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Mexico - Free Trade Zones Economic A Case Study of * A developing trade zone * Foreign investment * Economic investment in a foreign country * Exploitation of an economic country Why are companies investing in the free trade zone? * A large cheap and well educated workforce * Low cost materials * Low wages * Low living cost * Free trade to millions of people Maquiladoras Foreign national companies, called maquiladoras, set up in Mexico, often in free trade zones because they offer financial and other advantages. Advantages of Maquiladoras * 30,000 jobs have been created * Technology and training are introduced and workers gain new skills * Large well known companies attract other companies to the zone creating employment * Quotas in the free trade zone help create other jobs at an earlier stage of production * Foreign companies can have positive multiplier effects which have benefit other industries Disadvantages of Maquiladoras * In some parts of the free trade zone, strikes and other industrial action is banned *...

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