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The Great A&P and the Struggle for Small…
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The Great A&P and the Struggle for Small Business in America (original 2011; édition 2011)

par Marc Levinson (Auteur)

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From modest beginnings as a tea shop in New York, the Great Atlantic & Pacific Tea Company became the largest retailer in the world. It was a juggernaut, the first retailer to sell 1 billion dollars in goods, the owner of nearly sixteen thousand stores and dozens of factories and warehouses. But its explosive growth made it a mortal threat to hundreds of thousands of mom-and-pop grocery stores. Main Street fought back tooth and nail, enlisting the state and federal governments to stop price discounting, tax chain stores, and require manufacturers to sell to mom and pop at the same prices granted to giant retailers. In a remarkable court case, the federal government pressed criminal charges against the Great A&P for selling food too cheaply -- and won. The Great A&P and the Struggle for Small Business in America is the story of a stunningly successful company that forever changed how Americans shop and what Americans eat. It is a brilliant business history, the story of how George and John Hartford took over their father's business and reshaped it again and again, turning it into a vertically integrated behemoth that paved the way for every big-box retailer to come. George demanded a rock-solid balance sheet; John was the marketer-entrepreneur who led A&P through seven decades of rapid changes. Together, they built the modern consumer economy by turning the archaic retail industry into a highly efficient system for distributing food at low cost. - Publisher.… (plus d'informations)
Membre:KDmathews
Titre:The Great A&P and the Struggle for Small Business in America
Auteurs:Marc Levinson (Auteur)
Info:Hill and Wang (2011), 384 pages
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Mots-clés:American History, Business Management, Coffee & Tea

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The Great A&P and the Struggle for Small Business in America par Marc Levinson (2011)

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Dense but fascinating look inside the rise and fall of A&P—which can be framed as a predecessor to Walmart in terms of business model and market tactics. A rich history of changes in grocery retail and anti-trust legislation.

The main disappointment with this book was that, despite the title, there wasn't as much attention paid to the actual experiences of merchants, independent grocers, and wholesalers that lost their way of life due to the proliferation of chainstores. ( )
  amsilverny | Feb 22, 2023 |
When I was a child growing up in Everett, MA, there was, on Broadway, a little supermarket called A&P. It was bigger and had more selection than the convenience stores in the neighborhood, but smaller than McKinnon's, which has since gone on to bigger and better things, but not, as it turns out, anything like the size and reach that A&P had even in its decay, in that decade of the sixties when its glory days were past. McKinnon's is a quintessential local chain in the best sense, with high quality, excellent service, and unique offerings not found in the national or big regional chains. A&P in its heyday was something different, something I could not have imagined from that dingy little store inferior in every way to McKinnon's, except that my mom liked their 8 O'Clock Coffee.

A&P was, for over forty years, the largest retailer in the world, the retail behemoth that made its competition tremble, Wal-Mart before Wal-Mart. And they reached those heights from a start as a tiny little tea retailer in New York City in the 1860s.

This is more than the story of the rise, triumph, and decline of the Great Atlantic & Pacific Tea Company. Levinson gives full attention to the economic and social impact of the changes in American food retailing exemplified and in many ways driven by A&P. Under the leadership of founder George Gilman and his eventual partner George Hartford, the company grew from a tiny little tea retailer to the first grocery chain. Hartford's sons, George H. and John A. Hartford, made it the largest grocery chain, experimented with economy stores and then with "combination stores" that included meat counters and hired butchers. The growth of A&P, along with other chains such as Kroger and Safeway, reduced inefficiencies, cut costs, made possible lower prices to consumers.

In the process, of course, they threatened the network of independent grocers, local food wholesalers and food jobbers, butcher shops, bakeries, and other small, locally-owned businesses that had been how Americans fed themselves.

Levinson is clearly an admirer of A&P, but he lays out clearly the good and the bad of the expansion of the chains. The vast number of tiny local groceries and small local wholesalers and jobbers made food very expensive; Americans were paying as much as a third of their income to put food on the table, and while that expenditure got them adequate calories, those calories were low in nutrients. Without refrigeration and without the ability to move produce from one part of the country to another, fruits and vegetables were in low supply. Most goods were bought by the grocers in bulk, and measured out and packaged up for shoppers. Quality was often low and adulteration was common. The expansion of the chains squeezed out unnecessary costs, improved the transportation of food, helped create packaged, branded food products which, though it far from guaranteed higher quality, made it far more possible as a goal. The cost of food fell substantially, while quality and variety and the overall nutritional value of Americans' diets improved.

The other side of the coin is that all those small businesses provided jobs, livelihoods, status, and opportunity for rural, small town, and urban Americans. They helped to develop local civic leadership. In the cities, there were alternatives, but in the small towns, the loss of those opportunities was a real threat. Opposition to chains as a threat to treasured American values, self-image, and economic opportunity developed early, fueled in part by legitimate concerns about real social costs. As the Depression hit starting in 1929, that opposition grew, driven by local fears, and the concern that wages and prices should not fall too much, lest the Depression grow even deeper. The perceived economic threat of the chains was deeply felt, and A&P, the largest of the chains, became the primary target. The company became the target of multiple investigations, together with state laws designed to tax the chains out of existence. In part because of those investigations, the history and internal workings of A&P are unusually well-documented

I've barely scratched the surface of this book. This is a fascinating story, and The Great Atlantic & Pacific Tea Company is well worth getting to know better.

Recommended.

I borrowed this book from a friend. ( )
1 voter LisCarey | Sep 19, 2018 |
Interesting read, could have used better editing, especially in later chapters. Parallels between A&P and Walmart introduced but not explored in depth. Basically a study of a company that excelled in creative destruction until falling victim to same. ( )
  burningdervish | Nov 29, 2016 |
The biography of the conglomerate synonymous with housewives and the grocery consumer. Although information is provided on George and John Hartford, the brothers who led the company for a total of 114 years, there is very little about them, which is as they liked it. Instead it is a study of how successful and ultimately unsuccessful the company became in the years of its existance. Compared, unsuccessfully I believe, to Wal-mart because of the loss of mom and pop businesses the author points out the way A&P led the grocery business in vertical integration, cutting costs by production and distribution of products and negotiating prices based on volume which in effect shut out smaller stores. The company was so successful that a succession of political figures led campaigns to punish the company before and after World War II. At this time A&P was the largest retailer in the US, larger than Sears, Penneys, Woolworths or Krogers. Ultimately housewives campaigned to keep A&P in their communities and businesses they dealt with wrote to the Justice Department opposing the lawsuit.

My father was one of the clerks at A&P after World War II until he retired. I remember sitting in the front window near the cash registers, smelling the fresh Eight O'Clock coffee being ground. I learned more about produce from him based on his years in that department. Although I heard stories about the Hartfords, it was eye opening to read an objective account of their business practices. I am passing this on to other family members. ( )
1 voter book58lover | Aug 24, 2012 |
Largely hagiographic account of the rise and fall of A&P, which became and stayed the biggest retail chain in America for years in large part by taking advantages of economies of scale—making its own stuff and also negotiating deep discounts from wholesalers, a la Wal-Mart—and passing many of the savings on to customers, until the folks who’d run it since the 30s died and the successors took their profits and didn’t reinvest in adapting the stores to changing times. The founding family was anti-union but paternalistic, and ran the stores on the theory that too much profit was a sign that they were setting prices too high; almost unbelievably, they also didn’t believe in getting involved in politics. ( )
1 voter rivkat | Mar 12, 2012 |
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From modest beginnings as a tea shop in New York, the Great Atlantic & Pacific Tea Company became the largest retailer in the world. It was a juggernaut, the first retailer to sell 1 billion dollars in goods, the owner of nearly sixteen thousand stores and dozens of factories and warehouses. But its explosive growth made it a mortal threat to hundreds of thousands of mom-and-pop grocery stores. Main Street fought back tooth and nail, enlisting the state and federal governments to stop price discounting, tax chain stores, and require manufacturers to sell to mom and pop at the same prices granted to giant retailers. In a remarkable court case, the federal government pressed criminal charges against the Great A&P for selling food too cheaply -- and won. The Great A&P and the Struggle for Small Business in America is the story of a stunningly successful company that forever changed how Americans shop and what Americans eat. It is a brilliant business history, the story of how George and John Hartford took over their father's business and reshaped it again and again, turning it into a vertically integrated behemoth that paved the way for every big-box retailer to come. George demanded a rock-solid balance sheet; John was the marketer-entrepreneur who led A&P through seven decades of rapid changes. Together, they built the modern consumer economy by turning the archaic retail industry into a highly efficient system for distributing food at low cost. - Publisher.

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