Cuba operating methods: A review of seven global food company practices

Cuba is going through significant changes with respect to its relationship with the USA. As the relationship begins to evolve into one where there is a possibility of increased trade and tourism between the two countries, global food companies must analyse Cuba in regards to entry mode, potential for business, and even the viability of operating in the country. Once they have decided that Cuba is an attractive country in which to do business, global companies must formulate a winning strategy for how to make their Cuban ventures a success. This paper aims to address the current foreign operating methods of seven food companies and how those methods could be applied to Cuba. In a series of questionnaires, each of the companies is asked about its outlook on operating in Cuba, how it looks at foreign operating models inside its company, and the attractiveness of the Cuban economy. In total, seven companies were analysed, representing over US$100bn in retail sales. The paper includes implications for the development of an operating strategy in food retail for the Cuban economy. The paper fulfils an identified need to bring standard global operating practices to the Cuban economy.