Looking for New? It’s in another country

21 06 2007

Comments from yesterday’s post New is a requirement got me thinking about how living and working in another country moves your “comfort zone” and exposes you to lots of New.

There is a tendency to forget that this New soon becomes part of our routine and becomes integrated in our system of evaluation and processing of experiences.

Working internationally has been my biggest source of New for the past 30+ years in my personal and professional life.

It invigorates and challenges me.

It’s not always fun, or easy.

Living and working internationally has taught me:

  • Patience. It always takes more time than you think.
  • To listen before acting, reacting or responding.
  • To be humble. I don’t know it all, there is always something else to learn in order to understand.
  • To deal with frustration. When it’s not happening just the way you want it to, it means there is a different way to do it, find the alternative or live with the current situation, stop the whining and complaining.
  • New ways to solve problems. Not everyone culture approaches or attacks a problem the same way.
  • To analyze several solutions before making a final decision. What’s right at home may be 100% wrong in your current situation.
  • Most people are honest, fair and open, however being a strange face in a strange land brings out a certain criminal element that may find you irresistible (especially in the transportation sector).
  • People express themselves and their true feelings very differently, especially when it comes to solving conflicts.
  • Food ingredients and table manners are wildly different and can create physical and/or psychological reactions that were previously unknown to me.
  • There is no “right” way to live, solve problems or compete.
  • Politics and religion can be discussed, but should never be debated. Never.
  • Travel is not glamorous, restful, or easy. Takes a great deal of preparation, adaptation and improvisation to make it work.
  • Hospitality, manners and paying attention to detail are incredible important in making and maintaining relationships (host and guest).
  • Guides are important. These may be other business people, local residents, books or information about the people, place and culture. Learn, learn, learn and ask lots of questions, it pays off.
  • To be fair. Make deals and agreements as if you are going to be working with that company or individual for the next 20 years.
  • To see the “Big Picture”. Relationships, government policies, customs and cultural differences all interact and I begin to see larger issues being affected by my smaller decisions and preoccupations.

What about you?

What New did you confront, discover, embrace, enjoy or hate while living or working in another country?

Related Links

New is a requirement

International business tips

Cultural Misunderstanding- it can happen to you

Create great international business relationships

Great International Business Trip Results

16 Essential questions – the international business traveller’s quiz






Difference between a global, transnational, international and multinational company

18 06 2007

We tend to read the following terms and think they refer to any company doing business in another country.

  • Multinational
  • International
  • Transnational
  • Global

Andrew Hines over at BNET has brief and clear definitions of each of these terms, Get your international business terms right.

Each term is distinct and has a specific meaning which define the scope and degree of interaction with their operations outside of their “home” country.

  • International companies are importers and exporters, they have no investment outside of their home country.
  • Multinational companies have investment in other countries, but do not have coordinated product offerings in each country. More focused on adapting their products and service to each individual local market.
  • Global companies have invested and are present in many countries. They market their products through the use of the same coordinated image/brand in all markets. Generally one corporate office that is responsible for global strategy. Emphasis on volume, cost management and efficiency.
  • Transnational companies are much more complex organizations. They have invested in foreign operations, have a central corporate facility but give decision-making, R&D and marketing powers to each individual foreign market.

Andrews’s advice is if in doubt about the right term to use, try the generic term “international business”.

Related Links

Get your international business terms right

BNET





Questions – Answers, Doing business in Mexico

14 11 2006

Have any questions about how to do business in Mexico?

Any specific problems or dilemmas related to doing business in Mexico?

Questions about the business culture in Mexico or Mexican culture in general?

Would you like to know more about a specific theme related to Mexican business?

Need references or information about organizations, people or associations in Mexico?

Send your questions to me at   lee.iwan  at  gmail.com
or post a comment here.

Related Links

How to do business in Mexico

Official government websites of the 32 Mexican States 

The definitive dialing guide for calling Mexico

Shorten your learning curve about Mexico

Business South of the Border





Great International Business Trip Results

16 10 2006

In any international relationship communication and understanding are critical for success.

Problems created by; language, stereotypes, misinformation, lack of information, and cultural misunderstandings combine with normal business problems to create a complicated scenario for anyone involved in international relationships and global business.

Prepare your international meetings and business presentations using the following questions as a guide to organize your ideas and focus on actions that will produce positive results for everyone involved.

6 Questions – Create Great International Business Trip Results

  1. What does this organization know about me, my company and my country?
  2. What do they think they know about me?
  3. What can I tell them that they do not know?
  4. What do I know about my international partner, culture and country?
  5. What do I think I know about this business, culture and country?
  6. What can they tell me that I do not know?

1. What does this organization know about me and my company. When you walk in the room an opinion has already been formed about you, your organization, and your ability to perform in the future. These ideas are based upon facts, information and past experience.

  • What has been the history of our relationship in their country?
  • Who has been involved in our mutual business, and why?
  • What promises have been made and kept by both?
  • What promises have been made and not delivered upon?
  • What have the major problems and success been in the past?
  • Press and media, our organizations promotional material.

2. What do they think they know about me. Clarifying the unknowns or presumed realities in a relationship is crucial to success. These ideas may be very damaging and limit your ability to trust one another. What stereotypical behaviour can you avoid or prevent? What can you clarify or refute through information or actions?

  • Behaviour and reacts based upon past experience with your organization.
  • Rumour and innuendo, press and media reports.
  • Negotiation styles.
  • Business objectives.
  • Behaviour, goals and methods of doing business based upon country and cultural stereotypes.

3. What can I tell them that they do not know. Today’s business world requires trust, information and solutions. Reinforcing your need to work with your international partner, providing important information or solutions, and clarifying misunderstandings can only help the relationship.

  • Clarify or destroy cultural stereotypes.
  • Clarify business objectives and why they are important in order to reach these objectives.
  • Provide solutions and alternatives to existing situations and challenges.
  • Provide information of value for their business and strategy.
  • Clearly identify current or potential business problems.
  • Predict and have answers ready for their questions.

4. What do I know about my International partner, culture and country? What do I know is true and not innuendo or interpretation? The numbers, facts, information, agreements and past performance history of the business. Information about the country and the business culture.

5. What do I think I know about this business, culture and country? What preconceived ideas and stereotypes are you working with? What are you assuming and what has been proven?

6. What can they tell me that I do not know? What questions do you need to ask in order to verify information or create plans. What pieces of your information puzzle are missing? This is the time to get your questions answered, what are they?

Related Links

Cultural misunderstanding it can happen to you

Stereotypes and global business

Create great international business relationships

16 Essential questions – the international business traveller’s quiz

Lessons in international business





The New Mercenaries – Outsourcing

13 10 2006

Mercenary, as defined by the American Heritage Dictionary: Motivated solely by a desire for monetary or material gain. One who serves or works merely for monetary gain; a hireling.”

Using this definition, and forgetting the military connotations of the word (warrior for hire). The term mercenaries can be used to describe outsourcing suppliers and organizations.

Our outsourcing mercenaries are individuals or organizations that are motivated solely by monetary gain and do not share our organizations philosophies, ideals and interests.

We are hiring mercenaries to manufacture our goods, “do the dirty work”, buy time and help us compete better (and win) against the competition.

Are we weighing the long term risks of this outsourcing strategy?

Beyond the current short term cost benefits, have we identified the long-term strategic and control risks to our organizations by embracing outsourcing?

There are inherent dangers and advantages to using mercenaries. What can history tell us of mercenaries and the long term results of depending upon them?

Niccolò Machiavelli in The Prince (a book about the strategy of power and control), wrote that mercenaries were not loyal, dangerous and even useless: “He who holds his State by means of mercenary troops can never be solidly or securely seated. For such troops are disunited, ambitious, insubordinate, treacherous, insolent among friends, cowardly before foes, and without fear of God or faith with man. Whenever they are attacked defeat follows; so that in peace you are plundered by them, in war by your enemies. And this because they have no tie or motive to keep them in the field beyond their paltry pay.”

The decline of the Roman Empire has been linked to the use and dependence upon mercenaries. The failure to control them, and their infiltration into positions of command and control inside the government.

Mercenaries

  • Historically tend to overthrow the power or control they do not like.
  • Adopt strategies to protect themselves from danger and risk.
  • If talented, will seek to increase their power, and if incompetent will ruin their employer.
  • Have no loyalty to the employers ideals, goals or objectives.
  • Are marked by their materialism.
  • Create their own agendas and goals
  • Their first priority is to themselves and self preservation.

Using (outsourcing) mercenaries can be positive when:

  • There is total control and agreement regarding training, quality, standards, and continual improvement.
  • The competition has access to equal or reduced resources in order to hire mercenaries.
  • There are clear short term objectives and goals, at which point the contract is finished and/or renegotiated.
  • There is clear recognition that their intervention is specialized, unique and required to create an advantage for swift campaigns or to solve specific problems.

Mercenaries and outsourcing become a risk or hazard to your organization when:

  • Mercenaries reach a level of importance and power, where their absence will provoke or contribute directly to your failure.
  • They understand your entire process or have access to your “secrets”.
  • When the competition can pay more for their services than you can.
  • Objectives are not clear, and contracts are not specific.
  • Quality standards fall, or the organization accepts below standard levels of work or products.
  • Mercenaries are relied upon to provide long term stability or to reach long term goals for your organization.
  • You forget that mercenaries respond to power and money, and not on providing quality “soldiering”.
  • You believe that by hiring mercenaries you have eliminated risk from your operations.

What risk factors and changes occur in our organization when we relinquish control over the entire process by using outsourcing mercenaries?

What happens when our outsourcing “partner” says no or begins to work for the competion?

Are we outsourcing because everyone else is, or are there fundamental long term strategic and economic reasons that support the decision?

Related Links

The Dangers of Outsourcing and What You Can Do About It

Reining in Outsourcing Risk





What can we learn from the piracy business model

10 10 2006

Here is a interesting way to view, prepare for and compete against businesses copying and pirating your content or products.

Piracy is a business model. Anne Sweeney, co-chair of Disney Media Networks and president of Disney-ABC Television Group, announced during a keynote address at MIPCOM. While her focus was on the pirating of media content, the same message applies for manufactured goods.

“It exists to serve a need in the market….. Pirates compete the same way we do – through quality, price and availability. We don’t like the model but we realize it’s competitive enough to make it a major competitor going forward.

What’s so amazing about this?

Taking the piracy is a business model approach allows us to analyze the business model and how it is acting or reacting to the economic fundamentals in the market.

Instead of locking up our company secrets and seeking punishments for the pirates, we can analyze why and where our “competition” is taking advantage of us in order to strengthen and modify our business model.

None of this changes the actual situation. But it might change business strategies and planning when you realize they are competitors and they are here to stay.

What are the advantages of being a pirate, and the disadvantages?

Why are there opportunities for them? What should I be doing that I’m not?

How can I change my organization to take back the market from the pirates?

Once weaknesses in the piracy business model are identified they can be exploited. When strengths are discovered, they can be integrated into our own business model.

The fight against piracy should begin with a focused analysis of the market environment, existing business models and new strategies on how to adapt to the changing market conditions and exploit them to your advantage.

We can stop focusing on the individual “pirates” and their control or capture, and move toward competing intelligently against them.

Related Links

The easy way

The power of something extra

Netribution – Disney Co-Chair recognizes ‘piracy is a business model’

Boing Boing – Disney exec: Piracy is just a business model

@MIPCOM Piracy is a business model


 





Lessons in international business

10 10 2006

The most difficult part of doing business overseas will occur when you have to explain your country’s politics and culture, and provide answers on why you do things the way you do.

Related Links

Cultural misunderstanding it can happen to you

Stereotypes and global business

International business traveller, ambassador, explorer, map-maker





Maquiladoras in Mexico

28 09 2006

An Internet search for the definition of the terms maquila and maquiladora will turn up quite a variety of ideas and interpretations.

The maquiladoras have created quite an emotional and political reaction on both sides of the US and Mexico border. They have been accused of stealing jobs from the US, promoting sub-standard working conditions, lowering wages, exploiting workers, and not contributing to the Mexican economy.

Despite the controversy, the maquiladoras are growing and thriving in Mexico. They offer attractive benefits to organizations that are seeking competitive production and assembly costs, skilled labor and Mexico’s proximity to the US market. Recently many transnational organizations that moved manufacturing operations to China in the 1990’s have moved back to Mexico due to cost and logistic advantages.

Maquila and Maquiladoras – definitions and activities

  • The term maquila comes from the Spanish term that refers to the portion paid (in grain, flour or oil) to a miller for milling a farmer’s grain.
  • Maquiladoras are legal entities under Mexican law, with special tax privileges, they provide service, assembly or manufacturing operations.
  • Maquiladoras are able to import raw materials or semi-processed materials from foreign countries, in order to service, process or assemble them in Mexico, and then export the finished product back to that country. These activities take place without the collection or payment of import, export or V.A.T. (value added tax) taxes.
  • The maquiladora program was created by Mexico in order for foreign organizations to take advantage of low labor costs in Mexico (primarily the USA), and to provide employment to Mexican workers in Mexico. Initially the maquila operations were located close to the US border. Currently maquila operations can be found throughout Mexico.
  • Maquiladoras can be 100% foreign owned, 100% Mexican owned, or a joint venture between Mexican nationals and foreign investors.
  • Maquiladoras are also known as twin plants, in-bond industries, export assembly plants and offshoring.
  • The maquiladoras in Mexico suffered from a crisis of plant closings in the 1990’s and early 2000’s as many companies moved operations to China. Since 2004, Mexico has seen a resurgence of the maquiladoras.

  • Check with your attorneys and accountants in Mexico about the specific benefits of the maquila program. As of September 2006, there were important legal changes (simplification and consolidation of government compliance and monitoring programs) that will affect current and future maquiladoras.

Related Links

Why you should pay attention to free trade treaties

Industrial and business parks in Mexico


Official government websites of the 32 Mexican states

Maquila and Maquiladoras in Mexico





Why you should pay attention to free trade treaties

27 09 2006

Globalization, transnational companies, global sourcing and outsourcing, free trade, do any of these terms sound familiar?

Obtaining products and raw materials for the lowest price possible is a fundamental concept in business. Today organizations are looking for manufacturers and locations worldwide where they can find lower costs of production in order to remain competitive.

Combine the factors of: quality control, low cost production, logistics costs, and the time involved to get the product to market from the factory, and you understand the challenge of doing business and sourcing products in today’s global economy.

To truly determine the final cost of the product, all these factors must be calculated. This will determine which country offers the best competitive advantage. Make sure you are analyzing any existing free trade agreements when you are seeking suppliers globally.

Free trade treaties between countries have a significant impact upon the final cost of goods. These free trade agreements eliminate the tariffs and taxes on imported and exported goods between the countries involved, depending upon their concentration or percentage of “local” or national raw materials (including labor), as specified in the free trade agreement.

Free trade agreements between countries are of great importance and value only if are exclusive and not accepted by all trading countries. The more free trade is embraced by the international community (through treaties or elimination of import and export tariffs) the less impact the current free trade agreements have in determining competitive advantages for a single country.

Here is a simple example of how the NAFTA (North American Free Trade Agreement) free trade treaty between Mexico and the USA, would favor the US supplier over a Chinese supplier.

Example of free trade agreeement competitive advantage:

US supplier to Mexico. If I want to purchase paint made by a US paint manufacturer and have it shipped to my warehouse in Mexico, my total cost to bring the goods to my warehouse in Mexico would be the cost of the paint, plus freight and customs clearing costs. There is no import tariff on this product due to the NAFTA free trade treaty. It would take 4 – 6 days to arrive in my warehouse in Mexico once the product has been shipped from the USA.

US paint $ 20.00 + Freight $ 4.00 + Customs $ 1.00 = $ 25.00 total cost of the US product in my warehouse in Mexico

Chinese supplier to Mexico. If I purchase the same product, from the same transnational company, but it is manufactured in China. Transportation time is 40 days from date product is shipped from China.

Chinese paint $14.00 + Freight $ 8.00 + Customs $ 1.00 + Import tariff (13% of CIF value) $ 2.86 = USD $ 25.86, total cost of the Chinese product in my warehouse in Mexico.

In this example the final cost of the product is $ .86 lower from the US supplier as compared to the Chinese supplier, despite a lower initial product cost. Factor in the financial cost and time required to move the product from the factory to my warehouse, and the lowest final cost in this case would clearly come from purchasing product from the US supplier.

Mexico’s aggressive free trade strategy

Since the 1990’s Mexico has bet heavily on international free trade agreements as a method to improve their competitive advantage and increase their manufacturing base and attract foreign investment.

Mexico has signed 11 existing free trade treaties and 2 complementary economic agreements with 42 countries. It is the only country in the world to have standing free trade agreements with North American and the European community.
The free trade agreements have greatly increased international competition (imports) in Mexico (good for the consumer).

Free trade agreements have allowed Mexican exports to increase and reach destinations and markets that were closed before due to tariffs and costs. There has been increased foreign investment from countries that desired to use Mexico’s free trade competitive advantage for international manufacturing and export projects.

The Mexican manufacturers and suppliers of the national Mexican market were given a “sink or swim” option. Virtually overnight (many of the treaties were phased in over a period of 3 – 10 years), their previous protected market was filled with imported goods (more competition, lower cost, higher quality).

Those that have survived the “invasion”, have had to improve their efficiency, quality and costs. Making them much more competitive in todays global economy.

Britannica’s Definition of free trade:

“Policy in which a government does not discriminate against imports or interfere with exports. A free-trade policy does not necessarily imply that the government abandons all control and taxation of imports and exports, but rather that it refrains from actions specifically designed to hinder international trade, such as tariff barriers, currency restrictions, and import quotas. The theoretical case for free trade is based on Adam Smith’s argument that the division of labour among countries leads to specialization, greater efficiency, and higher aggregate production. The way to foster such a division of labour, Smith believed, is to allow nations to make and sell whatever products can compete successfully in an international market.”

Related Links

Mexico and international free trade agreements





Mexico and international free trade treaties

19 09 2006

Mexico has signed 11 international free trade treaties and 2 complimentary economic agreements since 1993.

Mexico is the only country in the world with active free-trade treaties that cover North American and the entire European Community.

These free trade agreements have made Mexico highly competitive in terms of manufacturing for export to world markets, for the importation of raw materials for manufacturing and for the import of consumer goods for sale in Mexico.

The free trade agreements currently in place include:

  • TLCAN – Includes Mexico, USA and Canada – Initiated January 1, 1994 (NAFTA in English)
  • TLC-G3 – Includes Mexico, Colombia and Venezuela – Initiated January 1, 1995
  • TLC Mexico-Costa Rica – Includes Mexico and Costa Rica – Initiated January 1, 1995
  • TLC Mexico – Bolivia – Includes Mexico and Bolivia – Initiated January 1, 1995
  • TLC Mexico – Nicaragua – Includes Mexico and Nicaragua – Initiated July 1, 1998
  • TLC Mexico – Chile – Includes Mexico and Chile – Initiated August 1, 1999
  • TLCUEM – Includes Mexico and the European Union (Austria, Belgium, Denmark, Finland, France, Germany, Greece, Holland, Ireland, Italy, Luxembourg, Portugal, Spain, Sweden, United Kingdom, Cypress, Czech Republic, Estonia, Latvia, Lithuania, Malta, Poland, Slovakia, Slovenia) – Initiated July 1, 2000.
  • TLC Mexico – Israel – Includes Mexico and Israel – Initiated July 1, 2000
  • TLC Mexico – TN – Includes Mexico, El Salvador, Guatemala and Honduras – Initiated on March 15, 2001 with El Salvador and Guatemala and June 1, 2001 with Honduras
  • TLC Mexico – AELC – Includes Mexico, Iceland, Norway, Liechtenstein and Switzerland – Initiated July 1, 2001
  • TLC Mexico – Uruguay – Includes Mexico and Uruguay – Initiated in July 15, 2004
  • AAE Mexico – Japan – Includes Mexico and Japan – Initiated April 1, 2005

In addition there are Complementary Economic Agreements (ACE’s) in place with Brazil and Argentina.

Related Links 

Why you should pay attention to free trade treaties 





Business in Mexico, conversation themes

15 09 2006

When going to Mexico for business, be prepared for conversations. Mexicans are social people. They love to gather in groups and socialize. You can be assured of plenty of conversations during your visit.

Most business meetings and business dinners will involve a great deal of conversation of off-topic ideas before getting to business. Your ability to participate and keep the conversation moving is an important part of creating trust and the bonds required for doing business successfully in Mexico.

What topics are of general interest in Mexico?

Be cautious about introducing your personal opinions about politics and religion. Asking others to explain the current situation, so that you can understand it, is a safe way to venture into themes related to politics and economics.

Currently (September 2006) the following themes are sure to provoke conversations, discussions and opinions when in Mexico.

  • The recent Mexican presidential elections. Predictions for the future, scenarios, how it will might affect business and Mexico.
  • Your industry or business sector. Any international or national news, information, gossip, trends or tendencies related to your business sector.
  • Infrastructure projects in the city or state where you are visiting
  • China and it’s impact on the Mexican economy
  • Children and family
  • News or current events that can be found on the front page of the local or national newspaper
  • Recommendations on when and where to vacation in Mexico

Related Links

Create great international relationships

Advice on what to expect when doing business with Mexico





Cultural misunderstanding, it can happen to you.

15 09 2006

When we think of industry leaders in marketing and branding, Disney comes to mind. Geniuses in promoting their brand. Magnificent marketers. Leaders in the theme park industry. Universally recognized brand.

What could possibly go wrong with their expansion into Hong Kong and the Asian-Pacific market? Cultural misunderstanding.

Expansion into international markets and working with other cultures has created unforeseen headaches and problems for Disney once again. Disneyland struggles in Hong Kong

This is not the first time Disney has encountered cultural problems in international projects. EuroDisney also suffered from problems related to culture and customs that were not predicted or not taken seriously.

Disney is not alone. Virtually all organizations seeking to export and participate in international markets face steep learning curves about culture, customs and manners. Mistakes are made, at times very costly mistakes.

The lesson to be learned is to spend the time and money to understand your international markets and the culture where you will be doing business. It’s not enough to understand your brand and current customers. Never underestimate any cultural factor, and never assume that your model, project or way of life will be embraced fully and without reservations.

Related Links

Create great international business relationships

Stereotypes and global business





Stereotypes and global business

8 09 2006

A stereotype is defined as an unvarying form or pattern, specifically a fixed or conventional notion or conception of a person, group, idea, etc., held by a number of people and allows for no individuality or critical judgement. (Webster’s New World Dictionary, 1998)

Stereotypes are representative of a society’s collective knowledge of customs, myths, religion, ideas and sciences (McCrea,Stangor and Hewstone)

Working with global clients and international cultures provides the opportunity to breakdown and destroy existing stereotypes. Global business encourages and forces a confrontation of cultures and preconceived ideas.

Successful international trade and business is all about marketing. Marketing your product, yourself, the organization, your country and customs. Changing fixed and conventional notions and beliefs.

Interactions with other countries and cultures will be successful when we create an atmosphere of trust, build enthusiasm and excitement, and project an image of the organization or product that appeals to, and will be embraced by the client.

In essence, we are breaking the old stereotypes and helping to create new ones.

Related Link

International business traveller – ambassador, explorer, map-maker

7 tips for doing business internationally





Top 4 growth industries in Mexico

7 09 2006

I’m often asked what opportunities are available in Mexico. My answer is always the same. Mexico has enormous potential and many opportunities for business.

A better question is “what do you want to sell or invest in”? Without a doubt you will find that Mexico is a receptive market.

Here is my list of the top 4 industries and areas with great growth potential in Mexico.

The top 4 growth industries in Mexico

Construction – You name it and it will be built in Mexico in the coming years. Mega-infrastructure projects (electric plants, hydroelectric dams, highways, airports, marinas and ports, petroleum extraction), commercial, industrial and office construction and residential projects can be found in abundance throughout the country.

Tourism – Big push to develop tourism from the Federal, State and local governments. Tourism is a priority item on government agendas including: high-end hotels and resorts, sports and eco-tourism, business and professional events. Mexico has perfect weather, incredible rich history, open and accessible culture, thousands of miles of beaches, deserts and jungle, and easy access to the USA and Canada.

Medical and Pharmaceutical – Another government priority. Emphasis on preventative medicine and improving the quality of life provides rich areas of opportunity. The demographics in Mexico show that the market is growing and will continue to do so.

Security – This industry will remain strong and show exceptional growth in the future. There is strong demand by private industry, government, telecomunications and computer-related activities, the financial industry, international commerce, and the transportation industry to name but a few.





How to create an international business travel destination file

31 08 2006

The international business traveller has a lot of work to do before each trip. The preparation of the journey can be complicated and usually requires quite a bit of time in order to finalize visas, appointments, hotels, transportation, and tickets and connections.

I highly recommend an international travel destination file be created and maintained for the countries and business destinations that you or your organization travels to.

This should be updated each time someone visits the destination. This important accumulated business travel information will save time, money, trouble and aggravation for everyone required to travel in the future.

Notes should be written during the trip and a final executive summary presented and filed at most 5 days after your return. This is not a personal travel diary, and should be focused on providing practical useful information for the next person who is required to visit the destination on business.

The file should contain the following information and observations:

  • Is a visa required?  Contact information for the embassy or consulate, required information that must be submitted and the time required for the process from start to finish.
  • Travel agency and airlines used. Comments and observations about flights, connections, and prices.
  • Information about hotels that you have stayed in, names, addresses, telephone and fax numbers, email. Comments about the cost, distance to clients, pros and cons. security and other observations.
  • Alternative hotels to consider for the next trip and contact information.
  • Airports, names and airport 3 digit code. What services are available at the airport, money changing, auto rental, taxis, airport taxes upon arrival or departure, how far from the city or hotel, other comments.
  • Restaurants, recommendations, places to avoid, addresses and contact information.
  • Information and comments about business manners; the way people dress, gift giving, what NOT to do, other observations.
  • Cultural tips and observations. What and when do people eat. Tipping, what is correct. What to do or where to go in your off time.
  • Weather and climate. Recommendations for how to dress and what to pack.
  • Information about average costs, hotels, meals, transportation, and other related business costs
  • Other observations: What would you do differently and why? What would make the trip better or more efficient the next time? Recommendations for the next traveller from your organization.

The institutionalization of this information will result in more efficient planning and execution of travel plans, better administration of costs and time, and more satisfaction for the international road warriors in your organization. They can dedicate their time to getting work done, and not about travel worries.

Related Links

International business traveller -ambassador, explorer, map-maker

16 Essential Questions – International Business Traveller’s Quiz

7 Tips for doing business internationally

International Business Trip Planning, Part 6

International Business Trip Planning, Part 5

International Business Trip Planning, Part 4





International business traveller – ambassador, explorer, map-maker

21 08 2006

The critical roles played by international business travellers.

International business travellers play an incredibly important role as ambassadors, explorers and “map-makers” inside their organizations and with their overseas contacts.

Ambassadors, Explorers, and “Map-Makers”

Ambassador of your country and culture. During your trip your actions and reactions are being watched by others. They are trying to confirm, deny or create stereotypes of your country. Everything including your inter-personal skills, business negotiation skills and manners, the way you dress and eat, your choice of hotels, table manners, social skills, and the ability to make small-talk and conversation will be watched, examined and commented upon after you leave. Keep this idea clear at all time during your trip, it is important.

Ambassador of your company. Prepare and bring all materials required for the negotiations and business interactions. Project an aura of professionalism, a willingness to learn and share, and honesty. Create relationships with a long-term vision. You may be promoted or leave the organization some day, but your international contacts will continue to do business with your company.

Ambassador of you. International business is all about relationships, and your behaviour and attitudes are critically important as the liaison and trusted representative. Make promises you can keep, follow-through on the projects and projects. Project honesty and a concern for doing business and maintaining relationships. Your actions should focus on creating a climate of trust and open communication. Don’t try to be someone you are not.

Explorer. The international business traveller, technicians, and sales and business development executives have the added responsibility of verifying existing information, establishing new contacts that will be beneficial in the future, and discovering new ideas and opportunities. It requires an inquisitive character, a bit of courage and a spirit of adventure.

Map-Maker. Often neglected by organizations is the cultural, political and personal information gathered by international business people. This information (or data), should be gathered, filtered and consolidated, and available to the organization after every overseas trip. “Maps” should be made for future consultation and reference. The map-making role requires the separation of the facts from interpretation, personal anecdotes and opinions. This information becomes the foundation for all future strategic and operating decisions.

Related Links

7 Tips for International Business

16 Essential Questions – International Business Traveller’s Quiz

How to do Business in Mexico, Parts 1 – 28

International Business Trip Planning, Part 6





Tip: How to call Mexico from the US

16 08 2006

Calling Mexico from the US can be confusing to the novice.

To dial Mexico from outside the country, you must dial “011” (access code) followed by the country code.

Mexico’s country code is “52” (country code).

Next is the area code. Mexico telephone numbers have a three digit area code followed by a seven digit number for most of the country.

The exception to the rule (and this is Mexico, there are always exceptions to the rule) can be found in 3 cities; Mexico City, Guadalajara and Monterrey. These cities have a two digit area code followed by an 8 digit number:

  • Mexico City “55” + 8 digits, area code is 55
  • Guadalajara “33” + 8 digits, area code is 33
  • Monterrey “81” + 8 digits, area code is 81
  • All other cities in Mexico “3 digits” + 7 digits, area code contains 3 digits

If you were to dial Mexico City: “011” + “52” + “55” + telephone number (8 digits)

If you were to dial Acapulco: “011” + “52” + “744” + telephone number (7 digits).

  • UPDATE October 17, 2006 – If you are dialing a Mexican cellphone from the USA after November 4, 2006, you must dial “011” – “52”- “1” -“Area Code” – “Telephone number”, this new rule covers 90% of the cellular phones in Mexico. Changes for Dialing Long Distance to Cellular Phones in Mexico

Selected area codes for some Mexican cities:

 

Acapulco “744” + 7 digits
Aguascalientes “449”+ 7 digits
Apizaco “241”
+ 7 digits
Cabo San Lucas “624”
+ 7 digits
C
ancun “998”+ 7 digits
Celaya “461”
+ 7 digits
Chihuahua “614”
+ 7 digits
Ciudad del Carmen “938”
+ 7 digits
Ciudad Juarez “656”+ 7 digits
Cuernavaca “777”
+ 7 digits
Culiacan “667”
+ 7 digits
Durango “618”
+ 7 digits
Ensenada “646”
+ 7 digits
Guadalajara “33” + 8 digits
Guanajuato “473” + 7 digits
Irapuato “462”+ 7 digits
Ixtapa “755 + 7 digits
Jalapa “932” + 7 digits
Juchita “971” + 7 digits
Leon “477” + 7 digits
Los Mochis “668” + 7 digits
Matamoros “871”
+ 7 digits
Mazatlan “869”
+ 7 digits
Merida “999”
+ 7 digits
Mexicali “686”
+ 7 digits
Mexico City “55” + 8 digits
Monterrey “81” + 8 digit
Morelia “443” + 7 digits
Nogales “631”
+ 7 digits
Nuevo Laredo “867”
+ 7 digits
Oaxaca de Juarez “951”
+ 7 digits
Playa del Carmen “984”
+ 7 digits
Progreso “861”
+ 7 digits
Puebla “222”
+ 7 digits
Puerto Vallarta “322” + 7 digits
Reynosa “899” + 7 digits
Saltillo “844” + 7 digits
San Francisco del Rincon “476”
+ 7 digits
San Miguel Allende “415” + 7 digits
Silao “472” + 7 digits
Tampico “833” + 7 digits
Tijuana “664” + 7 digits
Torreon “871” + 7 digits
Veracruz “229” + 7 digits
Villahermosa
“993” + 7 digits

intl. access + country code + area code + telephone number

“011” + “52” + “2 or 3 digit area code” + “7 or 8 digit telephone number”

For a complete list of all Mexican cities, check out the TELMEX area code search page (in spanish) Link

 

Related Links

What to dial in order to reach a cellular phone in Mexico

How to do business in Mexico

How to negotiate with Mexican business people

Mexican official (and unofficial) holidays

Advice on what to expect when doing business with Mexico

Meeting people in Mexico – kiss, shake hands or hug?

Before you go on your business trip to Mexico

Tipping Guidelines for Mexico

Official Government websites of the 32 Mexican states





Reached our limits or just bored?

15 08 2006

Who or what is or will be the next NASA?

What organization today represents the maximum in scientific knowledge and cutting edge technology and goals?

Who is shooting for impossible goals, capturing our imagination, defining the limits of human achievement?

The companies are out there, we may even be working for them.  Why don’t we know about them?

Are the now too many of them, and our attention is distracted?

Or is it that we don’t care anymore?





International business travel, the end of an era?

11 08 2006

Once again the airline industry is about to have their security guidelines changed in order to accomodate new perceived threats by terrorists. The arrest of 24+ people in London involved in plotting terror attacks aboard airplanes is being heralded in the press and blog world as the end of business travel, the end of an era.

It’s true that business travellers will be the most affected group if new security regulations are put in place to limit carry-on luggage, liquids and electronic equipment. International business travellers will surely suffer most, 8 to 14 hour flights beg for a carry on bag crammed with items that may now be eliminated by new regulations.

The thought of making the trip from LA to Hong Kong, without my water bottle, my contact lens solution, saline spray, Ipod and reading material would make me seek an alternative. Perhaps I would pass the opportunity to meet face to face, and try to do the business via telephone, VOIP, or fax, accepting that fact that the outcome wouldn’t be the same. How many others would do the same?

I believe face to face meetings are an essential part of doing business, and more so for international relationships. But there comes a time when the trip itself is so painful and uncomfortable that we do seek alternatives that are easier and more pleasant, or we charge more in order to suffer the inconvenience.

Two thoughts come to mind:

1. How will global business be affected? How many of us will seek an supplier or customer that is closer to home? How will business change if international travel is severely affected? Will business travellers embrace communication technology in order to make things happen as they used to? Will international business travellers request more compensation, raising the cost of doing business?

2. What will the airlines do to adapt and make it safe and comfortable for their business travel customers? Will they provide, contact lens solution, creams, and bottled water for their customers as part of the standard service? How can they turn this gigantic lemon into lemonade?





Sales and marketing terrorism

10 08 2006

The recent media coverage of political terrorism throughout the world has me reflecting on terrorism and extreme sales and marketing tactics in the business world.

Every industry has individuals or organizations that use drastic, pointless, unethical or dangerous economic tactics in order to increase income or market share in the short term. This use of drastic and irresponsible actions can be called sales and marketing terrorism.

The goal of sales and marketing terrorism is to create immediate change, instill panic and chaos, or further the goals of one group who cannot or are not willing to work with the current system of rules, regulations and norms.

Many times the reaction to these isolated incidents will severely impact the industry, market or specific businesses. Reactions can result in increased government legislation, more government or industry intervention, increased costs of doing business, loss of revenue and reduced customer confidence in the organization or industry.

Some examples of “sales and marketing terrorism”:

A competitor who initiates a campaign of extreme discounts or low prices (dumping) in order to eliminate a competitor or increase market share.

A marketing campaign that uses lies and innuendo to reduce the reputation of a competitor or industry segment.

Products of extremely poor quality (below expected consumer beliefs or expectations) substituted for products known for their quality.

Don’t confuse sales and marketing terrorism with innovative ideas and paradigm shifts in how to do business. The difference is that a sales and marketing terrorist has no plan other than disruption.

Sales and marketing terrorism is a short term strategy or single event that has no regard for long term collateral consequences. They believe their actions will be justified because of short term increases in profit or market share. Rarely do they succeed, but often create chaos and disorder in the marketplace that have an impact on the industry and consumers that can last for a long time.