Written by the Fiveable Content Team • Last updated September 2025
Verified for the 2026 exam
Verified for the 2026 exam•Written by the Fiveable Content Team • Last updated September 2025
Definition
Maquiladoras are factories located in Mexico near the US border where raw materials are imported duty-free, assembled or processed, and then exported back to the originating country.
Related terms
Outsourcing: The practice of hiring external companies or individuals to perform specific tasks or produce goods instead of using internal resources.
The process by which businesses operate on an international scale, integrating markets, cultures, and societies worldwide.
Supply Chain: The sequence of processes involved in producing and distributing a commodity, from obtaining raw materials to delivering the final product.