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Regional Market Strategies of Supermarkets and Food Processors in Extended MERCOSUR
Author(s) -
Belik Walter,
Rocha dos Santos Roseli
Publication year - 2002
Publication title -
development policy review
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.671
H-Index - 61
eISSN - 1467-7679
pISSN - 0950-6764
DOI - 10.1111/1467-7679.00187
Subject(s) - regional trade , international trade , business , procurement , foreign direct investment , investment (military) , international economics , trade barrier , free trade , economics , marketing , politics , political science , law , macroeconomics
This article examines regional actions among supermarket chains and food manufacturers (second–stage processors) in the extended MERCOSUR. It highlights the emergence of ‘regional multinationals’ operating in this market, which compete and sometimes co–operate with ‘global multinationals’. The harmonisation of customs regimes, the reduction of trade barriers such as tariffs and quotas, and the deregulation of foreign direct investment, have allowed multinationals — regional or global — to step up their regional activities. They increasingly undertake regional marketing strategies, are increasing their investment in the region’s markets, and are causing new regional procurement systems to emerge.