Having a product made in Mexico would also give a company the opportunity to make and warehouse more shoes, allowing them to warehouse a higher level of inventory here in the United States. The high quality of product that Mexico is known for making along with brand recognition will be a wining combination for both this type of company and Mexico (Hill, 2000).
Country Risk Analysis.
Any disruption in the operation of our management information systems, or our failure to continue to upgrade, integrate or expend capital on such systems as our business expands, could have a material adverse effect upon our business, operating results and financial condition. The following are certain factors that should be consider when evaluating a business, financial conditions and results of operations. These adverse affects may be exacerbated by the significant current regional concentration of the business in Mexico and the North American markets. .
Weakening economic conditions may have an adverse affect on the business and on the results of operation. The success of the operations depends upon a number of factors related to consumer spending, including future economic conditions affecting disposable consumer income such as employment, business conditions, interest rates and taxation. If the economic conditions of 2002 were to continue, or deteriorate, consumer spending may decline, thereby adversely affecting the business and results of operations. Changing merchandise trends, consumer demands or product quality could adversely affect sales. .
Our success depends on our ability to anticipate and respond to changing merchandise trends and consumer demands in a timely manner. Any change in this trend could adversely affect consumer interest in our major product lines. Moreover, our products must appeal to a broad cross-section of consumers whose preferences (as to product features such as colors, styles,) cannot always be predicted with certainty and may change between sales seasons.
