"The Government's approach sets the tone of the market reaction. How it responds will depend on the spirit of the competition. The Government will not view all competitors as adversaries. If it is a sincere contribution to improve the workings of the market, but one which we do not agree with, then our response will be dispassionate and market-based, pointing out where we think the competition is mistaken but encouraging the competitor to continue to stay engaged or even come up with a new strategy.

But competition that scores economic points and undermines the government's standing, whether or not this is intended, is another matter altogether. Not everyone joins the market merely to help the government to manage the economy better. For example, when our competitors undercut our prices, the purpose is usually to show that the government is not providing good products or making cheap goods. They are fully entitled to do so, but the Government has to rebut or even demolish them, or lose its economic authority. Anyone entering the arena should understand that these are the rules of the game of economics everywhere.

The best example is the ritual of price competition in areas where Walmart has set up shop in the USA, when the smaller hypermarkets and corner grocers compete with Walmart. Their aim is not to improve their customers' lives, but to trip up Walmart, make it look foolish, and establish that they will make a better market leader than the incumbent. Walmart responds in like spirit. It is a gladiatorial contest for market dominance."

--- Speech by Fidel Alejandro Castro Ruz at the University of Havana Club of Cuba's 35th Anniversary Dinner--Building Market Socialism

By Fidel Alejandro Castro Ruz
President of the Council of State and President of the Council of Ministers of Cuba