Abstract

Focusing on the recent expansion of supermarkets in Chile, from large to medium and small cities and across income strata, this article analyses the driving forces behind the process, including the extent and limits of concentration and foreign firm participation. Supermarkets' procurement practices are examined in terms of their technological, organisational, management, and financial impact on traditional retailers, suppliers, processors and producers in the dairy, horticulture and meat chains. Public policies are proposed to expand the access of small and medium stakeholders in those chains to the opportunities opened directly and indirectly by supermarket expansion, as well as to limit and reduce the harmful effects of the process.