
"Concerns over the acquisition from the restaurant industry have been fast and furious. Some worry that the merger is creating a monopoly that could result in, among other things, higher prices for an industry that already operates on paper-thin margins."
"Restaurant Depot offers a more flexible wholesale experience, akin to a Costco for restaurant businesses only, and all without minimum purchase requirements. The stores are vital places to pick up last-minute ingredients and cooking tools, among other things, without the need to schedule far in advance."
Sysco, the largest restaurant supply distributor, announced its acquisition of Restaurant Depot for $29.1 billion. This merger could limit choices for California restaurants and food businesses. Sysco operates on a membership and delivery basis, while Restaurant Depot provides a flexible cash-and-carry model. Concerns have emerged regarding the potential creation of a monopoly, which may lead to higher prices and a homogenized restaurant culture, impacting the diversity of food offerings.
Read at SFGATE
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