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SOC 2080 (82)

Feb.16 Lecture

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SOC 2080
Anthony Winson

February 16 2012Food Retailers The Real Power in the AgroFood Complex Porter Relative power of buyers vs sellers Determining Bargaining Power of Buyers vs Sellers in Food System Who are buyers and who are sellers buyers are retailers grocery stores and sellers are processors they sell to the retailers When is buyer more powerfulconcentrated andor purchases large volumes relative to sellers ie Loblaws buys a lot of process purchases undifferentiated products products like fruits and vegetablesthey arent branded pays small price switching suppliers easy to switch suppliers can threaten backward integration processing your own food ie processing your own soup rather than buy from Campbells suppliers product unimportant to service offered by buyerbuyer has better intelligence information examples when products get scanned they are catalogued so buyers know what ppl are buying buyer can easily influence consumer purchases marketing putting food on sale having the food stands near check out etc When the Seller is More Powerful where a few big companies coexist and
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