Wal-Mart web move worries farmers
17 October 2000
Wal-Mart web move worries farmers
By FWi staff
US retail giant Wal-Mart, which owns the Asda supermarket chain, has announced plans to shift buying processes online, reports The Independent.
This has raised concerns among suppliers that they could be squeezed.
Wal-Mart is developing a private internet marketplace to help automate sourcing and cut procurement costs.
The chain will be able to demand a single quote for requirements across several countries, allowing it to negotiate volume discounts.
Alan Morris of the Farmers Union of Wales told the newspaper he would be concerned if the chain used this supply method exclusively.
He said: “We are encouraging as many farmers as possible to join the online revolution but we are a long way off everyone being on the internet.”
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