Responses to Industry Concentration by Small- and Medium Sized Fruit and Vegetable Wholesalers
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Small- and medium-sized enterprises handling fruits and vegetables are disadvantaged by increasing concentration within the production-to-retailer chain. Retail grocer chains have become larger partly in response to the entry of mass merchandisers into food retailing. Shipper firms are expanding to provide the length of season and broad product lines expected by large retailers. The development of electronic hardware and software designed to enhance customer service and reduce logistics costs is expensive and, some argue, difficult to implement. Research on impacts on and responses by produce supply-chain wholesale and distribution firms is reviewed as a basis to understand the future of these and similar firms.