In many developing countries and economies in transition a strong protectionist tradition has kept local companies in a privileged position in their national markets vis-à-vis foreign competitors. Thanks to high tariffs and non-tariff barriers to imported goods and services local companies could always sell the products and services they offer on the local market. In some countries the difference in price between local and imported products gave local companies an added advantage. This situation is now changing: as markets are gradually liberalized and prices become more even, local industries face stronger competition from foreign producers some of whom are from other developing countries with price advantage on their side.