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INSTITUTO NACIONAL DE ESTADÍSTICA Y GEOGRAFÍA

This document provides an overview of the project for the elaboration of the National Directory of Economic Units in Mexico. It discusses the need for a comprehensive system to take advantage of administrative registers and outlines the strategy for constructing the directory. The document also highlights the mobility of economic units in Mexico and proposes a continuous feedback system for updating the directory.

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INSTITUTO NACIONAL DE ESTADÍSTICA Y GEOGRAFÍA

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  1. ´ INSTITUTO NACIONAL DE ESTADÍSTICA Y GEOGRAFÍA

  2. Project for the elaboration of the National Directory of Economic Units in Mexico ´ ´ Document for the seminar on Business Registers Luxemburg, October 6th and 7th, 2009

  3. ACTUAL VIEW Mexico has many administrative registers, but it does not have a system that takes advantage of these ones. However, those registers are not complete at all because a lot of enterprises do not make their correspondent registers or the changes that occur on them.

  4. ACTUAL VIEW There are also other important data sources:

  5. LEGAL FRAMEWORK The new autonomy of INEGI leads to changes in our statistical law. The new law of the National System of Statistical and Geographical Information establishes as a mandate the creation of the National Directory of Economic Units. The law gives to INEGI the responsibility to build, govern and operate the Directory. INEGI will also coordinate all the institutions that will participate ─with their administrative registers─ in the directory construction.

  6. UNITS THAT WILL FORM THE NATIONAL DIRECTORY OF ECONOMIC UNITS • The establishment • The agricultural production • unit ECONOMIC UNITS The directory will refer to the place where the economic activity is really realized, independently of the place where it is controlled.

  7. DATA WITHIN THE DIRECTORY IDENTIFICATION DATA • Establishments • Name • Corporate name (or legal name) • Number of employees strata • Economic activity code • Agricultural • production • units • Producer name • Number of employees strata • Economic activity code

  8. DATA WITHIN THE DIRECTORY LOCATION DATA • Establishments • Address: • Postal • Electronic • Telephone • Web Site • Location in the • geo-statistical • frame • Agricultural production • units • Location in the • geo-statistical • frame • Producer address (until locality)

  9. THE MOBILITY OF THE ECONOMIC UNITS IN MEXICO The mobility of the establishments (births, deaths, changes) in Mexico is huge, overall in the small establishments. More than a half of them were created during the last five years according to the Economic Census 2009.

  10. THE MOBILITY OF THE ECONOMIC UNITS IN MEXICO Establishments that began their activities in the reference year REFERENCE YEAR YEAR OF THE CENSUS % * 1994 1993 20.8 1999 1998 18.6 Average 19.9% * 22.6 2004 2003 2009 2008 17.5 *This average percentage represents the number of establishments which were created during the reference year and still survive the next year (when the census take place). This average does not mean that the number of establishments grows almost 20% every year, because the establishments created are more, but many of them disappear in the same year in which they were born. 10

  11. THE MOBILITY OF THE ECONOMIC UNITS IN MEXICO Economic Census 2009 Establishments created along one year From the 4.5 million of establishments found in the census 2009, 416,249 began their activities the first three months of this year. This represents: 9.2% If this growth rhythm were maintained all the year, 1,664,996 establishments would be created in 2009. If none of the establishments would disappear during the year, there would be 5,748,747 establishments at the end of the year. The establishments that will be created along 2009 would represent: 29.0%

  12. THE MOBILITY OF THE ECONOMIC UNITS IN MEXICO ESTABLISHMENTS THAT DISAPPEAR ALONG ONE YEAR It is the minimal percentage (estimated) of establishments that will be born in one year. This estimation parts from a period of three months, in which the establishments have not had the same opportunity to disappear than they do when a year has passed. 29.0% It is the estimated percentage of those establishments which are still alive one year later. Then, the difference between both percentages is 9.1 %. 19.9% So, this percentage gives an idea of those establishments which disappear before they are one year old, and hence it gives too an idea of the very high mobility that the establishments in Mexico have. 9.1%

  13. STRATEGY FOR BUILDING THE NATIONAL DIRECTORY OF ECONOMIC UNITS • 1. As an initial main phase for the construction of the National Directory of Economic Units, both directories will join : • The Directory of the Economic Census. • The Directory of the Agricultural Census. • 2. Assigning a business statistical code (in spanish, Clave Estadística Empresarial, CLEE) to each economic unit of the initial directory. • 3. After a process of homogenization of contents among the initial directory and the directories derived from the administrative registers mentioned, all directories will be matched to feedback the initial one. • It will be established a “continuous feedback”.

  14. “CONTINUOUS FEEDBACK” FOR UPDATE THE NATIONAL DIRECTORY OF ECONOMIC UNITS 1. It will be created an automated system to be handled in Internet in order that many government offices be able to looking for the CLEE in the national directory or creating a new one for those establishments that are not in the above mentioned directory. 2. Ensure that every establishment knows its CLEE. 3. All government offices will ask to the establishments for the CLEE, as a condition to make any administrative process. 4. All proposals of updating will pass through a validation process before the directory be modified.

  15. “CONTINUOUS FEEDBACK” FOR UPDATE THE NATIONAL DIRECTORY OF ECONOMIC UNITS • 5. Internal work of INEGI: • To make specific studies about births and deaths of establishments after the Economic and Agricultural Censuses. • To feedback the directory with the National Economic Surveys and the Economic and Agricultural Censuses. • To take advantage of the INEGI’s presence in every state in Mexico, in order to know the births and deaths of the medium and large establishments.

  16. UPDATING LEVELS OF THE DIRECTORY There will be different levels of updating.

  17. SUMMARY OF THE STRATEGY Directories CLEE • INEGI • Studies about • births and deaths of establishments. • Feedback the directory with surveys and censuses. • To take advantage of the INEGI’s presence in every state. Directories of other governmental offices

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