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'Whole Foods' merger


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#1 stocks

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Posted 08 June 2007 - 12:40 AM

But when Whole Foods, the extremely successful, bobo-friendly, high-end, blue-state organic grocery chain and Wild Oats, the less successful, bobo-friendly, high-end, blue-state organic grocery chain, say they want to merge, the answer is no. This week, the FTC sued to stop this puny ($670 million) merger, saying the planned deal would "eliminate[e] the substantial competition between these two uniquely close competitors in numerous markets nationwide in the operation of premium natural and organic supermarkets" and result in higher prices and less consumer choice.

http://www.slate.com/id/2167984
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Defenders of the status quo are always stronger than reformers seeking change, 
UNTIL the status quo self-destructs from its own corruption, and the reformers are free to build on its ashes.
 

#2 OEXCHAOS

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Posted 11 June 2007 - 09:47 AM

The whole notion of anti-trust is bogus. There's ZERO empirical evidence that supports ANY value to prohibiting monopolies. They will ONLY exist for any length of time (sans the use of force or the help of government) is they are beneficial to consumers. Anti-trust SOUNDS good, but it ignores the reality of free markets. The FTC is solving a non-existent problem. In this case, it's worse: They are damaging their own legitimacy by misusing the (improper) power that they have. It's not like Krogers can't quickly compete with a "price gouging" Whole Foods to exploit away all those "excessive profits"... Sheeze, people are stupid and government is dumber.

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