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How super are supermarkets?
In the day, buying the week's groceries is not what they call shopping therapy. You want to get it over and done with quickly, so you head 1/
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Buying the week's groceries is not what they call shopping therapy. You want to get it over and done with quickly, so you head for the nearest supermarket, you find everything you need under one roof, and you feel glad that those days of going in and out of different shops in the high street are over, and that terrible music they play doesn't even bother you any longer. Supermarkets seem to be a big plus. There is a downside, though.
In the UK 90% of all the food people consume is bought at 5 different supermarket chains. This makes these companies extremely powerful, especially when it comes to determining the terms of contracts with the smaller companies that supply them. Supermarkets use their huge buying power to squeeze suppliers to get the best deal. Milk is a good example. Supermarkets like to use things like milk and bread, which are at the top of almost everyone's shopping list, to attract customers.To offer the lowest price possible to the consumer, the supermarkets force dairy farmers to sell milk at less than the cost of production. (On average, most UK dairy farms operate at a loss and can only curvive with the help of cuheidies) Sunermarkets been their profit margin while farmere
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