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Concentration And Mergers In U.S. Wholesale Grocery Markets

Author

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  • John M. Connor

    (Department of Agricultural Economics, College of Agriculture, Purdue University)

Abstract

This report analyzes a large sample of U.S. grocery warehouse operators in 54 well defined grocery marketing areas. Almost all grocer retail chains with more than 40 supermarkets and $500 million in retail sales in 1990 are vertically integrated into wholesaling. More than four-fifths of the market areas display high levels of sales concentration (four-firm concentration greater than 60 percent). The 1992 merger between Super Value and Wetterau violated federal merger enforcement guidelines in at least four market areas, and several more horizontal mergers between merchant grocery wholesalers have been consummated since then.

Suggested Citation

  • John M. Connor, 1997. "Concentration And Mergers In U.S. Wholesale Grocery Markets," Working Papers 97-09, Purdue University, College of Agriculture, Department of Agricultural Economics.
    • Handle: RePEc:pae:wpaper:97-09
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    Cited by:

    1. Binkley, James K. & Eales, James S., 2002. "The Effect Of Food Stamps On Spending For Grocery Products," 2002 Annual meeting, July 28-31, Long Beach, CA 19690, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Jank, Marcos Sawaya & Leme, Maristela Franco Paes & Nassar, Andre Meloni & Faveret Filho, Paulo, 1999. "Concentration And Internationalization Of Brazilian Agribusiness Exporters," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 2(3-4), pages 1-16.

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