The Duopoly strikes again.

Discussion in 'Markets & Economies' started by Shaddam IV, Dec 23, 2012.

  1. Shaddam IV

    Shaddam IV Well-Known Member Silver Stacker

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    http://www.dailytelegraph.com.au/ne...-out-little-guys/story-e6freuy9-1226542697106

    This is simply un-Australian. The standout line for me from the article is:

    When I was a child Woolworths was a trusted name in Australian retail. Now I think of it the same way as I think of Monsanto and Walmart.


    .
     
  2. mmm....shiney!

    mmm....shiney! Administrator Staff Member Silver Stacker

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    I think the producers and importers are just as much at fault here, why do you need wholesalers? Just another middle man to take their cut. Even Home Hardware buys from wholesalers, they don't buy from the manufacturers, you'd think Home Hardware and Mitre10 would source their product directly wouldn't you?

    And $2000 is not that much anyway.
     
  3. renovator

    renovator Well-Known Member

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    That would be why bunnings has the big market share & better prices on a lot of things
     
  4. skipau

    skipau Member Silver Stacker

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    the problem here is that the wholesaler is owned by the same company as the retailer... so of course the wholesaler is going to make it harder for retailers other than the one they own...
     
  5. Naphthalene Man

    Naphthalene Man Active Member Silver Stacker

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    Avoid them! User your feet, support the little guys, pay a tiny bit extra to keep the little guys working. Buy from the butcher, baker, newsagent, chemist, bulk buy co-ops
     
  6. bordsilver

    bordsilver Well-Known Member Silver Stacker

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    I wouldn't be so sure about that. As it means that they'll either constantly be running out or have to keep significantly more stock on hand as well as increasing the risk of stocking way too much of unprofitable lines.

    This is the simplest, most effective answer to any gripes about any retailer. Vote with your wallet.
     
  7. Fykus

    Fykus Member Silver Stacker

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    not long ago we got an email from the hardware place starting with b and ending with s (we supply them with timber a bit) telling us that they were bringing in some new rules where if they pay us before 30 days then they get a 15% discount or something ridiculous like that. So basically you have to accept or theyll stop buying from you.
     
  8. Nugget

    Nugget Well-Known Member Silver Stacker

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    Law of unintended consequences ....... Why don't the small shops just order from OS? It'd be bellow the GST threshold :D
     
  9. GiLa

    GiLa New Member

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    Hmmm something I have seen in my own industry is that importers would sell at near cost price and rely on vendor rebates for their margins. This could add to an extra 10%-20% to their bottom line if they reached their sales target.

    So when an Importer/Wholesaler opens a retail arm, I look at it as a very dirty tactic which can potentially destroys competition as they have purchasing power, which in turns just screws everyone in the process.

    I think its a matter of time before these big wholesalers start looking into purchasing in industries where they can become their own producer of goods that they sell, so they can make more profits.
     
  10. mmm....shiney!

    mmm....shiney! Administrator Staff Member Silver Stacker

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    I don't see that as a problem if it reduces the cost to the consumer, who is the most important participant in the trade. Selling directly to the public with as few leeches between producer and retailer is the best scenario for all - except the fat wholesaling merchant.

    You're right, on reflection $2000 is a lot, especially if you run out of a couple of small items.
     
  11. AgH20

    AgH20 New Member

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    I have made a concerted effort to buy from my local butcher who sources his beef, lamb and pork from suppliers in the surrounding area. Big shout out to Chris and the boys!
    His grass fed T bone steaks taste a lot better too than that from the other mob (grain fattened at the feed lot?)

    He has the guts to keep his store open in the mall directly opposite Woolies! Good onya son!

    I also note that the same faces who get their groceries from Woolies still make it a point of buying their meat from him too.

    We all know that if we don't support him, the fat lady sings.
     
  12. Clawhammer

    Clawhammer Well-Known Member Silver Stacker

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    I try to get even by shoplifting every chance I get :p
     
  13. Shaddam IV

    Shaddam IV Well-Known Member Silver Stacker

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    If we keep supporting the giant retailers then the day will come when they are the only option and they will have won, we will have lost.
     
  14. Jislizard

    Jislizard Well-Known Member Silver Stacker

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    'Gardening is the new Punk'

    I read about that in the Mail on Sunday magazine in the mid 90's so I guess it never caught on. Growing your own food is subversive and the best way to stick two fingers up to the establishment. I would be a very hungry punk.
     
  15. hawkeye

    hawkeye New Member Silver Stacker

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  16. renovator

    renovator Well-Known Member

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    Its too close to xmas to be serious relax & have a drink :)
     

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