Hire Developers in Mexico: What Can Be the Alternatives?
Lately, Mexico has become one of the most popular outsourcing destinations, especially for US partners. American companies choose to hire Mexican developers for a variety of IT development projects. The overall worth of the IT market is estimated to reach $12.9 billion in 2019. The leading sectors a Mexican dedicated team can handle include IT security services, software applications development, cloud analytics, and business intelligence.
Mexican dedicated developers have made a good reputation and are now called “Silicon Valley of Latin America”. They offer reasonable prices for international partners. That’s why IT services sale revenue has grown to $9.25 billion in 2018.
Hire Developers in Mexico: Advantages and Disadvantages
To build a software development team in Mexico might seem beneficial, but it is worth noting all advantages and disadvantages of this destination. Let’s start with the pros, such as:
- Cost reduction. It is much cheaper to hire developers in Mexico than to build an in-house team in the USA. The salary rates and other related costs are significantly lower due to the developing economy.
- NAFTA membership. This trade agreement between the US, Canada, and Mexico eliminated all export tariffs and quotas, which makes a dedicated team in Mexico a profitable investment.
- Geographical location. A dedicated development team in Mexico is easy to manage as there is a smaller time difference and it is quite simple to travel from the USA.
- Wide talent pool. It is easier to find engineering team in Mexico sometimes as there are about 120 universities and technical schools that graduate thousands of professionals each year.
But, as for any destination, there are also some disadvantages of Mexican developers for hire, namely:
- Risk. Although the government promotes Mexico developers for hire, there is a level of insecurity in regards to violence, corruption, and crime rates.
- Regulation. The internal processes deal with a high level of bureaucracy and often require having a partner shelter company to handle all the issues.
- Cultural differences. Despite the close geographical proximity, a dedicated development team in Mexico still has a different culture and mentality than US partners, which can result in miscommunication and delays.
Alternatives to Hiring a Dedicated Development Team in Mexico
Not every company chooses to hire developers in Mexico for their reasons. There are many other alternative outsourcing destinations, for example:
- Asia – countries like India, Pakistan, and Vietnam. Local professionals also have low rates as well as Mexican developer for hire. It is a cheap destination with lots of employees to choose from. The main downsides are the long-distance management, cultural differences, and risk of low quality work.
- Europe – countries like Germany or the UK. It is beneficial to hire developers in UK in terms of cultural and business values, and geographical location. And you’ll get risk-free high-quality developers in comparison to a dedicated team Mexico. The main downside though is the cost of labor here. It is very expensive to outsource to Europe.
- Eastern Europe – Ukraine. Ukrainian developers are the perfect alternative to a Mexico City dedicated team. It is closer than Asia, there are fewer cultural differences, and the costs are much lower than in the USA or UK. It is an excellent choice to access great talent at reasonable prices. And Ukraine also has a strong history of diplomatic and business relations with the USA. IT services have become the third-largest economic sector of Ukraine. Many international corporations outsource here or have opened their R&D centers, including 100 companies from Forbes 500. There are lots of educated and experienced professionals that are powerful competitors to a team of software developers in Mexico.
Advantages and Disadvantages of Hiring a Dedicated Development Team in Ukraine
One can choose to hire developers Mexico or in Ukraine by comparing the pros and cons of both destinations. The main advantages of Ukrainian software development are:
- It is a huge IT hub that is located in Europe and easy to travel to. There are many direct flights to Kyiv and other cities.
- It is a trusted partner to many other international providers. There are more than 100 R&D centers of industry giants here. It only highlights the quality of the local workforce and the level of their expertise.
- Great talent pool with more than 12,000 IT companies and about 200,000 professionals that offer excellent services. About 70% of them are dedicated to outsourcing.
- Cost reduction. It costs approximately the same as to hire developers in Mexico City. The salary rates are much lower than in the USA or other European countries. And the quality of work is outstanding.
- The majority of Ukrainian specialists (80%) have great English knowledge. It ensures easy communication. It might be also more beneficial than hiring Mexican software engineers as Ukrainians share European business values and work ethics.
But the same as with a dedicated development team in Mexico, there are also some disadvantages of Ukraine as an outsourcing destination, such as:
- There is also a certain level of bureaucracy in Ukraine a company should be ready for. Luckily, local partners provide excellent help at all stages of a project.
- There is a time difference with the USA. But it might not be an issue with reasonable management and communication technologies.
Hire an Engineering Team in Mexico or Ukraine? Salaries Comparison
Of course, costs are one of the main factors influencing the decision to outsource development. In this table, you can see a comparison of salaries for agile software developers for hire in Mexico and Ukraine. Salaries of the Ukrainian developers were provided by Mobilynity’s Recruitment Team that regularly monitors the local market.
* Ukrainian salaries are provided based on Mobilunity’s Recruitment Team research on the local job markets. All salaries are net and do not include the service fee (in case of hiring on a dedicated team model). The salaries are provided for comparison purposes and could be not entirely accurate. Contact us to know the exact cost of hiring a developer corresponding to the required parameters.
There is not much cost difference whether you want to hire dedicated developers in Mexico or Ukraine. The difference is in security, quality, convenience, and accessibility.
Mobilunity – Perfect Partner in Software Development
Mobilunity is a credible Ukrainian company that can assist your business in finding the best team for your project. We have a decade of experience in this field and dozens of released successful projects with international partners.
Our team can provide you access to the most suitable professionals in any sector of IT development, whether it is app programming, cloud solution, ERP system integration, or else. Whatever you need – we’ve got high-profile specialists for you.