The US food manufacturer Mars no longer supplies the German supermarket chains Edeka and Rewe. Manufacturers and retailers argue about the prices. As a result, many consumers can no longer find their favorite goods. But in the end, the Zoff benefits the consumers.
Inflation in Germany is currently 10.0 percent – higher than ever before. This is mainly due to the high energy prices. But food has also become massively expensive recently. In September alone by almost 19 percent compared to September 2021.
Against this background, the current dispute between the consumer goods manufacturer Mars and German retail chains such as Rewe and Edeka is causing a stir. The companies argue about price increases that Mars is planning. The dealers did not want to burden their customers any more than has been the case up to now.
The US group Mars is a real multinational. He provides customers with chocolate (Bounty, Snickers), Uncle Ben’s rice and Wrigley’s chewing gum. Dog owners like to use the Chappi brand. The list of products from the group with its German headquarters in Verden, Lower Saxony, is much longer.
Mars wants to enforce higher prices in trading. The reason: Increased wages and high inflation nibble on profits. Retailers, in turn, fear a buyers’ strike if prices continue to rise.
Both positions are understandable. Normally, the (hard) price negotiations take place behind closed doors. But currently Mars on the one hand and Rewe and Edeka are so at odds that the disputes became public.
Because Rewe, for example, refuses to approve the desired price increases, Mars refuses to continue supplying the chain. The question is: who is more likely to buckle? Rewe because it wants to refill its shelves. Or Mars, because it wants to boost its sales.
At the moment there is no solution in sight. However, consumers should be happy that manufacturers cannot simply push through every desired price increase.
So as not to give the wrong impression: retail is not automatically on the side of the consumer. Rewe, Edeka
Even if some consumers have to switch to alternative products until the dispute is over, they can be happy that retailers are representing their interests. Because one thing is certain: the end of the price increases is far from in sight.
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