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E.U. Grocery Chains Combine Resources


Tesco PLC of the U.K. and Carrefour SA of France will establish a joint-purchasing operation. The intention is to lower price, control quality and enhance customer satisfaction and enhance margins.

The arrangement of convenience is stimulated by threats of intrusion into E.U. markets by Amazon which purchased Whole Foods Market for close to $14 billion in 2017.

Previously, EGG-NEWS reported on restructuring of the U.K. food distribution market with the sale of Asda Group, previously owned by Walmart, to J. Sainsbury PLC.

Concurrently, supermarkets in the E.U. are introducing U.S. technology including evaluation of electronic checkout, on-line ordering and home delivery.