Thank you, Roosevelt: 1930’s antitrust law is keeping small retailers alive in 2023
Good morning! We are ushering in the Lunar New Year - It’s the Year of the Rabbit! Let us embrace the spirit of the Rabbit, and strive for harmony and success in the supply chain industry. 🐰
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The Robinson-Patman Act (RPA) is a federal law that is designed to prevent price discrimination in the sale of goods. It prohibits large companies from offering different prices to different buyers for the same product unless there is a valid cost justification for the difference in price. This law can be useful for small businesses because it helps to level the playing field by preventing larger companies from using their market power to offer lower prices to certain customers, such as large retailers, which can make it difficult for small businesses to compete.
Thankfully for small businesses, it seems the Biden Administration is fully embracing this 1930’s Roosevelt-era rule.
Check out today’s featured article from Supply Chain Brain to read about the fight small retailers are in every day to stay alive among the world of larger big-box retailers. Will the federal government continue to maintain a level playing field for retailers? ☕️
Featured Article:
Small Retailers Finally Get a Fighting Chance Thanks to a Roosevelt-Era Antitrust Law | Supply Chain Brain
“When R.F. Buche buys Cheerios to stock his grocery and convenience stores in rural South Dakota, he pays $6.30 for an 18 ounce box. Walmart Inc. pays so much less that it can sell the cereal to customers for just $4.78.”
Digitization & Labor Issues 😱
Can supply chains solve labor shortage issues with digitization efforts?
Digitization can help with the current customs and drayage labor shortages in a few ways:
Automation: Digitization can automate many of the manual processes that are currently done by customs and drayage workers. This can include things like data entry, document processing, and compliance checks. By automating these tasks, fewer human workers are needed, which can help to alleviate labor shortages.
Remote working: Digitization can enable remote working by allowing customs and drayage workers to access and process information from anywhere. This can make it easier to find and hire workers, regardless of their location.
Improved efficiency: Digitization can also improve the efficiency of customs and drayage operations by providing real-time data and analytics. This can help to optimize processes, reduce errors and delays and make the best use of resources.
Digital documentation: Digitization can simplify and speed up the process of handling and processing the required customs and trade documents. Electronic documentation can reduce the need for physical paperwork, making the process more efficient and reducing the need for manual data entry.
Predictive analytics: Digitization can be used to analyze historical data to predict future trends and patterns, which can help to make better decisions, plan resources, and optimize processes.
Shipping & Fuel Tech ♻️
Shipping companies are still waiting on “green solutions” for emissions
Shipping accounts for nearly 90% of world trade and accounts for nearly 3% of the world’s CO2 emissions - and it wants solutions. Haralambos Fafalios, chairman of the Greek Shipping Co-operation Committee (GSCC) spoke in London at an event this week about the desire for alternative fuels in the industry.
Some "green energy" solutions for shipping include using ships powered by alternative fuels such as biofuels, hydrogen fuel cells, and battery power. Another solution is to use wind propulsion in the form of sails or kites to supplement or replace traditional fossil fuel-powered engines. Some shipping companies have elected to simply optimize routes and ship operations to reduce fuel consumption and emissions. Additionally, using technology to improve the efficiency of ships, such as air lubrication systems and hull coatings, can also help reduce their environmental impact.
Let’s Get Global 🌎
Homer Simpson GIF via GIPHY
🇨🇳 U.S. businesses want tariffs on Chinese goods removed. The Biden Administration is considering extending the Trump-era tariffs which account for hundreds of billions of dollars in levies - and some businesses don’t like that. Businesses could be upset for a number of reasons, including the increased costs of imported goods from China, which in turn increased the costs for US businesses that rely on those goods. Many businesses had to absorb these costs, which led to decreased profits and in some cases even losses. The tariffs made Chinese goods more expensive for US businesses to purchase and use, which made them less competitive in the global market.
Get Smart 🧠
Ramp up that brain power for these advanced topics…
💰 Appropriate financing is critical in the food logistics industry. Food logistics requires significant capital investment in equipment, facilities, and technology and financing can help companies to acquire the necessary resources to operate effectively and efficiently. The food logistics industry is also highly dependent on the timely movement of goods and services and financing can help companies to maintain adequate working capital to cover the costs of inventory and other short-term operational expenses. Various risks, such as fluctuations in commodity prices, changes in consumer demand, and supply chain disruptions, are weaknesses in the food supply chain. Financing can help companies to manage these risks by providing them with the resources they need to respond to unexpected events.
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for November 28, 2024, from iLevel Logistics Inc.