What is the most effective first step to quickly integrate into an unfamiliar country?
Yes: Bai Pier.
In the past two days, I and the entrepreneurs of "Ask the World", with a few small hometown gifts brought from China, and a pious curiosity to knowledge, visited Huawei, Xiaomi, Alibaba, ZTE, and a company that has provided us with great help but cannot be named for various reasons.
Fellows see fellows. We're excited, and they're even more excited. Crazy output, those experiences, lessons, and pitfalls that you can't possibly know if you haven't been in Mexico for many years. I'm afraid you'll take a detour, I'm afraid you'll fall into the pit. It's really heart-wrenching.
It's so valuable. I nodded vigorously as I tried to record. That's a lot of pages. Back at the hotel, I sorted out these suggestions for a long time, and finally summarized these suggestions into 10 points after desensitization.
I call it: Ten heart-to-heart recommendations for Mexico.
If these 10 points are valuable to you, please thank our compatriots who went to sea early and shared them without reservation. If there is a mistake or omission, it must be that I don't understand deeply and haven't grasped the real core.
Good. Begin.
"Strong Dragon", but also to find the "head snake"
Once, a local entrepreneur asked me the question of how I could quickly get into someone else's "relational business".
I asked him: If there is a person today who wants to enter your city and enter the relational business that you have been running for many years, do you think it is possible?
He smiled contemptuously. Basically impossible. We have worked hard for so many years, and he can get in if he wants to.
I said to him, yes. It's the same when you enter someone else's "relational business". Every place has its own "head snake". They are intertwined in the local area, and the network of relationships and interests does not take a few years, let alone enter, you may not even understand it.
"Relationship" does not necessarily equal "corruption". More often than not, "relationship" is about the same as "trust". Why should I trust a newcomer? If you deceive me, I will withdraw, who am I looking for?
Therefore, it is very important to enter a new market, especially an emerging market where the commercial civilization is not sufficiently developed, to find the local "local snake", and to replace his local accumulation with legal methods and reasonable interests.
For example, you don't have to open a store yourself. Set aside enough profit for the "local snakes" who are really familiar with the local rules to open. They know things you may never know. For example, when will the local gangs fight on that street.
"Strong Dragon", but also to find "ground snake".
It is impossible to "go to sea" in the way of "business trip".
Just because you find the snake doesn't mean you can leave it alone.
Be sure to stay and live, socialize, and shop like a local. You have to become a local "consumer" before you can become a local "businessman". in order to truly understand the local business logic.
For example, some local people may "overpromise". I know who they are. He will come whenever I tell him to come. That's up to me. You're glad you've finally found the Snake of the Land. But the next day, he forgot about it.
In the early days, a Chinese company relied too much on local customers and could not recover billions of bad debts.
For example, businesses here start at 9 a.m. and leave at 6:30 p.m. Take a break of about an hour at noon. But their understanding of "noon" is different from that of the Chinese.
"Noon" as they understand it is 14 o'clock to 16 o'clock. So Mexico employees like to go out for lunch at 14 o'clock and come back at 16 o'clock.
Therefore, many Chinese-funded enterprises in Mexico are "eating at the wrong peak". The Chinese go out to eat a wave at 12 o'clock, and the Mexicans go out to eat another wave at 14 o'clock.
There are too many details that you can only understand when you live. Even what color pen people like to use here.
People here sign and like to sign with colored pens. For example, blue. If you sign with a black pen, he will feel that you have no respect for him.
Why? I'm curious. But I couldn't help but ask. Reasonableness is not important. Just accept it.
So, be sure to do it yourself, or send employees to be stationed locally. Otherwise, your judgment of the market, of your partners, of your customers, in the eyes of the locals, is ridiculous.
It is impossible to "go to sea" in the way of "business trip".
So, who will be stationed locally?
You need not "gold", but "plasticine"
Many people will think:
He knows that China is good, but for the sake of the company's development and personal growth, he is willing to accept the deterioration of the quality of life and spend more than half of his time in Mexico.
Although he doesn't know how to do it, and there is no model to copy, he is a person with an entrepreneurial mentality, entrepreneurial spirit, and constantly trying to explore.
He is very proficient in English. It is best to know a little Spain and be able to communicate directly with the locals; It is best to have a study abroad background and be able to adapt to overseas life; It is best to know the local area very well and be able to find the entry point quickly; Best...
These "best... Best... best", just like "1.8 meters tall, under 28 years old, with an annual salary of 1 million, a house and a car", it seems that "my requirements are not too much", but almost all Chinese men I know have been excluded.
It's for you to make a request. It's not for you to make a wish.
What kind of people should be sent to the local area?
People with strong learning ability. Especially young people with strong learning ability. Because of being young, it is about the same as having a strong learning ability.
I think China is good at everything, and I used to be the right person for everything, and I was not suitable for the overseas business. Those who are stationed in the local area must be able to forget the shape of their past, like plasticine, not forgetting their original intentions, but always filling new spaces.
The "suitable" people are not "selected" from the "old space", but "grown" in the "new space".
I see. But how do you attract such talent?
Give him enough incentives.
Leaving home is "hard", leaving enough budget to give "subsidies"
Don't think that I gave you the opportunity to go abroad and the possibility of growth, not only should you not ask for it, but you should also be grateful to me in return. What more bikes do you need?
Bosses, this idea, is dangerous.
The freshness of going abroad is only worth the price of an international air ticket. Valuable. But it's not worth a person to pay for this, or even more than a dozen years of youth. Especially, it is still paid in "hard" Mexico.
In the 80s, IBM and Hewlett-Packard "went overseas" to China. At that time, they also sent a group of young people to China. These young people, although they live in five-star hotels every day, are still holding: the hardship allowance. That is: hardship allowance.
"Hardship" subsidy?!
The Chinese at that time were very incomprehensible. Every day I squeezed the bus and my face was stuck to the window, and I didn't say "hard". There is no subsidy. You take a taxi from a five-star hotel to work every day and tell me "hard"?
It's hard to understand. But now, I can finally put myself in my shoes.
In Mexico, you can't drink boiled tap water because the heavy metals exceed the standard. Don't dare to go out for a run at night, because the gangs across the street will also come out to run. I used to think that the Chinese were too noisy, but now I think there are too few Chinese. What's more, the child asks if you can come and watch his game, and you say: let mommy go.
So, be sure to give enough allowance.
How much to give?
Many institutions will give an additional "subsidy" of about 20-40% in addition to salary. It will give free apartment or hotel accommodation, and will provide its own Chinese canteen. Home leave and airfare reimbursement will be given for a sufficient number of times in one year. Tuition reimbursement will be given to the little ones at International School. Wait a minute.
Be sure to set aside this budget. Be willing to subsidize employees. If you don't make money going to sea because of subsidizing employees, then don't go to sea. Only in this way can we attract outstanding young people, for the company's strategy, away from hot pot barbecue crayfish, Sichuan cuisine, Hunan cuisine, Huaiyang cuisine, to the back of the earth.
These are not the biggest incentives, though.
The biggest incentive is trust, independence, and rapid growth.
Overseas business is a "kite", not a "puppet"
With a bag, with money, with yourself.
A good young man landed in Mexico. Get out of the cabin. The weather was very sunny and the sun was dazzling. But his eyes darkened.
How to survive? Where is the first hammer hit? Where is the head snake?
What to do then? Let him report to you every day, and then you will tell him what to do?
It's like a basketball player rushing to the basket with the ball and calling the coach to ask if I should shoot.
At this point, the decision-making should be left to the players.
Many years ago, I had dinner with the person in charge of a hotel in Chengdu. He told me one thing.
Chengdu people like to play mahjong. Almost all hotels have a chess room. An Hotel International also wants to build one for business. So he applied to the United States headquarters.
Headquarters asked, what is "mahjong"? The person in charge of Chengdu explained for a long time. Oh. Is there a stake? Well, there is, but not much. How much is it? Is there anything more than the definition of "gambling" under Chinese law... And then there was no then, and the hotel eventually failed to build its own chess and card room.
Today, Chinese companies will encounter the same problem. Chinese entrepreneurs also need to overcome their fear of the unknown and their desire for control.
Headquarters "may" have very strong "decision-making" capabilities, but "certainly" does not have the "information" base for rapid change. So, don't try to command front-line operations. Choose the right person in charge overseas, and then manage him as a "kite", not as a "puppet".
What headquarters has to do is make some of the most important decisions.
For example, we come to Mexico and make money.
To United States is a "back attack", to Mexico is a "dive"
There are about four types of money that a company can make: scammed money, robbed money, picked up money, and exchanged money.
The money deceived is that the power bank is obviously 10,000 milliampere, but it has to be marked 20,000 milliamperes; That is, I promised to serve for 3 years, but I disappeared after half a year.
The money that was stolen is that you must sell it to me at a low price, otherwise we will not put it on the shelves; It is necessary to have a license, but the license is only issued to me.
The money I picked up was that I had planted corn for 10 years, and suddenly the price of corn had risen; It's sanctions against certain businesses, but I'm not on the list.
Scammed money. Looted money. Picked up money. These three types of money are very common. Globally. Including China. But all three types of money come from "non-commercial" factors. As soon as you leave your "resource farm", it disappears instantly. There are "borders" for this money.
So, you can't make this money by going to sea. When going to sea, you should earn "money in exchange". That is, the "absolute potential energy" of your product (service) in exchange for money.
In the early days, "Head & Shoulders" entered China by relying on the absolute potential energy of "shampoo" relative to "soap". In the early days, "Amway" entered China, relying on the absolute potential energy of "kitchen detergent" relative to "rags".
Today we enter Mexico as well. Try to build "absolute potential energy" in those areas where "competitors are too weak for you to understand". For example, high-tech. For example, price-performance ratio. For example, operational capabilities.
There is a Chinese logistics company called iMile that does local logistics in Mexico. They deliver the goods sold by Mexicans to Mexican consumers using Mexican couriers. It was a success. Why? Because today's logistics is highly dependent on digital capabilities. Digital capability is the "absolute potential energy" of the Chinese.
To United States is a "back attack", to Mexico is a "dive".
What is "produced" locally, what is "imported" as a whole
Oh. That's right. One more suggestion.
In the beginning, you can "import" your superior products from China as a whole. But gradually, you should consider whether there is a need for local "production".
Any country that allows you to enter its market has its own purpose. You make the money from it, and either you leave taxes, or you leave jobs, or you leave technology. If you find that you have nothing left but merchandise, you should be alarmed. In the near future, it may initiate protection.
For example, in the early days when foreign companies "went overseas" to China, China's policy was to "exchange technology for market". Do you want to sell cars to China? OK. But the premise is that the factory must be built in China. In this way, when you make money from the Chinese, you leave employment and technology. Or rather, leave the future behind.
It's the same in Mexico today. Of course, it may not be coerced by administrative means, but regulated by tax means.
For example, television. This is a product with relatively high tariffs. Perhaps it is possible to consider the establishment of a television factory in Monterrey. In this way, customs duties are eliminated by providing employment to the country.
This is the product dimension. There is also the national dimension. For example, Brazil and Argentina. These countries have heavy import tariffs. So maybe you can consider building factories in these countries first.
All business is a win-win situation. Give each other what they want. It's just that the business of "winning twice by yourself" is not long-lasting.
That's right, that's right, that's right. There is also a heart-to-heart suggestion. Always remember not to be too high-profile.
After all, we are Chinese.
Feelings about "United States" are complicated, and feelings about "China" are even more complicated
In July this year, the "Yiwu Small Commodities Market" located in Mexico City, the capital of Mexico, was closed for 42 days. The operation of a large number of merchants has been greatly affected.
Why was it blocked?
The direct cause is the suspected sale of contraband and non-payment of import taxes. But many people feel that the deeper reason behind this is that small commodities that are so cheap that "competitors can't understand" have moved too many people's cakes.
Mexico's feelings toward China are complicated.
When China joined the WTO in 2001, Mexico was the last to vote in favor. Because before United States trade with Mexico was very frequent. Once China joins the WTO, a large amount of trade will inevitably be diverted to China.
However, Mexico don't want to live under the absolute influence of United States. There is another big country competing with United States, and investment in Mexico is gradually evenly matched with United States, and Mexico is happy to see it.
Therefore, they welcome China, but they do not dare to welcome China too much.
In particular, many companies want to use Mexico as a springboard to the United States.
Therefore, abide by the law, do things seriously, integrate into the local society, and try to keep a low profile.
So how do you integrate into the local community?
"Use more" Mexicans, "use well" Mexicans
Use more Mexico. Use Mexico well.
Chinese who first came to Mexico often had an "unspeakable contempt" for Mexicans. Just like the United States who first came to China decades ago.
When an United States looks down on you, he won't say it explicitly. You have an accent in English, but he understands it. However, he will selectively pretend not to understand. Then, keep politely asking you to repeat. The embarrassment of your red face gives him a great sense of superiority.
The same goes for the Chinese to Mexico. Very polite at first. But once professional issues are discussed, the attitude of "don't fight with me, just do it" is immediately written on the face.
In this way, you will not be able to recruit good people. Be respectful of the "N-1" (your next level) senior Mexican staff. For people who are so strong, don't just say WHAT, explain WHY. That's how they can really reach their potential. Otherwise, the middle school and the Mo school will soon be formed.
Convergence is important. Every Chinese team that enters Mexico has to go through the process of distrusting Mexicans, to trusting, to hearing them, to observing their practices, to winning battles together, to feeling that everyone is the same.
What if the Chinese school and the Mo school really can't be integrated? Find more people from other countries. For example, India, for example, Europe and the United States. When third countries are introduced, an equilibrium will be created. What if you still can't argue? Listen to whom? Listen to the user. Put the user in the middle, and it's easier for everyone to agree.
Of course, in addition to the Mexicans of the team "N-1", it is more important to unite the Chinese in Mexico.
"Firewood" is piled up together, and the fire is more prosperous, and the "Chinese people" are not afraid of difficulties when they get together
Special thanks to the Chinese friends in Mexico.
Their enthusiasm goes far beyond the business reception between companies and companies, but also the blood between Chinese and Chinese. He hopes you are well. Because you're good, it's like he's good.
So, I was in Mexico City and saw a magical scene. The giants who usually get involved in the country play together, eat together, and attend various parties together in Mexico. Here we are all Chinese first and foremost. Then there are the representatives of the respective Chinese companies.
In the past few days, the guide has been reminding us to pay attention to safety, pay attention to safety, pay attention to safety. But there was still an entrepreneur whose bag was stolen. In addition to belongings, there are also passport documents. The Chinese Embassy in Mexico attaches great importance to it and assists in quickly reapplying for licenses as soon as possible, so as not to affect subsequent trips.
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You can clearly feel that the Chinese here are very united.
Therefore, the last piece of advice is to get in touch with the local Chinese community as soon as possible after coming to Mexico. The firewood is piled together, and the fire is stronger. Chinese people get together and are not afraid of difficulties.
All right. Tomorrow we will fly from Mexico City to Monterrey.
The Chinese companies we visited in Mexico City were more local in Mexico. Chinese companies in Monterrey are more likely to face the United States through Mexico. Because Monterrey is off the United States border, it's less than 3 hours by car.
Setting up a factory in Monterrey is a very unique "Chinese-style going to sea" under the United States' neighbor outsourcing and friendly shore outsourcing policy.
What's unique?
Well. Continue your studies tomorrow.
*Personal opinion, for reference only.
Author / Liu Run Editor / Erman Layout / Huang Jing
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