Supermarkets have become integral to modern urban life, transforming food access and consumption patterns worldwide. However, the spatial distribution of supermarkets—where they are located and whom they serve—can both mitigate and exacerbate social and economic inequalities. In Mexico City, one of the largest and most diverse urban areas in the world, the rise of supermarkets has had profound implications on food security and socio-spatial disparities. In this post, we explore the key insights from our research on how supermarkets in Mexico City are contributing to both the reduction and reproduction of inequality.
The Evolution of Supermarkets in Mexico
The rise of supermarkets in Mexico is tied to major socio-economic changes that occurred in the second half of the 20th century. The rapid rural-to-urban transition and growing middle class in Mexico’s cities led to an increased demand for food and consumer goods, particularly in urban areas. At the same time, economic liberalization in the 1990s opened up the Mexican market to foreign capital, allowing international supermarket chains, particularly Walmart, to rapidly expand.
Initially, supermarkets in Mexico primarily targeted middle-class consumers. Early establishments were located in Mexico City’s wealthier neighborhoods, where purchasing power was higher and households had the means to take advantage of self-service models. Over time, supermarket chains like Walmart, Soriana, and Chedraui expanded their reach, opening stores in both wealthier and poorer areas. However, despite this expansion, the way supermarkets are distributed today reflects, and sometimes reinforces, the socio-economic divides in Mexico City.
A Tale of Two Worlds: Supermarket Expansion in Wealthy vs. Poor Areas
The distribution of supermarkets in Mexico City highlights stark contrasts between rich and poor areas. Supermarkets are concentrated in middle- and upper-class neighborhoods, such as Cuauhtémoc and Miguel Hidalgo in the city’s west and south, offering a wide variety of goods, including premium and organic products. In contrast, while supermarkets have expanded into working-class and marginalized areas, the format and range of products offered are notably different. Stores in poorer areas often emphasize essential, low-cost items, with fewer options for fresh and nutritious foods.
In Mexico City’s sprawling peripheries, where many of the city’s poorest residents live, supermarket presence is less consistent. While the expansion of smaller formats like Bodega Aurrerá (a discount chain owned by Walmart) has helped increase access, many of these areas still rely on traditional food markets, tianguis (open-air markets), and small local shops. These informal food outlets are critical for residents who cannot afford or access supermarkets regularly. However, prices for processed and industrialized foods are often higher in small shops, adding a hidden cost burden on the poorest consumers.
The Role of Supermarkets in Food Security
The presence or absence of supermarkets plays a crucial role in food security. In wealthier areas, access to supermarkets provides residents with a wide variety of food options, including fresh produce and healthier alternatives. In poorer areas, where supermarket access is more limited or the range of products is narrower, residents often face food insecurity, not because food is unavailable, but because it is unaffordable or of lower nutritional quality.
Interestingly, our research found that supermarkets are not necessarily the primary source of food for Mexico City’s poorest households. For many residents in marginalized neighborhoods, traditional markets and small grocery stores remain essential. Despite this, the expansion of supermarkets into these areas does offer some benefits. For example, large supermarket chains often introduce lower-cost products and seasonal promotions, which can provide some price relief for low-income consumers.
However, while supermarket chains have made efforts to cater to different income groups through the use of varied formats (e.g., hypermarkets for wealthier consumers and discount bodegas for poorer consumers), the fact remains that supermarkets are often culturally and economically ill-suited to the poorest residents. These households typically rely on credit and small, frequent purchases, neither of which are easily facilitated in a supermarket setting. As a result, many low-income consumers continue to rely on small local stores and tianguis for their everyday needs, despite paying higher prices for some items.
Walmart’s Oligopoly and Its Impact
One of the most striking findings from our research is the degree to which Walmart dominates the supermarket sector in Mexico City. Walmart controls about 60% of the city’s supermarkets, and this market concentration gives the corporation considerable power over what residents eat. This oligopolistic control raises concerns about food sovereignty and urban food security. As Walmart expands its reach across the city, it determines not only what products are available but also the prices at which they are sold.
The dominance of Walmart in Mexico City also raises questions about competition. While some Mexican supermarket chains, such as Soriana and Chedraui, continue to operate in the city, their market share is much smaller. In areas where Walmart is the only option, consumers may have limited choice when it comes to where they shop and the types of products they can afford. This concentration of power in the hands of one retailer can have serious implications for the affordability and accessibility of food in Mexico’s largest city.
Socio-Spatial Inequalities and Consumer Patterns
The spatial distribution of supermarkets is closely tied to socio-spatial inequalities in Mexico City. While wealthier areas are well-served by supermarkets offering a wide range of products, the city’s poorer neighborhoods often struggle with limited access. In some cases, supermarket chains have adapted to serve these communities by offering lower-cost products and using smaller store formats. However, this segmentation of the market—where different types of stores cater to different income levels—can also perpetuate inequality.
For example, the range of products available in supermarkets in poorer areas is often much narrower than in wealthier areas. While middle-class shoppers may have access to organic foods, imported products, and a variety of fresh produce, working-class residents are often limited to processed and packaged foods. This segmentation can lead to poorer health outcomes for low-income residents, who may find it more difficult to access the fresh and nutritious foods that are more readily available in wealthier neighborhoods.
Conclusion: A Mixed Impact on Inequality
Supermarkets in Mexico City play a dual role in addressing and perpetuating inequality. On one hand, they offer a crucial service by increasing access to affordable food in some of the city’s poorest areas. On the other hand, the way supermarkets are distributed and the types of products they offer can reinforce existing social and economic divides. While efforts have been made to adapt supermarket formats to cater to different income groups, significant disparities remain.
Moving forward, it is critical to address the underlying socio-spatial inequalities that shape food access in Mexico City. Policymakers and urban planners must consider how the expansion of supermarkets can contribute to, rather than undermine, food security for all residents. Additionally, greater attention must be paid to the role of informal food systems, such as tianguis, which continue to play a vital role in feeding Mexico City’s most vulnerable populations.
In this way, supermarkets can become part of a broader strategy to create more equitable and resilient urban food systems in Mexico City, ensuring that all residents—regardless of where they live—have access to nutritious, affordable food.
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