IDEAS home Printed from https://ideas.repec.org/p/pra/mprapa/4499.html
   My bibliography  Save this paper

Doing Business in Mexico

Author

Listed:
  • Zimmermann, Thomas A.

Abstract

On 1 July 2001, a far-reaching free trade agreement between the EFTA States and Mexico entered into force. ”Doing Business in Mexico” provides targeted assistance to Swiss Small and Medium-Sized Enterprises (SME) that wish to tap the potential of Mexico as both an export destination and investment location. This comprehensive guide contains information and advice on market research, market entry, and investment in this fascinating country. Part I introduces the reader to this fascinating country, its long history, its politics and its economy. It becomes clear that Mexico is undergoing a deep transition from a country with one party rule and a closed economy to a pluralist democracy and a major player in the world economy. This situation offers excellent opportunities, provided it is approached appropriately and precautions are taken to minimise risks. Business persons interested in establishing a business relationship with Mexico should take the time to familiarise themselves with the historical and political evolution (Chapter 2) and the economic environment (Chapter 3) of Mexico. Part II focuses on core business aspects: Chapter 4 on market research is conceived as a navigator to help Swiss SME representatives retrieve targeted information. Fortunately, many Mexican institutions, public and private, have invested heavily into their websites: Industry-specific data, business directories or market access information are readily available and constitute a formidable online information resource on the Mexican economy that is only a few mouse clicks away. In Chapter 5, the pros and cons of different market entry modes are discussed, and advice is given with regard to successful partnering in Mexico – probably one of the most important factors for foreign firms in the Mexican market. Chapter 6 contains a guide to exporting, including some technicalities of the export business. We hope that the information contained therein will assist you in getting your goods across the border and into the Mexican market. The information on foreign direct investment (FDI) which is contained in Chapter 7 will be of help to those readers who are contemplating business presence in the Mexican market. It gives an overview of the legal framework, the business climate, favourable investment locations, selected costs and basic administrative processes. Some of these issues are also taken up in Chapter 8 which deals with selected aspects of the legal environment. Finally, Chapter 9 is a wrap-up of Part II, recalling briefly major success factors and challenges when doing business in Mexico. It highlights the importance of ”soft factors” and cultural considerations for successfully dealing with Mexican partners. Part III contains some practical advice for business travellers. Last but not least, Part IV offers information on resources which Swiss SMEs may tap in search of additional assistance or information for their Mexican venture: Chapter 11 offers a vast compilation of selected business contacts and references both in Mexico and Switzerland. The goal is to list institutions which are able to provide targeted assistance and expert advice at all stages of market research, market entry and investment. The list has been put together with the conviction that Swiss SMEs will sooner or later have to rely on local expertise in the market entry process, be it in order to cope with the legal requirements of establishing a business presence or to conduct thorough background checks of potential partners, both of which are necessary for business success. Chapter 12 contains a bibliography with a selection of the literature that I used when writing this book and which may be of help to Swiss SMEs dealing with particular issues. Finally, Chapter 13 concludes with some internet addresses that point to major Mexican media and internet portals with general Mexican content.

Suggested Citation

  • Zimmermann, Thomas A., 2002. "Doing Business in Mexico," MPRA Paper 4499, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:4499
    as

    Download full text from publisher

    File URL: https://mpra.ub.uni-muenchen.de/4499/1/MPRA_paper_4499.pdf
    File Function: original version
    Download Restriction: no

    More about this item

    Keywords

    International trade; trade policy; exports; export promotion; export advice; export consulting; Mexico; Switzerland; competitiveness;

    JEL classification:

    • F23 - International Economics - - International Factor Movements and International Business - - - Multinational Firms; International Business
    • F20 - International Economics - - International Factor Movements and International Business - - - General
    • M3 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising
    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • M30 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Marketing and Advertising - - - General
    • F2 - International Economics - - International Factor Movements and International Business

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:4499. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter). General contact details of provider: http://edirc.repec.org/data/vfmunde.html .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.