Ventramex and the Mexican Peso Crisis Harvard Case Solution & Analysis

After a substantial devaluation of the Mexican currency, a major automaker is trying to reduce the price it pays in the Mexican-based supplier. Supplier (Ventramex) is put in a difficult position, because most of their costs are based in U.S. dollars. The company must decide how to respond to the automaker in the consideration of options that would increase the share of its costs, which are in Mexican pesos. "Hide
by John Kamauff, Michelle R. Leenders, David L. Ager, Daniel D. Campbell Source: Richard Ivey School of Business Foundation 14 pages. Publication Date: September 24, 1997. Prod. #: 97D013-PDF-ENG

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