In the case where there is no Walmart close by, then yes, a merger could result in a local "monopoly" and possible price increases. But such locations are rare, and Walmart would surely open a store there since the location is ripe for competition.
Also realize that the locations you mention where there is no Walmart probably already have…
In the case where there is no Walmart close by, then yes, a merger could result in a local "monopoly" and possible price increases. But such locations are rare, and Walmart would surely open a store there since the location is ripe for competition.
Also realize that the locations you mention where there is no Walmart probably already have higher prices since the low-cost leader is not present to compete with them.
Your guess is essentially what I meant by these grocers shifting to only upper middle-class locations where people are willing to pay more for a nicer shopping experience. But of course, that means closing many locations and many lost jobs to go along with food deserts. And, at least where I live, that was already in place before Walmart showed up. The upscale grocers all faded away mainly due to increased competition but also due to niche grocers like Trader Joes, Fresh Market, etc.
In the case where there is no Walmart close by, then yes, a merger could result in a local "monopoly" and possible price increases. But such locations are rare, and Walmart would surely open a store there since the location is ripe for competition.
Also realize that the locations you mention where there is no Walmart probably already have higher prices since the low-cost leader is not present to compete with them.
Your guess is essentially what I meant by these grocers shifting to only upper middle-class locations where people are willing to pay more for a nicer shopping experience. But of course, that means closing many locations and many lost jobs to go along with food deserts. And, at least where I live, that was already in place before Walmart showed up. The upscale grocers all faded away mainly due to increased competition but also due to niche grocers like Trader Joes, Fresh Market, etc.