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Originally Posted by rkw
exactly. Few people realize this "Agency" model has been in place in our grocery stores for over a decade now. Only they call it JIT (just in time purchasing) where everything on the shelf is basically on consignment.
Notice that major grocery stores no longer have night stalking crews to restock shelves? It's because the shelves are now stocked and maintained by the distributor for most everything in the store.
Prices too are not set directly by the store. Even sales are non-competing because the same vendor stocks the shelves in every store in town (I'm in a small town but we eat so there are 4-major and two minor groceries with a soon to be completed Walmart Superstore renovation adding a 5th major chain grocery. I'm not sure how Walmart handles their grocery though.
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I live in a larger city with a lot of grocery stores, and I see quite a bit of difference in pricing even at stores within a mile of each other.