Analysis of grocery buying and selling practices among manufacturers and distributors: Implications for industry structure and performance

Jeffrey M. Thomas, John Staatz and Thomas R. Pierson
Additional contact information
Jeffrey M. Thomas: National Livestock and Meat Board, Glen Allen, VA, Postal: National Livestock and Meat Board, Glen Allen, VA
Thomas R. Pierson: Department of Agricultural Economics, Michigan State University, Postal: Department of Agricultural Economics, Michigan State University

Agribusiness, 1995, vol. 11, issue 6, 537-551

Abstract: Current buying and selling practices among grocery manufacturers and distributors reduce the efficiency of the food distribution system. This article applies the concept of positive feedback to explain the evolution of the system to its current situation. The study also uses concepts from game theory and transaction-cost economics to explain the persistence of inefficient practices in spite of the potential benefits from alternative forms of transacting. Based on these theoretical concepts, current grocery industry initiatives, such as every day low pricing and efficient consumer response, aimed at creating a lower cost food distribution system, are analyzed. © 1995 John Wiley & Sons, Inc.

Date: 1995
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2)

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wly:agribz:v:11:y:1995:i:6:p:537-551

DOI: 10.1002/1520-6297(199511/12)11:6<537::AID-AGR2720110606>3.0.CO;2-H

Access Statistics for this article

Agribusiness is currently edited by Ronald W. Cotterill

More articles in Agribusiness from John Wiley & Sons, Ltd.
Bibliographic data for series maintained by Wiley Content Delivery ().