Business Hours In Mexico City, most offices are open from 9:00am to 5:00pm, but they can be open until 7:00pm from Monday to Friday. Most people leave for lunch around 2:00pm and take between 1 and 2 hours. The federal branch of the Mexican government has tried to institute a 9:00am-6:00pm schedule, but they tend to stay later. The local government is going by the old rules of being in by 10:00am and leaving very late at night after a long lunch break. Lunch is generally expected to start between 2:00pm-3:30pm and end between 4:00pm-5:30pm.
Dress code Mexico City is a relatively formal place, so Mexican business people wear suits. Guadalajara and Monterrey are different in that a collared shirt with pants is enough. Except for use in a beach resort, shorts do not enter into the dress code anywhere. Not even for a picnic. In fact, the easiest way to spot a tourist in Mexico City is by looking for people in shorts. If you are invited to a picnic or a tour of the countryside, dress casually but elegantly. Polo style shirts, a sweater and sports slacks are best. NegotiationsThis is difficult because it very much depends on the type of company you're dealing with. Many multinational corporations negotiate like one does in the US, but in Mexican business circles "yes" can mean no and "no" can mean maybe. In Mexico it is impolite to turn people down. As an example, if you organize a party, most people will assure you that they will attend regardless of whether they will or won't; only a last-minute confirmation will get you the right answer. Only in situations where people have no interest in the deal is it pretty common for people to refuse to take your calls (always with a polite lie), or to tell you that they'll "study the situation" and get back to you. It's the "don't call us, we'll call you" syndrome. It is important that you learn to distinguish between those cases where your business partner may need a bit more pushing and those cases where there is no chance of actually proceeding through with the deal. People like to promise you the world while they are leading you down the garden path. The best way to avoid being taken down that road is to sit down and do the numbers meticulously and with realistic assumptions. Closing a dealLike in all countries, including the US, you have to be careful and look for references from your potential business partner if you don't want to be had, or at least have your time wasted. It is important to remember that Mexican firms are often underfunded and thus can run into serious supply problems. This is a function of the dearth of credit and the cost of money (a loan in pesos has an interest rate of 25% a year; in this respect, Mexican business people are heroes). It's best to have these issues worked out beforehand. If the Mexican company is going to need a little money up-front to get the raw materials to produce what you want, then you should just make sure that they will dedicate their company to working on your order. Make sure to leave a paper trail. The exchange of money and merchandise should happen at once. Payment should be by certified check, approved credit card transaction or with a transfer of funds in a bank. If you're supplying a Mexican company, the perennial letter of credit is the best idea. Business Breakfasts and Business LunchesA lot of business is done at breakfast and/or lunch. Breakfasts are also the preferred choice to meet, get to know, and exchange information over the potential business deal. People tend to have a power breakfast and/or a power lunch, lasting over two hours, in expensive settings. Unless you want to go out drinking, breakfast is the best bet. It is impolite to split the bill. The person who is making the sale is traditionally expected to pick up the tab, or alternatively, the person who suggested or "invited'' other parties to join him/her for a meal is understood to be offering to pay for that meal. (People rarely split the bill during a business meal.) Tips, which are not included in the bill, are generally around 10%, although people are very appreciative of a good tip and they often deserve one. Return to top |
