Supermarkets and grocery stores across the country are fighting to maintain profitability as more competition and deep price cuts from national discounters drive prices lower, according to a recent USA Today article. Prices are dropping with supermarket items showing a 1.3 percent decline last year, compared to the year before the Agriculture Department's Economic Research Service is reported as saying. It was noted to be the first annual decline since 1967.
Editor's Note: While the business of grocery stores and on-site refreshment such as vending machines and micro markets are vastly different, prices being driven down to the point of eroding profits is troublesome. Away from home hasn't been discounting food in the same way as grocery stores have, but will that change as consumers look at the price difference? Restaurants are already seeing lower revenues. Or will the convenience and experience of workplace refreshment maintain its value for the consumer?
