Determinantes de la entrada de supermercados en México/Determinants of supermarket entry in Mexico

Alejandro Castañeda and Pedro Ibarra
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Alejandro Castañeda: El Colegio de México
Pedro Ibarra: El Colegio de México
Authors registered in the RePEc Author Service: Alejandro Castañeda

Estudios Económicos, 2019, vol. 34, issue 1, 61-90

Abstract: We estimate reduced form models, the profits are function of observable variables, to analyze the determinants of supermarket entry. We find that more concentrated markets, constructed on chain information, diminish the incentives to enter a market. Additionally, by controlling for market concentration and by analyzing the specific impact of brand chain, we find that a larger number of Walmart stores increase the feasibility of zero and one store in the relevant market and diminishes the feasibility of two or more stores in the market. For the other chains we find an opposite result.

Keywords: supermarkets; market entry; relevant market; supermarket chains; concentration (search for similar items in EconPapers)
JEL-codes: D40 L10 L81 (search for similar items in EconPapers)
Date: 2019
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Persistent link: https://EconPapers.repec.org/RePEc:emx:esteco:v:34:y:2019:i:1:p:61-90

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