Carlos Slim was born in Mexico City, Mexico, on January 28, 1940. His parents were both Lebanese Maronite Catholics named Julián Slim Haddad and Linda Helú Atta. Khalil Salim Haddad Aglamaz, who was Carlos’s father had been sent to Mexico in 1902 to be enrolled in the Ottoman Army.
Carlos’ dad, having arrived in Mexico, changed his title to Julián Slim Haddad. His family became part of a small yet financially successful Lebanese Christian community that flooded into Mexico throughout the late 1800s as well as in the early 1900s. Afterward, Carlos’s father started his own company in Mexico, which Carlos later took over.
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How Carlos Slim Got Rich
The Vast Career of Carlos Slim
In a trade-dedicated culture, Julian Slim had been a successful businessman. Starting a dry goods shop in 1911, which only ten years later expanded to sell products worth greater than $100,000. With profits from the shop, during the Mexican Rebellion of 1910-1917, he would just go on purchasing valuable real estate in Mexico City for a decent wage.
His sophisticated real estate holdings, along with his ongoing success as a supplier and a distributor, made Julián a wealthy man with a total wealth of around 1 million pesos. Slim has developed an interest in dad’s business from a very young age. And his father was happy to give business lessons on accounting, interpreting financial reports, and maintaining detailed financial information.
His father died in 1953 when Carlos was just 13 years old. After the death of his father, the young man proceeded to work for this company of his late father, which in the end would be handed on to him. He moved to the National Autonomous University of Mexico after he graduated from high school, where he learned civil engineering before studying algebra and linear programming.
Slim also took an interest in economics whilst practicing civil engineering, taking a bunch of lectures on the topic in Chile, after graduating in 1961. Soon afterward, he went into business, working extra, grueling weeks in Mexico City as a stockbroker. In 1965, his investing had cost him over $400,000 at just the age of 25, greater than $3 million in today’s money. He was using the money to set up his own brokerage company, known as Inversora Bursátil.
One of his greatest gains in the earlier 1980s was the peso issue, combined with a sharp decline in prices of oil. The money had fled the country, and at low valuations, Slim purchased a number of firms. Few examples are Cigatam, General Tire, Reynolds Aluminum, and the Sanborns store chain.
Carlos Slim & Mexico
Slim had a hand in hundreds of other businesses mainly by Slim’s multinational company, Grupo Carso SAB. Grupo Carso has been active in businesses as varied as Elementia. Another of Mexico’s biggest cement firms, retail outlets like Sears including Saks Fifth Avenue, electricity and manufacturing car. He has a share in The New York Times as well.
Maybe Slim’s greatest income comes from telecom. América Movil, previously known as Teléfonos de Mexico, and Telmex, owned by Slim. Telmex has been the country’s old phone cartel, equivalent to AT&T Inc. in America.
The government privately ran the firm in the 1990s, but Slim was among the initial investors, through Grupo Carso. The price was $1.8 billion for a 20 percent stake, half of this was dealt with by Grupo Carso. Carlos Slim was in the reins of Grupo Carso but took over at Telmex too.
By 2012, Slim’s mobile telephony service, América Movil, took over Telmex, then converted this into a privately owned business. América Movil has a market penetration of about 70 percent of the cell phone line sector and 80 percent of Mexico’s landlines through its affiliate Telcel.
Now, in the midst of real anti-monopoly rules in Mexico. The company is prepared to sell shares to take its market penetration below 50%. But Slim is definitely not upset about the fact that the various resources, such as cellular towers, could quickly bring in $8 billion which is quite a profit onto the initial investment.
Carlos Got International
América Movil is not operating just in Mexico. TracFone, a minimal-cost cellular telephone provider, is the most recognizable company in the USA. In Austria, a controlling stake in Telekom Austria is owned by the company. Every nation of Latin America is entering the telecom dominance of Slim.
However, it wasn’t just a strong technological or telecommunications expertise that rendered the business what it is now. Slim has always said that his policy is to recycle the money and drive innovation into the company itself.
For example, over several years, Telmex invested billions in installing upgraded network infrastructure in the 1990s. Leaving the industry in a position to give heavy-speed internet providers. Characteristics of Slim’s business transactions over the course of his career is the pattern of buying an asset, reinvesting and selling it at a profit. Only the most noticeable component of that policy is telecommunications.
Carlos Slim Rules the Market
While the Mexican government tried to increase competitiveness in the telecommunications industry. It could not make up for the fact that new companies would have to pay a connectivity charge to Telmex. Telmex set such fees extremely high.
Making it more difficult for any other operator to reduce rates, specifically for long-distance services. After a number of meetings between the state, Slim and upstarts, the operation eventually stopped.
In conclusion, the fortune of Slim is more like the fortune of the old Rockefeller family than of Bill Gates’. Instead of conquering the world on a few new achievements in a specific field, he did the most he could in every field!