Impact of COVID-19 on the economy of micro, small and medium enterprises in Mexico

Abstract

The objective of this research is to analyze the effects of COVID-19 on the economy and finances of micro, small and medium enterprises (MIPYMES) in Mexico, as well as the economic and financial strategies to survive this perfect storm, where the characteristic The main thing about this type of business is that it survives and is used to these events due to the way in which they are generally created and because they have a peculiar characteristic that the vast majority are family businesses. A mixed methodology is used that starts from grounded theory, is contrasted with findings from other national and international research that show the importance of analyzing the economic and financial effects for MSMEs. For the quantitative analysis, statistics of the companies that closed since the beginning of the pandemic were analyzed according to data collected by the INEGI Statistics Institute in 2020. As a result, it is obtained that the MIPYMES made use of their savings and previous returns, a change in the way of marketing their products, using online and home sales. This as economic and financial survival strategies in the red light months in each of the states of the Mexican Republic, and that affected all companies in the world.