The Mexican Cola Wars

I was speaking to the owner of an abarrotes, or corner convenience store, yesterday and asked him how he chooses which products to sell.  For example, he stocks Coca-Cola (not Pepsi), Ciel water (not Bonafont), and only Indio and Sol beers (as opposed to any of the other myriad of brands).  It turns out that all of the beverage products that he stocks are distributed or owned by the same conglomerate, FEMSA, which has an exclusivity contract with the store.  In return for not stocking competing products, FEMSA pays for all of the store’s equipment (several stand-up refrigerator units, the counter and the registers, the shelves, and even the store’s awning and advertising) plus the store’s rent(!).  

Want to own a convenience store?  All you need is a few employees and to purchase your stock — not much of an investment.  Perhaps this is why there are 5 abarrotes located less than a 1/2 block from my apartment.

 

México, D.F.

Advertisements

2 Responses

  1. Did you realize that “Bonafont” is Catalan? “Buena fuente” or “good source”. Amazing where Catalan turns up.

  2. Hmmm, and I would have thought it was French!

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

%d bloggers like this: