Kimberly-Clark Mexico outperforming in Mexico’s economy during the global recession
Kimberly Clark’s products are household names all over the world and even in times of global recession, the company has continued to grow strong. Claudio González, Chairman of Kimberly-Clark Mexico spoke about the current business climate in Mexico on the Bloomberg Television show, “Street Smart” with Lisa Murphy.
“In spite of the security situation, [a regional problem] that so many people hear about, the economy is growing very well, our key economic indicators are very solid, and the growth prospects of the country are good.” As the host of “Street Smart” highlights, Mexico’s economy has stood out among those of other Latin American countries, because of it’s ability to keep businesses in Mexico thriving: “keeping inflation in check, while having fairly strong growth and also keeping unemployment extraordinarily low.”
With more than 50 years of accumulated business experience, Mr. González sits on the board of well-known Mexican companies, has worked with some of the largest multinational corporations in the world, and is Director Emeritus of General Electric. When asked about how he envisions the European debt crisis affecting Mexico, González responds, “Europe represents 20-25 percent of GNP in the world, so if Europe drops off, it’s going to affect the world. Our principal concern is how much it affects the U.S. […] it’s important for the whole world that the U.S. continues to grow.”
Despite the global recession, Mexico is ‘becoming more competitive’ and hosting the growth of Kimberly-Clark Mexico and the stability of Kimberly-Clark stock. In this sense, González states that, “Kimberly Clark-Mexico is very good stock to own all the time, but particularly in rough times. Why? Because many of our products are necessary […] we may not jump up when times are good, but we don’t drop off when times are bad and that’s why we are always valuable.”
Kimberly-Clark Mexico is 40 percent owned by Kimberly-Clark in the U.S. but is traded in Mexico under its own ticker.