The promise of growth in Mexico is still feasible and has bases to achieve it from the very heart of its economy: micro, small and medium-sized enterprises (MiPymes). In the perspectives of the January 2014 Expectations Survey prepared by the World Bank, the proportion of international analysts interviewed who consider that it is a good time to invest in the country increase.
Casa de Bolsa BBVA Bancomer says in its Mexico Situation report that it will increase the share of the stock market in the country thanks to the health and economic development approaches of the business sector. And observers from international media such as The Wall Street Journal assure that Mexico, along with Peru, Chile and Colombia, could grow above 4,25% this year, thanks to the Pacific Alliance, which today represents the eighth economy in the world.
Some experts consulted agree that the economic policies promoted by the current federal administration, among which structural reforms (labor, tax, education, economic competition, energy and telecommunications industry) and specific plans to support entrepreneurs and MSMEs - such as National Entrepreneur Fund- could create a promising outlook, although this one faces a challenge: that each initiative has repercussions in favor of all business strata. Because despite the efforts, the recent figures do not invite optimism.
In 2013, the Gross Domestic Product (GDP) of the Mexican economy only grew 1.1%, according to data from the National Institute of Statistics and Geography (Inegi). Before this institution released this data (last week of February 2014), the federal government calculated that the item would be at 1.3%.
In addition to representing the worst annual performance since 2008-2009, the figure reported by Inegi confirms a sad downward trend: according to figures from the same source, the GDP of the Mexican economy grew 5.1% in 2010, dropped to 4.01 TP1T in 2011, and fell to 3.9% in 2012.
This year it announces a more encouraging number, although the improvement will be driven by conjunctural factors - such as the strengthening of the US market and the execution of public spending that will boost the private investment- and not because of a solid economic stimulus strategy.
Furthermore, "in the best of cases, the Mexican economy will only recover its historical growth rate, that is, increases of 2.5% or 3% with great luck," says Luis Foncerrada, general director of the Center for Economic Studies of the Private Sector (Ceesp). And those growth levels, suggests the interviewee, only strengthen harmful trends: low job creation and an increase in companies - of all sizes - with limited productivity and meager generation of wealth.
According to Foncerrada, government initiatives they do not solve the main deficiencies of the Mexican economy, and therefore, their capacity to generate growth will be very limited. “The business environment is not really improving: the tax reform was not adequate; the regulatory framework has not been simplified; and above all, there is no rule of law or legal certainty that encourages and protects private investment ”, the ruling.
Thus, if the analysts' forecasts are met, the Mexican economy will grow in the order of 3% in 2014. The statistics They will gain some momentum, but some economic burdens will remain intact: a) tax and economic competition frameworks that are complex and inhibit investment and job creation; and b) corruption and illegal commercial practices - to which entrepreneurs and MSMEs are more vulnerable since, unlike large corporations, they do not have sufficient means to defend themselves legally.
Future entrepreneur
Where to find confidence and inspiration in this scenario? In an environment that seems not very conducive to integral and sustainable development, the best attributes of the entrepreneurial spirit, including its hunger for knowledge, become very valuable resources. Two qualities stand out:
1. Flexibility in business management. It takes speed to adapt to market conditions and vision to explore a new business opportunity. However, these skills, given the complexity of the moment, require “a commitment to information and training. Despite the daily pressures - payroll, taxes, payments - MSMEs and entrepreneurs need to be well informed.
They must perfectly understand the environmental signs; be trained to face risks, be innovative and take advantage of real opportunities ”, says Oliver Ambía, director of the Financial Administration degree at the Instituto Tecnológico de Estudios Superiores de Monterrey (Itesm), Santa Fe campus.
2. You want to understand the economic ecosystem (even assuming failures as areas of opportunity). In this way, entrepreneurs and MSMEs obtain a new vision of reality without being complacent or resigned, and without ruling out opportunities for growth. For example, energy and telecommunications reforms - which seem designed to favor large consortia - could benefit MSMEs that create content (television, digital platforms, social marketing), that provide goods and services for the oil industry, or that manufacture different industrial and operational inputs.
“Many companies will work with their customary suppliers, but they will also developValue chains local; and there exists a good opportunity for MSMEs ”, says José Antonio Quesada, leader of Clients and Markets at PwC Mexico.
In addition, macroeconomic solvency is proof of the positive conditions of the Mexican economy, explains Michael Steidl, coordinator of Access to Finance of the International Finance Corporation Mexico and Central America (IFC) - a subsidiary of the World Bank that promotes the development of the private sector in emerging economies, through different financing models–.
Stability in various factors, such as the price of the currency, favors the operation of companies in the country. The opposite case, the expert points out, can be seen in Venezuela or Argentina, where the lack of macroeconomic stability it is damaging business activity.
Another case that Steidl highlights is the emergence of new forms of financial and banking attention, which "taking advantage of new technologies (such as mobile telephony) take financial services to places where they were not available before, and do so with a low cost per transaction" Steidl notes. These solutions already address a serious problem in the entrepreneurial sector and MSMEs: the lack of sources of financing and more agile payment methods.
Maturing together
In the short term, the Mexican economy needs to progress - integrally and laying the foundations for permanent success - something more than adapting to the conditions of the business environment at a local and international level.
For example, we must also take advantage of the advent of new ways of doing businessin line with the creative and industrial trends of the last decade.
The spokespersons consulted from Ceesp, IFC, Itesm and PwC give some recommendations on what entrepreneurs and small and medium-sized entrepreneurs should look for today in search of "sneaking" into this new stage:
Quality. In an economy where it will be more difficult to close sales, consumers and partners will not be tolerant of the "chafa": they will demand innovation and the highest quality in products and processes. Without quality goods and services, a difficult environment is lethal. If the MSME does not achieve the desired standards –in merchandise, production or business management–, training and specialized advice are a priority.
Collective mentality. "First I win" is an attitude from the past. Entrepreneurs and MSMEs must foster alliances and foster the creation of value chains. For example: MiPymes of the same category that, associated to cover the entire national territory, serve the same large corporation. Or, producers of goods that are allied with MSMEs transporters, providers of technical support or training services.
Share responsibility. The sector must take advantage of existing industrial associations and chambers or create those that are needed. Through them, needs, complaints and ideas can be expressed. Government plans that allocate resources to low-impact activities will not change on their own; To direct them towards the true growth options, criticism and business proposition are indispensable.
Start at home. The improvement of the Mexican business environment can start from the small scale: entrepreneurs and MSMEs that create well-paid and formally established jobs; that act with social and environmental responsibility; that they do not adhere to the principle of "quotas and cuates". In short: they seek to give a good life to the soul of companies, which are the workers themselves.
Fountain:
http://www.soyentrepreneur.com/
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