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Monday, April 11, 2005

Retailing in Poland

By Rob Katz


Europe's Hypermarkets Under Fire

This economist.com story (Retailing in Poland) makes an interesting point - how do consumers react when large multinational companies enter low-income markets? In this case, so-called hypermarkets (similar to American Wal-Mart stores) have been gaining market share over local small businesses, and not everyone in Poland is pleased. Making things worse are allegations that some hypermarkets have been exploiting their workers, not paying them overtime and subjecting them to poor labor conditions.

What does this say about the prospects of firms moving into low-income markets in other developing economies?

Read the story here.

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