Shelby D. Hunt’s legacy, the R-A theory of competition, and its perspective on the geographical indications (GIs) debate

ABSTRACT The article highlights Dr. Shelby Hunt’s major contribution to the interminable discussions in the field of competition in general, and most specifically in the role of institutions and public policy promoting productivity and economic growth. The article specifically focuses on Hunt’s legacy, Resource-Advantage Theory of Competition, and its core concepts to guide our understanding in one of the most heated debates in the international trade discussions: Geographical Indications (GI) and their impact on the competitive nature of global trade. Geographical Indications (GI) are collective intellectual property (IP) rights for agri-food products that highlight the unique tie between the quality of the GI product and the territory where it is produced and/or processed. This tie encompasses both physical (i.e. soil, climate, local variety and breed) and human-related factors (i.e. local know-how, specific skills, historical traces). The heated debate regarding the nature and scope of GIs policies and whether these policies foster or hinder competition takes considerable attention in global trade agreements. Founding my arguments on Hunt’s Resource-Advantage theory, a dynamic theory of competition, I argue that GIs policies are pro-competition and provide the agrifood producers with productivity tools and, thereby, have the potential to foster regional economic growth and prosperity.