Distribution as Discrimination: How Supply Chain Decisions Can Raise Grocery Prices Without Changing Wholesale Prices
Why the Loss of Manufacturer-Managed Delivery May Weaken Competition in New York City Grocery Markets
The competitive importance of vertical distribution arrangements has been a key focus in antitrust economics for many years. The majority of traditional research on the behavior of upstream firms has concentrated on the variations in wholesale prices among downstream purchasers. However, non-price inputs—such as delivery services, inventory management, and in-store merchandising—may play an equally important role in shaping competition among retailers by affecting their effective procurement costs.
