31/05/2005 - 22:00

Reader Response - Foodland sale a concern

31/05/2005 - 22:00

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We are very, very uncomfortable that Foodland Associated Ltd has agreed to sell 16 of its best Action supermarkets in Western Australia to one of the two dominant grocery conglomerates that these 16 Action supermarkets are currently competing against.

Also of concern is that these 16 stores will soon be rebadged as Woolworths supermarkets and will start competing against both the remaining (renamed) Action supermarkets that Woolworths did not want and the existing smaller independent super-markets in WA that FAL currently supply.

Woolworths is now in an even more dominant position to dictate and control.

This situation is neither fair practice nor fair competition.

We need proper anti-monopoly/duopoly laws in Australia, which include strong and effective market power and market share components.

 

Philip Achurch

Executive director

The West Australian Small Business and Enterprise Association Inc

STANDING BY BUSINESS. TRUSTED BY BUSINESS.

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