Vertical impacts of retail concentration in brazil

Eduardo Luiz Machado; Gesner Oliveira

Vertical impacts of retail concentration in brazil

In: Dynamics in chains and networks

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Eduardo Luiz Machado

Eduardo Luiz Machado ¹Brazilian Center of Analysis and Planning (Cebrap), Av. Macuco, 280 apto:151, 04523-000 São Paulo-SP, Brazil

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Gesner Oliveira

Gesner Oliveira ²Getúlio Vargas Foundation (FGV-SP), Rua Estados Unidos, 498, 01427-000 São Paulo-SP, Brazil

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Type:: Chapter

Pages:: 450–457

DOI:: https://doi.org/10.3920/9789086865260_053

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This paper analyzes the competitive aspects associated with a market power increase in the retail segment. The aim of the paper is to analyze competition concerns associated with the increase of modern retail buying power in the relationship with suppliers. The traditional framework in economic literature establishes that the increase of buying power in distribution sector should have a pro-competitive impact, affecting positively social welfare. However, the net effect on welfare is not as simple as the literature suggests. The present study shows that anti-competitive effects due to higher buying power can negatively affect social welfare in the long run.

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Dynamics in chains and networks

E-Book ISBN:: 9789086865260

Publisher:: Wageningen Academic

Print Publication Date:: 10 Oct 2004

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- Life Sciences

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Vertical impacts of retail concentration in brazil

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Dynamics in chains and networks

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