The exponential growth of trade liberalization, the global economic policies, the uncertainty in international markets, and the lack of competitiveness of the Mexican business sector, have had negative impact over the Mexican SMEs, over the past three decades. In this sense, the lack of competitiveness is the main reason why 80% of SMEs fails in the first five years and 90% during the ten first years.
Competitiveness is an imperative issue for all the countries in order to maintain or increase high levels of income and employment, and it can only be achieved through diversification, keeping away from the dependence on primary–commodity products and moving up to marketing and branded products.
This research investigated the problem of the loss of competitiveness of Mexican SMEs, from the point of view of marketing and brand management, and its main objective is to find the kind of marketing management and branding deficiencies, which are preventing the competitiveness of Mexican SMEs against the global competition.
A triangulation methodological approach (quantitative & qualitative) was used, included questionnaires and group interviews with Mexican SMEs business leaders, in order to get first-hand information of the real Mexican business environment.
The extensive review of literature has shown the enormous lack of knowledge about marketing principles and branding in Mexican SMEs, causing that most of these companies which remains focused only in production and manufacturing, rather than marketing, obtaining low levels of profitability, and making them vulnerable to the international business environment.
Table of Contents
CHAPTER ONE: INTRODUCTION
1.1 Introduction
1.2 Overview Mexican SMEs
1.3 General Objective
1.4 Specific Objectives
1.5 Research Questions
1.6 Conclusions
1.6.1 In Mexico Marketing is Commonly Confused With Advertising
1.6.2 Limited Use of Marketing Research
1.6.3 SMEs Should Focus Their Efforts in Marketing, Rather than in Production
1.6.4 Mexican SMEs are Over-Focused In Pricing Strategy
CHAPTER TWO: REVIEW OF LITERATURE ON BRANDING AND BRAND MANAGEMENT
2.1 Introduction
2.2 The Importance of Marketing for Mexican SMEs
2.3 The Cultural Problem of Mexican SMEs
2.4 Branding Strategies and Brand Management on SMEs
2.4.1 Mission/ Vision
2.4.2 Business Definition
2.4.3 Values, Philosophy and Company Culture
2.5 Topics Still Uncovered of Brand Management and Their Effects on SMEs
2.5.1 Employer Branding and Personal Branding
2.5.2 Balanced Scorecard and Their Relation With Brand Strategy
2.5.3 Nation Branding
2.5.4 The Dynamic Approach of Branding, Marketing Mix and SIVA
2.5.4.1 Product –Solution
2.5.4.2 Price and Value
2.5.4.3 Distribution Channels – Access
2.5.4.4 Promotion- Information
2.6 Conclusions
CHAPTER THREE: RESEARCH METHODOLOGY
3.1 Methodological Approach
3.2 Justification for Triangulation Method
3.3 Quantitative Research
3.4 Qualitative Research
3.5 Data Reliability
3.6 Conclusions
CHAPTER FOUR: PRESENTATION OF RESULTS
4.1 Introduction
4.2 Findings of Quantitative Research
4.2.1 Legally Registered Brands in SMEs
4.2.2 Mission and Vision Statement
4.2.3 Establishment of Marketing Plan in SMEs
4.2.4 Key Performance Indicators and their Alignment with the Brand Strategy
4.2.5 Marketing Concept Since the Perspective of SMEs
4.2.6 Brand Positioning and Strategies in Mexican SMEs
4.2.7 Competitive Advantage of SMEs
4.2.8 Investment in Marketing and Brand Development
4.2.9 Most Important Issues About the Brand Management
4.3 Findings Qualitative Research
CHAPTER FIVE: ANALYSIS OF DATA
5.1 Analysis Framework
5.2 Summary of the Research Qualitative and Quantitative Data
CHAPTER SIX: CONCLUSIONS AND RECOMMENDATIONS
6.1 Conclusions
6.1.1 Do Mexican SMEs Have Legal Registered Brands?
6.1.2 Do Mexican SMEs Already Have Marketing/ Branding Strategy?
6.1.3 Do SMEs Align Their Corporate Mission and Vision with Their Brand strategy?
6.1.4 Do SMEs Really Know The Importance of Brand Management of the Company’s Success?
6.1.5 What is The Percentage of the Budget Expended for Brand Development?
6.1.6 Have SMEs Realized The Importance Between Brand Strategy and Their Key Performance Indicators?
6.1.7 Do SMEs Know About the Correlation Between the Brands and the Marketing Mix Variables?
6.2 Recommendations
6.2.1 Strategic Orientation
6.2.2 Product Innovation
6.2.3 Price-Value
6.2.4 Marketing Channels as a Strategy for Brand Building
6.2.5 Human Resources Management and Branding Strategy
6.3 Limitations of the Present Study
6.3.1 Lack of national coverage
6.3.2 Lack of Technological Resources in SMEs
6.3.3 Reduced Time to Complete the Questionnaires and Interviews
6.3.4 More Qualitative Research Will be Required
6.4 Concluding Remarks
Research Objectives and Themes
The primary objective of this research is to investigate the marketing management and branding deficiencies of Mexican Small and Medium Sized Enterprises (SMEs) that hinder their competitiveness in the global market. The study seeks to address why Mexican SMEs struggle to maintain long-term success and why a significant percentage fail within their first ten years, proposing a theoretical framework and guidelines to improve their brand management and market orientation.
- The impact of cultural factors and "marketing myopia" on the long-term strategic planning of Mexican SMEs.
- The evaluation of current branding strategies and their alignment with organizational mission, vision, and key performance indicators.
- A comparative analysis of traditional marketing mix approaches versus the customer-centered SIVA model.
- The crucial role of employee engagement, organizational culture, and human resources in brand building.
- The development of integral models for SME management, focusing on competitive advantage through differentiation rather than price-based strategies.
Excerpt from the Book
2.4.1 Mission/ Vision
Defined as the purpose of the company that is composed by beliefs, culture and values, which are transmitted by the founder to the rest of the organization, and which are the basis for the competitive advantage.
Mission and Vision establishment is one of the most difficult steps in the strategic planning process. Organizations are created to fulfill a specific purpose, for example: some of them could be a soft drinks, tequila or beer manufacturers.
However SMEs managers must understand that the mission/ vision of the company cannot be established only based on markets or industry, instead of this they have to define their business in terms of customers' needs and wants.
Another common problem is that most of the top management on Mexican SMEs, has quickly forgotten the reason why they started their business, and consider the mission and vision declaration as “something” that is taken from an academic book, something that is “fashionable”, and most of the time considered as “useless”, something that is not related with the daily business operations. On the contrary, SMEs must understand that the mission statement really represents and operational framework for how and where, the strategy will be implemented.
Summary of Chapters
CHAPTER ONE: INTRODUCTION: Explains the economic importance of SMEs in Mexico and identifies the lack of competitiveness and strategic marketing as primary reasons for high failure rates.
CHAPTER TWO: REVIEW OF LITERATURE ON BRANDING AND BRAND MANAGEMENT: Examines theoretical foundations of branding, cultural influences in Mexico, and alternative models like SIVA to help SMEs shift from product-focused to customer-oriented strategies.
CHAPTER THREE: RESEARCH METHODOLOGY: Details the use of a triangulation approach, combining quantitative surveys and qualitative focus groups to gather data from Mexican SME owners and managers.
CHAPTER FOUR: PRESENTATION OF RESULTS: Analyzes survey data regarding the current state of branding, marketing planning, and performance metrics within Mexican SMEs.
CHAPTER FIVE: ANALYSIS OF DATA: Synthesizes research findings, highlighting inconsistencies between claimed strategic goals and actual daily operations, such as the focus on sales volume over brand equity.
CHAPTER SIX: CONCLUSIONS AND RECOMMENDATIONS: Provides a final synthesis of findings, concluding that cultural barriers and short-term vision are the core challenges, and offers strategic recommendations including improved organizational culture and integral management models.
Keywords
Mexican SMEs, Brand Management, Marketing Strategy, Competitiveness, Global Market, Customer-Centric, Marketing Mix, SIVA Model, Organizational Culture, Strategic Planning, Branding Deficiency, Business Success, Market Orientation, Product Differentiation, Performance Indicators.
Frequently Asked Questions
What is this research fundamentally about?
This research examines the causes behind the lack of competitiveness and high failure rates of Mexican Small and Medium Sized Enterprises (SMEs), specifically focusing on their marketing and branding management practices.
What are the central themes of the work?
The core themes include the impact of Mexican culture on business strategy, the failure to adopt long-term branding, the confusion between marketing and simple advertising, and the necessity of aligning organizational vision with customer needs.
What is the primary goal or research question?
The main objective is to identify the specific marketing and branding deficiencies that prevent Mexican SMEs from competing effectively and to develop a theoretical framework for better brand management.
Which scientific methods are utilized?
The author employs a triangulation methodological approach, which integrates quantitative data from 100 surveys with qualitative insights obtained through focus groups and deep interviews with SME leaders.
What is addressed in the main body of the work?
The main body covers a literature review on branding, the cultural factors affecting Mexican businesses, a presentation of empirical results from surveys, and an analysis of how current business practices (or lack thereof) lead to suboptimal performance.
Which keywords characterize this work?
Key terms include Mexican SMEs, brand management, competitiveness, strategic marketing, organizational culture, and the SIVA model.
How does the author view the "cultural problem" in Mexican SMEs?
The author identifies a "short-term orientation" and "marketing myopia" in Mexican culture, where CEOs prioritize quick sales over the long-term investment required for building sustainable brand equity.
Why does the author advocate for the SIVA model over the traditional 4Ps?
The author argues that the traditional 4Ps are too company-centric, whereas the SIVA model (Solution, Information, Value, Access) provides a more robust, customer-centered approach that is vital for surviving in hyper-competitive markets.
- Arbeit zitieren
- Msc Mauricio Jesús Martínez Delfín (Autor:in), 2013, Marketing Strategy for SMEs in Emerging Economies, München, GRIN Verlag, https://www.grin.com/document/359011
