The New U.S. Meat Industry essays

The New U.S. Meat Industry essays The new U.S. meat industry of food retailers, meat processors, and farms and ranches coalesce into fewer and larger businesses are emerging. These new giants like Wal-Mart could drive up food prices for consumers and drive down livestock prices for consumers and drive down livestock prices for producers. Grocery stores have merged or acquired other stores, spawning several major grocery chains and large general merchandise stores and warehouse clubs have appeared on the retail scene. While market power seems to be uprising public policy ensures that all participants will benefit from the new structure. With this new structure the number of meat processing firms has dwindled rapidly, boosting the market share held by the industrys largest players while the number of slaughter plants have plunged. Food demand and technology are the two forces of the meat industrys transformation to a more compact structure. Consumers are looking for food that is easy to prepare while also promising safe eating, improved nutrition, and greater consistency. The U.S. food market is notoriously slow growing with food spending rising more slowly than consumer incomes. Consumers are buying more conveniently prepared food products of consistent quality, despite the sluggish growth of over all food spending. With increased consumption from poultry profit margins in the beef and pork processing industries tightened. Meat is the single largest expenditure item in the consumer grocery cart, and livestock represents the single biggest item on U.S. agricultures income statement. The Sherman Antitrust Act, the Clayton Act, and the Federal Trade Commission Act express the nations commitment to a free market economy where competition benefits both consumer and businesses. This new structure should reflect these laws and expectations that benefit all participants. ...