The Dilemma Between Low Prices and Small Businesses
![]() |
Within the past decade, it has become apparent that multinational corporations have increasingly dominated our society. With thousands of stores operating across Europe, Asia, and North America, Tesco is now considered the world’s third largest retailer. The supermarket chain controls over 30% of the grocery market in the UK, accounting for £1 of every £8 spent in British shops. Driven by expansion, Tesco is predicted to exceed the sales of major global rivals, including the world’s number one retailer, Wal-Mart.
Although millions of consumers have chosen to spend their hard-earned money at a place that offers low prices, the pursuit towards number one hasn’t come without making a few enemies. Tesco’s increasing market domination has been criticized for destroying communities politically, socially, and environmentally. The future of small, independent shops may seem bleak with a supermarket giant hovering over their shoulder. The question remains, is Tesco’s growth happening at the expense of locally owned shops?
Although millions of consumers have chosen to spend their hard-earned money at a place that offers low prices, the pursuit towards number one hasn’t come without making a few enemies. Tesco’s increasing market domination has been criticized for destroying communities politically, socially, and environmentally. The future of small, independent shops may seem bleak with a supermarket giant hovering over their shoulder. The question remains, is Tesco’s growth happening at the expense of locally owned shops?
Last Saturday, over 400 residents united in Ainsdale to campaign against plans for a Tesco store opening in town. The grocery chain had recently expressed interest in a vacant site. Protestors claim that local retailers would be at risk to be put out of business. Residents believed in taking a stand in order to “retain our village, not only for us today but for the future, our children and our children's future,” said Brenda Porter, local Conservative councilor. "We want to keep our small businesses and the fact we have few empty premises tells the true story." A public meeting to discuss the next step of the campaign is scheduled for March.
Until recently, the “supermarket disease” had only been a problem in America, where smalltime farmers and butchers had lost control of the market to national chains during the 1950’s. Farmers were forced to expand in order to sell commodities to the large supermarket chains themselves or to brand name suppliers who sold to them.
The inexorable rise of Tesco bears a heavy burden on small suppliers in the face of unfair competition. Wiping out local competitors leads to customers being faced with no longer having options as to where they shop. Diminishing the variety of shops allows Tesco to dictate the standards of prices and quality on goods and services. In addition, when small private shops give way to huge franchises, the town is more likely to turn into a commercial wasteland as high streets fade into the background.
The market-distorting power that lies in the hands of major companies like Tesco will continue to grow until consumers chose otherwise. In the mean time, independent stores are fighting for their survival against the corporate monster. Tescopoly is an alliance of organizations concerned with the negative impacts of supermarket power, including over 350 local campaigns. For more information on how to support the cause, visit www.tescopoly.org.
TOP 20 TESCO TOWNS | ||
Town | No. of Tescos | Population per store |
Bicester | 6 | 5,185 |
Andover | 5 | 7,591 |
Nottingham | 27 | 9,243 |
Southampton | 24 | 9,759 |
Norwich | 17 | 10,238 |
Cambridge | 11 | 10,312 |
Bristol | 39 | 10,783 |
High Wycombe | 7 | 11,025 |
Colchester | 9 | 11,598 |
Wigan | 7 | 11,600 |
Taunton | 5 | 11,648 |
Bedford | 7 | 11,784 |
Solihull | 8 | 11,844 |
Manchester | 33 | 11,947 |
Milton Keynes | 15 | 12,304 |
Torquay | 5 | 12,593 |
Worthing | 8 | 12,762 |
Maidstone | 7 | 12,812 |
Blackpool | 11 | 12,934 |
Middlesbrough | 10 | 14,269 |
No comments:
Post a Comment