Question about supplier and buyer power

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Reference no: EM1377624

In breakfast cereal industry, firms such as Kellogg, Quaker Oats, and General mills sell their cereals to grocery chains, discount stores and independent grocers. Chain retailers, such as Wal-Mart, Kroger, Safeway, Costco, and Albertson's, purchase the majority of breakfast cereal. Of these, Wal-Mart accounts for more than 10% of cereal sales in the United States What does this say about the cereal industry?

[A] Supplier power is strong in this industry
[B] Buyer power is low in this industry
[C] Supplier power is low in this industry
[D] Buyer power is strong in the industry

Reference no: EM1377624

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