Abstract

This paper identifies some of the obstacles that Mexican firms face in their efforts to start businesses using the Internet. In particular it addresses the issues of lack of financial resources, poor access to information infrastructure, and lack of consumer credit. The paper applies the resource-based theory of the firm, institutional economics, and Porter’s national competitive advantage to argue that small firms and entrepreneurs that want to start a business in Mexico should do so by taking advantage of the resources available in other countries. In a sense they can transfer some of the resources and institutions they lack which, in the case of Mexico, come primarily from the United States.

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