While few changes are expected in Venezuela s relationship with the United States, that could change depending on the political and economic path Chavez ultimately decides to pursue. Relations with the United States would be seriously jeopardized if a Chavez administration violated Venezuela s democratic tradition and failed to honor international agreements. Bilateral cooperation on counter narcotics efforts is also expected to continue. The response to a Chavez presidency from the Venezuelan business community has been mixed although most businesses are concerned about some of his stridently populist, anti-market rhetoric. In terms of economic integration, the Andean Pact has achieved less than is commonly perceived.
Most firms still choose to sell within their own markets, regardless of profit margins.
Successful experiments such as Bangente, a financial institution that lends to microenterprises in poor urban areas, could be the model for popular capitalism which would be compatible with Chavez s goal of social change, income equality, and respect for private enterprise. To be sure, a great deal of uncertainty will grip Venezuela well into the new year. Price controls in pharmaceuticals, which recently forced Eli Lilly and Roche to shut down operations and reopen in Colombia, could be extended to other sectors.