Doing business in Mexico

AgExporter, August, 1994 by Marvin Lehrer

Rule No. 3 -- Ask a lot of questions about the company you are visiting. The first appointment will normally last about an hour, but may go longer if your host wants you to stay for a tour of the offices, factory, warehouse or store. You may wish to invite your host to do something social at a later time.

Surmounting Language Barriers

English is not spoken widely in Mexico. There are some regional variations, with people in the northern states bordering on the United States more likely to speak English.

Mexicans prefer to conduct business in Spanish. If you do not speak Spanish proficiently, travel with an interpreter. Here are some suggestions on how to work with an interpreter: -- meet with your interpreter before your first business meeting and review technical phrases you are likely to use. -- face and speak toward the person you are meeting with -- not toward the interpreter. -- speak in short sentences so that the interpreter has time to translate. -- abbreviate your presentation because translating increases the meeting time immensely.

Getting Around in Mexico City

-- Try not to be on the road during the rush hours--9:00 to 10:00 a.m. and 7:00 to 9:00 p.m. -- Consider using the prevalent Volkswagen Beetle or Nissan taxis, which have meters but no air conditioning. These taxis, painted yellow and white or green and white, are the most economical form of chauffeur driven transportation. Make sure the driver puts the meter on when you enter. If the meter is "broken", leave and flag down another taxi. -- Taxis outside the hotels work on a flat fee and are usually much more expensive. However, they are airconditioned, cleaner and more comfortable. Some of these drivers speak English. -- Ask the taxi driver to wait for you to finish your appointment, if you are meeting in a remote neighborhood where a taxi may be hard to find and if you do not expect to be long. Negotiate a fee for his time. -- Make sure you know the cross streets as well as the exact street address of each appointment; addresses may repeat on the same street. Don't assume that street numbers run in sequence.

Getting Started

If your firm is interested in the Mexican market you should follow these steps to get started.

1) Contact the U.S. Agricultural Trade Office (ATO) in Mexico City for information on the market for your products and to obtain initial contacts.

2) Check with USDA's Animal and Plant Health Inspection Service (APHIS) for horticultural products or with the Food Safety and Inspection Service (FSIS) for meat products to determine the health and phytosanitary requirements for your products.

3) Contact your state Department of Agriculture to see what assistance it can provide. Many states have trade promotion offices in Mexico City.

4) Check with your commodity trade association. Many of them also have offices or representatives in Mexico City.

5) Exhibit at, or visit, USDA's U.S. Food and Beverage Exhibition held each September in Mexico City and other trade shows.

6) Plan a trip to Mexico to meet with prospective customers, importers and distributors. -- Mail is extremely slow, so make initial contact by fax at least two weeks in advance. (Failure to respond promptly may not indicate lack of interest; send repeat faxes.) -- Follow-up by telephone to schedule appointments. -- Confirm appointments when you arrive. -- Do not expect to make sales at the first meeting; take time to get to know your customers. -- Visit the Central de Abastos, the large, central wholesale markets located in Mexican cities, if you are selling horticultural products.