Supermarket Buyers Using Suppliers as Cannon Fodder Supply Management Assignment

Supermarket Buyers Using Suppliers as Cannon Fodder Supply Management - Assignment Example Supermarkets are engaging to exploit all the possible opportunities and they are doing so, by aggressive purchasing from multiple suppliers (Jennings, 2014). Purchasing from large number of manufacturers gives them power to bargain on price and quantity and due to this power they are generating more profits, whereas food manufacturers are suffering. This price war has raised many questions among marketers and economics, and they are seeing this war as an unfair tactic of retailers which is creating negative impact on the overall supply chain.Supermarkets are engaging to exploit all the possible opportunities and they are doing so, by aggressive purchasing from multiple suppliers (Jennings, 2014). Purchasing from large number of manufacturers gives them power to bargain on price and quantity and due to this power they are generating more profits, whereas food manufacturers are suffering. This price war has raised many questions among marketers and economics, and they are seeing this w ar as an unfair tactic of retailers which is creating negative impact on the overall supply chain. In today’s dynamic world, companies are not competing with each other in fact their whole supply chains are competing and retailers are creating trouble for the supply chains of different manufacturers (Bolton, Shankar, & Montoya, 2010). Additionally, many economists believe that a supply chain is as strong as its weakest link and retailers are weakening the supply chains of manufacturers by demanding heavy contribution from them and by aggressive purchasing.