Uncertainty: The Silent Enemy of Entrepreneurship in Mexico

Web Editor

July 8, 2025

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The Role of Clear Rules and Government Stability

Entrepreneurs strive to create quality products and services, but governments must ensure a fair playing field. Stability and predictability are crucial components of this equation. However, today in Mexico, we find ourselves in one of the most uncertain periods for entrepreneurship, not due to global challenges but rather from uncertainty emanating from within the Mexican state itself.

International Context and Its Impact

The international context does not help: prolonged wars, geopolitical tensions, new tariffs, and the fragmentation of global value chains make the game more complex for entrepreneurs, with pieces changing constantly. However, what’s most concerning for the Mexican entrepreneurial ecosystem is not global events in Washington, Beijing, Ukraine, Russia, or Brussels, but rather in Palacio Nacional.

Government Actions Amplifying Uncertainty

Instead of mitigating the effects of the international environment, the Mexican government deepens these impacts through decisions that further increase uncertainty or inaction. The judicial reform, the weakening of autonomous bodies that previously served as regulatory counterweights, and the elimination of technical instruments providing market certainty create a sense of normative vacuum. There is no arbiter, no clear rules.

Impact on Entrepreneurs

Entrepreneurs do not need guarantees of success but clear rules and authorities enforcing them. They require assurance that if they invest, take risks, or hire, conditions will not change due to a new legislative whim or administrative improvisation. Today in Mexico, the risk is not just stagnation; it’s building on shifting sands.

Government Failures and Lack of Coordination

The lack of coordination between government levels, the rise in insecurity, and institutional erosion affect not only large investors but especially small and medium-sized entrepreneurs who cannot shield themselves from these variables. At this historical juncture, what’s most lacking isn’t capital or talent; it’s confidence.

Key Questions and Answers

  • What does the Mexican entrepreneurial ecosystem need? It needs certainties. While the world can be volatile, the government should serve as an anchor, not another storm.
  • What role do clear rules play for entrepreneurs? Clear rules and enforcement by authorities are crucial for entrepreneurs, who need assurance that their investments and risks won’t be undermined by arbitrary legislative changes or administrative improvisations.
  • How does government inaction affect entrepreneurs? Government inaction amplifies uncertainty, making it risky for entrepreneurs to build on solid ground. Lack of coordination, rising insecurity, and institutional erosion disproportionately affect smaller entrepreneurs who lack the resources to adapt.

*Giulliano Lopresti is an entrepreneur, investor, and business leader who has launched over 40 businesses in various countries across the restaurant, real estate, and venture capital sectors.