Countervailing Power and Seller Performance in U.S. Food and Tobacco Manufacturing Industries
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An analysis of the impact of buyer structure on the profitability of U.S. food manufacturing industries shows inconclusive evidence in support of the countervailing power hypothesis in these industries. However, findings show that industries that have high sales to other food manufacturing industries, as opposed to sales to the wholesale, retail and other nonindustrial
buyers have lower profitability.