Mexico Colombia - Business Booklet

The authors Daniel García He was born and raised in the small town of Navolato, Mexico. It wasn’t until High School when he discovered his talent in marketing and graphic design. He loves traveling, cultures and languages.

Gerardo Medrano He is from Culiacan, Mexico.

He considers himself as a business young man.

He is interested in world issues and enjoys playing sports.

WELCOME

This booklet was made with the intention of inform the main characteristics and business relationship between two countries: Mexico and Colombia.

It will also contain an analysis of some theories , the comparison and tips and strategies for negotiations.

MEXICO

The official name is Estados Unidos Mexicanos

The capital is Mexico City

People from Mexico are called Mexicans

The official language is Spanish

The current president is Enrique PeĂąa Nieto

The currency is Mexican Peso

The official name is Republic of Colombia

The capital is Bogotรก

People from Colombia are called Colombians

The official language is Spanish

The current president is Juan Manuel Santos

The currency is Colombian Peso

COLOMBIA

HOFSTEDE

Analysis

By way of preamble, these two countries have very similar cultures and, therefore, their actions and perceptions towards a social or business situation may be practically the same.

Power distance deals with the attitude of the culture towards the fact that all individuals in societies are not equal. Hierarchies are common and acceptable in both cultures.

Both countries are collectivist societies, which means it is normal and necessary to stablish relationships and to belong to a group, being Colombia one of the least individualist cultures in the world.

A high score in masculinity, as in these two, indicates that the society will be driven by competition, achievement and success.

Uncertainty avoidance is the way that a society deals with the unknown future. Both try to control it instead of let it happen.

Both cultures are normative. having respect for traditions, a small propensity to save for the future, and a focus on quick results.

These two countries are indulgent, exhibiting a willingness to realize their impulses and desiring with regard to enjoying life and having fun. Mexico is one of the of the most indulgent countries globally.

Colombia

Mexico

SALACUSE

Analysis

Mexicans seek long-term relationships, have a win-win attitude, established etiquette must be followed for them, in a negotiation they may seem indirect and avoid saying "no".

The business atmosphere is easy going. Truth is based on feelings and emotional arguments are more effective than logic. Authority is vested in a few at the top and prefer consensus. Also they avoid risk.

Colombians in businesses tend to care about the relation more than anything and are very formal. They base their decision maybe in emotions or in the moment.

TROMPENAARS

Analysis

Mexicans are particularistic because they believe in human relations before rules. They usually work as a team and are very emotional. They are a diffuse culture cause they tend to not separate status and roles. They also believe that environment controls them.

Colombians are almost the same, they rely in human contact for surviving. They group in teams and show emotions. They keep the same status no matter the role played professionally or personally. They let the environment be.

DIFFERENCES If you lived in Mexico instead of Colombia, you would:

STRATEGIES If you lived in Mexico instead of Colombia, you would: Businesspeople and officials in Colombia usually have only limited exposure to other cultures except for neighboring countries. Its culture is quite homogeneous. When negotiating business here, people oft en expect things to be done ‘their way.’ However, some among younger generations may have greater international experience and can be more open-minded.

Relationships and Respect Colombia’s culture is generally group-oriented. Building lasting and trusting personal relationships is very important. People in this country usually want to do business only with those they know, like, and trust. In Colombia’s business culture, the respect a person enjoys depends primarily on his or her status, rank, and education. Admired personal traits include sincerity, integrity, and charisma.

Communication The country’s official language is Spanish but many businesspeople speak at least some English, but being able to speak Spanish is a clear advantage. When communicating in English, speak in short, simple sentences and avoid using jargon and slang. Even when the main meeting language is English, your counterparts may frequently speak Spanish among themselves, not necessarily to shut you out from the discussion but to reduce their discomfort and ensure a common understanding among them.

Initial Contacts and Meetings Choosing a local intermediary, or “enchufado”, who can leverage existing relationships to make the initial contact is highly recommended. This person will help bridge the gap between cultures, allowing you to conduct business with greater eff ectiveness.

Tip: Never call someone “parcero” or “güey” in a formal negotiation.