Career at Cuauhtémoc Brewery
Garza's career was dedicated to the economic development of the city of Monterrey, starting from his family's Cuauhtémoc Brewery.[5] After graduating college, he began to work at the company as an assistant in the sales department, having to work his way up.[2][5] He and his brother introduced the use of carbonation to increase the head, the use of cardboard cases instead of wood and steel barrels instead of wood.[15] The brothers also worked to diversify the company getting into the production of raw materials and packaging, changing the name to Grupo Monterrey.[11][16] In World War II, the United States began to ration tin, a material that the company imported. In response, Grupo Monterrey began a new company called Hojalata y Lámina, S.A. to produce its own cans and bottles. After his father died, the family decided that Eugenio should take over directorship.[11] The company continued to grow and diversify under Garza, changing name again to Grupo Valores Industriales, S.A. (VISA). At the time of his death in 1973, the enterprise consisted of Cuauhtémoc, Fábricas de Monterrey (founded 1920), Malta, S.A.(1929), Empaques de Cartón Titán (1936), Hojalata y Lámina, S.A. (HYLSA 1942), Grafo Regia, S.A. (1957), and Cevecería Cuauhtémoc Toluca (1969) created by Garza and his brother as well as companies bought by the group including Cevecería Central in 1929, Cervecería Oeste in 1933, Cevecería Tecate, Cevecería Humaya in 1954 and Cevecería Cruz Blanca (1965).[17][18]
Along with technological and administrative innovations, Garza also implemented social ones. One of his innovations in business was to form an internal communications system, which at the time was a novelty. This included a publication called "El abanderado" and later "Trabajo y ahorro" which began in 1918 and published twice a month. He also wrote regular bulletins for workers at the factories he managed. He also developed the "Ideario Cuauhtémoc, a set of seventeen principles set for both the company and its employees, a predecessor to codes of ethics.[5] Concepts in the ideario included "respect for others," "control of temperament" and "Not mock others."[11] This document was not only distributed to employees but also posted prominently in production areas and offices.[5]
Garza and his brother continued and expanded on policies of his father in regards to worker welfare, providing social service and other benefits as well as cutting the work day down from the normal twelve hours to nine. One reason behind this was the family's experience with the Mexican Revolution. Working for the welfare of their employees helped to foster loyalty to the company.[11][19]
Two years after starting work with the company, the two brothers began the Sociedad Cuauhtémoc y Famosa, open to workers and managers of the enterprise. The organization offered health care services, courses to employees, scholarships for their children and a recreational center.[5][19] In 1957, this organization created the Colonia Cuauhtémoc, a housing development for workers with subsidized mortgages offered by the company, which resulted in 334 homes over forty hectares. The inauguration of the project was attended by Mexican president Adolfo Ruiz Cortines. The project led to the creation of a program to help finance worker home construction which was reorganized in 1972 as the Patrimonio de Vivienda del Grupo Industrial.[5][20] As part of the Sociedad Cuauhtémoc y Famosa, he established the radio station XET as well as Televisión Independiente de México. The latter eventually merged with another television company to form Televisa after Garza's death.[21] However, these activities were criticized as a kind of "white syndicate" (sindicato blanco) aimed at controlling workers and containing unionism.[22]
In business he believed that authority should be centralized and clearly defined.[23] Garza maintained the Monterrey tradition of an industrial class in which families maintained control of industry by handing down key roles through the generations.[24] He felt that honest work brought men to liberty and culture. For him it gave humans dignity. He felt that one of his social obligations as a businessman was to create as many jobs as possible. He is quoted as saying "I do not distribute riches: I distribute jobs. In this way, you will raise the standard of living of the people."[2][5]
He was not politically involved, believing more in economic development for Mexico's problems than social or political ones. He rejected state intervention in the affairs of private companies. His conservative and authoritarian views put him at odds with many by the end of the 1960s, including students, especially after the 1968 Tlatelolco massacre.[25] His belief in keeping government out of business also put him at odds with Mexican president Luis Echeverría, but it was not public.[26] Politically motivated businessmen allied with Echeverría were interested in a control over the Cadena García Valseca, which published thirty seven local newspapers in Mexico. Garza was against this move on economic and political grounds and offered the publishing group financing to stay solvent and resist takeovers by those sympathetic to the government. However, Garza died before the transaction took place.[27]
