Cultural Differences

There are differences on how people approach business in Mexico and the U.S. and other countries. Probably the most important one is the importance of personal relationships. Business professionals that want to do business in Mexico should visit the country to assess Mexican business practices and style. Visiting the market and assessing it with your own eyes will be fundamental in your success story.

On Personal Relationships

Mexicans expect from you to develop a personal relationship with them before you do business.
Don’t expect to close a deal immediately.
Mexicans like to conduct business over meals.
In business it is common to address someone using their professional title.
Mexicans use both the paternal and maternal surnames. Both are generally included in business cards.
Business visitors should come with a large supply of business cards.

On Working Hours

Working hours are usually from 9:00 A.M. to 6:00 P.M. with one hour lunch break.
Lunch hours for higher level executives are longer.
Breakfast is usually from 8:00 to 10:30 and is becoming increasingly important for business meetings.
Lunch is usually between 2:00 and 5:00 and can last anywhere between 2 to 4 hours.
Dinner is usually after 8:00 P.M. but more towards 9:30 or 10:00 P.M.

On Time

Time is more flexible in Mexico, so don’t be offended if someone is not on time for an appointment.
Nonetheless, try to be on time yourself to meetings.
A 15 minute delay for a meeting is accepted in large urban centers, except for Monterrey where the time concept is more similar to that of the U.S.
When dealing with government expect delays.

On Language

For businesspeople moving down to Mexico on a more permanent basis it is imperative to have some degree of language proficiency in Spanish.
Mexicans will appreciate any effort made at speaking the language.
Make an effort in translating promotional and technical materials into Spanish.
Keep in mind that not all Spanish is the same. Words used in a particular country might mean something else in another country.
To the extent possible contract a translator in Mexico and if you have in-country representation ask them to go over translated materials.
It is recommended to have a Spanish version of the corporate or sales web page.
Consider that Mexico’s weight and measures system is metric:
Mexicans don’t like to be confrontational.
In many instances Mexicans will agree to avoid conflict and offending counterparts, so be patient and flexible.
Establish agreements in writing.
Stick to your agreed commitment in writing and have the Mexican counterpart respect this commitment.

On Climate

Average temperature in Mexico City ranges between 52º and 74º Fahrenheit.
In winter, temperatures can drop below 40º in Mexico City.
The rainy season usually ranges from June to October. Bring an umbrella.
Guadalajara’s climate is know as one of “Perpetual Spring”
Monterrey has more extreme weather. Cold days can drop below 40º and on high temperature days they can surely go above 100º.
Northern states in Mexico tend to have extreme climates.
States in the south and in coastal areas are hot and humid.
Central Mexico has mild weather year round.

On Dress Code

In general Mexican business people dress more formally than in the U.S.
It is recommended to wear a suit and tie when visiting on business in Mexico City, Guadalajara and Monterrey.
In coastal cities, in rural areas and when visiting industrial facilities wearing a tie is not customary and the dress code is normally not formal.
It is customary to shake hands upon arrival and exchange business cards right away.
Close friends of the opposite sex, as well as female friends, greet each other with a kiss on the cheek.
Close male friends often give each other a simultaneous hug and strong handshake when greeting each other.

On Management Styles

Coming to do business in Mexico with an open mind is fundamental.
Assuming that whatever works in Europe or the U.S. can work in Mexico, may be proven wrong.
Business styles are more traditional in small and family companies.
In mid-sized and larger companies team work and shared responsibility is becoming the way of doing business. However, negotiating with high level executives is still recommended.
A high percentage of Mexican executives have a good to fluent level of English and a good percentage have Master degrees or have studied abroad.
Seek partners that match your company’s size, sales and most importantly goals.
Bureaucracy is still part of Mexican business culture, so be patient.
In many occasions, you will not get a response from a Mexican client as quickly as you expect.
Seek clients and partners that use good business practices.
Under Mexican law, giving or receiving bribes is a felony.

On the Use of Technology

There are still large gaps in the use of technology in Mexico.
Larger companies tend to have the latest in technology.
Smaller companies tend to have limited technological capabilities.
Internet access and e-mail correspondence are widespread phenomena in Mexican businesses.
Mexico has a good telecommunications infrastructure and several local and long distance operators supply services.
Telmex is the dominant telephone operator.
The voltage in Mexico is the same as in the U.S. and Canada. Mexico’s plugs in and electricity system is the same as that of the USA: Two flat prongs and 120 V or 60 Hz.

On Traveling to Mexico

Take into consideration Mexican holidays when traveling on business. Christmas and easter are the country’s main holiday seasons.
US citizen only require a current passport and filling out an immigration form provided by the airline to enter the country. Remember to keep a copy of your passport or e-mail a scanned copy to your computer.
If possible, have somebody pick you up at the airport. Otherwise use official taxis at airports. Prices are predetermined for the location you are going.
Never take a taxi that is not authorized by airport authorities.
Do not take a street cab in Mexico City. Most other cities do not represent a problem.
It is best to take taxis from a Taxi Stand or Base, known in Mexico as “Sitios” or have somebody call a cab from one of these places. The cost is higher but worthwhile for your safety.
Hotel cabs are also a very good option.
Taxi drivers can work by the hour or by the day.
Major international car rentals have offices in Mexico.
It is not recommended to rent a car unless you know the city. Mexico City, in particular, is very difficult to navigate on your own.
The 50 largest Mexican cities offer world class hotel accommodations and fine restaurants.
Dining out is very popular in Mexico as a way of doing business.
When making reservations at a restaurant ask if a tie is required. Many restaurants, specially in Mexico City require formal attire.
Customary tipping in Mexico is:
- Porters and bellboys at airports and expensive to moderate hotels $20 pesos per person or pieces of luggage.
- Tour guides and drivers at least $50 pesos per half day.
- Waiters 10 to 15 percent of the bill.
The Peso is the monetary unit in Mexico.
The best exchange rates are available at banks and currency exchange houses.
A good strategy is to exchange money as soon as you arrive at a Mexican airport, as exchange rates are typically better there.
Bank hours are normally from 9:00 A.M. to 4:00 P.M.
Exchange rates fluctuate on a daily basis and have been very stable for the last three years. The exchange rate is of approximately US$1 to Mex $13.
24hr. ATM’s are easily accessible throughout Mexico. Credit or debit cards are the most convenient way to access your money.
Major credit cards are widely accepted.
Personal checks drawn on U.S. banks are almost never accepted.

Bring a small amount of cash (preferably in pesos), so you can pay for the taxi and tips.