I don't guess we'll be buying much salmon at Wal-mart. . . chery2
I didn't see it.
Large corporations like to tell how competition keeps the economy running and the companies in check.
Truth is - they love it among their suppliers, so they can play them off one against the other and keep the prices of their supplies low.
They love it among their customers, so the customers can't gang up on them.
They hate it among their competitors. They will do whatever it takes to eliminate them - buy them out, squeeze them out, whatever.
Regional dairies used to approach their small competitors with a buy-out offer, about half what the small competitor felt that his business was worth. If he refused, they'd put milk into his customers' stores at below cost till they drove him out of business - or he saw reason, and was willing to sell for a lower price than the original offer.
In Canada, complaints about prices of gas has caused the government to conduct an investigation into the market several times.
Most of us claim that when half a dozen entities control 80% of the market - prices become artificial.
Guess what: the inquiries have always concluded that there really is competition in the gasoline marketplace. Price wars, fluctuations of price prove it, they say.
Do we believe them?
Seen any pigs flying lately?
Hope none of you readers own a Mom and Pop store that's trying to compete against Wal-Mart.
Oh, yes - I forgot: they'll be too busy, working too long hours and trying to care for their family, to read posts like this.
Until their business dies.
Then they'll have lots of time.
Question: when the medium and high quality (reasonably highly paid) jobs in our countries disappear and part of our population works in service industries and the others can't find work - who'll have money to buy their stuff?
A lot of 70,000 or so recently and about-to-be laid-off Ford and GM workers won't.
Have a great weekend, everyone.
Oh, I don't know about the Mom and Pop stores. There's a dollar store very near our house that is run by immigrants and their prices are SO CHEAP. Plus, they carry a ton of items. Almost anything you'd want you'd find there, and then some! I have only gone to WalMart a few times in my life. I love dollar stores. The dollar store chains are doing pretty well, too, I think.