Impact of culture on Mexico's business

Impact of culture on Mexico's business

Introduction

A business setup has certain components that contribute crucially towards its success or failure. Most businesspeople consider the four P's of marketing to be these components. Businesses believe that the right combination of pricing, product attributes, place and promotion is what is needed to sustain a business but some theorists disagree. There is another P that is of much higher significance in the success or failure of a business. That P stands for People. It is the people that accept a business and deem it as good or bad.

The people of a place impact businesses greatly. Their culture and their preferences are crucial in deciding the fate of an organization. There have been many cases where organizations have failed to sustain themselves because they could not operate in compliance with the culture of that place. Many companies from the East have tried to establish their roots in the West but failed due to the cultural differences and vice versa (Carmack, 1996).

The country of Mexico is rich with culture and history. From the early days of the Red Indian and the Apaches to the latter domination of American Cowboys and their very famous 'Gringos', the country is filled with colour, spices and culture from different backgrounds (Bozyk, 2006).

Discussion (interdependence of nations and the need to break cultural barriers)

Today, the world has become a global village. It has evolved into one single marketplace where the main mode of communication is the internet. With the advent of the World Wide Web, boundaries between nations have been eliminated. Today, a person sitting in one part of India can easily buy a pair of shoes from another person sitting in New York. Businesses have realized the need to operate in more than one country and how it contributes towards lower costs and higher returns. Multinational businesses efficiently utilize resources available in different countries they operate in and use these resources to achieve better productivity. To be able to do this efficiently, businesses need to move beyond the barriers posed by cultural differences. Businesses need to be diverse and flexible. They need to incorporate different cultures into their systems so that they are easily accepted regardless of the place they operate in.

Identification and analysis of Mexican culture

Mexico has a complex history filled with wars and revolutions. This reflects in their culture. Mexicans are proud of their cultural heritage and are not afraid to display it through their dance, music, language and dressing. Their culture displays colours and masculinity. Their society is mainly male-oriented and slightly conservative as compared to the USA and other countries of the West (Diehl, 2004).

Variables at play

When operating in a country, there are a lot of factors that a business has to consider. Every country has its own culture, history and background. For example, if a company wishes to operate in the UK, it would have to consider the fact that 'women empowerment' is a strong factor in their ...