Yucateco Business Characteristics
It is time to be frank!
Yucatan throughout its history has had a continuous deluge of outsiders invading them and attempting to control them. Consequently, there is an underlying Yucateco business characteristic of resentment toward businesses run and owned by outsiders and hence a level of loyalty to Yucateco businesses. Coming in and competing against existing Yucateco owned/run businesses would be difficult to sustain viably.
Manufacturing products for national use or export would always be a viable business but if you have those means you most likely wouldn’t be reading this. Most likely you are looking for a business that fits into a niche market or possibly producing a product with little to no start up costs.
Another Yucateco fun filled fact! Yucatecos love new things and trends. You may come in with something new and successful that may be quickly copied by locals and business may dwindle after 6 months to a year. Many entrepreneurs start up businesses. Make them successful and sell them off at that point and move on to the next project.
Knowing the right/well connected people is extremely important. They can remove many obstacles you may encounter and facilitate a virtual maze you may be confronted with at times.
Although Yucatecos are highly educated and learning English is key to a well rounded education, you will still find it difficult to transact business in anything but Spanish. The range of English language ability amongst the educated of Yucatan is wide enough that if you do not speak Spanish with a high degree of proficiency you will find it difficult to function within the business environment.
All governmental transactions are conducted in Spanish. The cost of a translator for all dealings with the government can be cost prohibitive.
Business/government and tax dealings require an attorney and an accountant. Do not attempt to go on your own here.
As a foreigner, you are restricted in owning anything within the protected coastal and border regions. You will need a lawyer to incorporate and legally begin business.
You will need the correct visas in order to transact business within Mexico. Ask your lawyer for clarification.
Like anywhere else in the world, get to know the area. Become acclimated to the language, culture and ways of conducting business. Educate yourself! Don’t go in naively and get taken advantage of. You’ll only have yourself to blame.
Standard Business Practices Still Hold True Here
Each of us dream’s that there's a successful business out there, just waiting for us to start but the business reality there is the same here as it is in the rest of the world:
1. It takes capital to fund and start a business. Usually twice what you think it will cost while maintaining cash to survive on while your business gets going. 2. 95% of new businesses fail due to cash-flow and cash-reserve issues.
3. Many new business start-ups fail to identify: a. Who their customers are
b. How many customers there are in their market
c. Their competition
d. The loyalty of customers to the competition
e. What are those customers need
f. The frequency your customers will need your services
g. Advertising strategies aimed at your target market and growing clientele.
h. How to grow and adapt to an ever changing market and business conditions.
As you can see these business practices hold true anywhere but you hope to do this in a foreign country.
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