector: Prototyping, Injection Molding & Metal Stamping Estafeta USA Inc. Sector: Air freight, Logistic Services, Shipping HSBC Bank USA Sector: Banking services Zebra Technology Corporation Sector: Tracking and Printing Technology

New members to the United States-Mexico Chamber of Commerce INTER-AMERICAN CHAPTER MIAMI, FL


Broad and Cassel Sector: Attorneys at Law

Commercial Collection Consultants Sector: Commercial Collection Consult

Florida Global University Sector: Academic Institution

Metrocare Services Sector: Healthcare

ITESM Sector: Education

Lubin’s Discount Beauty Supplies & General Merchandise Sector: Beauty Supplies

Pivotal Payments Sector: Merchant Services

Materiales Vafer Sector: Construction

MiamiBiz Kids Sector: Educational/Entrpreneurial Nardello & Co. Sector: Global Investigations Ryder System, Inc. Sector: Transportation & Supply Chain Management Company

NORTHEAST CHAPTER NEW YORK, NY Beck Global Consulting Sector: Consulting Services Doctors & Doctors Sector: Communications Eurochem International Corporation Sector: Pharmaceuticals Globecomm Systems Inc. Sector: Communications King & Spalding Sector: Legal Services

St. Thomas University Sector: Academic Institution T-Mobile Sector: Cellular Phones The Ballet Boutique Company Sector: Dancewear Boutique TOTALBANK Sector: Banking, Investment TRICorporation Sector: Experiential Leadership and Simulation Programs

MID-AMERICA CHAPTER CHICAGO, IL Baker Tilly Sector: Consulting Bi-Link Sector: Industrial manufacturing Zebra Technologies Sector: Industrial

VALLE DE MEXICO MEXICO, D.F. Telecontrol, S. A. DE C. V. Sector: Telecomunications.

Hotel Virrey de Mendoza Sector: Hospitality Instituto Tecnologico Superior de Patzcuaro Sector: Education

Mezcal Palomas Mensajeras Sector: Food Mezcalmania Sector: Food Michoacan Motors Sector: Automotive Ortega, S.C. Sector: Services Pasion por Michoacan Sector: Merchandize Productos Electromecanicos Sector: Merchandize Rincones De Michoacan Sector: Merchandize Rojo Shiraz Sector: Food Seguros El Potosi Sector: Insurance


Solana Contadores Sector: Accounting Services

La Rosa del Monte Sector: Transportation Services

University of Miami School of Business Administration Sector: Academic Institution

Andrade Abogados Sector: Law & Legal Services

Suites Campestre Sector: Hospitality

Caba Grupo Inmobiliario Sector: Construction

UBAC Sector: Healthcare

MD Power Inc. Sector: Manufacturing

William Margolis Sector: Financial Investment

CODEPYME Sector: Services

Uni-K Construcciones Sector: Construction


Consejo Michocan para la Competitividad Sector: Services

Estafeta USA Inc. Sector: Air freight, Logistic Services, Shipping

Facultad de Ciencias Medicas y Biologicas Sector: Education

Farmers Insurance Agent Sector: Insurance

Galeria studio Sector: Services

Murguia Sector: Real Estate Development Secure Legal Title Sector: Legal Services Sullivan & Cromwell Sector: Legal Services


Norma Chavez / Dilbeck Real Estates Sector: Real State

Metalizadora Aport Sector: Services

Trade Finance Solutions Inc. Sector: Finance

Consejo Economico para Michoacan Sector: Services

Gran Mezcal Sector: Food Hotel Campanario de San Juan Sector: Hospitality Hotel Casa Maria Eugenia Sector: Hospitality Hotel Marcella y Mansion Mijashe Sector: Hospitality

Urbe diseño y Planeación Urbana Sector: Construction

HOUSTON THE WOODLANDS GULF COST CHAPTER HOUSTON, TX Karen Murcia Individual Membership Lions Gate Realty Sector: Real Estate Mass Mutual Sector: Financial Tax Free Shopping Sector: Retail University of St. Thomas (Cameron School of Business) Sector: Education

Consult your regional chapter to obtain discounts. VALLE DE MÉXICO CHAPTER Mexico City - Hotel Holiday Inn Cd. De Mexico Trade Center - Ostar Hotel Group: Generve Hotel in Mexico City, The Racquet Cuernavaca, Hotel Francia Aguascalientes, Veracruz Centro Historico Hotel, Hotel Viva Villahermosa and Ramada Hotel Getaway in Orlando. - St. Regis Mexico City. - Marquis Reforma Hotel. - Hoteles Misión. All its 43 locations in Mexico. - Four Seasons Hotel Mexico - Plaza Suites Mexico City - Filadelfia Suites - Sheraton Maria Isabel Hotel & Towers - Fiesta Inn Insurgentes Sur.

Houston - Woodlands Gulf Coast Chapter The Woodlands, TX - The Woodlands Resorts & Conference Center

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- Aeromexico - United/Continental - American Airlines - Crown Paradise Resorts - Las Brisas Hotels

- Aeromexico - Alaska Airlines - Benckmarkemail en Español - Agencia Aduanal adolfo Ayala Bejarano - Correduria Publica No. 23 - Cima Design - Lewis and Lewis Insurange Agency, Inc. - Todd Becraft Attorney at Law Insurange Agency, Inc. - Todd Becraft Attorney at Law - Trio America

INTER-AMERICAN CHAPTER Miami, FL - Interjet - Aeromexico - Sports Club

PACÍFICO CHAPTER Guadalajara, Jal - ABC Global Group