In spite of the violence, Mexico’s economy has continued to move forward, even though foreign investment and GDP growth are both starting to slow. Every day one million people and more than one billion dollars worth of goods cross the border. Gruesome drugwar violence tends to dominate the public debate on Mexico, but along the U.S.-Mexico border, the most important bonds between the two countries are economics. In her book Two Nations Indivisible Shannon O’Neil explains that “Integration with Mexico has allowed giants such as General Motors, Johnson & Johnson, General Electric, and Hewlett Packard to lower costs and compete in global markets where they would otherwise be excluded—creating more exports and jobs for both the United States and Mexico in the process.” Chrysler, GM and Ford have all invested billions of dollars and hired thousands of workers in Mexico, a fact that helped these companies earn a combined US$12.7 billion in 2012. Despite the benefits of cross-border cooperation, a number of companies also face serious challenges when in comes to managing their operations in Mexico. Nissan and Pepsi both suffered attacks against their facilities and HSBC has seen its reputation severely damaged as the result of a cartel money laundering scandal.

via Investor Insight: Is Mexicos Drug War Doomed To Failure? – Forbes.

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