Construmex: Facilitating Remote Housing Investments for US-based Mexican Migrants
Construmex, an initiative of Mexican construction and building giant CEMEX, was launched after the company’s success with Patrimonio Hoy, a socially minded business initiative targeted at low-income consumers. Since its inception in 2001, Construmex has helped more than 14,000 Mexican migrants in the United States build, buy or improve a house in Mexico—for themselves or their families.
By becoming an intermediary between Mexican migrants in the United States and their designated contacts or beneficiaries in Mexico, Construmex increases the efficiency and effectiveness of housing investments. The case examines Construmex’s challenges serving low-income markets and the innovations required to solve them, including the variety of partnerships necessary for executing a commercial transaction initiated in one country and closed in another. From 2002 to 2006, Construmex generated $12.2 million from construction material sales. Since late 2005, 200 houses have been sold, and 23% of Construmex clients are women.