The Limits of Corporate Chains and Brand Management: “Loyalty” and the Efficacy of Vernacular Markets in the Andes

Abstract


 This article offers a nuanced ethnographic description of the encounter between multinational corporations and the economic actors who distribute and commercialize their commodities. By analyzing the labor of lower-level employees and the strategies of the middle management of Samsung Electronics Bolivia against traders’ practices and understandings and the vernacular market infrastructure, I offer a substantive interpretation of the obstacles and unintended outcomes of corporate commodity chain and brand management as it expands into an “emerging” market such as that in Bolivia. Street vendors, shopkeepers, and wholesalers are teased with personalized attention, gifts, and monetary incentives to sell the high-priced premium brands and build legible inventory, but they have remained notoriously disloyal. By focusing on the agreements and tensions between corporations and traders about how to move, store, categorize, advertise, and price the products, this article engages with the literature on urban marketplace trade and commercial transactions, counterfeit commodities, and economic power in globalized markets and supply chains. To think about the appeal and effectiveness of vernacular market channels and arrangements offers a conceptual lens to critically address the efficiency paradigm in supply-chain thinking, as well as to analyze discrepancies and power struggles not only among economic actors (such as traders and corporations) but also between different forms of valuation that co-exist and compete in markets.
 
 RESUMEN
 
 Este artículo ofrece una detallada descripción etnográfica del encuentro entre empresas multinacionales y los actores económicos que distribuyen y comercializan sus mercancías. Al analizar la labor y las estrategias de los empleados de Samsung Electronics Bolivia frente a las prácticas y visiones de los comerciantes, así como la infraestructura social, material y afectiva del mercado vernáculo, ofrezco una interpretación sustantiva de los obstáculos en la gestión corporativa de la cadena de productos (supply chain management) y en el marketing (branding) a medida que se expanden hacia mercados “emergentes” como el boliviano. Al centrarme en los acuerdos y las tensiones entre las empresas y los comerciantes sobre cómo mover, almacenar, categorizar, valorar y comercializar los productos, este artículo reconsidera la literatura sobre el comercio de las plazas de mercado, las mercancías falsificadas y los procesos de economización. Pensar en el atractivo y la eficacia de los canales y arreglos del mercado vernáculo ofrece una lente conceptual para abordar críticamente el paradigma de la eficiencia en el pensamiento sobre las cadenas de suministro, y permite observar discrepancias y luchas de poder no sólo entre unos agentes económicos (como los comerciantes y las empresas), sino también entre diferentes formas de valoración que conviven y compiten en los mercados.

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“…Their modest labor-comprising at once both object work and relationship work-and the modest retail settings in which it unfolds have an immodest scale and impact. Ethnographies of independent shops have analyzed significant local dynamics of community building, racial and ethnic identity, and moral surveillance but said less about how large companies may monitor and intervene in such environments (Mankekar 2002;Pine 2015;Reese 2019, 91-110;exceptions include Errington, Fujikura, and Gewertz 2012;Foster 2008;Müller 2021). Tobacco control scholars, by contrast, have closely tracked how British American Tobacco, Philip Morris, and other tobacco companies incentivize and discipline shopkeepers and emplace products and marketing materials in retail spaces in Western contexts.…”