FTC v. Kroger Company

A Case Study Concerning the Grocery Markets

In October 2022, Kroger Company proposed an acquisition of Albertsons Companies, Inc. However, the Federal Trade Commission (FTC) and state Attorneys General successfully blocked the proposed transaction on December 10, 2024, as the courts ultimately sided with the plaintiffs. A pivotal argument in the litigation centered around market definition, with the plaintiffs contending that traditional supermarkets represented the relevant product market, while the defendants argued for a broader market that included warehouse and club stores. This discussion will concentrate on the general economic principles underlying market definitions, with technical details and additional issues reserved for future examination.