The large home appliances industry might seem slow-moving and commoditized to an outsider, but behind the scenes, it’s a battleground of global competition, shifting consumer demands, and technological reinvention. Mabe, a Mexican company with 80 years of history, stands at this intersection. In this episode of The Insurgent Mindset, Ramiro Perez, Head of Mabe International, shares how balancing legacy and innovation requires an “insurgent mindset” — a constant willingness to challenge the status quo, stay close to the customer, and lead with agility.
Mabe’s Global Battle: Legacy, Scale, and New Rivals
Headquartered in Mexico City, Mabe is a major player in the global home appliances market, with products sold in over 75 countries. Mabe International maintains strong commercial operations across the Americas, with a robust presence in every Latin American country and Canada. The company’s manufacturing footprint is equally significant, with three mega-factories in Mexico producing cooking, refrigeration, and laundry products for North and South America, including facilities in Colombia, Argentina, and Ecuador.
Mabe operates in a hyper-competitive global arena. Haier Group, a Chinese giant and one of Mabe’s strategic partners, leads the market with over $56 billion in revenue. Mabe also supplies products to GE in the US and holds leadership positions in Latin America. Other major rivals include Samsung, LG, Electrolux, and Whirlpool. Looking ahead, Ramiro sees intensifying competition from Chinese companies developing high-quality appliances with global ambitions.
Customer Proximity and Regional Nuances in Product Development
A core tenet of Mabe’s insurgent mindset is “customer proximity”—or zero distance to the customer. This involves developing a deep understanding of consumers’ lives and transforming their needs into innovative products and better processes. It extends beyond design to every touchpoint: information gathering, purchase, delivery, installation, and after-sales service.
As Ramiro explains, “While the basic purpose of an appliance—like food preservation in a refrigerator—is constant, consumer habits vary greatly across regions. You can’t simply copy a product from the US or Canada and expect it to succeed in India or the Philippines.”
Mabe International deploys an “action learning” approach before entering new markets, with immersive ethnographic research that goes far beyond textbooks. For example, in India, a multifunctional team spent two months engaging with officials, banks, retailers, logistics providers — and most importantly, with consumers in their homes to see how they cook, store food, and do laundry.
One insight stood out: many Indian consumers prefer cycle-defrost refrigerators over no-frost models due to frequent power outages. The ice helps preserve food during blackouts — a detail only uncovered by deeply immersing in consumers’ lives and routines. This is the power of true customer proximity.
The Digital Journey and the Role of AI
Mabe’s digital transformation began about 15 years ago to improve internal operations and strengthen interactions with distributors and consumers. Now, AI is poised to accelerate this evolution.
While still early, Mabe has been actively learning from Silicon Valley companies on how to use AI for process improvement and product development. One promising application is the “digital factory,” which allows predictive maintenance, reducing equipment downtime and minimizing costly expert visits. As Ramiro notes, the success of AI applications, however, hinges on the quality of data used for modelling. Mabe is exploring AI across various fronts, including potential applications in demand forecasting and production processes.
Crucially, Mabe’s approach isn’t just technical. The company is empowering younger employees to experiment with AI tools and generate “insurgent” ideas — creating a “company within a company” dynamic. This fosters an environment where teams act like owners, exploring new processes or customer interactions without bureaucratic barriers.
Fostering an Insurgent DNA Across Cultures
Ramiro believes pushing innovation deeper into the organization is essential for maintaining startup energy in a large company. One example is inspired by Mabe partner Haier’s “rent-and-payee” model, which directly connects employee rewards to the value they deliver to customers.
Haier’s Thunder Robot gaming division embodies this model. A small team of young gamers built it from scratch under a “zero, zero, 30” rule: zero fixed salary, zero funding until concept approval, and 30% employee capital investment. Today, Thunder Robot is publicly traded in China with a market cap of $450 million.
Ramiro aims to replicate this spirit at Mabe International by encouraging teams to pitch and run new business concepts, fostering an ownership mentality and rapid innovation. Cultural respect is critical: while business cultures vary, goals like market leadership, customer success, and shareholder value unite teams globally.
Embracing a challenger ethos, or insurgent mindset, depends on an individual’s openness to new ideas, cultures, and their willingness to adapt. As Ramiro puts it, “Respect for customs and traditions is paramount. There isn’t one best way — but people everywhere share a desire for a good life.” For insurgent leaders, this means embracing continuous learning, accepting mistakes, and being willing to try bold experiments.
Navigating Supply Chain Disruption and Resource Allocation
Geopolitical tensions and trade conflicts make supply chains unpredictable, forcing companies to balance long-term strategy with day-by-day adaptability. In this environment, Mabe emphasizes flexibility, rapid scenario planning, and close communication with partners and distributors.
Ramiro notes that resource allocation today is about organizing multifunctional teams around immediate challenges rather than rigid functional budgets. While long-term plans remain important, day-to-day responsiveness is essential.
Every challenge, including tariffs, can also be seen as an opportunity. The potential renegotiation of the USMCA agreement exemplifies this — it may reset trade rules in North America, but until then, decisions are made on a week-by-week basis.
A Hard-Earned Leadership Lesson: Trust and Deliverables
When asked for his biggest leadership lesson, Ramiro reflects on the pandemic’s impact: “Productivity isn’t about time at a desk — it’s about delivering results.” Initially resistant, Mabe shifted to remote work, proving that trust and clear deliverables drive performance more than physical presence.
This cultural shift toward trust underscores the insurgent mindset: empowering teams, focusing on outcomes, and staying adaptable even in crises.
Ramiro’s journey at Mabe International is a clear reminder that sustaining relevance in a legacy business isn’t about simply adding new technologies or chasing trends — it’s about nurturing a culture that prioritizes trust, customer proximity, and continuous reinvention. The insurgent mindset isn’t a buzzword; it’s a survival strategy for leaders determined to build resilient, future-ready organizations.
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