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Competition in the UK Grocery Trades

In: Competition and Markets

Author

Listed:
  • Christopher Moir

Abstract

In March 1988 the Today newspaper carried the story that the five largest grocery chains had colluded over the retail price of baked beans. It raised the issue of possible use of monopoly power in retailing. The alleged collusion followed an investigation by a trade newspaper representing smaller business. The Independent Grocer (25 March 1988), reported that a tin of Heinz 450g baked beans was priced at 25 pence in stores belonging to the five leading grocery multiples. This, the newspaper stated, was 4 pence more than the price charged two months earlier, a rise of 20 per cent. The increase in the retail price could not be attributed to an increase in the price charged by the supplier. There was no cost-induced need to put the price up; retailers margins were not being squeezed.

Suggested Citation

  • Christopher Moir, 1990. "Competition in the UK Grocery Trades," Palgrave Macmillan Books, in: Christopher Moir & John Dawson (ed.), Competition and Markets, chapter 8, pages 91-118, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-1-349-10510-6_8
    DOI: 10.1007/978-1-349-10510-6_8
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    Citations

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    Cited by:

    1. N Wrigley, 1992. "Antitrust Regulation and the Restructuring of Grocery Retailing in Britain and the USA," Environment and Planning A, , vol. 24(5), pages 727-749, May.
    2. N Wrigley & A Leyshon, 1993. "Commentaries," Environment and Planning A, , vol. 25(11), pages 1545-1557, November.
    3. Leigh Sparks, 1997. "From Coca-colonization to copy-Cotting: The Cott corporation and retailer brand soft drinks in the UK and the US," Agribusiness, John Wiley & Sons, Ltd., vol. 13(2), pages 153-167.
    4. Carlo Morelli, 2004. "Explaining the Growth of British Multiple Retailing during the Golden Age: 1976–94," Environment and Planning A, , vol. 36(4), pages 667-684, April.

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