City of Calexico logo

City of Calexico

To provide quality service by becoming the premier binational hub for commerce, culture, and opportunity.

City of Calexico logo

City of Calexico SWOT Analysis

Updated: October 4, 2025 • 2025-Q4 Analysis

The City of Calexico SWOT analysis reveals a municipality at a critical inflection point. Its greatest asset—the strategic border location—is also a source of significant vulnerability due to economic dependence and infrastructure strain. The leadership's proven ability to secure major grants is a powerful strength that must be systemically applied to address the foundational weakness of aging infrastructure. The key priorities identified are surgically precise: revitalizing public works is not just a repair job, it's the bedrock for diversifying the economy. Streamlining city operations will lower the barrier to entry for new investment, directly capitalizing on the nearshoring opportunity. The path forward requires relentless execution on these interconnected priorities to transform Calexico from a pass-through point into a thriving binational destination.

To provide quality service by becoming the premier binational hub for commerce, culture, and opportunity.

Strengths

  • LOCATION: Strategic border crossing drives 40-50% of sales tax revenue.
  • FUNDING: Secured $91M for New River, showing grant acquisition skill.
  • RETAIL: Strong retail base catering to cross-border consumer demand.
  • LEADERSHIP: Stable, experienced city management team in place for 2+ years.
  • COMMUNITY: Strong sense of local identity and cultural heritage events.

Weaknesses

  • INFRASTRUCTURE: Water treatment plant near capacity, roads need repair.
  • DEPENDENCE: High reliance on retail sales tax is vulnerable to downturns.
  • DOWNTOWN: Vacancy rates in downtown commercial properties remain at 15%.
  • PROCESSES: Permitting and business licensing can be slow and complex.
  • BUDGET: Limited discretionary funds constrain new initiatives/services.

Opportunities

  • NEARSHORING: Growth in Mexicali manufacturing creates logistics demand.
  • GRANTS: Billions in federal funds for border infrastructure available.
  • TOURISM: Develop cultural and eco-tourism around the New River project.
  • HOUSING: Opportunity to develop new housing stock for growing workforce.
  • BROADBAND: Expand high-speed internet to attract remote workers/tech.

Threats

  • BORDER WAIT: Long border wait times (2-3 hrs) deter casual shoppers.
  • COMPETITION: El Centro's new developments draw regional customers away.
  • INFLATION: Rising costs strain municipal budget and resident finances.
  • CURRENCY: A strong dollar can reduce purchasing power of MXN shoppers.
  • REGULATIONS: State environmental/zoning laws can increase project costs.

Key Priorities

  • REVITALIZE: Modernize critical infrastructure to enable future growth.
  • DIVERSIFY: Attract new industries beyond retail via targeted outreach.
  • STREAMLINE: Enhance city processes to become more business-friendly.
  • CAPITALIZE: Aggressively pursue federal grants for border projects.

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City of Calexico logo

City of Calexico Market

  • Founded: Incorporated in 1908
  • Market Share: 2nd largest city in Imperial County; ~22% of county population.
  • Customer Base: Approx. 38,000 residents, local businesses, and cross-border shoppers.
  • Category:
  • SIC Code: 9199 Administration of General Economic Programs
  • NAICS Code: 921190 Other General Government Support
  • Location: Calexico, California
  • Zip Code: 92231
    Congressional District: CA-25 HEMET
  • Employees: 230
Competitors
El Centro, CA logo
El Centro, CA Request Analysis
Brawley, CA logo
Brawley, CA Request Analysis
Yuma, AZ logo
Yuma, AZ Request Analysis
Mexicali, B.C., Mexico logo
Mexicali, B.C., Mexico Request Analysis
Products & Services
No products or services data available
Distribution Channels

City of Calexico Product Market Fit Analysis

Updated: October 4, 2025

The City of Calexico offers businesses an unmatched strategic advantage by providing direct access to the massive Mexicali market. It's a pro-growth city investing heavily in infrastructure to create unique opportunities. This is all built on a vibrant, binational culture that creates a dynamic environment for businesses to thrive and for people to live and work.

1

ACCESS: Unparalleled access to the Mexicali consumer and labor market.

2

OPPORTUNITY: A pro-business city actively seeking investment and growth.

3

CULTURE: A unique, vibrant binational community experience for all.



Before State

  • Congested border crossings hinder commerce
  • Aging infrastructure limits growth potential
  • Limited local high-wage job opportunities

After State

  • Efficient, modern Port of Entry experience
  • Reliable, future-proof public utilities
  • Diverse economy with thriving new sectors

Negative Impacts

  • Economic leakage to other cities/online
  • High utility costs and service disruptions
  • Brain drain of talented local youth

Positive Outcomes

  • Increased sales tax revenue and investment
  • Attraction of new businesses and residents
  • Higher median household income for all

Key Metrics

Citizen Satisfaction Survey Results
65%
Business License Growth Rate
+3% YoY
Sales Tax Revenue Growth
+4.5% YoY
Public Safety Response Times

Requirements

  • Securing massive federal infrastructure grants
  • Public-private partnerships for development
  • Streamlined city processes for business

Why City of Calexico

  • Aggressive grant writing and lobbying team
  • Proactive economic development outreach
  • Investment in modern city management tech

City of Calexico Competitive Advantage

  • Unmatched proximity to Mexicali's market
  • Federal focus on border infrastructure funds
  • Authentic, vibrant binational culture

Proof Points

  • Recent $91M grant for New River cleanup
  • New businesses opening in downtown area
  • Growing wait times at Port of Entry show demand
City of Calexico logo

City of Calexico Market Positioning

Strategic pillars derived from our vision-focused SWOT analysis

Become the top choice for cross-border trade.

Modernize core public works.

Attract non-retail industries.

Enhance quality of life for residents.

What You Do

  • Provides essential public services and fosters economic opportunity.

Target Market

  • Residents, businesses, and visitors in the Calexico-Mexicali region.

Differentiation

  • Primary U.S. gateway city for Mexicali, a metro area of 1M+ people.
  • Unique cultural blend of American and Mexican heritage.

Revenue Streams

  • Sales Tax (45% of General Fund)
  • Property Tax
  • State/Federal Grants
  • Service Fees
City of Calexico logo

City of Calexico Operations and Technology

Company Operations
  • Organizational Structure: Council-Manager form of government with distinct departments.
  • Supply Chain: Partnerships with county, state, federal agencies, and private contractors.
  • Tech Patents: N/A
  • Website: https://www.calexico.ca.gov/
City of Calexico logo

City of Calexico Competitive Forces

Threat of New Entry

LOW: High barriers to creating a new city. However, unincorporated county areas can compete for new development projects with fewer regulations.

Supplier Power

HIGH: Municipal employee unions have significant bargaining power. Limited number of specialized contractors for major infrastructure projects.

Buyer Power

HIGH: Residents (voters) can change leadership and reject bond measures. Businesses can relocate to more favorable nearby cities.

Threat of Substitution

MODERATE: Residents can move to nearby Imperial Valley cities for similar costs of living. Shoppers can use other border crossings or shop online.

Competitive Rivalry

MODERATE: Competes with El Centro and Yuma for retail, residents, and business investment based on taxes, amenities, and quality of life.

AI Disclosure

This report was created using the Alignment Method—our proprietary process for guiding AI to reveal how it interprets your business and industry. These insights are for informational purposes only and do not constitute financial, legal, tax, or investment advice.

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