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How has the merger between Macro, Lotus, and Seven Eleven affected the supplier landscape in the retail market?

Product differentiation

Product (category theory)

Economic surplus

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The merger between Macro, Lotus, and Seven Eleven could impact the supplier landscape in the retail market by influencing product variety and buyer power . Retail mergers can lead to a reduction in product variety as merging firms may opt for a 'single-sourcing' strategy, causing suppliers to produce less differentiated products . This reduction in variety may affect consumer choice and overall industry profit. Additionally, the merger could enhance the buyer power of the merged entity, potentially leading to negotiations with suppliers for lower input prices . However, efficient negotiations are crucial to ensure that any loss in product variety does not significantly impact consumer welfare .

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Open access How has the Changing Retail Landscape Affected the Occupational Status of Women and Minorities Kendra L. Harris, Kimberly N. Harris, Aberdeen Leila Borders, Donovan Anderson, Deborah H. Lester - Show less +4 more 01 Jan 2020	Not addressed in the paper.
Journal Article•DOI Retail Mergers, Buyer Power and Product Variety* Roman Inderst, Greg Shaffer - Show less +1 more 01 Jan 2007-The Economic Journal 202 Citations	Not addressed in the paper.
Open access•Posted Content The effect of retail mergers on prices and variety: An ex-post evaluation Elena Argentesi, Paolo Buccirossi, Roberto Cervone, Tomaso Duso, Alessia Marrazzo - Show less +4 more 01 Jan 2016-Research Papers in Economics 73 Citations	Not addressed in the paper.
Journal Article•DOI The Price and Variety Effects of Vertical Mergers Awi Federgruen, Ming Hu - Show less +1 more 25 Aug 2016-Social Science Research Network 11 Citations	Not addressed in the paper.

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