Overcoming the effects of the crisis will be difficult for Mexico, whose economy experienced a contraction of 8.5% last year, while expecting a recovery of 5.3% in 2021. The economic outlook is supported by the COVID-19 vaccination process, as well as by state stimulus packages. United.
“I’m a bit hesitant to think that just because the United States and Canada have growth means spontaneous growth or upward movement of all companies in the country. It depends a lot on the sectors in which they move in. Jose Luis Vásquez, academic at the University of Iberoamericana (Ibero),” said: ” If you belong to a sector that is positively affected by this, for example exports, of course, compared to the previous year, more is for growth. “
The activity of Small and Medium Enterprises (SMEs) is fundamental to Mexico’s economic revitalization, as it generates more than 79% of the country’s formal jobs and more than 70% of GDP, the statement explained. Interview with Juan Carlos Simone, PricewaterhouseCoopers’ Leading Partner in Family Business Services.
“The hardest thing I had to face was that the business was almost non-existent. Our clients are hotels, restaurants, and cinemas. So I can assure you that nearly 90% of our clients have remained closed and that we have been supporting ourselves with home jobs,” said the owner of a specialized service workshop at SAMO. , Who did not request anonymity.
“For example, with the intercity train between Mexico and Toluca, they sent us between 50,000 and 60,000 pesos every month from pure work. Unfortunately, the change of government came, combined with the epidemic and they stopped it. The mattress we have now is a duffel bag.” Because we were close to closing. “
“We were never left with anything, but the payments are very old. People who paid you in 15 days are now 30 or 45, 30, 60 or even 90 days.”
How do you grow?
The CEO of PwC said, for small and medium businesses to grow, there must be a dynamic in which every player, government, private initiative and society plays a role.
The government must properly exercise the budget, provide the appropriate economic conditions and policies for growth. The private sector must continue with the planned investments and training of its workers, which will translate into better income; And also timely payment to suppliers.
Juan Carlos Simone, PwC’s leading family business services partner, added that what kept the company going are the small jobs, fixing tortilla machines, making hard-to-find auto parts, and jobs for family members and acquaintances.
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In addition to the Coronavirus, the July 6 elections generate uncertainty for investors and companies to make an investment decision, and thus, the money will circulate again, as agreed by the Ibero specialist and the young entrepreneur.
