Open manufacturing plant in Mexico Assignment Example | Topics and Well Written Essays - 500 words

Open manufacturing plant in Mexico - Assignment Exampleherefore, the Packenham Model enhances the efficient and effective evaluation of the scotch and political environment of Mexico for extreme economic reform.The Packenham Model explains four hypotheses that en up to(p) Mexico to make successful economic reforms. The first hypothesis is the Structure of Situation for the Elected chair (Political Credentials of President). A President having negative credentials or bad motives will hinder implementation of successful economic reforms. The Mexican president, Enrique Pena Nieto of the Partido Revolucionario Institutional is a legitimate president with exacting credentials. He focuses on the implementation of the ambitious structural reforms and reactivating economic growth after poor start thus enhancing initiation of a successful economic reform. The second hypothesis is the Political Party System (Fragmented vs. Consolidated). The political party system of Mexico is fragmented since it has more than one party. The ruling party faces high justification from the opposition during implementation of reforms especially in the energy sector. The third hypothesis is the Presidential Leadership (Leadership Skill). President Pena Nieto is politically skillful hence he is able to convince the congress into making useful reforms. Finally, Consensus in Civil Society- the Mexicans are often in favor of market reforms and there is low resistance. Therefore, there is utmost implementation of market reforms with ease. It is evident that the economic and political environment of Mexico is conducive for utmost implementation of market reforms as justified by the Packenham Model above. bargain power refers market forces that determine the prices of the commodities. Bargaining involves negotiation of prices between the buyers and the sellers of goods and services. The firm should set the prices that are suitable for the consumer and is friendly to the producer through the b argaining power. If the connection imposes the charge to the