Tuesday, 30 June 2009

Go compcom!

The Competition Commission have been busy little bees in the last few years - and good on them!
Their latest investigation will probe food prices and so, they will be investigating major food-store chains such as Pick 'n Pay, Shoprite-Checkers, Woolworths & Spar.
But it's not just about how much it costs to buy a can of tuna at Woolworths, compared to Pick n Pay, it's more about the inner workings of the whole setup.
Nandi Mokoena, the commission's manager of strategy and stakeholder relations (whatever that is - though obviously it's important & he gets paid a lot of money to do it) has stated that the investigations will delve into the conduct of retails & the effects it has on their competition.
In other words: there's been some fishy conduct on the part of big chains in order to secure buyer power. From signing exclusive & discounted rentals in shopping complexes, to rebates, exclusive supply arrangements, etc etc.
So far, there's been no objection to the investigation by the major players, so we'll see what the results are.

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