Nascent’s extensive product line and distribution system allows them to service 3 major customer types in the foodservice industry. First, they service Traditional customers such as restaurants, hotels, resorts, cafeterias, schools, bakeries, industrial caterers maquiadoras. Secondly, they sell and distribute their products to Chains. The last group is “Autoservicio” retail clients, which include 3 of Mexico’s largest supermarket chains, convenience stores (AMPM International), and mom and pop grocery stores.
There is plenty of opportunity with the Mexican foodservice industry as it stands at a comfortable $46 billion; Nascent has plans to consolidate the Mexican foodservice distribution market by acquiring smaller distributors and expanding into new markets.
The Mexican foodservice distribution market is perfect for consolidation because it is fragmented, having over 25,000 “mom-and-pop” distributors. Other companies such as Sysco, Inc. and U.S. Foodservice, Inc. have had great success in the United States using this business strategy.
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