Business in Mexico How to do business in Mexico – Part 1


I plan to provide tips, advice, things to watch out for, things to accept, and other related matters about how to do business with Mexico. I cannot tell you if working in or doing with Mexico is good or bad. There are benefits, disadvantages and risks. I know success stories and failures, but I strongly believe that if you have this information, doing business will be easier, with less problems, and will be more efficient.

Mexico is an immense country, with enormous economic and social contrasts, thousands of cultural and regional differences, and a complex history that probably can never be understood completely by the foreign business person.

Regional Generalizations – Huge Broad Sweeping Statements about Mexico

Mexico can be roughly divided into four major and distinct economic and cultural area, the North, Central, South and Border-towns and Tourist areas.

North – The Northern region has assimilated many habits and customs of the USA, many of the maquiladoras (toll manufacturing factories) are located here, business has a “familiar” feel to it, good infrastructure, there is a sense of urgency and competitiveness when doing business. Many of the most important companies in Mexico were founded in the Northern States. Generally conservative in their choice of government.

Central – The Central region is more “provincial”. Business moves slower than in the North. This region is growing by leaps and bounds as state and local governments are promoting foreign investment and investing in infrastructure. Traditionally conservative and stable in politics (actually the Mexican revolution began here) and business. Values are similar or comparable to the Mid-west in the US.

South – The Southern region is the most underdeveloped region in Mexico, and the lowest level of infrastructure, this include the tropical forests, many indigenous groups, and the highest level of extreme poverty. Not surprisingly the politics are more socialistic or liberal than the rest of Mexico.

Border-towns and Tourist Towns – This is the Mexico many people know, and they unfortunately use these towns to make judgements about the rest of the country, people, work-habits, etc.. This would be equivalent to saying that Las Vegas, Nevada provides a complete and excellent representation of any town, state or region in the USA.