Carrefour in Kenya: The true price of the discounts.

have you ever found yourself accepting something simply because you had been cornered? This is where the suppliers find themselves with this bully customer.
And that's how business is done, wakati ulikuwa unanunua tobacco mlikuwa mnapatia farmer ile price anataka? Price is determined by demand and supply, hio unasoma ukiwa standard 4 kwa business education
 
Let me ask, did the suppliers get into these agreements willingly?

Fair prices yet you are complaining?

but sielewi because as a supplier if the terms are not suited to you, si you just don't sign up? why sign up then complain?
every business must have a strategy. Carrefour expects to move huge volumes , suppliers too will benefit by scale and recover everything.

"It's unfair but the supplier has an option to supply elsewhere," she said."


This, simply, is a case of a dominant vendor abusing their market position.
That's why the law exists.
 
but they shouldn't have signed up, am sure if after lapse of contract period, Carrefour will advertise for suppliers and more will apply to be listed.
I think this is competitor instigated

It does not matter who instigated it, it is illegal because it has been proven to drive suppliers out of business which is a much bigger blow to the supply chain and investors and the economy.

Allowing Carrefour to squeeze suppliers to death is not a smart move for the nation.
 
It does not matter who instigated it, it is illegal because it has been proven to drive suppliers out of business which is a much bigger blow to the supply chain and investors and the economy.

Allowing Carrefour to squeeze suppliers to death is not a smart move for the nation.
did they start that company ndio wawe wana supply carrefour only, does it mean if carrefour closes shop pia hao watafunga? Ni wa stop supplying carrefour with their goods period
 
This, simply, is a case of a dominant vendor abusing their market position.
That's why the law exists.
Did they put a gun to their heads to get into the agreement? Why are carrefour dominant? We've had the likes of uchumi, nakumatt, tuskys what happened to those? Why didn't the suppliers go with alternatives?

If carrefour artificially bullied other outlets to get their so called dominant position, now that would have been a course for concern.

In a free market, the best solution wins. Even a smart kid would get that. I'm not even a great fan of carrefour given some substandard goods I've bought there
 
Did they put a gun to their heads to get into the agreement? Why are carrefour dominant? We've had the likes of uchumi, nakumatt, tuskys what happened to those? Why didn't the suppliers go with alternatives?

If carrefour artificially bullied other outlets to get their so called dominant position, now that would have been a course for concern.

In a free market, the best solution wins. Even a smart kid would get that. I'm not even a great fan of carrefour given some substandard goods I've bought there

Kuna kitu kwa sheria huitwa 'undue influence/ coercion'. It's not always exerted by the force of arms.
Ca4 sn't the 'best solution'; it simply is the one that exerts the most coercion.
 
Kuna kitu kwa sheria huitwa 'undue influence/ coercion'. It's not always exerted by the force of arms.
Ok, so now we're taking laws that apply to individuals and apply them to corporations? Corporations that employ accountants and lawyers?
Ca4 sn't the 'best solution'; it simply is the one that exerts the most coercion.
Like it or not, after Kenyan supermarket chains fell because of pure greed, Carrefour master minded a take over of that market. It's not even the biggest market since majority of Kenyans will shop at neighbourhood kiosk and wholesaler. Those suppliers are not being forced to supply their goods through Carrefour, they enjoy that freedom. And with technology there's great room to innovate.
 
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