firms, especially in information technology. One of the problems this has created is that when there are economic downturns, these international firms scale back.
The city also has to compete with China, especially for electronics industries which rely on high-volume and low wages. This has caused the city to move toward high-mix, mid-volume and value-added services, such as automotives. However, its traditional advantage of proximity to the U.S. market is one reason Guadalajara stays competitive. Mexico ranked third in 2009 in Latin America for the export of information technology services, behind Brazil and Argentina. This kind of service is mostly related to online and telephone technical support. The major challenge this sector has is the lack of university graduates who can speak English.
Most of the economy revolves around commerce, employing 60% of the population. This activity has mainly focused on the purchase and sale of the following products: food and beverages, textiles, electronic appliances, tobacco, cosmetics, sport articles, construction materials and others. Guadalajara's commercial activity is second only to Mexico City.
Globalization and neoliberal reforms have affected the form and distribution of commerce in Guadalajara since the early 1990s. This has led to tensions between traditional markets, such as the Mercardo Libertad, and retailers such as department stores and supermarkets. Local governments in the metropolitan area used to invest in and heavily regulate traditional markets but this is no longer the case. To attract private corporate investment, regulatory control eased and most commercial developments now are controlled by private concerns. The city is the national leader in the development and investment of shopping malls. Many shopping centers have been built, such as Plaza Galerias, one of the largest shopping centers in Latin America, and also Andares. GalerĂas Guadalajara Websitecovers 160,000 m (1,722,225